MIRA INFORM REPORT

Report Date :

11.09.2014

IDENTIFICATION DETAILS

Name :	SHERUL DIAM BVBA

Registered Office :	Belgielei 25, 2018 Antwerpen

Country :	Belgium

Financials (as on) :	30.06.2013

Date of Incorporation :	10.03.1997

Com. Reg. No.:	460208580

Legal Form :	Private Limited Company

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
26-40	B	Capability to overcome financial difficulties seems comparatively below average.	Small

Status :	Moderate
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 01, 2014

Country Name

Previous Rating

(31.03.2014)

Current Rating

(01.06.2014)

Belgium

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 Summary

Business number	460208580
Company name	SHERULDIAM BVBA
Address	BELGIELEI 25
	2018 ANTWERPEN
Number of staff	0
Date of establishment	10/03/1997
Telephone number	032397898
Fax number	032271316

Commentary

The business was established over 17 years ago.

No employees are recorded for this business.

The business has been at the address for over 23 months.

There has been no significant change in the business's credit rating.

Operating Result in the latest trading period increased 122% on the previous trading period.

Pre-tax profits increased by 216% compared to the previous trading period.

The business saw an increase in their Cash Balance of 354% during the latest trading period.

ACCOUNTS

date of latest accounts	turnover	profit before tax	net worth	working capital
31/12/2012	882,330,871	-54,839,353	77,605,662	2,908,682
31/12/2011	724,050,707	604,762	102,342,866	117,883,760
31/12/2010	826,021,237	985,207	131,910,265	702,446,224

ACCOUNTS

date of latest accounts	balance total	number of employees	capital	cash flow
31/12/2012	657,089,429	9	65,178,173	-54,757,447
31/12/2011	543,372,695	8	50,376,210	432,074
31/12/2010	642,384,303	9	65,178,173	643,858

Payment Expectations
Past payments		Payment expectation days	363.50
Industry average payment expectation days	127.79	Industry average day sales outstanding	143.70
Day sales outstanding	199.58
COURT DATA SUMMARY
BANKRUPTCY DETAILS
Court action type	No

Company Accounts

PROFIT & LOSS

Annual accounts	30-06-2013	%	30-06-2012	%	30-06-2011	Industry average 2013	%
Weeks	52		52		52
Currency	EUR		EUR		EUR
Turnover	1,331,841	-19.69	1,658,335	159	637,963	48,656,877	-97.26
Total operating expenses	1,323,258	-20.02	1,654,479	157	641,937	48,214,805	-97.26
Operating result	8,582	122	3,856	97.03	-3,974	140,613	-93.90
Total financial income	-	-	-	-	-	65,089	-
Total financial expenses	2,888	40.51	2,055	-32.05	3,025	154,521	-98.13
Results on ordinary operations before taxation	5,694	216	1,800	25.73	-6,998	45,319	-87.43
Taxation	-	-	-	-	-	19,110	-
Results on ordinary operations after taxation	5,694	216	1,800	25.73	-6,998	31,451	-81.89
Extraordinary items	0	-	0	-	0	2,537	-100
Other appropriations	0.00	-	0.00	-	0.00	-	-
Net result	5,694	216	1,800	25.73	-6,998	34,292	-83.39
Gross Operating Margin	10,268	43.39	7,161	158	2,772	43,471	-76.38
Dividends	-	-	-	-	-	207,593	-
Director remuneration	-	-	-	-	-	137,702	-
Employee costs	-	-	-	-	-	144,164	-
Wages and salary	-	-	-	-	-	127,968	-
Employee pension costs	-	-	-	-	-	1,459	-
Social security contributions	-	-	-	-	-	31,664	-
Other employee costs	0	-	0	-	0	2,979	-100
Amortization and depreciation	-	-	-	-	-	17,842	-

BALANCE SHEET

Annual accounts	30-06-2013	%	30-06-2012	%	30-06-2011	Industry average 2013	%
Weeks	52		52		52
Currency	EUR		EUR		EUR
Intangible fixed assets	0	-	0	-	0	1,321	-100
Tangible fixed assets	-	-	-	-	-	187,614	-
Land & building	-	-	-	-	-	370,773	-
Plant & machinery	-	-	-	-	-	29,569	-
Furniture & Vehicles	-	-	-	-	-	15,540 4,171	-
Leasing & Other Similar Rights	-	-	-	-	-	42,007 20,215
Other tangible assets	0	-	0	-	0	10,901	-100
Financial fixed assets	-	-	-	-	-	40,090	-
Total fixed assets	-	-	-	-	-	200,680	-
Inventories	1,479,168	12.48	1,315,101	65.65	793,890	2,561,910	-42.26
Raw materials & consumables	-	-	-	-	-	113,995	-
Work in progress	0	-	0	-	0	1,866	-100
Finished goods	0	-	0	-	0	1,638,767	-100
Other stocks	1,479,168	12.48	1,315,101	65.65	793,890	454,037	225
Trade debtors	728,255	-14.64	853,116	75.92	484,953	4,072,825	-82.12
Cash	81,022	354	17,828	132	7,680	760,230,007	-99
other amounts receivable	522	113	245	-86.57	1,826	151,616	-99
Miscellaneous current assets	1,116	0	1,116	0	1,116	-746,530,701	0.00
Total current assets	2,290,083	4.69	2,187,405	69.64	1,289,465	6,563,221	-65.11
Total Assets	2,290,083	4.69	2,187,405	69.64	1,289,465	6,747,073 1,081,607	-66.06

