MIRA INFORM REPORT

Report Date :

04.01.2014

IDENTIFICATION DETAILS

Name :	DIANCO BVBA
Registered Office :	Hoveniersstraat 2, 2018 Antwerpen
Country :	Belgium
Financials (as on) :	31.12.2012
Date of Incorporation :	20.06.1984
Com. Reg. No.:	425866919
Legal Form :	Private Limited Company (BL/LX)
Line of Business :	Wholesaler of diamonds and other precious stones
No. of Employees :	05 (31.12.2012)

RATING & COMMENTS

MIRA’s Rating :

Ba

RATING		STATUS	PROPOSED CREDIT LINE
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory

Status :	Satisfactory
Payment Behaviour :	No Complaints
Litigation :	Clear

NOTES :

Any query related to this report can be made on e-mail : infodept@mirainform.com while quoting report number, name and date.

ECGC Country Risk Classification List – September 30, 2013

Country Name	Previous Rating (30.06.2013)	Current Rating (30.09.2013)
Belgium	A1	A1

Risk Category	ECGC Classification
Insignificant	A1
Low	A2
Moderate	B1
High	B2
Very High	C1
Restricted	C2
Off-credit	D

belgium ECONOMIC OVERVIEW

This modern, open, and private-enterprise-based economy has capitalized on its central geographic location, highly developed transport network, and diversified industrial and commercial base. Industry is concentrated mainly in the more heavily-populated region of Flanders in the north. With few natural resources, Belgium imports substantial quantities of raw materials and exports a large volume of manufactures, making its economy vulnerable to volatility in world markets. Roughly three-quarters of Belgium's trade is with other EU countries, and Belgium has benefited most from its proximity to Germany. In 2011 Belgian GDP grew by 1.8%, the unemployment rate decreased slightly to 7.2% from 8.3% the previous year, and the government reduced the budget deficit from a peak of 6% of GDP in 2009 to 4.2% in 2011 and 3.3% in 2012. Fourth quarter GDP growth in 2012 was at -0.1%, the third consecutive quarter of negative growth. This brought economic growth for the whole of 2012 to negative 0.2%. It also left Belgium on the brink of a possible recession at the end of 2012. However, at year's end, the government appeared close to meeting its 2012 budget deficit goal of 3% of GDP. Despite the relative improvement in Belgium's budget deficit, public debt hovers around 100% of GDP, a factor that has contributed to investor perceptions that the country is increasingly vulnerable to spillover from the euro-zone crisis. Belgian banks were severely affected by the international financial crisis in 2008 with three major banks receiving capital injections from the government, and the nationalization of the Belgian retail arm of a Franco-Belgian bank.

Source : CIA

Company name & address

Business number	425866919
Company name	DIANCO BVBA
Address	HOVENIERSSTRAAT 2
	2018 ANTWERPEN
Number of staff	5
Date of establishment	20/06/1984
Telephone number	032329827
Fax number	032319683

Head office

Hovenierstraat 2 PB 306,2018,Antwerp,10^TH Floor, Belgium

Commentary

The business was established over 29 years ago.

The business has 5 employees.

The business has been at the address for over 27 years.

A 28% growth in Total Assets occurred during the latest trading period.

The business saw an increase in their Cash Balance of 5634% during the latest trading period.

Accounts

Date of latest accounts	Turnover	Profit Before Tax	Net worth	Working capital
31/12/2012	135,293,396	150,011	6,838,359	11,582,005
31/12/2011	126,262,608	172,533	6,741,986	10,456,248
31/12/2010	121,866,495	256,040	6,545,605	6,001,719

Accounts

Date of latest accounts	Balance Total	Number of Employees	Capital	Cashflow
31/12/2012	48,469,532	5	5,269,519	183,372
31/12/2011	37,626,964	4	5,269,519	296,947
31/12/2010	28,033,441	3	5,269,519	233,765

Trends

Profitability
Liquidity
Net worth

Payment expectations

Past payments		Payment expectation days	42.37
Industry average payment expectation days	167.12	Industry average day sales outstanding	121.56
Day sales outstanding	93.74

Court data summary

Bankruptcy details
Court action type	no
Protested bills
Bill amount	-
NSSO details
Date of summons	17/11/2008

