MIRA INFORM REPORT

 

 

Report Date :

10.07.2007

 

IDENTIFICATION DETAILS

 

Name :

SEOHAN WARNER TURBO SYSTEMS CO., LTD.

 

 

Registered Office :

Eoyeon Hansan Industrial Complex, 893-1, Eoyeon-ri, Cheongbuk-myeon, Pyeongtaek-si, Gyeonggi-Do - 451-833

 

 

Country :

Korea

 

 

Financials (as on) :

31.12.2005

 

 

Date of Incorporation :

03/13/2004

 

 

Legal Form :

Company Limited by shares

Foreign Direct Investment Corporation

 

 

Line of Business :

Manufacture of Other Parts and Accessories for Motor Vehicles

 

 

RATING & COMMENTS

 

MIRA’s Rating :

B

 

RATING

STATUS

PROPOSED CREDIT LINE

26-40

B

Unfavourable & favourable factors carry similar weight in credit consideration. Capability to overcome financial difficulties seems comparatively below average/normal.

Small

 

Status :

Moderate

 

 

Payment Behaviour :

Slow

 

 

Litigation :

Clear

 

 

Basic

 

Company Name

SEOHAN WARNER TURBO SYSTEMS CO., LTD.

Registered Address

893-1, Eoyeon-ri, Cheongbuk-myeon, Pyeongtaek-si, GYEONGGI-DO, KOREA

Building

Eoyeon Hansan Industrial Complex

Zip Code

451-833

Tel

+82-31-680-0000

Fax

+82-31-683-9298

E-mail

jwsong@morse.bwauto.com

Trading Address

Eoyeon Hansan Industrial Complex, 893-1, Eoyeon-ri, Cheongbuk-myeon, Pyeongtaek-si, GYEONGGI-DO, KOREA

Tel

+82-31-680-0024

Fax

+82-31-683-9298

Type

Import

Industry

Manufacture of Other Parts and Accessories for Motor Vehicles

  Main Business

Turbo Charger

Established (mm/dd/yyyy)

03/13/2004

 

 

Detailed Products

 

Activity

Detailed Products (UNSPSC)

Sell

Automobile Components

Sell

Turbo Charger

 

 

CEO’s

 

Name

Brady Ericson

Address

14, Club Rd., Asheville Rochet, North Carolina, USA

Date of Birth

01/10/1972

Title

President & CEO

Sex

Male

Nationality

Korean

 

 

Profiles

 

Capital

8,800,000,000 KRW

Employees

33

Formation

Co., Ltd by shares

Foreign Direct Investment Corporation

Bank Details

Citi Bank, Korea

Corporate Registered No.

131311-0052509

Business Registered No.

125-81-51938

Permit & Licenses

N/A

Shareholder Position

BORGWARNER TURBO SYSTEMS INC.(USA) : 71.0%

KOREA FLANGE CO.,LTD (181211-0000443) : 29.0%

Company History

03/13/2004 Incorporated as the present name

 

 

 

 

Management

 

Job Description

Title

Name

Sex

Nationality

Inauguration Day

President & CEO

Mr.

Brady Ericson

Male

Korean

04/04/2005

Director

Mr.

Hur Hwan

Male

Korean

03/15/2007

Director

Mr.

Baik Woon-Dae

Male

Korean

03/15/2007

Director

Mr.

Kim Tae-Hyun

Male

Korean

07/01/2005

Director

Mr.

Roger J. Wood

Male

USA

03/13/2006

Director

Mr.

Ronald T. Hunjinski

Male

USA

03/13/2006

Auditor

Mr.

Lee Tae-Deok

Male

Korean

03/15/2007

 

 

Financials                                                

 

Unit: KRW

Year

Sales

Assets

Net income

2005

4,271,365,021

4,683,382,211

(-)2,845,945,227

2004

92,556,608

7,563,259,835

(-)3,120,628,853

 

 

Financial Description    

 

 Unit: KRW

Authorized Capital

20,000,000,000

Paid-Up Capital

8,800,000,000

Total Issues Shares

1,760,000

 

Balance Sheet

Unit : Korean Won

As of 12/31/2005

As of 12/31/2004

As of 12/31/2003

Total Assets

4,683,382,211

7,563,259,835

 

Current Assets

2,558,979,718

6,269,439,010

 

-Quick Assets

1,222,801,275

5,254,090,465

 

-Inventories

1,336,178,443

1,015,348,545

 

Fixed Assets

2,124,402,493

1,293,820,825

 

