MIRA INFORM REPORT

Report Date :

18.10.2014

IDENTIFICATION DETAILS

Name :	MALOUS DIAMONDS BVBA

Registered Office :	Hoveniersstraat 2, 2018 Antwerpen

Country :	Belgium

Financials (as on) :	30.09.2013

Date of Incorporation :	18.01.1996

Com. Reg. No.:	457087061

Legal Form :	Private Limited Company (BL/LX)

Line of Business :	Wholesale of diamonds and other precious stones

No of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

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 – June 1, 2014

Country Name

Previous Rating

(31.03.2014)

Current Rating

(01.06.2014)

Belgium

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 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 summary

Business number	457087061
Company name	MALOUS DIAMONDS BVBA
Address	HOVENIERSSTRAAT 2 2018 ANTWERPEN
Number of staff	0
Date of establishment	18/01/1 996
Telephone number	032260294
Fax number	032251618

Commentary

The business was established over 18 years ago.

The business has 0 employees.

The business has been at the address for over 18 years.

Operating Result in the latest trading period increased 92% on the previous trading period.

Pre-tax profits decreased by 93% compared to the previous trading period.

The business saw an increase in their Cash Balance of 346% during the latest trading period.

Accounts

DATE OF LATEST ACCOUNTS	TURNOVER	PROFIT BEFORE TAX	NET WORTH	WORKING CAPITAL
30/09/2013		3,091	1,263,850	1,341,568
30/09/2012		44,421	1,261,177	1,338,724
30/09/2011		67,636	1,228,796	1,311,021

Accounts

DATE OF LATEST ACCOUNTS	BALANCE TOTAL	NUMBER OF EMPLOYEES	CAPITAL	CASHFLOW
30/09/2013	2,508,701	0	6,205	12,599
30/09/2012	2,271,997	0	6,205	42,296
30/09/2011	3,207,376	0	6,205	63,186

Payment expectations

Past payments

Payment expectation days

Industry average payment expectation days

125.12

Industry average day sales outstanding

142.36

Day sales outstanding

Court data summary
BANKRUPTCY DETAILS
Court action type	No
PROTESTED BILLS
Bill amount	-
NSSO DETAILS
Date of summons -	-

Social Balance Sheet Details

Social Balance Sheet	Total
During the reporting year
ended 30-09-2013
Full-time Employees -
Part-time Employees	2
Total Fte Employees	1

Number of hours worked
Full-time Employees -
Part-time Employees	853
Total	853

Personnel Charges
Full-time Employees -
Part-time Employees	26,232
Total	26,232
Benefits In Addition To Wages -

During the previous reporting year
Average number employees in Fte	1
Actual working hours	936
Personnel Charges	28,823
Benefits In Addition To Wages	-

Type of Contract	Full-Time	Part-Time	Total Fte
Unlimited Duration Contracts	-	2	1

Gender and Education Level

Women	Full-Time	Part-Time	Total Fte
Primary education	-	2	1

Working Category	Full-Time	Part-Time	Total Fte
White collar worker	-	2	1

Profit & loss

Annual accounts	30-09-2013	%	30-09-2012	%	30-09-2011	Industry average 2013	%
Weeks	52		52		52
Currency	EUR		EUR		EUR
Turnover	-	-	-	-	-	59,370,600	-
Total operating expenses	-	-	-	-	-	58,883,130	-
Operating result	97,887	92.16	50,939	-68.54	161,908	1 56,526	-37.46
Total financial income	294,858	-58.01	702,200	1317595	53	62,455	372
Total financial expenses	389,653	-45.02	708,719	651	94,326	181,319	114
Results on ordinary operations before taxation	3,091	-93.04	44,421	-34.32	67,636	37,961	-91.86
Taxation	418	-96.53	12,039	-47.21	22,807	21,933	-98.09
Results on ordinary operations after taxation	2,673	-91.74	32,382	-27.77	44,828	21,877	-87.78
Extraordinary items	0	-	0	-100	8,733	6,727	-100
Other appropriations	0.00	-	0.00	-	0.00	-	-
Net result	2,673	-91.74	32,382	-39.54	53,562	28,746	-90.70
OTHER INFORMATION
Gross Operating Margin	142,466	51.83	93,830	-54.91	208,091	33,424	326
Dividends	-	-	-	-	-	231,279	-
Director remuneration	-	-	-	-	-	125,568	-
Employee costs	26,232	-8.99	28,823	3.24	27,919	143,780	-81.76
Wages and salary	15,110	1.72	14,854	22.73	12,104	11 3,720	-86.71
Employee pension costs	-	-	-	-	-	23,129	-
Social security contributions	3,845	8.28	3,551	6.54	3,333	27,897	-86.22
Other employee costs	7,277	-30.15	1 0,418	-16.54	12,483	3,671	98.22
Amortization and depreciation	9,926	0.11	9,915	3.02	9,624	18,045	-44.99