Bankruptcy details

There is no bankruptcy data against this company

Legal events

Legal event type	Social Security Summons
Legal event sub type
Event date	17/11/2008	Secondary event date
Court number		Registry body identfier
Court type	Employment Court	Court name	Antwerpen
3rd party name	Rijksdienst voor Sociale Zekerheid	3rd party type	Summoning Party

Legal event type	Social Security Summons
Legal event sub type
Event date	20/10/2008	Secondary event date
Court number		Registry body identfier
Court type	Employment Court	Court name	Antwerpen
3rd party name	Rijksdienst voor Sociale Zekerheid	3rd party type	Summoning Party

Business number	425866919	Company name	DIANCO BVBA
Fax number	032319683	Date founded	20/06/1984
Company status	active	Company type	Private Limited Company (BL/LX)
Currency	Euro (€)	Date of latest accounts	31/12/2012
Activity code	46761	liable for VAT	yes
Activity description	Wholesale of diamonds and other precious stones	VAT Number	BE.0425.866.919
Belgian Bullettin of Acts Publications	moniteur belge

Social Balance Sheet Details

Social Balance Sheet		Total
During the reporting year ended 31-12-2012
Full-time Employees		5
Part-time Employees		0
Total Fte Employees		5
Number of hours worked
Full-time Employees		8,232
Part-time Employees		630
Total		8,862
Personnel Charges
Full-time Employees		227,790
Part-time Employees		14,540
Total		242,330
Benefits In Addition To Wages		-
During the previous reporting year
Average number employees in Fte		5
Actual working hours		8,171
Personnel Charges		217,968
Benefits In Addition To Wages		-
Type of Contract	Full-Time		Part-Time	Total Fte
Unlimited Duration Contracts	5		-	5
Limited Duration Contracts	-		-	-
Contracts For Specific Work	-		-	-
Contracts Regarding Substitution	-		-	-

Gender and Education Level
Men	Full-Time		Part-Time		Total Fte
Primary education	1		-		1
Secondairy education	2		-		2
Higher education (non university)	-		-		-
Higher education (university)	-		-		-
Women	Full-Time		Part-Time		Total Fte
Primary education	-		-		-
Secondairy education	2		-		2
Higher education (non university)	-		-		-
Higher education (university)	-		-		-
Working Category		Full-Time		Part-Time		Total Fte
Management		-		-		-
White collar worker		4		-		4
Blue collar worker		1		-		1
Other		-		-		-

Temporary personnel			Total
Average number of temporary staff			-
Actual working hours			-
Cost of temporary staff			-
New staff and leavers	Full-Time	Part-Time		Total Fte
New Starters	-	-		-
Leavers	-	-		-

Total of formal continuing vocational training initiatives for workers paid by the employer	Male	Female
Number of employees	-	-
Number of training hours	-	-
Net costs for enterprise	-	-
Total of less formal and informal continuing vocational training initiatives for workers paid by the employer	Male	Female
Number of employees	-	-
Number of training hours	-	-
Net costs for enterprise	-	-
Total of initial training initiatives at the expense of the employer	Male	Female
Number of employees	-	-
Number of training hours	-	-
Net costs for enterprise	-	-

Personnel

(NSSO classification)

Code	-
Description	5 EMPLOYEES

Joint Industrial Committee (JIC)

JIC Code	218
Description	Additional national joint committee for the employees
category

JIC Code	324.02
Description	JSC small merchandisers in the diamant industry and trade
category

Significant Events

Event Date	01/04/2013
Event Description	re-appointment of director(s)
Event Details	Commentaar 01-04-2013: Herbenoeming tot zaakvoerder vanaf 1/04/2013, voor onbepaalde duur: Jhaveri Biren Bipinbhai.

