MIRA
INFORM REPORT
|
Report Date : |
04.10.2008 |
IDENTIFICATION
DETAILS
|
Name : |
LG ELECTRONICS
INDIA PRIVATE LIMITED |
|
|
|
|
Registered Office : |
Plot No. 51,
Udyog Vihar Surajpur Kasna Road, Greater Noida, Gautam Budh Nagar, Noida – 201 306, Uttar Pradesh |
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Country : |
India |
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|
Financials (as on) : |
31.03.2007 |
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Date of Incorporation : |
20.01.1997 |
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|
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|
Com. Reg. No.: |
20-31138 |
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|
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CIN No.: [Company
Identification No.] |
U32107UP1997PTC031138 |
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|
|
|
TAN No.: [Tax
Deduction & Collection Account No.] |
PNEL03835G/PNEL03836A |
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|
PAN No.: [Permanent
Account No.] |
AAACL1745Q/AAAC1745Q |
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|
Legal Form : |
Private Limited Liability Company. |
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|
|
|
Line of Business : |
Manufacturer of
Washing Machines, Refrigerators, Television Monitors, Mobile Phones, Air
Conditioners and Computer Peripherals. |
RATING &
COMMENTS
|
MIRA’s Rating : |
A |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
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 |
|
Maximum Credit Limit : |
USD 45000000 |
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|
|
|
Status : |
Good |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
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Comments : |
Subject is a part
of LG Korea, consumer durable giant, progressing well in India. Trade
relations are fair. Financial position is good. Payments are usually correct
and as per commitments. The company can
be considered good for normal business dealings at usual trade terms and
conditions. |
LOCATIONS
|
Registered
Office : |
Plot No. 51,
Udyog Vihar Surajpur Kasna Road, Greater Noida, Gautam Budh Nagar, Noida – 201 306, Uttar Pradesh, India |
|
Tel. No.: |
91-120-2560900 /
940 / 2560960 |
|
Fax No.: |
91-120-2560918 /
2560921 / 2560926 / 2560198 |
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E-Mail : |
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Website: |
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Area:
|
47 Acre |
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Location:
|
Industrial |
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|
|
|
Factory 1 : |
Plot
No. 51, Surajpur-Kasna Road, Udyog Vihar, Greater Noida, Dist. Gautam Budh
Nagar – 201 305,Uttar Pradesh, India |
|
Tel. No.: |
91-120-2560900
/ 940 |
|
Fax No.: |
91-120-2560918
/ 2560921 / 2560926 / 2560198 |
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E-Mail : |
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|
Website : |
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|
Factory 2 : |
B-243 Ground Floor, Okhla Industrial Area, Phase-1, New Delhi-110020,
India |
|
Tel. No.: |
91-11-26371208 |
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Factory 3 : |
Plot No. A-5,
MIDC Ranjangaon, Taluka Shirur, Pune-412220, Maharashtra, India |
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|
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|
Factory 4 : |
Sethurapet
Village, Villianur Commune Panchayat, Pondicherry |
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|
Delhi Office: |
B -243 Ground floor, Okhla Industrial Area, Phase – I, New Delhi – 110
020, India |
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Tel No.: |
91-11-26371208 |
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|
Branches : |
Located At : v v
Ahmedabad v v
Bangalore v v
Bhubaneshwar v v
Kolkata v v
Chandigarh v v
Chennai v v
Cochin v v
Coimbatore v v
Ghaziabad v v
Bambolim, v v
Guwahati v v
Hyderabad v v
Hubli v v
Indore v v
Jaipur v v
Jammu and Kashmir. v v
Sonepat v v
Lukhnow v v
Patna v v
Mumbai v v
Pune v v
Katoratalab v v
Rachi |
DIRECTORS
|
Name : |
Mr. Kwang Ro Kim |
|
Designation : |
Managing Director |
|
Address : |
1.
1.
3-2/14, Vasant Vihar, New
Delhi 2.
2.
901-305, Grand Tower, Sangam
Dong Changwon City, Khungnam, South Korea 3.
3.
14 Poorvi Marg, Vasant Vihar,
New Delhi – 110 057, India |
|
Date of
Birth/Age : |
02.11. 1946 |
|
Qualification
: |
Graduate |
|
Date of
Appointment : |
01.01. 1999 |
|
Date of
Ceasing: |
07.01.2007 |
|
Previous
Employment |
LG Electronic
Inc., South Korea |
|
|
|
|
Name : |
Mr. In Seog Kim |
|
Designation : |
Director |
|
Address : |
Sungwon Grand,
Apartment – 302, 2303, Sangnnam Dong, Changwon City, Gyeongnam, South Korea |
|
Date of
Birth/Age : |
03.01. 1961 |
|
Date of
Appointment : |
07.06. 2004 |
|
|
|
|
Name : |
Mr. In Ho Kim |
|
Designation : |
Alternate
Director to Mr. In Seog Kim |
|
Address : |
C – 86, 1ST
Floor, Anand Niketan, New Delhi – 110021, India |
|
Date of
Birth/Age : |
17.08. 1961 |
|
Qualification:
|
B. Com |
|
Date of
Appointment : |
07.06. 2004 |
|
|
|
|
Name : |
Mr. Moon Bum Shin |
|
Designation : |
Director |
|
Address : |
1/21, 1st
Floor, Shanti Niketan, New Delhi, India |
|
Date of
Birth/Age : |
05.10. 1954 |
|
Date of
Appointment : |
06.01.2005 |
|
|
|
|
Name : |
Pradeep Kumar
Panda |
|
Designation : |
Company Sectary |
|
Address : |
B – 1, LG Housing
Society, Plot No. 3, Sector, Greater Noida, District – Gautam Budh Nagar,
Uttar Pradesh, India |
|
Date of
Birth/Age : |
01.06. 1966 |
|
Qualification:
|
B. Com, FCA |
|
Date of
Appointment : |
21.01. 2002 |
|
|
|
|
Name : |
Mr. Nam Cheol Yun
|
|
Designation : |
Director |
|
Address : |
FF A 15/34,
Vasant Vihar, New Delhi – 110057, India |
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Date of
Birth/Age : |
01.03.1960 |
|
Date of
Appointment : |
25.03.2006 |
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|
|
|
Name : |
Mr. Soon Seop Jung |
|
Designation : |
Director |
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Date of
Birth/Age : |
25.04.1961 |
|
Date of
Appointment : |
25.03.2006 |
KEY EXECUTIVES
|
Name : |
Mr. Amit Gupta |
|
Designation : |
General Manager
(Sales) |
|
|
|
|
Name : |
Mr. Jin Won Kang |
|
Designation : |
General Manger (R
and D) |
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|
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|
Name : |
Mr. Myung Ho Kang
|
|
Designation : |
General Manger (Export)
|
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|
Name : |
Mr. Sanjay Arora |
|
Designation : |
Vice President
(Manufacturing) |
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|
Name : |
Mr. Yong Jang |
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Designation : |
General Manger |
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|
Name : |
Mr. Vipin Gupta |
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Designation : |
General Manger |
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|
Name : |
Mr. Soos Kyu Song |
|
Designation : |
General Manger |
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|
Name : |
Mr. R Manikandan |
|
Designation : |
General Manger
(PGHT) |
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|
Name : |
Mr. P y Jeong |
|
Designation : |
General Manger
(MPC) |
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|
Name : |
Mr. Praveen Valecha
|
|
Designation : |
General Manger
(PGHGSM) |
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|
Name : |
Mr. K K Kaul |
|
Designation : |
Senior General
Manger (EMS) |
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|
Name : |
Mr. Anil Arora |
|
Designation : |
General Manger
(PGH) |
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|
Name : |
Mr. Ashok Kumar |
|
Designation : |
General Manger
(HR and MS) |
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|
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|
Name : |
Mr. N C Yun |
|
Designation : |
Vice President
Finance |
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|
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|
Name : |
Mr. Pradeep Kumar
Panda |
|
Designation : |
Senior General
Manager (Accounts) |
MAJOR SHAREHOLDERS
/ SHAREHOLDING PATTERN
|
Names of Shareholders (as on 31.03.2007) |
|
No. of Shares |
|
LG Electronics
INC |
|
113128726 |
|
Mr. Ashok Kumar |
|
1 |
|
Mr. Jaydeep Gupta
|
|
1 |
|
Mr. Yasho Vardhan
Verma |
|
1 |
|
Mr. Amit Gupta |
|
1 |
|
Mr. Kishor Kumar
Kaul |
|
1 |
|
Mr. Pradeep Kumar
Gupta |
|
1 |
|
|
Total
|
113128732 |
|
|
|
|
|
Category (as on 31.03.2007) |
|
Percentage of
Holding |
|
Foreign holdings [Foreign institutional investors, Foreign
Companies, Foreign Financial Institutions, Non-resident Indian or Overseas
corporate bodies or others] |
|
100.00 % |
BUSINESS DETAILS
|
Line of Business : |
Manufacturer of
Washing Machines, Refrigerators, Television Monitors, Mobile Phones, Air
Conditioners and Computer Peripherals. |
|
|
|
|
Products : |
Color Television – 8528.00
Projection TV
LCD
Projector Xcanvas PDP LCD
DVD
Player
Refrigerator
– 8418.10
Washing
Machine – 8450.10
Air
Conditioner – 8450.00
Vacuum
Cleaner
Home
PC
GSM
Mobile Phones Laptop |
|
|
|
|
Exports : |
|
|
Products: |
Electronics Components – Colour TV, Refrigeration, GSM Phones and Raw
materials |
|
Countries : |
South Africa, Middle
East, Singapore, Hong Kong, New Zealand, Sri Lanka, Dubai and Maldives |
|
|
|
|
Imports : |
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|
Products : |
Electronic
components and raw materials |
|
Countries : |
South Korea,
Singapore, China, USA, Europe, Japan |
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|
|
|
Terms : |
|
|
Selling : |
Cash or other
terms |
|
|
|
|
Purchasing : |
Credit (30-60
days), On Letter of Credit and Open Credit, Others and L/C terms. |
PRODUCTION STATUS
|
Particulars |
Unit |
Installed
Capacity |
|
Colour T.V. |
Nos. |
2200000 |
|
Refrigerators |
Nos. |
1800000 |
|
Washing Machines |
Nos. |
600000 |
|
Air Conditioners |
Nos. |
500000 |
|
Micro Oven |
Nos. |
425000 |
|
Colour Monitors |
Nos. |
800000 |
|
Desktop Pcs |
Nos. |
100000 |
|
Sub Assemblies
Compressors |
Nos. |
850000 |
|
Others |
Nos. |
1300000 |
|
WLL Systems |
Nos. |
600000 |
|
Terminals |
Nos. |
300000 |
GENERAL
INFORMATION
|
Suppliers : |
LG Electronics,
South Korea |
|
|
|
|
No. of Employees : |
Around 3000 |
|
|
|
|
Bankers : |
v v
State Bank of India, Overseas
Branch, 9th Floor, Jawahar Vypar Bhawan, Tolostoy Marg, New Delhi
– 110001, India v v
ICICI Bank Limited, 9A Phelps
Building , Connought Place, New Delhi 110001, India v v
Citibank NA, DLF Centre, 5th
Floor, Parliament Street, New Delhi 110001, India v v
ING Vysya Bank Limited, G 35
Connaught Place, New Delhi – 110 001, India v v
The Bank of Nova Scotia, Dr.
