MIRA INFORM REPORT

Report No. :	306316
Report Date :	04.02.2015

IDENTIFICATION DETAILS

Name :	AURO DIAMONDS BVBA

Registered Office :	Hoveniersstraat 30, Internal Postal Box 256, Antwerpen, Antwerpen, 2018

Country :	Belgium

Financials (as on) :	31.03.2014

Date of Incorporation :	05.05.1982

Com. Reg. No.:	422728176

Legal Form :	Private Limited Company

Line of Business :	Wholesaler of diamonds and other precious stones

No of Employees :	Not Available [We tried to confirm the number of employees but no one is ready to part any information from the company management.]

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 – December 31, 2014

Country Name

Previous Rating

(30.09.2014)

Current Rating

(31.12.2014)

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 name & address

Business number 422728176

Company name AURO DIAMONDS BVBA

Address Hoveniersstraat 30, Internal Postal Box 256,

Antwerpen, Antwerpen, 2018

Number of staff 0

Date of establishment 05/05/1982

Telephone number 032325221

Fax number 032316700

Commentary

The business was established over 32 years ago.
The business has 0 employees.
The business has been at the address for over 17 years.
Operating Result in the latest trading period decreased 76% on the previous trading period.
Net Worth increased by 35% during the latest trading period.
A 49% decline in Total Assets occurred during the latest trading period.
Pre-tax profits decreased by 42% compared to the previous trading period.
The business saw a decrease in their Cash Balance of 99% during the latest trading period.

Accounts

DATE OF LATEST ACCOUNTS TURNOVER PROFIT BEFORE TAX	NET WORTH	WORKING CAPITAL
31/03/2014 70,901	182,559	182,138
31/03/2013 39,224,493 122,490	134,874	134,452
31/03/2012 12,693	45,784	45,363

Accounts

DATE OF LATEST ACCOUNTS BALANCE TOTAL NUMBER OF EMPLOYEES	CAPITAL	CASHFLOW
31/03/2014 9,759,405 0	49,579	47,686
31/03/2013 19,224,617 0	49,579	89,090
31/03/2012 508,471 0	49,579	12,693

TRENDS

Profitability
Liquidity
Net worth

Payment expectations

Past payments

Industry average payment expectation days 123.21

Industry average day sales outstanding 141.42

Company accounts

Profit & Loss

Annual accounts	31-03-2014	%	31-03-2013	%	31-03-2012	Industry average 2014	%
Weeks	52		52		52
Currency	EUR		EUR		EUR
Turnover	-	-	39,224,493	-	-	118,387,949	-
Total operating expenses	-	-	39,098,343	-	-	116,973,983	-
Operating result	29,836	-76.35	126,150	857	13,180	739,139	-95.96
Total financial income	781,468	-	-	-	3	149,735	421
Total financial expenses	740,403	20128	3,660	646	490	571,530	29.55
Results on ordinary operations before taxation	70,901	-42.12	122,490	865	12,693	299,195	-76.30
Taxation	23,216	-30.49	33,400	-	-	67,069	-65.39
Results on ordinary operations after taxation	47,686	-46.47	89,090	601	12,693	244,320	-80.48
Extraordinary items	0	-	0	-	0	-9,226	0
Other appropriations	0.00	-	0.00	-	0.00	-	-
Net result	47,686	-46.47	89,090	601	12,693	235,094	-79.72
OTHER INFORMATION
Gross Operating Margin	30,126	-76.22	126,697	801	14,061	70,179	-57.07
Dividends	-	-	-	-	-	43,000	-
Director remuneration	-	-	-	-	-	83,445	-
Employee costs	-	-	-	-	60	639,922	-
Wages and salary	-	-	-	-	-	466,547	-
Employee pension costs	-	-	-	-	-	-	-
Social security contributions	-	-	-	-	-	128,316	-
Other employee costs	0	-	0	-100	60	27,309	-100
Amortization and depreciation	-	-	-	-	-	58,703	-

