MIRA INFORM REPORT

Report No. :	347959
Report Date :	01.12.2015

IDENTIFICATION DETAILS

Name :	GEM DIAMONDS MARKETING SERVICES BVBA

Registered Office :	Hoveniersstraat 50/52, 2018 Antwerpen

Country :	Belgium

Financials (as on) :	31.12.2014

Date of Incorporation :	29.12.2005

Com. Reg. No.:	878452091

Legal Form :	Private Limited Liability

Line of Business :	Wholesale of diamonds and other precious stones

No. of Employee :	6

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 :	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 – March 31, 2015

Country Name

Previous Rating

(31.12.2014)

Current Rating

(31.03.2015)

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 shifts in foreign demand, particularly in Belgium’s EU trade partners. Roughly three-quarters of Belgium's trade is with other EU countries. In 2014 Belgian GDP grew by 0.9%, the unemployment rate stabilized at 8.5%, and the budget deficit was 3.2% of GDP. Prime Minister Charles MICHEL's center-right government has pledged to further reduce the deficit in response to EU pressure to reduce Belgium's high public debt, which remains above 100% of GDP, but such efforts could also dampen economic growth. In addition to restrained public spending, low wage growth and high unemployment promise to curtail a more robust recovery in private consumption. The government has pledged to pursue a reform program to improve Belgium’s competitiveness, including changes to tax policy, labor market rules, and welfare benefits. These changes risk worsening tensions with trade unions and triggering extended strikes.

Source : CIA

Company name

GEM DIAMONDS MARKETING SERVICES BVBA

Company summary

Business number	878452091
Branche Unit Number	2151134752
Company name	GEM DIAMONDS MARKETING SERVICES BVBA
Address	HOVENIERSSTRAAT 50/52
	2018 ANTWERPEN
Number of staff	6
Date of establishment	29/12/2005
Telephone number	032333820
Fax number	032034081

Ultimate holding company
Company name	Company Number
KIMBERLY DIAMOND COMPANY NL	-

Commentary

The business was established over 9 years ago. The business has 6 employees.

The business is part of a group.

This business has a foreign parent business. The business has been at the address for over 2 years. Operating Result in the latest trading period increased 317% on the previous trading period. Net Worth increased by 46% during the latest trading period.

A 240% growth in Total Assets occurred during the latest trading period. Pre-tax profits increased by 324% compared to the previous trading period. The business saw an increase in their Cash Balance of 334% during the latest trading period. Turnover in the latest trading period increased 45% on the previous trading period.

Accounts

DATE OF LATEST ACCOUNTS	TURNOVER	PROFIT BEFORE TAX	NET WORTH	WORKING CAPITAL
31/12/2014	222,359,059	940,321	2,433,161	1,260,993
31/12/2013	153,219,640	221,531	1,663,395	290,651
31/12/2012	151,296,090	501,140	1,582,067	51,677
Accounts
DATE OF LATEST ACCOUNTS	BALANCE TOTAL	NUMBER OF EMPLOYEES	CAPITAL	CASHFLOW
31/12/2014	20,735,496	6	326,986	1,014,789
31/12/2013	6,088,030	4	287,879	482,545
31/12/2012	10,385,833	3	300,901	500,064

Payment expectations

Past payments		Payment expectation days	0.25
Industry average payment	192.73	Industry average day sales	194.48
expectation days		outstanding
Day sales outstanding	-

Court data summary

BANKRUPTCY DETAILS

Court action type no

PROTESTED BILLS

Bill amount -

NSSO DETAILS

Date of summons -

Contractor details

Registered contractor	-
number
Contractor description	-
Date struck off register
Personnel (NSSO classification)
Code	-
Description	-
Joint Industrial Committee (JIC)
Significant Events
Event Date	29/12/2005
Event Description	Legal creation
Event Details