Gopal Das Bhawan, 28, Barakhamba Road, New Delhi – 110001, India v
v
Standard Chartered Bank, Address 1:Credit Risk Control, H – 2, Connaught Circus, New Delhi –
110001, India Address 2:Narain Manzil, 23 Barakhmaba Road, New Delhi – 110 001,
India v v
Punjab National Bank v v
HSBC v
v
Deutsche Bank v
v
HSBC Bank Limited v
v
Bank of America v
v
The Hong Kong and Shanghai
Banking Corporation Limited Address: JMD
Regent Square, DLF phase II, Gurgaon Mehrauli
Road, Gurgaon, India |
|
|
|
|
Banking
Relations : |
Good |
|
|
|
|
Auditors : |
·
·
S. R. Batliboi and Associates Chartered Accountants B 26, Qutab Institutional Area, New Delhi – 110016, India ·
·
K. S. Mehta and Company Chartered Accountants New Delhi– 110016, India ·
·
S. S. Kothari and Company Chartered Accountants New Delhi– 110016, India · · Deolitte Haskins and Sells Chartered Accountants 3rd Floor, MCT House one Okhla Center, Block A, Okhla
Institutional Area, New Delhi – 110 025, India |
|
|
|
|
Holding Company: |
· · LG Electronics Almaty Kazak Company Limited · · LG Electronics Antwerp Logistics NV · · LG Electronics Australia Private limited · · LG Electronics Canada Inc · · LG Electronics Deutschland GBBH PT · · LG Electronics Display Devices Indonesia · · LG Electronics Egypt Cairo, SAE · · LKG Electronics Gulf FZE · · LG Electronics HK Limited, PT · · LG Electronics Indonesia Limited · · LG Electronics Japan Inc. · · LG Electronics Middle east Company limited · · LG Electronics Magyar Kft · · LG Electronics (M) SDN , BHD · · LG Electronics Polska Sp Zo O · · LG Electronics Peru SA · · LG Electronics Panama SA · · LG Electronics SA Private Limited · · LG Electronics De Sao Paulo Limited · · LG Electronics United Kingdom, Limited · · LG Electronics Ukraine Company Limited · · LG Electronics Wales Limited |
|
|
|
|
Associates: |
v
v
LG Soft India It was promoted by the third largest Korea conglomerate, the LG Group,
with equity participation from AGI. It had two offshore development centres
in India and offices in San Jose, London and in Seoul. At Bangalore, LG Soft
is planning to more than double its’ manpower from 300. News Articles – LG Electronic Inc, a $16 billion electronics and telecommunication,
plans to leverage facilities of its’ group company LG Soft India to design
and feature applications and software which are specific to Indian needs on
its’ code division multiple access (CDMA) handsets. The company has tied-up with Reliance Infocomm to provide CDMA
Technology based mobile handsets in the country. It has also provided a
limited number of mobile handsets to Tata Teleservices for the latter’s foray
into the mobile telephony. The CDMA global market, the company supplied a total of six million
mobile phones, recording a 23% market share. It outperformed other players
such as Samsung Electronics and Motorola which supplied 5.1 million units,
covering nearly 19.6% market share. v v
LG Chemicals Limited, New
Delhi v v
LG Construction Company
Limited, New Delhi– 110016, India v v
LG International Limited, New
Delhi– 110016, India |
|
|
|
|
Subsidiaries |
v
v
LG Electronics Almaty Kazak
Company Limited v
v
LG Electronics Antwerp
Logistics v
v
LG Electronics Australia
Private Limited v
v
LG Electronics Argentina S.A.
v
v
LG Electronics China Company
Limited v
v
LG Electronics Canada Inc. v
v
LG Electronics Design Tech
Limited v
v
LG Electronics Egypt Cairo
S.A.E. v
v
LG Electronics North Of
England Limited v
v
LG Electronics De Sao Paulo
Limited v
v
LG Electronics Shenyang Inc. v
v
LG Electronics Tianjin
Appliance Company Limited v
v
LG Electronics Austria GmbH v
v
LG Electronics Hells S.A. v
v
LG Electronics Philippines
Inc v
v
LG Electronics Wales Limited v
v
LG Electronics Display
Devices Indonesia v
v
LG Electronics Design Tech
Limited v
v
LG Electronics Monetary
Mexico S. A. v
v
LG Electronics Thailand
Company Limited v
v
LG Philips LCD Company
Limited v
v
LG Tops v
v
LG Digital Mobile
Communication Company Limited v
v
LG Holding Limited v
v
SLD Telecom Private Limited v
v
LG Micron Limited v
v
LG Electronics Tianjin
Appliance Company Limited v
v
LG Electronics Sweden AB v
v
LG Electronics United Kingdom
Limited v
v
LG Electronics Russia Inc. v
v
LG Electronics (M) SDN v
v
LG Electronics Gulf FZE v
v
LG MITR Electronic Company
Limited v
v
LG Electronics Vietnam
Company Limited v
v
LG Electronics Morocco SARL v
v
LG Electronics Huizhou Inc v
v
LG
Electronics Qinhuangdao Company Limited, Nanjing v
v
LG
Tontru Color Display Systems Company Limited v
v
LG
Electronics Tianjin Appliance Company limited v
v
LG
Electronics Colombia Limited, Nanjing v
v
LG
Panda Appliances Company Limited v
v
LG
Electronics Shenyang Inc v
v
LG
Electronics Vietnam Company Limited (formerly LG SEL Electronics Vietnam Inc) v
v
LG
Electronics Egypt SAE v
v
LG
Electronics Thailand Company Limited v
v
LG
Electronics Austria GMBH v
v
LG
Electronics Hellas SA, Langchao v
v
LG
Electronics Digital Mobile Communication Company Limited v
v
LG
Electronics Mobilecomm France v
v
LG
Electronics Mlawa SP Z OO v
v
LG
Electronics Italia SPA v
v
LG
Electronics Nordic AB v
v
LH
Electronics CZECH SRO v
v
LG
Electronics Romania SRL v
v
LG
Electronics European Holdings BV v
v
LG Electronics Benelux v
v
LG
Electronics Company Limited v
v
LG
Electronics (Kunshan) Computer Company limited v
v
LG
Electronics (Nanjing) Plasma Company Limited v
v
LG Electronics (Taizhou) Refrigeration
Company Limited v
v
LG
Electronics Nature (Hangzhou) Recording Media Company Limited v
v
LG
Electronics Singapore PTE Limited v
v
LG
Alina Electronics v
v
LG
Electronics RUS – Marketing LLC v
v
LG
Electronics Alabama USA, Inc v
v
LG
Electronics USA v
v
LG
Electronics Mexicalli SADE, CV v
v
LG
Electronics Mexico SADE CV v
v
LG
Electronics Reynosa Inc , Arcelik v
v
LG
Klima Sanayi Ve ticaret AS v
v
LG
Electronics Nigeria Limited v
v
LG
Electronics Overseas Trading FZE v
v
LG
Electronics Da Amazonia Ltda v
v
LG
Electronics INC Chile LTDa v
v
Hitachi
LG Data Storage INC v
v
LG
Electronics North of England Limited v
v
LG
Innotek Company Limited v
v
LG
Electronics Argentina SA v
v
LG Electronics
Design Tech Limited v
v
LG
Electronics Service Europe Netherlands BV v
v
LG
Electronics Sweden AB, Triveni Digital Inc. Formerly LGERCA) v
v
LG
Yantai Information and Communication Technology Company Limited v
v
LG
MECA Electronics Haiphong Inc v
v
LG
Taistar Electronics Taiwan Company limited v
v
LG
Infocomm Thailand Inc v
v
LG
Innotek Company Limited v
v
Goldstar
Electronics Thailand Company Limited v
v
Vietnam
Korea Exchange Limited v
v
LG Electronics
European Shared Service Center BV, China Holding Company Shanghai v
v
LG
Electronics European Logistics and Services BV v
v
LG
Philip LCD Company Limited v
v
LG
IBM PC Company Limited v
v
Hi
plaza Inc v
v
EIC
Properties PTE Limited v
v
LG
Tops Electromagnetica Goldstar SRL v
v
SLD
Telecom PTE Limited v
v
LG
Holding (HK) Limited v
v
STIC
Ventures Company Limited v
v
LG
Goldstar France, SARL v
v
LG
Micron limited, v
v
HItachi
– LG Thailand Company limited |
CAPITAL STRUCTURE
(As
on 31.03.2007) :-
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
115000000 |
Equity shares |
Rs. 10 each |
Rs. 1150.000 millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
113128732 |
Equity shares |
Rs. 10 each |
Rs. 1131.287 millions |
FINANCIAL DATA
[all figures are in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES
OF FUNDS |
31.03.2007 |
31.03.2006 |
31.03.2005 |
|
|
SHAREHOLDERS
FUNDS |
|
|
|
|
|
1] Share Capital |
1131.287 |
1131.287 |
1131.287 |
|
|
2] Share
Application Money |
0.000 |
0.000 |
0.000 |
|
|
3] Reserves &
Surplus |
7694.837 |
6224.696 |
4508.399 |
|
|
4] (Accumulated
Losses) |
0.000 |
0.000 |
0.000 |
|
NETWORTH
|
8826.124 |
7355.983 |
5639.686 |
|
|
|
|
|
|
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
5551.402 |
6609.349 |
6375.652 |
|
|
2] Unsecured
Loans |
174.441 |
672.919 |
3179.245 |
|
TOTAL BORROWING
|
5725.843 |
7282.268 |
9554.897 |
|
|
DEFERRED TAX
LIABILITIES |
0.000 |
0.000 |
80.206 |
|
|
|
|
|
|
|
TOTAL
|
14551.967 |
14638.251 |
15274.789 |
|
|
|
|
|
|
|
APPLICATION OF FUNDS
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block]
|
4095.590 |
4517.167 |
4599.883 |
|
Capital work-in-progress
|
167.641 |
160.511 |
351.540 |
|
|
|
|
|
|
|
Others
|
0.000 |
9.695 |
2.293 |
|
DEFERREX TAX ASSETS
|
485.516 |
165.626 |
32.387 |
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES
|
|
|
|
|
|
|
Inventories
|
9357.338
|
8977.358
|
9709.360
|
|
|
Sundry Debtors
|
5174.060
|
4863.389
|
4047.082
|
|
|
Cash & Bank Balances
|
1818.141
|
1244.739
|
1000.790
|
|
|
Other Current Assets
|
465.993
|
349.592
|
532.299
|
|
|
Loans & Advances
|
2975.786
|
5448.327
|
3648.904
|
Total Current Assets
|
19791.318
|
20883.405
|
18938.435 |
|
Less : CURRENT LIABILITIES & PROVISIONS
|
|
|
|
|
|
|
Current Liabilities
|
9338.772
|
7474.690
|
6373.371
|
|
|
Provisions
|
649.326
|
3623.463
|
2276.378
|
Total Current Liabilities
|
9988.098
|
11098.153
|
8649.749 |
|
Net Current Assets
|
9803.220
|
9785.252
|
10288.686 |
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES
|
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
TOTAL
|
14551.967 |
14638.251 |
15274.789 |
|
PROFIT & LOSS
ACCOUNT
|
PARTICULARS |
31.03.2007 |
31.03.2006 |
31.03.2005 |
|
|
Sales Turnover |
67086.300 |
56925.800 |
50429.617 |
|
|
Other Income |
0.000 |
0.000 |
0.000 |
|
|
Total Income |
67086.300 |
56925.800 |
50429.617 |
|
|
|
|
|
|
|
|
Profit/(Loss) Before Tax |
2175.100 |
2828.752 |
1662.896 |
|
|
Provision for Taxation |
705.000 |
1112.455 |
588.795 |
|
|
Profit/(Loss) After Tax |
1470.100 |
1716.297 |
1074.101 |
|
|
|
|
|
|
|
|
Export Value |
8726.679 |
5619.995 |
4286.181 |
|
|
|
|
|
|
|
|
Import Value |
28972.069 |
18538.056 |
18507.160 |
|
|
|
|
|
|
|
|
Expenditures : |
|
|
|
|
|
|
Financial Charges |
1765.500 |
1884.448 |
|
|
|
Depreciation |
1135.900 |
1319.400 |
48766.721 |
|
|
Other Expenditures |
62009.800 |
50893.200 |
|
|
Total Expenditure |
64911.200 |
54097.048 |
48766.721 |
|
KEY RATIOS
|
PARTICULARS |
|
31.03.2007 |
31.03.2006 |
31.03.2005 |
|
PAT / Total Income |
(%) |
2.19
|
3.02
|
2.12
|
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
3.24
|
4.97
|
3.29
|
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
5.99
|
6.67
|
7.06
|
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
16.66
|
23.33
|
0.29
|
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
0.65
|
0.99
|
3.22
|
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.98
|
1.88
|
2.18
|
LOCAL AGENCY
FURTHER INFORMATION
HISTORY
The company was
incorporated on 20th January, 1997 at New Delhi in India having
Company Registration Number 84548.
The company’s
registered office at 221, Okhla Industrial Estate, Phase III, New Delhi – 110
020 has been shifted to the above address.
Subject is a wholly
owned subsidiary of LG Electronics, South Korea. It started its operation in May, 1997 and within a short span of
thirty months, the company achieved a turnover of approximately Rs. 10000
millions.
The internationally
famed company subject was started off as Lucky Goldstar, a small chemical
company manufacturing cosmetics. The
company was launched in 1947 by businessman, Mr. Ku-in-Hwe, in the second
largest city in South Korea-Pusan.
Its' success ensues
from the genial alliance between the Korean Government and the
organisation. The South Korean
Government guided the five chaebols into different industries and product
lines. The company plunged into the
electronics business under the Goldstar brand name in 1958. In the same year, it manufactured Korea's
first telephone, refrigerator and black and white television and became the
leader in the electronics business, in Korea since. In the succeeding years, it diversified into oil refining, construction,
biotechnology, semiconductor, finance and even fashion.
It adopted the new
name and corporate identity in 1995 from the company's two foremost brands,
Lucky and Goldstar.
NoteS:-
The Company’s registered office has been shifted from New Delhi
to Uttar Pradesh w. e. f. 23.12.2005 and a new company registration No.
20-31138 of Kanpur ROC was obtained.
TRADE REFERENCES:
· · Victor Component Systems Private Limited
· · Astron Polymers Private Limited
· · Delta Cables and Automotive Systems
· · ESS Kay Fabrication
· · GSP Electronics Private Limited
· · SRS Diecasting Private Limited
· · Perfectpac Limited
· · Sinanics Component Private Limited
· · Securipax India Private Limited
· · Khanna Traders And Engineering Private Limited
· · Puromatic Filters Private Limited
· · Unipack Packaging Private Limited
· · Pr Packaging Private Limited
· · Bhaskari Electrical Systems Private Limited
· · Technova Tapes India Private Limited
· · Ravlak Printing And Packaging Limited
· · Amber Enterprises India Private Limited
· · Stypack Polfoams Private Limited
· · Dacs Electro Systems Private Limited
· · Eltech Electronics And Telecommunication Limited
FORM 8:-
|
Name of the
company |
LG ELECTRONICS INDIA PRIVATE LIMITED |
|
Presented By |
Mr. Pradeep
Panda, Company Secretary |
|
1) Date and
description of instrument creating the change |
Agreement for
overdraft, cash, credit, loan against hypothecation of revolving stocks and
other movables assets and also present and future book debts, dated
19.04.2004 |
|
2) Amount secured
by the charge/amount owing on the securities of charge |
Line of credit of
Rs. 676.950 millions |
|
3) Short
particular of the property charged. If the property acquired is subject to
charge, date of the acquired of the property should be given |
First charge by
way of hypothecation of stock in Trade and book debts both present and future
and of the company on a pari passu
with other existing charge holders. |
|
4) Gist of the
terms and conditions and extent and operation of the charge. |
The Line of credit of Rs. 676.950
millions can be availed as
documentary credit foreign / Inland |
|
5) Name and
Address and description of the person entitled to the charge. |
The Hong Kong and Shanghai Banking
Corporation Limited Address: JMD Regent Square DLF phase II, Gurgaon Mehrauli Road,
Gurgaon, India |
|
6) Date and brief description of instrument modifying
the charge |
Dated 20.05.2005 Agreement for
overdraft / cash credit loan against hypothecation of revolving stocks and
other movables assets and also present and future book debts |
|
7) Particulars of
modifications specifying the terms and conditions or the extent of operations
of the charge in which modification is made and the details of the
modification. |
Line of credit
has been increased from Rs. 1386.000 millions to Rs. 2042.175 millions. |
|
Corporation identity number or foreign company registrations number of
the company |
U32107UP1997031138 |
|
Name of the company |
LG ELECTRONICS INDIA PRIVATE LIMITED |
|
Address |
Plot No. 51 Uyog Vihar, Suraj Kasna Road, Greater Noida, Uttar
Pradesh, India |
|
This Form is for |
Modification of charge |
|
Type of Charges |
Book debts Others |
|
Particular of the charge holder
|
Deutsche Bank Address: ECE House, Ground Floor, 28
Kasturba Gandhi Marg, New Delhi – 110 001 Email: shrutee.wadhwa@db.com |
|
Nature or description of the instrument creating charge |
Deed of hypothecation of stocks and book
debts |
|
Date of the instrument creating charge |
16.06.2007 |
|
Amount Secure by the charge |
Rs. 1235.000 millions |
|
Brief of the principal terms and conditions and extent and operation
of the charge |
Rate
of Interest To be declined mutually from time to time Terms
of repayment: to be decided mutually from time to time Margin: 30% Extent
and operations of the Charges: Pari passu Charge Others: As per facility letter dated 10.05.2007 |
|
Shorts particulars of the Property charged |
All stocks in trade both present and future consisting of raw
materials, finished goods, goods in process of manufacturing and other
merchandise whatsoever and all present and future book debts |
|
Particulars of the present modification |
Banks first pari passu charge overall present and future stocks, book
debts increased from Rs. 555.000 millions to Rs. 1235.000 millions All other terms and condition remaining the same. |
OTHER INFORMATION:
The Company is a 100% subsidiary of LG Electronics Inc. Korea. The company
was incorporated on January 20, 1997 under the Indian Companies Act 1956 and
Started manufacturing operations at its first Greenfield facility at Noida in
the state of Uttar Pradesh in 1998 In the previous year, the subject company
started its second Greenfield facility at Ranjangaon near Pune in the state of
the Maharashtra.
The subject company manufacture / trades Television, air conditioners,
Refrigerators, Micro wave Owens,
Washing MAXCHNIES , Compressors, Vacuum Cleaner, optical Storage, Devices,
Audio Systems, Monitors, personal Computer, Note book , GSM Mobiles and DVD
Players.
The subject company had acquire had acquired LG electronics Systems
India Limited (LGSYS) vide scheme of amalgamation approved by the honorable
High court of Delhi w.e.f. April 1, 2002. Consequent to maintenance, repairs
and servicing of CDMA networks and terminals.
The subject company has identified three reportable business segments as
primary Segments:
· · Digital Display and Media Division : Colour Television , PDP , Personal Computer, Monitor, CD – ROM, Audio Systems , DVD, MP3 Player, Optical Storage Device
· · Digital appliances Division : Refrigerator , washing machine, Air Conditioner, Microwave Owen, Vacuum Cleaner and Compressor
· · Telecommunication equipment and Handset division: CDMA Handset, WLL Handset, GSM handset, Wireless in Local systems and Terminals.
Quality Assessment
· · ISO 9000 : 2000
· · ISO 14001 : 1996
· · OHSAS 18001 : 1999
AS PER WEBSITE:
Established in 1997, the company, is a wholly owned subsidiary of LG Electronics, South Korea. In India for a decade now, subject is the market leader in consumer durables and recognised as a leading technology innovator in the information technology and mobile communications business. Subject is the acknowledged trendsetter for the consumer durable industry in India with the fastest ever nationwide reach, latest global technology and product innovation.