comparison mode

average

median

Export accounts to CSV file

Profit & loss

Annual accounts	31-12-2012	%	31-12-2011	%	31-12-2010	Industry average 2012	%
Weeks	52		52		52
Currency	EUR		EUR		EUR
Turnover	135,293,396	7.15	126,262,608	3.61	121,866,495	46,823,071	188
Total operating expenses	134,406,578	7.12	125,474,296	3.75	120,938,350	46,428,758	189
Operating result	886,818	12.50	788,312	-15.07	928,145	149,320	493
Total financial income	626	-91.53	7,391	2268	312	97,292	-99
Total financial expenses	737,433	18.34	623,170	-7.32	672,417	205,178	259
Results on ordinary operations before taxation	150,011	-13.05	172,533	-32.61	256,040	33,114	353
Taxation	47,104	-43.48	83,333	19.14	69,944	21,047	123
Results on ordinary operations after taxation	102,907	15.37	89,200	-52.07	186,096	18,114	468
Extraordinary items	0	-100	123,554	-	0	-4,596	0
Other appropriations	11916.29	-63.18	32360.98	3020	1037	-	-
Net result	114,824	-53.16	245,115	30.98	187,133	13,537	748
other information
Dividends	-	-	-	-	-	172,177	-
Director remuneration	153,697	-	-	-	-	114,302	34.47
Employee costs	242,330	11.18	217,968	18.74	183,569	127,621	89.88
Wages and salary	186,269	8.93	171,002	21.23	141,050	107,066	73.98
Employee pension costs	-	-	-	-	-	14,428	-
Social security contributions	46,176	14.39	40,367	16.30	34,709	26,956	71.30
Other employee costs	9,885	49.78	6,599	-15.50	7,810	4,433	122
Amortization and depreciation	68,548	32.25	51,832	11.15	46,632	17,804	285

balance sheet

Annual accounts	31-12-2012	%	31-12-2011	%	31-12-2010	Industry average 2012	%
Weeks	52		52		52
Currency	EUR		EUR		EUR
Intangible fixed assets	10,584	-	0	-	0	1,582	569
Tangible fixed assets	647,504	-8.09	704,490	3.86	678,321	184,305	251
Land & building	375,144	-4.11	391,211	-34.53	597,571	357,819	4.84
Plant & machinery	241,638	-10.85	271,059	556	41,301	22,984	951
Furniture & Vehicles	30,722	-27.23	42,219	7.03	39,448	17,422 5,418	76.34
Leasing & Other Similar Rights	-	-	-	-	-	142,15332,369	-
Other tangible assets	0	-	0	-100	1	7,775	-100
Financial fixed assets	-	-	-	-	-	290,933	-
Total fixed assets	658,088	-6.59	704,490	3.86	678,321	383,918	71.41
Inventories	10,600,481	48.06	7,159,674	77.44	4,034,944	3,104,591	241
Raw materials & consumables	-	-	-	-	-	7,209,884	-
Work in progress	0	-	0	-	0	2,446	-100
Finished goods	10,600,481	48.06	7,159,674	77.44	4,034,944	1,991,469	432
Other stocks	0	-	0	-	0	570,647	-100
Trade debtors	34,746,542	17.67	29,529,525	29.15	22,865,138	4,197,502	727
Cash	2,218,747	5634	38,689	-90.21	395,091	226,005	881
other amounts receivable	216,448	29.09	167,670	300	41,819	183,916	17.69
Miscellaneous current assets	29,225	8.58	26,917	48.48	18,128	17,918	63.11
Total current assets	47,811,443	29.49	36,922,474	34.97	27,355,120	7,252,540	559
Total Assets	48,469,532	28.82	37,626,964	34.22	28,033,441	7,605,0721,453,566	537
current liabilities
Trade creditors	15,603,819	38.09	11,299,929	11.74	10,112,692	3,073,569	407
Short term group loans	-	-	-	-	-	-	-
Financial debts	20,546,396	36.63	15,037,938	51.56	9,921,788	4,258,483192,320	382
Current portion of long term debt	-	-	12,768	-35.93	19,928	108,18315,032	-
Amounts Payable for Taxes, Remuneration & Social Security	56,107	-46.48	104,835	45.60	72,001	9,445 -	64.56
Miscellaneous current liabilities	23,117	114	10,756	-99	1,226,992	-92.33	- -
Total current liabilities	36,229,438	36.89	26,466,226	23.94	21,353,401	5,383,936	572
Long term debts and liabilities
Long term group loans	-	-	-	-	-	-	- -
Other long term loans	-	-	-	-	12,768	-	- -
Deffered taxes	35,322	-10.29	39,372	71.20	22,998	37,62626,358	-6.12
Provisions for Liabilities & Charges	0	-	0	-	0	3,174 0	-100
Other long term liabilities	5,355,828	22.30	4,379,380	4338	98,669	130,834	3993
Total long term debts	5,391,150	22.01	4,418,752	3186	134,435	566,199	852
shareholders equity
Issued share capital	5,269,519	0	5,269,519	0.00	5,269,519	904,365	482
Share premium account	-	-	-	-	-	109,362	-
Reserves	1,579,425	7.26	1,472,467	15.39	1,276,086	706,508	123
Revaluation reserve	-	-	-	-	-	968,672	-
Total shareholders equity	6,848,944	1.59	6,741,986	3.00	6,545,605	1,640,963	317
Working capital	11,582,005	10.77	10,456,248	74.22	6,001,719	1,868,604	519
Cashflow	183,372	-38.25	296,947	27.03	233,765	28,206	550
Net worth	6,838,359	1.43	6,741,986	3.00	6,545,605	1,637,691	317