balance sheet

Annual accounts	30-09-2013	%		30-09-2012		%		30-09-2011		Industry average 2013		%
Weeks	52			52				52
Currency	EUR			EUR				EUR
Intangible fixed assets	0	-		0		-		0		1,336		-100
Tangible fixed assets	101,602	-7.75		110,142		-5.58		116,649		191,777		-47.02
Land & building	97,313	-6.89		104,509		-6.64		111,944		380,729		-74.44
Plant & machinery	4,222	-20.91		5,338		31.21		4,068		27,253		-84.51
Furniture & Vehicles	67	-77.28		294		-53.75		636		15,470 4,430		-99
Leasing & Other Similar Rights	-	-		-		-		-		68,636 20,725		-
Other tangible assets	0	-		0		-		0		9,406		-100
Financial fixed assets	681	0.35		678		4.74		647		226,079		-99
Total fixed assets	1 02,283	-7.70		110,820		-5.52		117,296		331,930		-69.19
Inventories	885,033	14.42		773,521		-23.18		1,006,936		3,046,202		-70.95
Raw materials & consumables	-	-		-		-		-		7,018,384		-
Work in progress	0	-		0		-		0		1,191		-100
Finished goods	0	-		0		-		0		2,052,814		-100
Other stocks	885,033	14.42		773,521		-23.18		1,006,936		436,239		102
Trade debtors	1,281,874	-3.36		1,326,475		-31.53		1,937,174		4,274,877		-70.01
Cash	229,983	346		51,524		-61.44		133,629		484,495,203		-99
other amounts receivable	6,456	-1.61		6,561		-29.46		9,301		222,433		-97.10
Miscellaneous current assets	3,072	-0.75		3,096		1.85		3,039		-476,594,383		0.00
Total current assets	2,406,418	11.35		2,161,177		-30.06		3,090,079		7,263,696		-66.87
Total Assets	2,508,701	1 0.42		2,271,997		-29.16		3,207,376		7,559,160 1,239,862		-66.81
CURRENT LIABILITIES
Trade creditors	475,388		-2.60		488,087		-55.37		1,093,582		2,966,573		-83.98
Short term group loans	-		-		-		-		-		-		-
Financial debts	573,229		84.23		311,153		-52.99		661,920		4,549,768 126,094		-87.40
Current portion of long term debt	8,367		-25.00		11,155		0		11,155		77,682 13,763		-89.23
Amounts Payable for Taxes, Remuneration & Social Security	4,541		-30.65		6,548		-7.79		7,100		8,066 -		-84.76
Miscellaneous current liabilities	3,325		-39.64		5,510		3.96		5,300		-98.64		- -
Total current liabilities	1,064,850		29.47		822,453		-53.77		1,779,058		5,193,727		-79.50
LONG TERM DEBTS AND LIABILITIES
Long term group loans	-		-		-		-		-		-		- -
Other long term loans	180,000		-4.44		188,367		-5.59		199,522		-84.55		- -
Deffered taxes	-		-		-		-		-		46,266 28,377		-
Provisions for Liabilities & Charges	0		-		0		-		0		4,512 0		-100
Other long term liabilities	0		-		0		-		0		238,935		-100
Total long term debts	180,000		-4.44		188,367		-5.59		199,522		675,775		-73.36
SHAREHOLDERS EQUITY
Issued share capital	6,205		0		6,205		0		6,205		994,237		-99
Share premium account	-		-		-		-		-		103,298		-
Reserves	1,257,645		0.21		1,254,972		2.65		1,222,590		667,373		88.45
Revaluation reserve	-		-		-		-		-		899,530		-
Total shareholders equity	1,263,850		0.21		1,261,177		2.64		1,228,796		1,682,756		-24.89
Working capital	1,341,568		0.21		1,338,724		2.11		1,311,021		2,069,969		-35.19
Cashflow	12,599		-70.21		42,296		-33.06		63,186		43,406		-70.97
Net worth	1,263,850		0.21		1,261,177		2.64		1,228,796		1,681,420		-24.83