One of the most formidable brands, subject has an impressive portfolio of
Consumer Electronics, Home Appliances, GSM mobile phones and IT products.
The company is a wholly owned subsidiary of LG Electronics, South Korea was established in January, 1997 after clearance from the Foreign Investment Promotion Board (FIPB).
The trend of beating industry norms started with the fastest ever-nationwide
launch by LG in a period of 4 and 1/2 months with the commencement of
operations in May 1997. Subject set up a state-of-the art manufacturing
facility at Greater Noida, near Delhi, in 1998, with an investment of Rs 5000
millions. This facility manufactured Colour Televisions, Washing Machines,
Air-Conditioners and Microwave Ovens. During the year 2001, LG also commenced
the home production for its eco-friendly Refrigerators and established its
assembly line for its PC Monitors at its Greater Noida manufacturing unit. The
beginning of 2003 saw the roll out of the first locally manufactured Direct
Cool Refrigerator from the plant at Greater Noida.
In 2004, subject also up its second Greenfield manufacturing unit in Pune,
Maharashtra that commences operations in October 2004. Covering over 50 acres,
the facility manufactures LCD TV, GSM Phones, Color Televisions, Air
Conditioners, Refrigerators, Microwave Ovens Color Monitors.
Both the Indian manufacturing units has been designed with the latest
technologies at par with international standards at South Korea and are one of
the most Eco-friendly units amongst all LG manufacturing plants in the world.
Subject has been able to craft out in ten years, a premium brand positioning in
the Indian market and is today the most preferred brand in the segment.
Internal
Culture
As they all know
requirement of trained and experienced Professional with the desired mindset is
the need of the hour for any Organization to Survive and Grow in this
competitive environment.
To cope with the growing expectations of business and in order to give the
organization a competitive edge to the business they in subject have
streamlined the whole system by integrating the HR fundamentals with
Information Technology and have adopted some practices unique to subject.
Subject as a brand and a market leader in India attracts candidates in
hordes and it's Industry leadership status serves as a major factor in
attracting employees. Therefore subject has the ability to hire the best in the
industry.
Once these candidates are hired, they undergo and exhaustive induction
programme for duration of 14 days under which the candidate is acquainted which
each and every aspect of the organization. A thorough integration with HR
and Business Processes takes place and
the formulation of a KPI is done within three days of taking the candidate
onboard. Customer Department/Vendor Department interaction also takes place.
Subject as an
organization takes pride in the fact that they have the highest manpower
productivity and the lowest manpower cost in comparison to the industry. Infact
subject is benchmarked in terms of manpower costing.
Employees are given a chance to visit Korea on completion of years in subject.
Apart from this subject also has a family ambassador programme where a
dedicated mentor goes to the workers house and talks to his family, their
problems etc. and tries to make their situation better. All workers are served
lunch alongwith the other senior employees so that no demarcation is made.
Infact lunch is
first served to workers and then to the white collar employees. On the first
Monday of every month the workers meet the MD and 50 workers amongst of them
get awards for outstanding performance.
Besides this, there
are informal clubs such as singing, games and yoga clubs which aims at
de-stressing employees and building their overall personality.
Corporate
Social Responsibility (CSR)
With the advent of globalization
in India, the concept of Corporate Social Responsibility has emerged as one of
the most important aspects of corporate behavior. Acknowledging this
responsibility is crucial for an organization's sustainable development and
future access to the global market. A definite corporate social
responsibility(CSR) plan has therefore not only become an integral part of an
organization's brand building strategy, but has also emerged as an important
tool to enhance the organization's credibility, attract potential investors and
clients and employ the best of industry talent.
As a leading
corporate in India, they at subject believe that corporate contribution to
society when guided by self-interest results in long term goodwill building,
and have therefore endeavored to assume responsibility for the needs of its
people, the environment and the society. They have consistently looked beyond
its immediate business environment to address larger societal issues. This
concern springs from the belief that a true corporate vision must embrace the
wider community rather than just shareholders, customers and suppliers.
At the same time, there is nothing
idealistic about subject’s CSR vision, nor is it in conflict with hard-headed
business sense. It is purely an understanding on subject’s part that the time,
resources and in-house professional expertise invested in social development
projects pay rich dividends to the company and the communities in which it
operates. Therefore at subject the message is clear: creating profits can and
should go hand-in-hand with generating goodwill.
A slew of numerous initiatives have
been undertaken by subject ever since its inception in India. The company has
been actively involved in providing social benefits to the disadvantaged
sections of the society. They also have a focused plan for providing health
services to the under privileged children, undertake animal health care and
enhance professional skills of the unemployed youth.
Subject has worked jointly with
Prayas, a Delhi-based NGO by undertaking campaigns / activities for the welfare
and upliftment of underprivileged street and slum children and providing them
services in the field of education, health care, shelter, vocational training
and other rehabilitation programmes.
The company also tied up with
HELPAGE India, the country's largest voluntary organisation working for the
cause and care of disadvantaged older people.
Subject also takes care of 24
villages around Greater Noida out of which six have been adopted formally. The
company has on its pay roll three doctors who visit these villages daily and
offer Free Medical Care, which comprises of free check ups and a free
distribution of medicines.
Subject’s commitment to contribute substantially
to the community led to the formation of the 'Tinkha,' a community development
club consisting of 10 people. It recently organized Blood Donation Camp where
172 employees donated blood in one day.
Subject is also generating self-employment opportunities
for the people in the form of tailoring, knitting etc. with the help of an NGO
named, Jan Shikshan Sansthan. Subject is also imparting repairing training for
the youth on refrigeration and CTV.
In the field of Animal Husbandry, a
veterinary doctor from World Buffalo Trust visits a village everyday and
provides medicines for the domestic animals. Recently, a vaccine drive was also
initiated to immunize all the animals in the 24 villages around Greater Noida.
The drive will continue for the next 6 months.
Apart from the planned activities,
subject has always donated generously to sudden natural calamities like the
recent Tsunami disaster and the Mumbai floods.
Product
Categories
·
· CTV
·
· GSM
·
· Air Conditioners
·
· Refrigerators
·
· Washing Machines
·
· Microwave Ovens
·
· Note Books
·
· Audios
·
· Vacuum
Cleaners
LG Plasma Display Panels
Subject has achieved new dimensions of
technological excellence among the Plasma Display Panel manufacturers. The PDP is available in sizes of 40, 42, 50, 60 and 71
inch internationally.
Subject has world’s slimmest panel at 78 mm to the world’s biggest panel at
71”. The company is the only brand in India which offers “The largest range of
models in the PDP category. Cutting Edge Technology such as Image Stick
minimization, Orbiter, Whitewash, Flexi PIP, Double Window Screen are some of
the features which makes subject’s PDPs, the best made Plasma Panels ever.
LG Televisions
Slimagic
In
the Indian household scenario where space is a major constraint, subject has
come up with an innovative solution by way of World’s slimmest Flat CRT TV,
Slimagic. In India, especially in the metros, there is a major
and subject’s
latest innovation provides a solution to utilize the limited living area /
space in the most useful manner.
The
technology used for Slimagic is highly advanced with a new picture tube which
makes the TV super slim and occupies 30% less space. The unique features of the
Slimagic TV is that it a sleek TV, which occupies less space without
compromising on picture quality and looks attractive with double tone colors.
The LG
X-WAVE TV
X
Wave is India’s first TV with wireless Audio Transmitter. This new technology
will enable consumers to listen TV sound through any audio system with FM
receiver. Thus resulting in Home Theatre experience. The X Wave Wireless Sound
Television comes with unique chip which transmits the TV sound on FM frequency.
The TV sound output can be received by any audio set with FM receivers. This
will enable consumer to experience home theatre sound output. The current model
is available in 21” category and SUBJECT plans to launch 29” Flat X wave
shortly.
LG Mobile Phones
Subject has launched the
its latest Hi-end Camera Phone P7200, S5200, S5000 and M 6100 GSM Handset
recently.
About LG
P-7200
The P-7200 GSM is a high
end phone with Unlimited Video Recording which is trendy, light and easy to
carry. It has a 2 mega pixel camera with Video download and playback support,
integrated USB Memory of 64 MB which makes it a Plug and Play device and a external memory card slot which can be upgraded till 1GB, MP3
Player with never before DJ repeat effect, Bluetooth, E-mail, 1000 nos.
Phonebook Memory etc. the handset is loaded with accessories like Data Cable,
64 MB micro SD Card and a Stereophonic Headset Kit.
About LG S-5200
The S-5200 GSM has up to
2 hours of Video Recording and is MP3 enabled with DJ repeat effect, MP3 Ring
tones, Stereo Surround Sound, Bluetooth, 1.3 mega pixel camera, 4x digital
zoom, Video download and playback facility, 64 MB USB Disk which makes it a
Plug and Play device and USB Charging. The handset has MMS, JAVA, GPRS, 262K
Color Display, 1000 phone book memory, Tri-Band and comes with accessories like
Data Cable and a Stereophonic Headset
Kit.
About LG S-5000
The LG S-5000 the trendy
looking phone with Granite Finish and is one of the lightest handsets available
in the market in India. Its fitted with a 1.3 mega pixel camera, Bluetooth,
MMS, GPRS, JAVA, 262K Color Display, 1000 phone book memory etc. The handset
has Continuous Shoot, Photo Frames, Color Effects, White Balance features.
About LG M-6100
The M-6100’s is sure to
gather attention with it’s its slim style and sleek design. Weighing in at just
88 gm, this mini wonder is equipped with a host of features. It is the first GSM
handset in India that has a pre installed English to English Dictionary, making
sure that are never lost for words ever again.
Armed with a 1.3 mega pixel digital camera with video
recording enables one to capture precious moments perfectly with crystal clear
details. Its built-in flash allows one to take more vivid images regardless of
time and place.
Another advantage with this LG Mobile is that it comes with
Plug and Play feature. Just connect it the PC and can copy and paste any Video, MP3, Photos or Data ‘to’ and ‘from’
the PC without any driver support. Last but not the least this beauty comes
with and internal memory of 128 MB, USB disk, 1000 X 5 phone book memory, built
in modem and MP3 Player.
It is loaded with Polyphonic and MP3 Ring tones and also
has MP3 shortcut Key, DJ Repeat Effect, Graphic Equalizer and Real MP3 chip for
real Sound Effects.