Company accounts

Assets
Annual accounts	31-12-2014	%	31-12-2013	%	31-12-2012	%	31-12-2011	%	30-06-2010
Weeks	52		52		52		78		52
Currency	EUR		EUR		EUR		EUR		EUR
Total fixed assets	1,251,772	-8.84	1,373,131	-10.32	1,531,200	580	225,140	634	30,653
Intangible fixed assets	79,604	20416	388	-52.04	809	-	0	-100	654
Tangible fixed assets	1,136,288	-15.00	1,336,775	-12.11	1,520,884	605	215,668	946	20,599
Land & building	0	-	0	-	0	-	0	-	0
Plant & machinery	21,019	-30.30	30,156	-39.23	49,621	-76.99	215,668	1607	12,629
Furniture & Vehicles	0	-	0	-	0	-	0	-100	332
Leasing & Other Similar Rights	0	-	0	-	0	-	0	-100	578
Other tangible assets	1,115,269	-14.64	1,306,619	-11.19	1,471,263	-	0	-100	7,061
Financial fixed assets	35,879	-0.25	35,968	278	9,506	0.37	9,471	0.76	9,400
Total current assets	19,483,724	313	4,714,899	-46.75	8,854,633	211	2,840,475	339	645,729
Inventories	12,536,341	470	2,195,844	-72.24	7,910,633	717	967,611	-	0
Raw materials & consumables	0	-	0	-	0	-	0	-	0
Work in progress	0	-	0	0		-	0	-	0
Finished goods	12,536,341	470	2,195,844	-72.24	7,910,633	717	967,611	-	0
Other stocks	0	-	0	0		-	0	-	0
Trade debtors	0	-100	727,360	14464	4,994	-	0	-100	4,424
Other amounts receivable	520,351	85.89	279,921	155	109,632	68.73	64,975	2718	2,306
Cash	6,348,124	334	1,460,524	87.10	780,621	-56.68	1,801,804	182	638,453
Miscellaneous current assets	78,908	53.97	51,250	5.12	48,753	701	6,085	1014	546
Total Assets	20,735,496	240	6,088,030	-41.38	10,385,833	238	3,065,615	353	676,382

Liabilities
Total shareholders equity	2,512,765	51.03	1,663,783	5.11	1,582,876	24.66	1,269,719	206	413,657
Issued share capital	326,986	13.58	287,879	-4.33	300,901	-1.94	306,857	2.29	300,000
Share premium account	0	-	0	-	0	-	0	-	0
Revaluation reserve	0	-	0	-	0	-	0	-	0
Reserves	2,185,779	58.86	1,375,904	7.33	1,281,975	33.14	962,862	747	113,657
Provisions for Liabilities & Charges	0	-	0	-	0	-	0	-	0
Deffered taxes	0	-	0	-	0	-	0	-	0
Creditors	18,222,731	311	4,424,248	-49.74	8,802,956	390	1,795,897	583	262,724
Other long term loans	0	-	0	-	0	-	0	-	0
Long term group loans	-	-	-	-	-	-	-	-	-
Other long term liabilities	0	0	-1	-200	1	100	-1	-	0
Total long term debts	0	0	-1	-200	1	100	-1	-	0
Current portion of long term debt	0	-	0	-	0	-	0	-100	510
Financial debts	997	-	0	-	0	-100	86	-	0
Trade creditors	151,666	97.85	76,656	-82.35	434,306	540	67,845	1127	5,525
Amounts Payable for Taxes,	476,080	263	130,873	222	40,626	-91.56	481,631	614	67,406
Remuneration & Social Security
Miscellaneous current liabilities	17,593,988	317	4,216,719	-49.37	8,328,024	568	1,246,335	558	189,284
Total current liabilities	18,222,731	311	4,424,248	-49.74	8,802,956	390	1,795,897	583	262,724
Total Liabilities	20,735,496	240	6,088,030	-41.38	10,385,833	238	3,065,615	353	676,382