ratio analysis

Annual accounts	31-12-2012	change(%)	31-12-2011	change(%)	31-12-2010	Industry average 2012	%
Trading performance
Profit Before Tax	0.11	-21.43	0.14	-33.33	0.21	-26,00	0.42
Return on capital employed	1.23	-20.65	1.55	-59.53	3.83	29,00	-95.76
Return on total assets employed	0.31	-32.61	0.46	-49.45	0.91	-205,00	0.15
Return on net assets employed	2.19	-14.45	2.56	-34.53	3.91	19,00	-88.47
Sales / net working capital	11.68	-3.31	12.08	-40.52	20.31	45,00	-99
Stock turnover ratio	7.84	38.27	5.67	71.30	3.31	112,00	-93.00
Debtor days	93.74	9.82	85.36	24.65	68.48	134,00	-30.04
Creditor days	42.37	28.90	32.87	7.70	30.52	123,00	-65.55
short term stability
Current ratio	1.32	-5.71	1.40	9.38	1.28	7,00	-85.33
Liquidity ratio / acid ratio	1.03	-8.04	1.12	2.75	1.09	4,00	-74.25
Current debt ratio	5.29	34.61	3.93	20.55	3.26	9,00	-41.22
Liquidity ratio reprocessed	-	-	-	-	-	-	-
long term stability
Gearing	299.99	34.38	223.24	46.79	152.08	366,00	-18.04
Equity in percentage	14.13	-21.15	17.92	-23.25	23.35	-3.274,00	0.43
Total debt ratio	6.08	32.75	4.58	39.63	3.28	11,00	-44.73

Industry comparison

Suspension of payments / moratorium history

Amount	-
Details	-

Payment expectations

Payment expectation days	42.37
Day sales outstanding	93.74

Industry comparison

Activity code	46761
Activity description	Wholesale of diamonds and other precious stones
Industry average payment expectation days	167.12
Industry average day sales outstanding	121.56

Industry quartile analysis

Payment expectations
Company result	42.37
Lower	134.36
Median	84.93
Upper	45.17

Day sales outstanding
Company result	93.74
Lower	113.52
Median	61
Upper	28.58

Summary

Group - Number of Companies	0
Linkages - Number of Companies	0
Number of Countries	0

Group Structure

No group structure for this company.

Minority Shareholders

No minority shareholders found

Minority Interests

No minority interests found

NSSO details

Business number	425866919
Name of defendant	DIANCO
Legal form of defendant	Private limited liability company
Date of summons	20/10/2008
Labour court	ANTWERPEN

Current director details

Name	MANOJ KUMAR RASIKLAL MEHTA
Position	Principal Manager
Start Date	26/01/1996
Street	70 JACHTLAAN EDEGEM
Post code	2650
Country	Belgium

Name	BIREN BIPINBHAI JHAVERI
Position	Principal Manager
Start Date	28/11/2013
Street	106 BELGIËLEI ANTWERPEN
Post code	2018
Country	Belgium

Name	SAUMIL MEHTA
Position	Principal Manager
Start Date	01/07/2009
Street	106 BELGIËLEI ANTWERPEN
Post code	2018
Country	Belgium