LG Air Conditioners
Whisen Range
Marvel in Design and
Technology, the Whisen range is ideally suited to match the urbane interiors. This
range has been armed with intelligent features like energy efficient
compressors which enables minimum power consumption and higher cooling
efficiency. It comes equipped with features like Fuzzy Logic, Tele-Control,
Nano Plasma-Pure filter, 3-D Cooling in addition to the ultra-slim Golden
Section design to match these unique features. The Whisen range is available in
prices ranges between Rs. 23,490 – 66,000/-
The Whisen range encapsulates the following range of smart
air conditioners:
Art Cool and Art Cool Mirror Split ACs - Promising to
change the face of air-conditioning in India, subject’s has developed and
launched the spectacular range of Art Cool ACs, the perfect fusion of
State-of-the-art technology and design.
The highlight of the Artcool range apart from the technology excellence itself,
is it’s ability to transform itself from a normal AC to a stunning designer’s
delight, with the ability to match not only the buyer needs, but the various
moods as well. The range is customized to the extent that it can be designed to
match the distinct décor of the buyer’s home, varying from room to room.
The Whisen range also includes the Smart Sense Twin Power
Cooling System AC and the revolutionary 3-Way window Air Conditioner. The Smart
Sense ACs are equipped with twin compressors, that co-work intelligently to
reach the set temperature, once the temperature is attained, only one
compressor works while the other rests and
saves power. The 3-Way Surround Cool Conditioner comes in 1 Ton/1.5 Ton
AC with 3-D airflow technology made possible because of a unique blower that
gives the additional advantage of cooling from 3 sides. This enables uniform
cooling throughout the room, reducing compressor running time and resulting in
energy conservation.
Intello Air Range
LG Intello air
conditioners encompasses an impressive portfolio of ACs such as Wide Cool, 4D
Intake, Surround Cool, Energy Guard and EZclean grill AC.
LG Intello Air ACs are equipped with Plasma Pure Filter
which kills bacteria, and makes the surroundings free from micro-organisms
providing healthy living standards. Some of the other outstanding features of
the Intello air range include Deo-Air Filter, which absorbs unpleasant odors
and keep the air fresh, Jet Cool and X
Power Fans - for faster and uniform
cooling, Energy Saver Modes for economical operations. The AC’s have built-in
anti-corrosive Gold Fins and Blue Fins, these are hydrophilic coated fins, that
apart from preventing corrosion also reduces noise levels, saves power and
improves efficiency.
LG Commercial Air Conditioners
The MPS CAC is the first
of its kind in this segment worldwide and is especially designed for the
consumer with integrated cooling solution requirements. This product is
specifically targeted towards the premium residential and mid sized commercial
establishments.
The MPS technology works on the concept of Multiple
compressor incorporated in single condensing unit with multiple indoor units,
and the various indoor units will operate through electronic Controls, so that
it will run as per the heat load requirements. The unique features of the new
LG MPS CAC include energy saving capacity up to 46% and high reliability cycle.
It enables easy installation with the help of hassle free pipe work which
extends up to 120 meters for multiple connectivity. The MPS range is introduced
in five models ranging from 35 to 100k cooling capacity.
The LG MPS CAC strengthens LG’s portfolio of air
conditioners and after maintaining the numero uno position in the room air
conditioning segment, Subject is geared up to reiterate the success in the
commercial air conditioning segment also. The LG’s Commercial Air Conditioning
(CAC) product range includes ceiling concealed air conditioners suitable for
(large conference, marriage halls, showrooms), floor mounted package (malls,
multiplexes, hotels, offices) cassette AC type (restaurants, malls, offices)
Roof top single packaged (auditoriums, industries, multiplexes, Banquets) and
Multi V (Variable refrigerant flow) air conditioners. The MPS CAC is the main
attraction in the commercial air conditioning range due to it’s unique features
and technological marvel
LG Refrigerators
DIOS
LG India
launched the World’s First TV Refrigerator – TV DIOS with a 13-inch hi-definition
TFT LCD TV installed at the center of its door. The 600 litres TV DIOS also has
a built-in radio tuner providing access to FM stations and is supported by
built-in speakers. It has an astounding silver nano-antibacterial and
nano-carbon deodorizing technology which has won LG the ‘KT new technology
mark.’ Thus, this refrigerator brings together the best in food preservation
and storage with multi-media functions as a quintessential digital home
appliance. SUBJECT has a complete range of DIOS with over 30 different models
world over.
FROST FREE
LG
has launched an exhaustive range of feature rich diamond cut frost-free
refrigerators ranging from a capacity of 230L to 751L. The company currently
has six variants in 230 liters capacity, four variants in 250 liters and five
variants each in 280 liters and 310 liters capacity respectively. The company
also launched two variants each in 350 litres and 390 litres capacity and 6 variants in 400+ range.
LG’s
Diamond cut refrigerators, with new features, are a whole lot easier to use.
Responding to extensive consumer feedback, LG offers the convenience of more
storage space in the door. LG has introduced features which are more customer
friendly and will pave a path to more convenient usage of the Refrigerator. The
Ice Beam Door Cooling technology in the frost-free refrigerators enables
uniform cooling in the refrigerator thus keeping the food fresh for long
retaining its nutritive contents. Beside the patented Ice Beam Door Cooling LG
has also introduced “Green Iron Door Cooling” a revolutionary new technology
that uses non-toxic substance called Catechin, extracted from green tea leaf to
prevent bacteria, mold and unpleasant bad odor from entering the refrigerator
The
new range of refrigerators will now be available with more value added features
such as a MICOM panel, Kangaroo Tray, Anti-bacteria gasket, sliding door bin in
addition to the already existing features like FIR Lamp, Cell Fresh Crisper,
Door Cooling, humidity controller which helps in keeping the food fresh,
healthy and crispy for long. Anti-Bacteria gasket provides bacteria free zone,
which delays the formation of molds, hence keeping food fresh and healthy.
Sliding door bin has further addressed the problem faced by users in storing
2-liter bottles in their refrigerators. This multi-utility shelf provides
convenience in storing bigger bottles and can be detached to keep more bottles.
The
Kangaroo tray glides open smoothly and has a pullout; full-width front section
that provides two tiers of storage, making Vegetable compartment access easier
than ever and with the drawer's unique design, there is plenty of storage room
for all shapes and sizes of fruits and vegetables.
LG
Washing Machines
TROMM
The
company has unveiled the latest front loading TROMM series, drum washing
machines. Its futuristic wash features such as Fuzzy Logic technology ensures
that once press the start button, smart sensors automatically detect the
laundry load and water level. Adjustments are then made in the water levels and
cycle time based on the laundry load to give that perfect wash. Fuzzy Logic
also detects machine imbalance and excessive foam formation and adjusts the
same for the best washing performance. At the touch of a button LG TROMM saves
water and energy giving a clean and convenient wash.
TROMM
has the largest capacity 7 kg drum load capacity, Single dog Dial feature,
Delay Timer, Digital Display. It has Eco Wash, 9 Water levels and GRPP Outer
Drum features give the benefit of saving electricity. Self Diagnosis mechanism,
child lock and rat cover are the added safety features.
Top loading fully automatic washing
machines
LG’s Top loading range of fully automatic
washing machines comes equipped with the revolutionary
i Sensor technology. The i-Sensor technology is a
combination of 7 sensors against the normal 4 present in other machines, which
delivers a supreme wash. The hardness, detergent and temperature sensors are
the additional sensors. 7-water level sensors help in power saving of upto 15%
more than regular washing machines. LG also displayed its Turbodrum and 3 step
wash range of machines which delivers best towards washing and rinsing
performance. The washing machines also come with safety features such as imbalance
and door lock sensor with child-lock feature. The machines are equipped with
self tub clean system for better hygiene. All these superb features enable
washing that offers tangle free clothes, less wear and tear and complete yet
gentle cleaning.
Aesthetically
very appealing, LG Washing Machine has stylish European looks which is a unique
blend of eye-catching design, user-friendly controls and digital as well as
window display. The FRONT LOADING Washing Machine range comes in four colors,
making LG the only company in India to offer so many color options.
Semi Automatic Washing Machines
LGEIL
has a total line up of 11 models in SAWM offering capacity of 6.2, 6.5, 7.0 and
7.2 Kgs. The highlight of the Semi Automatic Range was India’s first 6.5 Kg capacity
semi-automatic washing machine, developed through the efforts of LGEIL’s robust
in house Rand D and Product Planning Team, with an investment of over 250.000
Millions. This washing machine has been designed taking into consideration the
aspirational as well as functional needs of Indian consumer. The new Semi
automatic machine launched has international looks and elegance.
LG
WASHER and DRYERS
The
LG Dishwasher is a technological miracle with high performance levels,
dependability, energy efficiency and convenience. The uniqueness of the LG
dishwasher is that it enables 50% fold down times to enable washing of large
vessels, various washing systems and an aqua stop which will detect water
leaks. It also has a triple filter which increases the efficiency of use of
water and energy. The dishwasher can be hailed as the gadget of the millennium
since it requires least water consumption has more programs and comes in sleek
design.
LG’s
Washer Dryer, unique in its offerings marks entry of this segment in Indian
market. Consumers would be offered complete Wash and Dry solution with this
compact machine which has a large capacity of 8 kg washing and 4 kg drying
capacity. Its features of auto dry and max spin speed of 1400 RPM making LG
washer dryer a value for money Proposition.
The
Dryer comes loaded with latest condensing technology for drying clothes thus
eliminating the need for air vent and duct which is commonly observed in
current Indian offerings. It has dual lint filter and can handle bulk load upto
7 Kg.
Each
LG solution comes out with the 2-year warranty and assured service support.
Aesthetically very appealing every LG product has a unique blend of
eye-catching design, simple controls and superb washing and drying solutions.
LG’s milestones in the Washing Machine category:
1997: LG launched its top loading
washing machine from Korea
1998: Washing machine factory setup and start semi
automatic washing machine
1999: Washing machine export started and launched front
loading
2000: Launched MICOM controlled Semi automatic WM
2001: Launched 10 Kg. Digital Display top loading and new
range of front loading
2002: Home production of top loading WM
2003: Became No.1 brand in WM category
2004: Launched TROMM
LG Microwave Ovens
LG
has launched their high end microwave ovens SolarDOM and WaveDOM. The LG
SolarDOM is currently the world’s best microwave oven with its unique Light
wave Technology which enables three times faster cooking, high nutrient
retention, better energy efficiency (50% saving) and high convenience levels.
The Round Cavity design makes it easy to clean and at the same time saves
space. It has a Indian Auto Menu option, Multi Rotisserie grill and Smart Guide
Display. Consumers also have an option of getting an installation kit if they
have built-in type of kitchens.