ratio analysis
TRADING PERFORMANCE
Profit Before Tax	0.42	200	0.14	-57.58	0.33	-25.00		0.44	-	-
Return on capital employed	37.42	181	13.31	-57.96	31.66	-68.90		101.81	156	39.70
Return on total assets employed	4.53	24.45	3.64	-24.64	4.83	-88.55		42.17	73.68	24.28
Return on net assets employed	37.42	181	13.31	-57.96	31.66	-68.90		101.81	156	39.70
Sales / net working capital	176.34	-66.55	527.16	-81.99	2,927.73	938		281.92	-	-
Stock turnover ratio	5.64	294	1.43	-72.66	5.23	1484	0.33	-	-
Creditor days	0.25	38.89	0.18	-82.86	1.05	1212	0.08	-	-
Debtor days	-	-	1.73	17200	0.01	-	-	-	-
SHORT TERM STABILITY
Current ratio	1.07	0	1.07	5.94	1.01	-36.08	1.58	-35.77	2.46
Liquidity ratio / acid ratio	0.38	-33.33	0.57	418	0.11	-89.42	1.04	-57.72	2.46
Current debt ratio	7.25	172	2.66	-52.16	5.56	294	1.41	120	0.64
Liquidity ratio reprocessed	-	-	-	-	-	-	-	-	-
Cashflow	1,014,789	110	482,545	-3.50	500,064	-55.30	1,118,658	758	130,367
Net worth	2,433,161	46.28	1,663,395	5.14	1,582,067	24.60	1,269,719	207	413,003
LONG TERM STABILITY
Gearing	0.04	-	-	-	-	-	0.01	-91.67	0.12
Equity in percentage	12.16	-55.51	27.33	79.33	15.24	-63.21	41.42	-32.34	61.22
Total debt ratio	7.25	172	2.66	-52.16	5.56	294	1.41	120	0.64
Working capital	1,260,993	333	290,651	462	51,677	-95.05	1,044,578	172	383,005

Profit & loss
Operating Income	222,492,262	45.21	153,222,250	0.65	152,238,344	-48.44	295,276,093	-	-
Turnover	222,359,059	45.12	153,219,640	1.27	151,296,090	-48.62	294,490,428	-	-
Total operating expenses	221,379,919	44.71	152,984,860	1.49	150,741,607	-48.57	293,094,050	-	-
Gross Operating Margin	-	-	-	-	-	-	-	-	135,493
Operating Charges	221,513,122	44.79	152,987,470	0.86	151,683,861	-48.39	293,879,714	-	-
Employee costs	475,868	57.55	302,036	36.57	221,157	-5.07	232,961	475	40,476
Wages and salary	354,155	56.55	226,226	34.68	167,969	1.97	164,732	404	32,682
Employee pension costs	-	-	-	-	-	-	-	-	-
Social security contributions	95,499	65.80	57,600	38.36	41,630	-2.70	42,784	497	7,155
Other employee costs	26,214	43.96	18,209	57.54	11,558	-54.58	25,445	3876	640
Director remuneration	-	-	-	-	-	-	-	-	-
Amortization and depreciation	391,820	17.62	333,136	105	162,264	-41.46	277,201	1113	22,849
Operating result	979,140	317	234,780	-57.66	554,483	-60.29	1,396,378	1941	68,387
Total financial income	14,522	-44.57	26,200	100	13,058	-80.53	67,065	-35.15	103,419
Total financial expenses	53,341	35.22	39,449	-40.59	66,400	-61.11	170,720	2156	7,566
Results on ordinary operations	940,321	324	221,531	-55.79	501,140	-61.23	1,292,723	687	164,241
before taxation
Extraordinary Income	-	-	-	-	-	-	-	-	-
Extraordinary Charges	-	-	1,609	-	-	-	-	-	-
Extraordinary items	0	0	-1,609	-	0	-	0	-	0
Results for the Year Before	940,321	327	219,922	-56.12	501,140	-61.23	1,292,723	687	164,241
Taxation
Other appropriations	-	-	-	-	-	-	-	-	-
Taxation	317,352	350	70,513	-56.83	163,340	-63.80	451,266	695	56,723
Results on ordinary operations	622,969	312	151,018	-55.29	337,800	-59.86	841,457	682	107,518
after taxation
Profit (Loss) for the Year to be appropiated	622,969	316	149,409	-55.77	337,800	-59.86	841,457	682	107,518
Dividends	-	-	-	-	-	-	-	-	-

