MIRA INFORM REPORT

Report Date :

01.07.2014

IDENTIFICATION DETAILS

Name :	ASIAN-DIAMONDS BVBA
Registered Office :	Hoveniersstraat 2, 2018 Antwerpen
Country :	Belgium
Financials (as on) :	31.12.2012
Date of Incorporation :	17.02.1992
Com. Reg. No.:	446607992
Legal Form :	Private Limited Company
Line of Business :	Wholesaler of diamonds and other precious stones
No. of Employees	01 (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 :	Slow but Correct
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 – March 31, 2014

Country Name	Previous Rating (31.12.2013)	Current Rating (31.03.2014)
Belgium	A1	A1

Risk Category	ECGC Classification
Insignificant	A1
Low Risk	A2
Moderate Low Risk	B1
Moderate Risk	B2
Moderate High Risk	C1
High Risk	C2
Very High Risk	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 2013 Belgian GDP grew by 0.1%, the unemployment rate increased to 8.8% from 7.6% the previous year, and the government reduced the budget deficit from a peak of 6% of GDP in 2009 to 3.2%. 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 446607992

Company name ASIAN-DIAMONDS BVBA

Address HOVENIERSSTRAAT 2

2018 ANTWERPEN

Number of staff 0

Date of establishment 17/02/1992

Telephone number 032338454

Fax number 032338454

Commentary

The business was established over 22 years ago.
The business has 1 employees.
The business has been at the address for over 11 years.
Pre-tax profits decreased by 30% compared to the previous trading period.

Accounts

DATE OF LATEST ACCOUNTS	TURNOVER	PROFIT BEFORE TAX	NET WORTH	WORKING CAPITAL
31/12/2012	22,298,328	31,359	736,603	1,551,175
31/12/2011	27,602,329	45,178	710,450	1,294,326
31/12/2010	22,674,922	36,772	672,803	1,250,055

Accounts

DATE OF LATEST ACCOUNTS	BALANCE TOTAL	NUMBER OF EMPLOYEES	CAPITAL	CASHFLOW
31/12/2012	6,400,660	1	518,600	44,317
31/12/2011	7,481,973	0	518,600	53,929
31/12/2010	7,836,157	0	518,600	52,710

TRENDS

Profitability
Liquidity
Net worth

Payment expectations

Past payments	----	Payment expectation days	68.75
Industry average payment expectation days	168.35	Industry average day sales outstanding	120.21
Day sales outstanding	79.12

Court data summary

BANKRUPTCY DETAILS
Court action type	no

Company information

Business number	446607992	Company name	ASIAN-DIAMONDS BVBA
Fax number	032338454	Date founded	17/02/1992
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	Wholesaler of diamonds and other precious stones	VAT Number	BE.0446.607.992
Belgian Bullettin of Acts Publications	moniteur belge

COMPANY ACCOUNTS

Comparison Mode

· Average Median Export accounts to CSV File

Annual accounts	31-12-2012	%	31-12-2011	%	31-12-2010	Industry average 2012	%
Weeks	52		52		52
Currency	EUR		EUR		EUR
Turnover	22,298,328	-19.22	27,602,329	21.73	22,674,922	46,788,819	-52.34
Total operating expenses	22,118,513	-19.30	27,409,686	21.70	22,522,140	46,394,806	-52.33
Operating result	179,814	-6.66	192,643	26.09	152,782	148,098	21.42
Total financial income	576	-42.76	1,007	371	214	98,058	-99
Total financial expenses	149,031	0.38	148,472	27.75	116,224	204,982	-27.30
Results on ordinary operations before taxation	31,359	-30.59	45,178	22.86	36,772	32,874	-4.61
Taxation	9,499	26.15	7,530	-	-	20,907	-54.57
Results on ordinary operations after taxation	21,860	-41.93	37,648	2.38	36,772	17,996	21.47
Extraordinary items	4,293	-	0	-100	4,639	-4,526	94.84
Other appropriations	0.00	-	0.00	-	0.00	-	-
Net result	26,153	-30.53	37,648	-9.09	41,411	13,489	93.88
OTHER INFORMATION
Dividends	-	-	-	-	-	172,177	-
Director remuneration	66,855	2.42	65,275	6.98	61,016	114,302	-41.51
Employee costs	-	-	-	-	469	126,363	-
Wages and salary	-	-	-	-	-	105,854	-
Employee pension costs	-	-	-	-	-	14,428	-
Social security contributions	-	-	-	-	-	26,598	-
Other employee costs	0	-	0	-100	469	4,380	-100
Amortization and depreciation	18,163	11.56	16,282	44.10	11,299	17,934	1.28