The
WaveDOM has unique Round Cavity feature which enables 3 times faster cooking,
12% bigger turntable size, 60% more usable volume than a normal square cavity
and easy to clean features. Each LG model comes with the 1-year warranty and
assured service support. SolarDOM outsmarts conventional cooking appliances in
terms of design as well; an acknowledgement confirmed by the IF Design Award,
one of the world’s most pre-eminent design achievements
LG Notebooks
LG
has launched two Premium state-of-the-art notebooks based on the latest Intel’s
Napa platform with dual CPU cores, developed in INDIA by Intel. Dual cores
combine two cores in a computer’s CPU to deliver a 30 per cent better
performance when processing multiple tasks. These two LG Notebook models are LG
P1 Express Dual and LG M1 Express Dual with 15.4 inch wide-screen and 15 inch
TFT respectively.
These Notebooks from LG are a unique combination of design,
performance, entertainment and security. These LG Express Dual-core processor
based Notebooks are exquisitely designed to give the users the experience of
handling a sleek, gorgeous and technologically rich notebooks.
Entertainment has also been given impetus and these LG
Notebooks are bundled with 5.1-channel Dolby Digital, SRS, 24-bit HD Audio,
3-Port Analog Output, S-Video and many such amazing features on select models.
The newly launched notebooks are equipped with enhanced
security features such as TPM (Trusted Platform Module), Finger Print Reader
and HDD security, and are Bluetooth enabled.
LG Audio
LG
now has a comprehensive lineup of 17 products to offer to its consumers in the
Audio segment, making it one of the largest line-ups in the audio market.
LG’s
Audio range comprises of the most progressive range of wireless MP4 Home
Theatres, MP3 Home Cinema Systems and Room Theatre Systems. Subject has one of
the widest product portfolios in Audio category at the moment and further plans
to enhance the portfolio with a slew of futuristic launches. LG Audio systems
come equipped with wireless speaker systems, which works on 2.44 GHz frequency,
which is far superior technology than offered by any other company in India.
The highlight of LG audio segment is the Next Gen Karaoke System (NKS)
developed by the company.
Next Gen Karaoke Systems (NKS)
LG
has launched NKS will be launched in four variants to suit the needs of a wide
base of customers. Two NKS variants are available in Home Theatres –one with
500 w rms, tall boy sleek design and the other With 220 w rms bookshelf / Wall
mountable speaker design. The Third variant has been launched in DVD Audio
System category with 2200w PMPO and 3 DVD changer / super-impose function. LG
will also introduce a variant in MP4 DVD Player equipped with Optical audio
output and Multi format playback facility.
NKS
is replete with a host of features, with each one further adding to the user’s
enjoyment. The system comes with free software contained in two DVDs with 1800
songs from various genres, both in Hindi and English. The system provides on
Screen scrolling lyrics with guiding highlighter to enable the singer to sing
along even if they don’t know the lyrics. A free microphone is provided with
all NKS systems alongwith 1800 coded songs book for easy song search and
selection.
LG Vacuum Cleaner
LG
presents its unique range of “Healthguard” Vacuum Cleaners packed with advanced
features which make them the most powerful vacuum cleaners. The advanced
technology in them can draw out dirt and germs from the difficult places. It
not only rids the surfaces of dust particles as small as 0.3 microns but
cleanses the air of germs, mites and other harmful microbes.
It’s unique HEPA Filter is a multi layer filtration system
which removes particles 300 times smaller than human hair. The Sani Punch
nozzle, specially designed for cleaning beds and blankets uses air pressure to
dislodge the toughest of dust mites and bacteria. is the 1300W-1400W power
behind the machines. It also has a convenient auto-retractable cord and a
washable dust collection jar. LG Healthguard Vacuum Cleaners comes in range of
4 models –Roboking, Cyking, Extron punch, Spark and
Sweeper.
News:-
LG introduces ultra-slim ultra-light LED
Notebook
Date : 15-SEP-08
LG Electronics India Pvt. Ltd. recently announced the launch of its ultra-slim
ultra-light 13.3-inch premium notebook – the P300 series, targeted at the
performance- and style-minded younger generation. The notebook weighs only 1.6
kg and is extremely slim with a thickness of only 21 mm.
The notebook is crafted with an exceptional black rose pattern, while the brim
is made with an aluminum material. Making use of metal hairline, the cover is
in perfect harmony with the design of the wrist support area of the keyboard.
The cover is offered in two colors: Black
Rose and Wine Rose.
Not just for looks, the P300 lives up to its reputation in the performance
arena as well. It boasts an Nvidia® Geforce® 8400M graphics chip, 4GB DDR2
memory, and a 250GB SATA type hard disk drive, all on top of a 2.1GHz Intel®
Core™2 Duo Processor. And with the maximum 3MB L2 cache, the performance of the
laptop has been elevated to a new level.
Particularly, considering the growing HD environment, the LED Back-Light LCD
was indeed the right choice for the P300 series that brings with it a clearer
screen for 3D gaming, video and picture viewing owing to enhanced brightness
and contrast ratio. With its realistic sound reproducing Surround System (SRS)
high-output stereo speakers and 1.3 mega pixel webcam, the notebook is the
perfect mobile entertainment machine.
Commenting on the latest launch, Mr. Anil Arora, Business Group Head, PCs, GSM
and DAV, LG Electronics India Pvt. Ltd. said, “Consumers today are looking for
the right mix of great features and amazing looks while purchasing laptops. As
this new product brings together a slim and light design with high portability,
ease of use, and top-notch performance, it is clearly the right choice for the
active business professionals of today. This notebook is being positioned
amongst the youth and professionals with the concept of providing perfect
harmony between mobility and performance”
Talk endlessly with LG KP199 GSM phone
Date : 01-SEP-08
LG Electronics India
Pvt. Ltd. today launched a new model in its dynamite series – the LG KP199. The
handset offers you an exceptional talk time of upto 11 hours and standby time
of upto 30 days* through a high capacity battery of 1350 mAh . The handset
boasts of one of the best battery in its class.
This model addresses two major customer needs in India. Firstly Indians
customers have a urge to connect through their mobiles with their friends and
family, hence they require a higher talk time .Secondly many areas in India
still do not have regular power supply ,many non urban areas only get limited
power supply ,a 30 day standby time offers a uique solution to this problem .
Wake up to the tunes of FM music every morning: With the new LG KP199, the user
can listen to his favourite music station and the same can work as a wake-up
alarm as well. This unique feature by LG is definitely an innovation offered by
the company to make the music experience truly delightful for the customers.
Keep Clicking: With a one-touch hot key and amazing picture clarity in the LG
KP199, one can shoot pictures as per their wish. Just switch on the camera,
start clicking and create new memories.
MP3 Player: Just simply store your favorite songs in this new offering by LG
and listen to them on either the inbuilt speakerphone or on the earphones. Hear
and enjoy the songs of your choice.
Go Wireless: The LG KP199 gives you the comfort of using a Bluetooth headset.
Hence, no more holding the phone or carrying a wired earphone, just connect to
your bluetooth headset and talk for long.
News…Wherever you go: The new handset comes with a unique feature that enables
customers to stay connected with the rest of the world by accessing NDTV
Active.
Anti-theft Mobile Tracker: Like other LG GSM phones, this one also comes fully
loaded with the Anti Theft Mobile Tracker. If your phone is lost or stolen and
the founder tries to insert any other SIM, the phone automatically sends out
messages on two prestored numbers, and the receivers get to know the location
and the new Number of the SIM inserted in the phone. Not only this but phone
sends the messages to the two number after every 12 hours or whenever the phone
is used.
Commenting on this new exciting launch from LG, Mr. Anil Arora, Business Group
Head, GSM, PCs and DAV, LGEIL said, “We at LG Mobiles thrive for offering the
finest and most essential features to our consumers. Considering the importance
and urge for communication, style and usability for the Indian consumer we have
come out with some never before features in our mobile segment. KP199 is not
just a product but a package deal with all the important aspects, technology
and features which are sure to entice and satisfy our consumers. The KP199, a
fully loaded phone with advanced Multimedia Functions and Long Battery Life
will definitely appeal our customers.”
The phone is available in the Indian market for Rs. 4390 (MOP) only .
Technical Specifications
• Network : GSM Tri band (900 / 1800 / 1900)
• Dimension : 105 * 46 * 15.5 mm
• Weight : 84.5 gm
• Display : 1.77” TFT 262K Color
• Camera, VGA
• Video recording
& playback
• MP3 Player
• FM Radio with scheduled
FM recording, FM Alarm , FM on Spk
• Group Messaging,
• Associate image or video for a contact or a group
• Voice recording ,Call conversation recording
• 1000 phone book memory
• Bluetooth with A2DP
• Internal memory 60MB , External memory support : Micro SD memory
card
• Java ,GPRS , NDTV Active
• Supported languages : English & Hindi with predictive word input T9
• Anti-theft Mobile Tracker
• Flight mode
• Melody composer
• USB Charging
& USB Data transfer
• 64 Polyphonic tones
About LG Electronics India Pvt. Ltd.
LG Electronics India
Pvt. Ltd., a wholly owned subsidiary of LG Electronics, South Korea was
established in January 1997 in India. It is one of the most formidable brands
in consumer electronics, home appliances, IT hardware and mobile communications
space. In India for a decade, LG has earned a premium brand positioning and is
the acknowledged trendsetter for the industry.
LGEIL has achieved a
turnover of Rs 95000 millions in 2007. LGEIL's manufacturing unit at Greater
Noida is one of the most eco-friendly units among all LG manufacturing plants
in the world. The second Greenfield facility is located at Ranjangaon; Pune has
the capacity to manufacture GSM Phones, Colour Televisions, Air Conditioners,
LCD TVs, washing machine, refrigerators and Optical Disc Drives. This is
India's first mobile phone manufacturing unit and also Asia 's largest Optical
Disc Drive manufacturing plant.
LG India aims for top slot in
Digital Audio Market
Category : Consumer
Electronics
Date : 11-MAY-07
Bangalore, 8th May, 2007: The country’s leading consumer electronics
company, LG India today announced it’s foray
into the MP3 player and car audio segment. The company has also launched
its enticing new “touché “ range
of high-end Home Theatres, Lifestyle Audio systems , MP3 players, and high
definition DVD that have special features such as a high-gloss piano black bodyline, a sleek touch pad and red lighting
that add luxury and sophistication. The bio-indicate lighting in the touch pads
allows users to "communicate" with the product, which reacts to user
movement in its touch sensor area.