-Investment

9,040,000

8,890,000

 

-Tangibles

1,470,911,193

1,279,045,135

 

-Intangibles

644,451,300

5,885,690

 

Total Liabilities

1,849,956,291

1,883,888,688

 

Current Liabilities

1,680,136,330

1,883,888,688

 

Fixed Liabilities

169,819,961

-

 

Capital Stock

8,800,000,000

8,800,000,000

 

Capital Surplus

-

-

 

Profit Surplus

(-)5,966,574,080

(-)3,120,628,853

 

Capital Adjustment

-

-

 

Total Equity

2,833,425,920

5,679,371,147

 

Liab. & Shareholder’s Equity

4,683,382,211

7,563,259,835

 

 

Current Liabilities

1,680,136,330

1,883,888,688

 

Trade Payables

186,069,098

601,994,789

 

Accout Payables

1,334,220,636

1,245,243,142

 

Accrued Expenses

70,390,477

28,268,114

 

Withholdings

25,999,090

8,382,643

 

VAT Withhold

32,121,879

-

 

Advance Receipts

31,335,150

-

 

Fixed Liabilities

169,819,961

-

 

Provision for Severance & Retirement

97,437,164

-

 

Provision for Sales Guarantee

72,382,797

-

 

 

Income Statement

Unit : Korean Won

As of 12/31/2005

As of 12/31/2004

As of 12/31/2003

Sales

4,271,365,021

92,556,608

 

Cost of Sold Goods

5,026,984,161

54,794,152

 

Gross Profit

(-)755,619,140

37,762,456

 

Selling & Admin. Expenses

2,398,118,025

3,345,330,872

 

Operating Income

(-)3,153,737,165

(-)3,307,568,416

 

Non-Operating Income

410,843,133

218,050,860

 

Non-Operating expenses

103,051,195

31,111,297

 

Ordinary Income

(-)2,845,945,227

(-)3,120,628,853

 

Special Income

-

-

 

Income Before Taxes

2,845,945,227

3,120,628,853

 

Income Taxes Expenses

-

-

 

Net Income

(-)2,845,945,227

(-)3,120,628,853

 

 

Cash Flows

Unit : Korean Won

As of 12/31/2005

As of 12/31/2004

As of 12/31/2003

Cash Flows from Operating

(-)2,972,368,758

(-)2,659,182,537

 

-Net Income

(-)2,845,945,227

(-)3,120,628,853

 

-Exp. without Cash Outflow

491,190,728

15,647,735

 

-Revenue without Cash Inflows

(-)39,389,236

(-)1,906,558

 

-Changes in Asset/ & Liability

(-)578,225,023

447,705,139

 

Cash Flows from Investing

(-)1,193,184,843

(-)1,306,598,086

 

-Cash Inflow from Investing

1,311,476

-

 

-Cash Outflows for Investing

(-)1,194,496,319

(-)1,306,598,086

 

Cash Flows from Financing

-

8,800,000,000

 

-Cash Inflows from Financing

1,950,000,000

8,800,000,000

 

-Cash Outflows from Financing

(-)1,950,000,000

-

 

Increase/Decrease in Cash

(-)4,165,553,601

4,834,219,377

 

Cash at the Beginning of Year

4,834,219,377

-

 

Cash at the End of Year

668,665,776

4,834,219,377

 

 

 

Products, Technologies, Services

Description

 

Main Products & Services

Turbo Charger

 

 

 

 

Trade Partners

 

Suppliers

BORGWARNER TURBO SYTEMS GMBH

BORGWARNER TURBO SYSTEMS WORLDWIDE HEADQUARTERS GMBH

Customers

BORGWARNER TURBO SYSTEMS INC.(USA)

BORGWARNER AUTOMOTIVE COMPONENTS CO., LTD

KOREA FLANGE CO.,LTD (181211-0000443)

 

 

Related Parties (Subsidiaries, Joint-

Venture & Affiliates)

 

Cooperative Enterprise

The Subject pays 3% out of total sales to BORGWARNER TURBO SYSTEMS INC.(USA) as royalty.

 

 

Sales by Region (Activity & Markets)

 

The Subject deals with the companies in USA.

 

 

Court Action

 

No.

 

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

Unfavourable & favourable factors carry similar weight in credit consideration. Capability to overcome financial difficulties seems comparatively below average/normal.

 

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

NR

In view of the lack of information, we have no basis upon which to recommend credit dealings

No Rating

 

 

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