ratio analysis

Annual accounts	30-09-2013	change(%)	30-09-2012	change(%)	30-09-2011	Industry average 2013	%
TRADING PERFORMANCE
Profit Before Tax	-	-	-	-	-	-8,00	-
Return on capital employed	0.21	-93.14	3.06	-35.44	4.74	-8,00	2.62
Return on total assets employed	0.12	-93.88	1.96	-7.11	2.11	-8,00	1.50
Return on net assets employed	0.24	-93.18	3.52	-36.00	5.50	-8,00	3.00
Sales / net working capital	-	-	-	-	-	143,00	-
Stock turnover ratio	-	-	-	-	-	77,00	-
Debtor days	-	-	-	-	-	142,36	-
Creditor days SHORT TERM STABILITY						125,12
Current ratio	2.26	-14.07	2.63	51.15	1.74	4,00	-77.40
Liquidity ratio / acid ratio	1.43	-15.38	1.69	44.44	1.17	3,00	-52.33
Current debt ratio	0.84	29.23	0.65	-55.17	1.45	10,00	-91.60
Liquidity ratio reprocessed	-	-	-	-	-	-	-
LONG TERM STABILITY
Gearing	60.26	48.83	40.49	-42.98	71.01	234,00	-74.25
Equity in percentage	50.38	-9.24	55.51	44.90	38.31	-223,00	22.59
Total debt ratio	0.98	22.50	0.80	-50.31	1.61	11,00	-91.09

Industry comparison
Activity code	46761
Activity description	Wholesale of diamonds and other precious stones
industry average credit rating	64.48
Industry average credit limit	140177.31

Payment Information
Suspension of payments / moratorium history
Amount	-
Details
Payment expectations
Payment expectation days	-
Day sales outstanding

Industry comparison
Activity code	46761
Activity description	Wholesale of diamonds and other precious stones
Industry average payment	125.12
expectation days
Industry average day sales outstanding	142.36

Industry quartile analysis
Payment expectations
Company result	-
Lower	123.48
Median	76.66
Upper	48.07

Day sales outstanding
Company result	-
Lower	101.92
Median	54.08
Upper	24.84

Shareholder Details

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

Linked Companies

Summary

Group - Number of Companies 0

Linkages - Number of Companies 0

Number of Countries 0

Summons

There is no data for this company

Protested Bills

There is no data for this company

Bankruptcy and other legal events

There is no data for this company

Current director details

Name	ARMAND MALOUS
Position	Principal Manager
Start Date	23/03/2010
Street	5 PRINS ALBERTLEI ANTWERPEN
Post code	2600
Country	Belgium

Former director details

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.61.62
UK Pound	1	Rs.99.12
Euro	1	Rs.78.89

INFORMATION DETAILS

Analysis Done by :	DIV

Report Prepared by :	SMN

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%)

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

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

MIRA INFORM REPORT

Company summary

Commentary

Accounts

Accounts

Payment expectations

Court data summary

Company information

Social Balance Sheet Details

Profit & loss

balance sheet

ratio analysis

Industry comparison

Payment Information

Shareholder Details

Linked Companies

Current director details

Unit