In continuation with its pioneering efforts towards bringing the latest
technology to the country, the company also showcased the world's first Dual-format High-Definition
Disc Player at the occasion.
Speaking at the launch, Mr. Moon B
Shin, MD, LGEIL said, “Our research shows that world over product
aesthetics is playing a major role in consumer buying decision. We are
extremely pleased to take the aesthetic appeal of products to the next level
through our “Touché” series, a
first in India. Like all LG products, these new launches will also be a
combination of performance, technology and looks and we are confident of
capturing unanimous interest of our target audience which is style conscious,
upmarket and very sophisticated.”
Post this launch, LG’s product portfolio shall encompass not only the best in
home entertainment but also in mobile and in-car entertainment. While the MP3
and MP4 players are priced from Rs.
0.003 million to Rs.0.012 million, the car audios will be available at a
price range of Rs. 0.005 - 0.060
million
Added an elated Mr. M B Shin,
“Audio Video is a focus category for LG, and we will be spending close to Rs.
50.000 millions in the second quarter of the current year for marketing these products
and aggressively targeting the huge consumer base. We are confident of achieving a turnover of Rs 4500.000 millions
in the Digital Audio Video segment by year end. This translates into a
70% value growth in the segment for LG even though the industry itself is
growing at the rate lower than 10%. We are already the top brand in video
segment and are aiming to achieve the numero uno status in digital audios
segment by year end 2007.”
LGEIL commences LCD Television
manufacturing at Pune Plant
Category : Corporate
Date : 05-APR-07
New Delhi, April 05, 2007: Leading Consumer Electronics and Home
Appliance Brand, LG Electronics India today announced the commencement of LCD
Television manufacturing at it’s Ranjangaon facility in Pune. With an initial investment
of US $ 0.5M, LG has begun manufacturing 32” Liquid Crystal Display Televisions
at this facility.
The present capacity of the facility is of 1 lakh unit per year and it shall
cater to the need of the domestic markets . LG plans to upscale its operations
to a figure of 2.5 lakh units a year in the near future. The Pune plant in
addition to its current manufacturing facility at Greater Noida will enable the
company to enhance its consumer reach and reiterate it’s commitment towards
providing superior technology products to the India consumer.
According Mr. Moon B. Shin, Managing Director, LGEIL said, "This
investment is in synergy with our vision and focus of expanding into premium
products. The optimism that the Indian consumer has shown towards premium
products has encouraged LG to invest into expansion of manufacturing facility
at the Pune plant and enter the LCD TV manufacturing. It will give us an edge
over other players in terms of production and subsequent market share."
Currently the facility manufactures Refrigerators, Color Televisions,
airconditioners, Washing machines, Microwave ovens, monitors, GSM phones and
Optical disk drives and caters to domestic as well as export markets.
LGEIL to make laptops at Ranjangaon plant
[ THURSDAY, SEPTEMBER 08, 2005 04:55:53 PM
MUMBAI: LG Electronics
India Limited (LGEIL) said it was planning to manufacture laptops at its
proposed greenfield plant at Ranjangaon near Pune.
"They will look at manufacturing laptops at their upcoming facility at
Ranjangaon after the anomalies on taxation on computer peripherals are
solved," a senior LG official said here.
The manufacturing of laptops is also subject to the condition that the company
first attains a sustainable market share in the local market, he said.
The excise duty on computer peripherals is about 16 per cent and reduction in
it would bring down the manufacturing costs by 5-10 per cent, he said adding,
LG would be the first company to manufacture laptops in the country.
"They hope that tax anomalies would be sorted out in the coming budget and
once that is done they will look at laptop manufacturing at Ranjangaon",
he said.
The company is also looking at newer markets for exports besides manufacturing
its hi-definition television in India soon.
"They are looking at the African markets including countries like Zambia,
South Africa and Uganda as India has a better access to Africa than China.
The company has the technology to manufacture hi-definition televisions and
would also look at in the future, he added.
LGEIL is setting up a Rs 9000.000 Millions Ranjangaon plant to manufacture its
products including DVD writers and has entered in a MoU with the Maharashtra
government for it.
Pune,
March 22
THE country's first GSM plant for making mobile
handsets from the house of LG Electronics started operations in Ranjangaon near
Pune on Tuesday.
LG Electronics India Limited (LGEIL), the Indian
subsidiary, is set to hit the domestic market with 1.2 million mobile handsets,
Mr K.R. Kim, President, South West Asia LG Electronics and Managing Director of
LGEIL, said here.
LG Electronics has a target turnover of Rs 90000.000
Millions for the current calendar year and is estimating at least 10 per cent
(Rs 9000.000 Millions ) to come from the Indian operations.
Talking to presspersons, Mr Kim said the company is
in the process of setting up another new facility, exclusive for producing GSM
handsets and would be ready by August. He said it would hit the domestic market
with CDMA mobile handsets by next year.
Mr Kim said LG Electronics was looking at production
of two million CDMA handsets for the year 2006 and three million units by 2007.
He said it was looking at SAARC, West Asia and the African countries for export
of GSM handsets.
The company services Bangladesh, Nepal and Sri Lanka.
Mr Kim said the target was to export close to 0.500
Million units for the current year and double it on a year-on-year basis. He
said it would introduce all new technology in a phased manner.
Asked why the company was setting up a new facility
for GSM handsets, Mr Kim said once the production line is ready, it is no
longer necessary to go back to the Korean parent for any modification or
requirement. He said it would be easier to produce handsets according to
customer tastes and that the new facility would house 200 research personnel.
Currently, there are about 45 research personnel.
Mr Kim said the greenfield facility inaugurated in
October 2004 has a capacity to manufacture colour televisions, air
conditioners, refrigerators, washing machines, microwave ovens and colour
monitors.
LGEIL has invested Rs 1500.000 Millions for the
Ranjangaon facility, said Mr Kim. He said the company would begin commercial
production of microwave here in a couple of days. Till now, the facility in
England had catered to this.
The England facility was closed down due to high
labour costs and since it was no longer a high value commodity unit in those
markets. Mr Kim said the company was looking at a production of 0.120 Millions
units for the current year and that the facility has a production capacity of
0.300 Millions units.
Mr Kim said LGEIL plans to bring in some of its
production to the Ranjangaon facility from its Nodia plant. This facility will
concentrate on export of IT products from the Ranjangaon facility. This will
begin by the end of the current calendar year. He said exports are easier to
handle from the Ranjangaon facility than from Noida.
He said the company expects a 15-per cent turnover
for year 2005 from IT. This is expected to rise to 65 per cent by 2010.
About LG
Electronics India Limited
LG Electronics India Private Limited, a wholly owned subsidiary of LG Electronics, South Korea was established in January 1997 in India. One of the most formidable brands in the consumer durable and home appliances segment, LGEIL has an impressive portfolio of Color Televisions, Washing Machines, Air-Conditioners, Microwave Ovens, Refrigerators (Direct Cool and Frost Free), PCs, Vacuum Cleaners, Audio Systems, DVDs, PDPs, optical storage devices, Laptops and GSM mobile phones. In India for over eight years, LG has earned a premium brand positioning due to its superior quality, high product performance, revolutionary technological delivery and warm service. LG is the acknowledged trendsetter for the consumer durable industry in India with the fastest ever nationwide reach, latest global technology and product innovation.
LGEIL has achieved a turnover of Rs 75000.000 Millions in 2005 and aims to be a
USD 10 Billion company by 2010, with an investment of USD 250 million allocated
over the next five years to the Indian market. LGEIL's first manufacturing unit
at Greater Noida is one of the most eco-friendly units among all LG
manufacturing plants in the world. The new and second Greenfield facility of LG
Electronics India located at Ranjangaon, Pune has the capacity to manufacture
GSM Mobile Phones. Color Televisions, Air Conditioners, Refrigerators, Washing
Machines, Microwave Ovens and Color Monitors and is operational since October
last year. LGEIL also plans to produce 20 million mobile handset units by 2010
at this new state-of-the-art facility – This is India's first mobile phone
manufacturing unit.
|
Press Heading |
: |
LG inagurates
exclusive IT and GSM Shoppe, Fone and Fun at Nehru Place in New Delhi on 13th
March |
|
Date of publish |
: |
22-MAR-2006 |
|
Press Description |
: |
Mr.SS Kim, Vice
Chairman and CEO, LGE was here in India from 13-15 March to gauge the market
potential of the IT and GSM industry in India |
|
Press Description |
: |
LG Express Dual
Notebooks are a true blend of design, performance, entertainment and security |
|
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||
|
Press Heading |
: |
LG Electronics Introduces
the Mega Promotion Offer for the Festive Season |
|
Date of publish |
: |
26-JAN-2005 |
|
Press Description |
: |
LG Electronics
Introduces the Mega Promotion Offer for the Festive Season |
|
|
||
|
Press Heading |
: |
LG Achieve Leadership
in PC Monitors |
|
Date of publish |
: |
26-OCT-2005 |
|
Press Description |
: |
LG Achieve
Leadership in PC Monitors |
|
|
||
|
Press Heading |
: |
LG Launches 2 new
Microwave Oven |
|
Date of publish |
: |
08-OCT-2005 |
|
Press Description |
: |
LG Launches 2 new
Microwave Oven |
|
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|
Press Heading |
: |
LG Aims to sell 1
million microwaves by 2007 |
|
Date of publish |
: |
10-OCT-2005 |
|
Press Description |
: |
LG Aims to sell 1
million microwaves by 2007 |
|
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Press Heading |
: |
LG Electronics
Launches Premium Pcs, Notbooks |
|
Date of publish |
: |
06-NOV-2005 |
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Press Description |
: |
LG Electronics
Launches Premium Pcs, Notbooks |
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Press Heading |
: |
LG India Plans Rs
900-cr investment |
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Date of publish |
: |
01-OCT-2005 |
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Press Description |
: |
LG India Plans Rs
900-cr investment |
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Press Heading |
: |
LG Electronics
crosses $100mm in exports |
|
Date of publish |
: |
02-OCT-2005 |
|
Press Description |
: |
LG Electronics
crosses $100mm in exports |
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Press Heading |
: |
LG Launches
Promotion plan |
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Date of publish |
: |
30-SEP-2005 |
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Press Description |
: |
LG Launches
Promotion plan |
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Press Heading |
: |
LG Festival Offer
From October 4 |
|
Date of publish |
: |
30-SEP-2005 |
|
Press Description |
: |
LG Festival Offer
From October 4 |
|
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||
|
Press Heading |
: |
LG raises export
target for 2010 to $ 1 billion |
|
Date of publish |
: |
02-OCT-2005 |
|
Press Description |
: |
LG raises export
target for 2010 to $ 1 billion |
LG Electronics India
They
visited the new manufacturing plant set up by LG Electronics India
Private Limited, the wholly owned subsidiary of South Korea-based consumer
electronics and home appliances major at Ranjangaon, near Pune. They also spoke
with the top brass at LG Electronics India, including K.R. Kim, Managing
Director of LG Electronics India and President, South West Asia, LG
Electronics.