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	0	-	0	-	0	1,561	-100
Tangible fixed assets	366,322	67.99	218,059	-6.95	234,341	185,388	97.60
Land & building	330,126	92.31	171,661	-2.00	175,156	362,952	-9.04
Plant & machinery	11,165	-5.55	11,820	21.51	15,061	22,760	50.94
Furniture & Vehicles	25,031	27.61	34,578	21.64	44,124	17,415 5,433	43.73
Leasing & Other Similar Rights	-	-	-	-	-	142,153 32,369	-
Other tangible assets	0	-	0	-	0	7,664	-100
Financial fixed assets	1,684	146	684	0	684	309,151	-99
Total fixed assets	368,006	68.24	218,743	-6.93	235,025	398,254	-7.60
Inventories	1,176,077	28.93	912,174	48.07	1,756,394	3,108,260	62.16
Raw materials & consumables	-	-	-	-	-	7,209,884	-
Work in progress	0	-	0	-	0	2,411	-100
Finished goods	1,176,077	28.93	912,174	48.07	1,756,394	1,992,265	40.97
Other stocks	0	-	0	-	0	574,368	-100
Trade debtors	4,833,519	23.71	6,335,546	8.68	5,829,593	4,189,589	15.37
Cash	5,321	-3.99	5,543	120	2,510	226,840	97.65
other amounts receivable	13,189	144	5,395	28.05	7,498	186,814	92.94
Miscellaneous current assets	4,547	-0.55	4,572	11.00	5,137	18,076	74.85
Total current assets	6,032,654	16.94	7,263,230	-4.45	7,601,132	7,252,094	16.82
Total Assets	6,400,660	14.45	7,481,973	-4.52	7,836,157	7,617,297 1,454,678	15.97
CURRENT LIABILITIES
Trade creditors	4,165,925	20.93	5,268,591	-5.17	5,555,935	3,057,888	36.24
Short term group loans	-	-	-	-	-	-	-
Financial debts	271,203	59.44	668,572	-3.61	693,625	4,287,536 192,320	93.67
Current portion of long term debt	26,369	39.51	18,901	4.41	18,102	107,941 15,359	75.57
Amounts Payable for Taxes, Remuneration & Social Security	17,876	54.68	11,557	12.28	13,175	9,445 -	47.44
Miscellaneous current liabilities	106	91.74	1,283	98.17	70,242	-99	- -
Total current liabilities	4,481,479	24.92	5,968,903	-6.02	6,351,078	5,370,007	16.55
LONG TERM DEBTS AND LIABILITIES
Long term group loans	-	-	-	-	-	-	- -
Other long term loans	1,182,577	47.34	802,619	-1.19	812,277	7.22	- -
Deffered taxes	-	-	-	-	-	37,626 26,358	-
Provisions for Liabilities & Charges	0	-	0	-	0	3,200 0	-100
Other long term liabilities	0	-	0	-	0	129,533	-100
Total long term debts	1,182,577	47.34	802,619	-1.19	812,277	562,172	110
SHAREHOLDERS EQUITY
Issued share capital	518,600	0	518,600	0	518,600	948,360	45.32
Share premium account	-	-	-	-	-	109,362	-
Reserves	218,003	13.63	191,850	24.41	154,203	693,149	68.55
Revaluation reserve	-	-	-	-	-	939,206	-
Total shareholders equity	736,603	3.68	710,450	5.60	672,803	1,671,347	55.93
Working capital	1,551,175	19.84	1,294,326	3.54	1,250,055	1,882,087	17.58
Cashflow	44,317	17.82	53,929	2.31	52,710	28,291	56.65
Net worth	736,603	3.68	710,450	5.60	672,803	1,668,090	55.84

Ratio analysis

Annual accounts	31-12-2012	change(%)	31-12-2011	change(%)	31-12-2010	Industry average 2012	%
TRADING PERFORMANCE
Profit Before Tax	0.14	-12.50	0.16	0	0.16	-26,00	0.54
Return on capital employed	1.63	-45.48	2.99	20.56	2.48	29,00	-94.38
Return on total assets employed	0.49	-18.33	0.60	27.66	0.47	-202,00	0.24
Return on net assets employed	4.26	-33.02	6.36	16.27	5.47	19,00	-77.58
Sales / net working capital	14.38	-32.58	21.33	17.59	18.14	45,00	-99
Stock turnover ratio	5.27	59.70	3.30	-57.42	7.75	111,00	-95.25
Debtor days	79.12	-5.56	83.78	-10.72	93.84	133,00	-40.51
Creditor days	68.75	-2.01	70.16	-22.08	90.04	122,00	-43.65
SHORT TERM STABILITY
Current ratio	1.35	10.66	1.22	1.67	1.20	7,00	-85.00
Liquidity ratio / acid ratio	1.08	1.89	1.06	15.22	0.92	4,00	-73.00
Current debt ratio	6.08	-27.62	8.40	-11.02	9.44	9,00	-32.44
Liquidity ratio reprocessed	-	-	-	-	-	-	-
LONG TERM STABILITY
Gearing	200.94	-4.20	209.74	-7.41	226.52	361,00	-44.34
Equity in percentage	11.51	21.16	9.50	10.59	8.59	-3.228,00	0.36
Total debt ratio	7.69	-19.31	9.53	-10.52	10.65	10,00	-23.10

Industry comparison

Activity code	46761
Activity description	Wholesaler of diamonds and other precious stones

Payment Information

Payment expectations
Payment expectation days	68.75
Day sales outstanding	79.12

Industry comparison
Activity code	46761
Activity description	Wholesaler of diamonds and other precious stones
Industry average payment expectation days	168.35
Industry average day sales outstanding	120.21

Industry quartile analysis
Payment expectations
Company result	68.75
Lower	134.36
Median	84.62
Upper	45.29
Day sales outstanding
Company result	79.12
Lower	112.48
Median	58.56
Upper	28.58

Group Structure

No group structure for this company.

Minority Shareholders

No minority shareholders found

Minority Interests

No minority interests found

Court data

NSSO details
Business number	446607992

Bankruptcy details

There is no bankruptcy data against this company

Bankruptcy Data

Court Data

there is no data for this company

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.60.09
UK Pound	1	Rs.102.33
Euro	1	Rs.82.01

INFORMATION DETAILS

Analysis Done by :	DIV
Report Prepared by :	NIS

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.