Balance Sheet

Annual accounts	31-03-2014		%	31-03-2013	%			31-032012		Industry average 2014	%
Weeks	52			52				52
Currency	EUR			EUR				EUR
Intangible fixed assets	0		-	0	-			0		1,220	-100
Tangible fixed assets	-		-	-	-			-		638,541	-
Land & building	-		-	-	-			-		1,302,206	-
Plant & machinery	-		-	-	-			-		77,446	-
Furniture & Vehicles	-		-	-	-			-		27,449 8,049	-
Leasing & Other Similar Rights	-		-	-	-			-		14,418 14,418	-
Other tangible assets	0		-	0	-			0		28,987	-100
Financial fixed assets	421		0	421	0			421		14,774	-97.15
Total fixed assets	421		0	421	0			421		543,801	-99
Inventories	6,759,531		2957	221,095	-55.57			497,658		6,636,026	1.86
Raw materials & consumables	-		-	-	-			-		-	-
Work in progress	0		-	0	-			0		0	-
Finished goods	0		-	0	-			0		4,669,631	-100
Other stocks	6,759,531		2957	221,095	-55.57			497,658		558,753	1109
Trade debtors	2,962,960		-81.28	15,827,615	-			0		17,012,439	-82.58
Cash	18,158		-99	3,160,819	101891			3,099		340,264	-94.66
other amounts receivable	15,673		6.86	14,667	101			7,292		372,014	-95.79
Miscellaneous current assets	2,662		-	0	-			0		72,488	-96.33
Total current assets	9,758,984		-49.24	19,224,195	3683			508,050		23,005,424	-57.58
Total Assets	9,759,405		-49.23	19,224,617	3680			508,471		23,499,788 4,253,179	-58.47
Current liabilities
Trade creditors	9,347,712		-50.41	18,850,482	7243			256,714		9,182,391	1.80
Financial debts	168,671		0	168,671	-0.07			168,783		15,464,244 103,029	-98.91
Current portion of long term debt	---		-	--	--			--		481,215,614	--
Amounts Payable for Taxes, Remuneration & Social Security	23,200		-30.54	33,400	--			---		22,380	-73.46
Miscellaneous current liabilities	37,263		0.20	37,190	0			37,190		-84.37	---
Total current liabilities	9,576,846		-49.83	19,089,743	4025			462,687		16,172,572	---40.78
Long Term Debts & Liabilities
Provisions for Liabilities & Charges	0	-		0		-	0		9,290 0		-100
Other long term liabilities	0	-		0		-	0		31,612		-100
Total long term debts SHAREHOLDERS EQUITY	0			0			0		2,330,408		-100
Issued share capital	49,579	0		49,579		0	49,579		4,091,900		-98.79
Share premium account	-	-		-		-	-		-		-
Reserves	132,981	55.91		85,295		2247	-3,795		767,633		-82.68
Revaluation reserve	-	-		-		-	-		2,265,048		-
Total shareholders equity	182,559	35.36		134,874		194	45,784		4,996,808		-96.35
Working capital	182,138	35.47		134,452		196	45,363		6,832,851		-97.33
Cashflow	47,686	-46.47		89,090		601	12,693		277,787		-82.83
Net worth	182,559	35.36		134,874		194	45,784		4,995,588		-96.35

Ratio Analysis

Annual accounts	31-03-2014	change(%)	31-03-2013	change(%)	31-03-2012	Industry average 2014	%
TRADING PERFORMANCE
Profit Before Tax	-	-	0.31	-	-	1,00	-
Return on capital employed	38.84	-57.23	90.82	227	27.72	-199,00	19.52
Return on total assets employed	0.73	14.06	0.64	-74.40	2.50	15,00	-95.13
Return on net assets employed	38.84	-57.23	90.82	227	27.72	-201,00	19.32
Sales / net working capital	-	-	291.73	-	-	63,00	-
Stock turnover ratio	-	-	0.56	-	-	16,00	-
Debtor days	-	-	147.28	-	-	141,42	-
Creditor days	-	-	175.98	-	-	123,21	-
SHORT TERM STABILITY
Current ratio	1.02	0.99	1.01	-8.18	1.10	2,00	-92.15
Liquidity ratio / acid ratio	0.31	-69.00	1	4900	0.02	2,00	-84.50
Current debt ratio	52.46	-62.94	141.54	1300	10.11	13,00	303
LONG TERM STABILITY
Gearing	92.39	-26.12	125.06	-66.08	368.65	72,00	28.32
Equity in percentage	1.87	167	0.70	-92.22	9	16,00	-88.31
Total debt ratio	52.46	-62.94	141.54	1300	10.11	12,00	337

Industry Comparison

Activity code	46761
Activity description	Wholesaler of diamonds and other precious stones
Industry average payment expectation days	123.21
Industry average day sales outstanding	141.42

Industry quartile analysis

Payment expectations

Lower 122.66

Median 75.38

Upper 46.73

Day sales outstanding

Lower 101.92

Median 54.50

Upper 24.45

Group Structure

No group structure for this company.

Minority Shareholders

No minority shareholders found

Minority Interests

No minority interests found

Individual shareholders

Shareholders Name

Forename	Henri	Middle name	-
Surname	Pomeranz

SHAREHOLDER DETAILS
Start date	29/10/2013	End date	-
Percentage owned SHAREHOLDER ADDRESS	100%
Street name	Albertstraat	House number	26
Minor town	-	Postal town	Antwerpen
Post code	2018	Country	Belgium

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

Name HENRI POMERANZ

Position Principal Manager

Start Date 28/10/2013

Street 26 ALBERTSTRAAT ANTWERPEN

Post code 2018

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.61.74
UK Pound	1	Rs.92.71
Euro	1	Rs.69.94

INFORMATION DETAILS

Analysis Done by :	RAS

Report Prepared by :	ANK

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 & address

Commentary

Accounts

TRENDS

Payment expectations

Company information

Company accounts

Industry quartile analysis

Group Structure

Minority Shareholders

Minority Interests

Individual shareholders

Summons

Protested Bills

Bankruptcy and other legal events

Director details

Unit