Kim,
and his team talked about the Ranjangaon plant, and its overall strategic plans
for India. The company officially announced the commencement of GSM mobile
phone handsets at the Ranjangaon plant, and said it was building another
production line dedicated for GSM handsets in the same complex.
LG
Electronics India Private Limited, the wholly owned subsidiary of South
Korea-based consumer electronics giant, is betting big on India and is planning
to make it an export hub for the markets in South Asia, Middle East and Africa.
The Korean company has already become the leader in India's fiercely
competitive consumer durable and home appliances market since it set foot here
in January 1997. Later that year in May, LG announced its grand plans for India
in a nation-wide launch, and went on to set up a state-of-the-art manufacturing
facility at Greater Noida, near Delhi, in 1998, with an investment of Rs5bn.
The facility manufactures Color Televisions (CTVs), Washing Machines,
Air-Conditioners (ACs), Microwave Ovens, Refrigerators PCs and Monitors. In the
short span of eight years, LG has achieved the position of a premium brand in
the Indian market and is today the most preferred brand in the consumer durable
and home appliance segments. In 2004, the company's turnover touched Rs65bn,
the highest among any company in this segment in the country. The company has
set a target of achieving a turnover of Rs90bn in 2005. LG wants its Indian
unit to generate US$10bn in annual revenue by 2010. Around 30% of these revenue
will come from exports.
New Manufacturing
Plant:
Encouraged by this stupendous growth, LG Electronics India started building another manufacturing facility at Ranjangaon, some 50 km away from Pune in Maharashtra at an initial investment of Rs1.5bn (US$32mn). Spread over an area of 50 acres, the sprawling new facility is designed to manufacture CTVs, Refrigerators, ACs, Washing Machines, Microwave Ovens and Color Monitors. The plant commenced commercial production in June 2004, three months ahead of schedule. At present, it manufactures CTVs and Refrigerators besides assembling of a couple of GSM mobile handsets. The Ranjangaon facility is in line with LG's vision of making India the global export hub. The new plant, in addition to the Noida factory, will enable LG to expand its consumer reach and ensure better supply chain management that would translate into a faster response time. The company aims to pump in Rs. 5bn in the plant over the next five years. At present, it has a manpower strength of 2,000 people, and can go up to 5,000 by the year 2010. The new plant will contribute 10% of LG's total projected revenue of Rs90bn in 2005. It aims to double this every year and plans to increase it to 30% by the end of 2007.
Production Capacity:
CTVs – 0.500 Millions units
per annum
ACs – 0.100 Millions units
per annum
Refrigerators – 0.500
Millions units per annum
Washing Machines – 0.200
Millions units per annum
Microwave Ovens – 0.050
Millions units per annum
Mobile phone handsets –
1.000 Millions units per annum
Monitors – 0.100
Millions units
GSM Handset Facility:
Led
by mobile phones, India's telecom market has grown by leaps and bounds over the
past few years, and is likely to continue in the same vein in future as well.
Despite this tremendous growth, the country's tele-density is still quite low
at around 9%. Hence, it provides a lot of scope for future growth. As a result,
after studying the market for many years, a number of companies, including
Nokia, have announced plans to set up manufacturing facilities for making GSM
mobile handsets.
However,
LG Electronics India has gone a step ahead with the assembling of GSM handsets
at the Ranjangaon facility. It is also building a dedicated facility for GSM
handsets within the same complex. That facility is likely to begin commercial
production of GSM handsets in August this year. LG will also start
manufacturing CDMA handsets a year later. In 2005, the company plans to sell
2mn mobile phones. It aims to produce 20mn mobile handsets by 2010 from this
facility. LG intends to export 50% of the production of the mobile handsets
from this facility.
The
contribution of mobile phones and IT products in LG's total revenue will touch
65% in 2010. Right now it is at 15%. The new GSM facility will help LG become
the No.1 player in the mobile handsets market in India in the next three years.
The GSM facility will involve an investment of US$60mn by the year 2010.
R and D Thrust:
LG
aims to spend 2-3% of its total revenue on Research and Development (R and D)
and hopes to establish India as an R and D hub for consumer electronics, home
appliances and GSM handsets.
At
the end of 2004 LG had around 70 people in R and D at Pune, including Hardware
and Software. This will be scaled up to 350 by the end of 2007, and 550 by
2010.
At
Noida, its R and D strength was 190 at the end of last year. This will be
increased to 210 by the end of 2007, and further to 300 by the end of 2010.
At
its Bangalore centre, the R and D strength was 420 by the end of 2004. This
will go up to 900 by the end of 2007, and 1500 by the end of 2010.
By
the end of 2010, LG will have 1,690 people doing R and D in Software and
another 660 in Hardware, taking its total manpower strength in R and D to
2,350.
At
the end of 2004, LG had spent US$23mn and US$20mn on its Software and Hardware
centres in the country respectively. By the end of 2007, it will increase to
US$67mn and US$43mn. By 2010, it will go up further to US$124mn and US$88mn.
Pricing Pressure:
The
rising prices of key raw materials has hit consumer durables makers like LG
really hard in the past few years. It continues to hurt the companies in this
sector. The Budget has made things even tougher for these companies. Retail
fuel prices are set to rise shortly due to the tweaked duty structure announced
in the Budget and higher international prices. Prices of Resin and Plastics
have gone up by 25%. Prices of steel, a key raw material in Refrigerators and
Washing Machines - are also likely to increase next month. The impact on this
front is likely to be 23%. The impact on Copper and Aluminium prices from the
Budget is expected to be 24%. The overall impact on raw material costs will be
anywhere between 5-20%. Prices haven't been changed since November 2004. But,
with the steep rise in input costs due to various factors, including the
Budget, LG will go in for a price hike of 5-10% across all categories from next
month.
Market Share:
CTVs
- LG has sold the highest ever number of CTVs in a month, and has set a
landmark for the industry by selling over one million CTVs in a single calendar
year. According to the recent retail audit conducted by ORG-GFK (Jan 2005), LG
has consolidated its leadership position in CTVs with a market share of 26.7%.
Washing
Machines - In the overall category, LG has emerged and established itself as
the No.1 brand with a market share of 35.2%. In the Semi Automatic segment, it
has attained a market share of 36.5% while in the Fully Automatic segment it
makes up 34.5% of the total market.
Refrigerators
- LG leads the market in refrigerators with a market share of 28.1%. Further in
Frost Free LG has emerged as the undisputed leader with a market share of
35.4%.
ACs
- The company currently enjoys a market share of 45% in the Room AC (Window and
Split) segment.
Microwave
Ovens - LG is the leader in this category with a market share of 41.4%.
IT Products - LG has already become No.1 in the Optical Storage Devices
(OSD) segment and is fast emerging as the market leader in the monitor segment
also. It has around 34% share in Monitors and 44% in OSD apart from 15% in
Personal Computers (PCs).
CMT REPORT
(Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts, India Prisons Service,
Interpol, etc.
1] INFORMATION ON
DESIGNATED PARTY
No exist designating subject or any of its beneficial owners,
controlling shareholders or senior officers as terrorist or terrorist
organization or whom notice had been received that all financial transactions
involving their assets have been blocked or convicted, found guilty or against
whom a judgement or order had been entered in a proceedings for violating
money-laundering, anti-corruption or bribery or international economic or
anti-terrorism sanction laws or whose assets were seized, blocked, frozen or
ordered forfeited for violation of money laundering or international
anti-terrorism laws.
2] Court Declaration :
No records exist to suggest that subject is
or was the subject of any formal or informal allegations, prosecutions or other
official proceeding for making any prohibited payments or other improper
payments to government officials for engaging in prohibited transactions or
with designated parties.
3] Asset Declaration :
No records exist to suggest that the property or assets of the subject
are derived from criminal conduct or a prohibited transaction.
4] Record on Financial
Crime :
Charges or conviction
registered against subject: None
5] Records on Violation of
Anti-Corruption Laws :
Charges or
investigation registered against subject: None
6] Records on Int’l
Anti-Money Laundering Laws/Standards :
Charges or
investigation registered against subject: None
7] Criminal Records
No
available information exist that suggest that subject or any of its principals
have been formally charged or convicted by a competent governmental authority
for any financial crime or under any formal investigation by a competent
government authority for any violation of anti-corruption laws or international
anti-money laundering laws or standard.
8] Affiliation with
Government :
No record
exists to suggest that any director or indirect owners, controlling
shareholders, director, officer or employee of the company is a government
official or a family member or close business associate of a Government
official.
9] Compensation Package :
Our market
survey revealed that the amount of compensation sought by the subject is fair
and reasonable and comparable to compensation paid to others for similar
services.
10] Press Report :
No press reports / filings exists on
the subject.
CORPORATE
GOVERNANCE
MIRA INFORM as part of its Due Diligence do provide comments on
Corporate Governance to identify management and governance. These factors often
have been predictive and in some cases have created vulnerabilities to credit
deterioration.
Our Governance Assessment focuses principally on the interactions
between a company’s management, its Board of Directors, Shareholders and other
financial stakeholders.
CONTRAVENTION
Subject is not known to have contravened any existing local laws,
regulations or policies that prohibit, restrict or otherwise affect the terms
and conditions that could be included in the agreement with the subject.
FOREIGN EXCHANGE
RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.46.88 |
|
UK Pound |
1 |
Rs.82.97 |
|
Euro |
1 |
Rs.64.99 |
SCORE & RATING
EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
6 |
|
PAID-UP CAPITAL |
1~10 |
6 |
|
OPERATING SCALE |
1~10 |
6 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
6 |
|
--PROFITABILIRY |
1~10 |
7 |
|
--LIQUIDITY |
1~10 |
6 |
|
--LEVERAGE |
1~10 |
7 |
|
--RESERVES |
1~10 |
6 |
|
--CREDIT LINES |
1~10 |
6 |
|
--MARGINS |
-5~5 |
-- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
YES |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
56 |
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%)
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. |
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 |
|