CURRENT LIABILITIES

Trade creditors	1,317,805	8.47	1,214,917	241	355,408	2,746,173	-52.01
Short term group loans - - - - -
Financial debts	261	86.71	140	-	-	3,899,457 115,825	-99
Current portion of long term debt	-	-	-	-	-	104,458 13,701	-
Amounts Payable for Taxes, Remuneration & Social Security	750	0	750	0	750	7,759 -	-97.49
Miscellaneous current liabilities	903,872	-0.66	909,898	4.18	873,406	303	--
Total current liabilities	2,222,688	4.56	2,125,705	72.88	1,229,565	4,672,370	-52.43
LONG TERM DEBTS AND LIABILITIES
Long term group loans	-	-	-	-	-	-	--
Other long term loans - - - - -
Deffered taxes	-	-	-	-	-	47,059 41,554	-
Provisions for Liabilities & Charges	0	-	0	-	0	5,074 0	-100
Other long term liabilities	0	-	0	-	0	100,319	-100
Total long term debts	0	-	0	-	0	608,980	-100
SHAREHOLDERS EQUITY
Issued share capital	18,592	0	18,592	0	18,592	917,833	-97.97
Share premium account	-	-	-	-	-	90,761	-
Reserves	48,803	13.21	43,109	4.36	41,308	508,043	-90.39
Revaluation reserve	-	-	-	-	-	1,100,228	-
Total shareholders equity	67,395	9.23	61,701	3.01	59,900	1,453,781	-95.36
Working capital	67,395	9.23	61,701	3.01	59,900	1,890,851	-96.44
Cashflow	5,694	216	1,800	25.73	-6,998	48,882	-88.35
Net worth	67,395	9.23	61,701	3.01	59,900	1,452,460	-95.36

RATIO ANALYSIS

Annual accounts	30-06-2013	change(%)	30-06-2012	change(%)	30-06-2011	Industry average 2013	%
TRADING PERFORMANCE
Profit Before Tax	0.43	290	0.11	10.0	-1.10	-5,00	8.60
Return on capital employed	8.45	189	2.92	25.00	-11.68	8,00	5.62
Return on total assets employed	0.25	212	0.08	14.81	-0.54	-2,00	12.50
Return on net assets employed	8.45	189	2.92	25.00	-11.68	4,00	111
Sales / net working capital	19.76	-26.49	26.88	152	10.65	212,00	-99
Stock turnover ratio	111.06	40.05	79.30	-36.27	124.44	55,00	101
Debtor days	199.58	6.29	187.77	-32.33	277.46	143,70	38.89
Creditor days	363.50	35.62	268.03	32.64	202.08	127,79	184
SHORT TERM STABILITY
Current ratio	1.03	0	1.03	-1.90	1.05	4,00	-93.13
Liquidity ratio / acid ratio	0.36	-12.20	0.41	2.50	0.40	3,00	-88.00
Current debt ratio	32.98	-4.27	34.45	67.80	20.53	15,00	119
Liquidity ratio reprocessed	-	-	-	-	-	-	-
LONG TERM STABILITY
Gearing	0.39	69.57	0.23	-	-	253,00	-99
Equity in percentage	2.94	4.26	2.82	-39.35	4.65	-312,00	0.94
Total debt ratio	32.98	-4.27	34.45	67.80	20.53	17,00	94.00

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

Payment expectations
Payment expectation days	363.50
Day sales outstanding	199.58
Industry comparison
Activity code	46761
Activity description	Wholesale of diamonds and other precious stones
Industry average payment expectation days	127.79
Industry average day sales outstanding	143.70

Industry quartile analysis
Payment expectations
Company result	363.50
Lower	127.33
Median	76.66
Upper	46.44

Day sales outstanding
Company result	199.58
Lower	105.23
Median	55.21
Upper	25.71

GROUP STRUCTURE

No group structure for this company.

MINORITY SHAREHOLDERS

No minority shareholder found

MINORITY INTEREST

No minority interest found

BANKRUPTCY DETAILS

There is no bankruptcy data against this company

Director details

CURRENT DIRECTOR DETAILS

Position Principal Manager

Start Date 09/03/2011

Street 35 BELGIËLEI ANTWERPEN

Post code 2018

Country Belgium

Name GIRISH SHANTILAL MEHTA

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.60.83
UK Pound	1	Rs.98.15
Euro	1	Rs.78.65

INFORMATION DETAILS

Analysis Done by :	DIV

Report Prepared by :	TPT

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.

Business number	460208580	Company name	SHERULDIAM BVBA
Fax number	032271316	Date founded	10/03/1997
Company status	active	Company type	Private Limited Company
			(BL/LX)
Currency	Euro (€)	Date of latest accounts	30/06/2013
Activity code	46761	Liable for VAT	Yes
Activity description	Wholesale of diamonds and other precious stones	VAT Number	BE.0460.208.580 Check
Belgian Bullettin of Acts	moniteur beige
Publications