Name	SAMEEP MEHTA
Position	Principal Manager
Start Date	17/01/2013
Street	48 PASTOOR DE CONINCKLAAN ANTWERPEN
Post code	2610
Country	Belgium

Former director details

Name	PHILIPS BELGIUM NV
Position	Liquidator
Start Date	15/03/2010
End Date	31/12/2011
Street	80 TWEESTATIONSSTRAAT BRUSSEL
Post code	1070
Country	Belgium

DIAMOND INDUSTRY – INDIA

- From time immemorial, India is well known in the world as the birthplace for diamonds.  It is difficult to trace the origin of diamonds but history says that in the remote past, diamonds were mined only in India. Diamond production in India can be traced back to almost 8^th Century B.C.  India, in fact, remained undisputed leader till 18^th Century when Brazilian fields were discovered in 1725 followed by emergence of S. Africa, Russia and Australia.

- The achievement of the Indian diamond industry was possible only due to combination of the manufacturing skills of the Indian workforce and the untiring and unflagging efforts of the Indian diamantaires, supported by progressive Government policies.

- The area of study of family owned diamond businesses derives its importance from the huge conglomerate of family run organizations which operate in the diamond industry since many generations.

- Some of the basic traits of family run business enterprises include spirit of entrepreneurship, mutual trust lowers transaction costs, small, nimble and quick to react, information as a source of advantage and philanthropy.

- Family owned diamond businesses need to improve on many fronts including higher standard of corporate governance, long-term performance – focused strategies, modern management and technology.

- Utmost caution is to be exercised while dealing with some medium and large diamond traders which are usually engaged in fictitious import – export, inter-company transactions, financially assisted by banks. In the process, several public sector banks lost several hundred million rupees. They mostly diverted borrowed money for diamond business into real estate and capital markets.

- Excerpts from Times of India dated 30^th October 2010 is as under –

- Gem & Jewellery Export Promotion Council in its statistical data has shown the export of polished diamonds to have increase by 28 % in February 2013. Compared to $ 1.4 bn worth of polished diamond export in February, 2012, India exported $ 1.84 billion worth of polished diamonds in February 2013. A senior executive of GJEPC said, “Export of cut and polished diamonds started falling month-wise after the imposition of 2 % of import duty on the polished diamonds. But February, 2013 has given a new ray of hope to the industry as the export of polished diamonds has actually increased by 28 %. It means the industry  is on the track of recovery and round tripping of diamonds has stopped completely.” Demand has started coming from the US, the UK, Japan and China. India’s polished diamond export is expected to cross $ 21 bn in 2013-14.

- The banking sector has started exercising restraint while following prudent risk management norms when lending money to gems and jewellery sector. This follows the implementation of Basel III accord – a global voluntary regulatory standard on bank capital adequacy, stress testing and market liquidity.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.62.41
UK Pound	1	Rs.102.54
Euro	1	Rs.85.20

INFORMATION DETAILS

Report Prepared by :

MNL

RATING EXPLANATIONS

RATING		STATUS	PROPOSED CREDIT LINE
>86	Aaa	Possesses an extremely sound financial base with the strongest capability for timely payment of interest and principal sums	Unlimited
71-85	Aa	Possesses adequate working capital. No caution needed for credit transaction. It has above average (strong) capability for payment of interest and principal sums	Large
56-70	A	Financial & operational base are regarded healthy. General unfavourable factors will not cause fatal effect. Satisfactory capability for payment of interest and principal sums	Fairly Large
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory
26-40	B	Capability to overcome financial difficulties seems comparatively below average.	Small
11-25	Ca	Adverse factors are apparent. Repayment of interest and principal sums in default or expected to be in default upon maturity	Limited with full security
<10	C	Absolute credit risk exists. Caution needed to be exercised	Credit not recommended
--	NB	New Business	--

This score serves as a reference to assess SC’s credit risk and to set the amount of credit to be extended. It is calculated from a composite of weighted scores obtained from each of the major sections of this report. The assessed factors and their relative weights (as indicated through %) are as follows:

Financial condition (40%) Ownership background (20%) Payment record (10%)

Credit history (10%) Market trend (10%) Operational size (10%)

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This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.