Social Balance Sheet Details

Social Balance Sheet Details
Social Balance Sheet		Total
During the reporting year
ended 31-12-2014
Full-time Employees		4
Part-time Employees		2
Total Fte Employees		6
Number of hours worked
Full-time Employees		7,174
Part-time Employees		2,121
Total		9,295
Personnel Charges
Full-time Employees		367,281
Part-time Employees		108,587
Total		475,868
Benefits In Addition To Wages		-
During the previous reporting year
Average number employees in Fte		5
Actual working hours		7,094
Personnel Charges		343,066
Benefits In Addition To Wages		-
Type of Contract	Full-Time	Part-Time	Total Fte
Unlimited Duration	4	1	5
Contracts
Limited Duration Contracts	-	2	1
Contracts For Specific Work	-	-	-
Contracts Regarding	-	-	-
Substitution
Gender and Education Level
Men	Full-Time	Part-Time	Total Fte
Primary education-	-	-	-
Secondairy education -	-	-	-
Higher education	-	-	-
(non university)
Higher education	-	-	-
(university)
Women	Full-Time	Part-Time	Total Fte
Primary education-	-	-	-
Secondairy education 4	3	6	-
Higher education	-	-	-
(non university)
Higher education	-	-	-
(university)
Working Category	Full-Time	Part-Time	Total Fte
Management	-	-	-
White collar worker	4	1	5
Blue collar worker	-	2	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	3	4	6
Leavers	3	2	4

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	-	-

Industry comparison

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

Payment Information

Suspension of payments / moratorium history
Amount	-
Details	-
Payment expectations
Payment expectation days	0.25
Day sales outstanding	-
Industry comparison
Activity code	46761
Activity description	Wholesale of diamonds and other precious stones
Industry average payment	192.73
expectation days
Industry average day sales	194.48
outstanding

Industry quartile analysis
Payment expectations
Company result	0.25
Lower	132.91
Median	60.64
Upper	28.62

Day sales outstanding

Company result	-
Lower	131.59
Median	85.34
Upper	47.22

Shareholder Details

Summary
Group - Number of Companies	2
Linkages - Number of Companies	0
Number of Countries	0

Group Structure
Company name	Number	Latest
		financials
- KIMBERLY DIAMOND COMPANY NL
- - GEM DIAMONDS MARKETING SERVICES BVBA	878452091	31-12-2014

Minority Shareholders

No minority shareholders found

Minority Interests

No minority interests found

Linked Companies

Summary

Group - Number of Companies	2
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

Director details

Current director details

Position	Manager
Start Date	23/07/2013
Street
Post code
Country	United Kingdom
Name	GLENN EDWARD TURNER
Name	MICHAEL MICHALAKIS
Position	Manager
Start Date	05/11/2012
Street
Post code
Country	South Africa
Name	BRANDON DE BRUIN
Position	Manager
Start Date	04/10/2010
Street
Post code
Country	South Africa

Former director details

Name	STEPHEN WETHERALL
Position	Manager
Start Date	04/10/2010
End Date	23/07/2013
Street
Post code
Country	South Africa
Name	ALISTAIR CROLL
Position	Manager
Start Date	12/05/2008
End Date	04/10/2010
Street	1 GODIN COURT CHURCHLANDS
Post code	6018
Country	Australia
Name	NICOLAOS YIANNOPOULOS
Position	Manager
Start Date	29/12/2005
End Date	04/10/2010
Street	275 ONSLOW ROAD SHENTON PARK
Post code	6008
Country	Australia
Name	KARL SIMICH
Position	Manager
Start Date	29/12/2005
End Date	12/05/2008
Street
Post code Country

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.66.81
UK Pound	1	Rs.100.37
Euro	1	Rs.70.68
EUR	1	Rs. 70.50

Note : Above are approximate rates obtained from sources believed to be correct

INFORMATION DETAILS

Analysis Done by :	HEE

Report Prepared by :	ASH

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 name

Company summary

Commentary

Accounts

Payment expectations

Court data summary

Company information

Contractor details

Company accounts

Social Balance Sheet Details

Industry comparison

Payment Information

Shareholder Details

Linked Companies

Director details

Unit