MIRA INFORM REPORT

 

 

Report Date :

08.07.2011

 

IDENTIFICATION DETAILS

 

Name :

KUMHO POLYCHEM CO., LTD.

 

 

Formerly known as :

KUMHO EP RUBBER CO., LTD

 

 

Registered Office :

115, Sinmunno 1-ga, Jongno-gu, Seoul, Korea, 20th Fl., Kumho Asiana Main Bldg., Zip Code-110-061

 

 

Country :

South Korea

 

 

Financials (as on) :

31.12.2009

 

 

Date of Incorporation :

05.06.1985

 

 

Com. Reg. No.:

110111-0400533

 

 

Legal Form :

Co., Ltd By Shares

 

 

Line of Business :

Manufacture of Synthetic Rubber

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba

 

RATING

STATUS

PROPOSED CREDIT LINE

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

Satisfactory

 

Status :

Satisfactory

Payment Behaviour :

No Complaints

Litigation :

Clear

NOTES :

Any query related to this report can be made on e-mail : infodept@mirainform.com while quoting report number, name and date.

 

 

ECGC Country Risk Classification List – March 31st, 2011

 

Country Name

Previous Rating

                   (31.12.2010)                  

Current Rating

(31.03.2011)

South Korea

a1

a1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

Basic

 

Company Name

KUMHO POLYCHEM CO., LTD.

(Korean Company Name : “금호폴리켐(주)”)

Registered Address

115, Sinmunno 1-ga, Jongno-gu, Seoul, Korea

Building

20th Fl., Kumho Asiana Main Bldg.

Zip Code

110-061

Tel

+82-2-6303-3801

Fax

+82-2-6303-3812

E-mail

yoo1128@polychem.co.kr;webmaster@polychem.co.kr

Website

www.polychem.co.kr

Trading Address

20th Fl., Kumho Asiana Main Bldg., 115, Sinmunno 1-ga, Jongno-gu, Seoul, Korea

Tel

+82-2-6303-3801

Fax

+82-2-6303-3812

Other Address-Yeocheon Factory

144-6, Wolha-dong, Yeosu-si, Jeollanam-do, Korea

Tel

+82-61-688-2711

Fax

+82-61-688-2899

Type

Export

Industry

Manufacture of Synthetic Rubber

  Main Business

Athylenpropylene Rubber, Synthetic Rubber

Established (mm/dd/yyyy)

06/05/1985

 

The Subject owns the premises of Yeocheon Factory.

 

 

Detailed Products

 

Activity

Detailed Products (UNSPSC)

Sell

Rubber compound(13101607)

 

 

CEO’s

 

Name

Ghil Byung-Wul

Address

Rm.806-1201, 1151-5, Sanbon-dong, Gunpo-si, Gyeonggi-do, Korea

Date of Birth

10/09/1948

Title

President & CEO

Sex

Male

Nationality

Korean

 

 

Profiles

 

Capital (KRW)

21,500,000,000

Employees

113

Formation

Co., Ltd by shares

Foreign Direct Investment Corporation

A company of KUMHO ASIANA BUSINESS GROUP

Bank Details

Woori Bank-Sales 1 Division

Korea Development Bank

Shinhan Bank

Korea Exchange Bank

Corporate Registered No.

110111-0400533

Business Registered No.

104-81-34515

Permit & Licenses

11/20/1993 Obtained ISO 9002

05/24/1994 Obtained ISO 9001

09/30/1996 Obtained ISO 14001

12/06/2000 Obtained KOSHA 2000 certificate

10/17/2000 Obtained OHSAS 18001 certificate

01/27/2006 Obtained ISO 9001 by DNV

01/27/2006 Obtained ISO 14001 by DNV

 

Int’l Trade No.: 548029

Shareholder Position

Name

Shares

%

KOREA KUMHO PETRO CHEMICAL CO., LTD.(110111-0205975)

2,150,000

50.00

J S R CORPORATION(JAPAN)

2,150,000

50.00

TOTAL

4,300,000

100.00

Company History

06/05/1985 Incorporated as KUMHO EP RUBBER CO., LTD. as a JV between KOREA SYNTHETIC RUBBER INDUSTRIES CO., LTD. and JAPAN SYNTHETIC RUBBER CO., LTD.

1986 Completed construction of the Yeochon plant

1986 Signed an agreement for technology licensing for 1st expansion (20,000MT/Yr) with Japan Synthetic Rubber Co., Ltd.

01/09/1987 Registered as a Foreign Direct Investment Corporation

1988 Signed an agreement for stock sales and modified JV (Korea Kumho Petrochemical Co., Ltd., Japan Synthetic Rubber, Co., Ltd. and Exxon Chemical Co., Ltd.)

1988 Signed an agreement for a technology license with Exxon Chemical Co., Ltd.

1989 Completed construction of the 1st plant expansion

1989 Started Business

1993 Received ISO 9002 certification

1994 Received ISO 9001 certification

1994 Received BS 7750 certification

1995 Signed an Agreement for a KP-II Plant Technology License

1996 Received ISO 14001 certification

05/01/1997 Changed the company’s name to Kumho Polychem Co., Ltd.

1997 Held the KP-II Plant construction completion ceremony (50,000MT/Yr)

2000 Received ISO 18001 certification

2000 Received KOSHA 2000 certification

03/27/2001 Increased the authorized shares to 12,000,000 shares from 4,000,000 shares

11/06/2001 Increased capital to 30,000,000,000 KRW from 15,000,000,000 KRW

06/11/2002 Decreased capital to 24,000,000,000 KRW from 30,000,000,000 KRW

03/27/2003 Decreased capital to 21,500,000,000 KRW from 24,000,000,000 KRW

2005 Signed an Agreement for Stock Transaction and JV Modification (Korea Kumho Petrochemical Co., Ltd. and Japan Synthetic Rubber Co., Ltd.).

2005 Changed shareholding (Kumho Petrochemical : JSR = 50:50)

2006 Received the patent for EP(D)M production process technology <Patent Name>: High yield EP(D)M manufacturing method and yield control method, and EP(D)M recovery method

2007 3rd expansion construction completion ceremony (80,000MT/Yr)

2007 Selected as an excellent quality business (for 8 consecutive years)

11/2007 Awarded USD 100 Million Export Tower in the 44th International Trading Day

09/07/2008 Moved to the present HQ address from 57, Sinmunno 1-ga, Jongno-gu, Seoul, Korea

 

 

 

 

Management

 

Job Description

Title

Name

Sex

Nationality

Inauguration Date

Co-President & CEO

Mr.

Ghil Byung-Wul

Male

Korean

11/01/2006

Co-President & CEO

Mr.

Kawai Tastusi

Male

Japanese

03/06/2009

Director

Mr.

Park Chan-Gu

Male

Korean

03/06/1998

Director

Mr.

Yamawaki Kazmasa

Male

Japanese

06/18/2010

Director

Mr.

Kawasaki Koichi

Male

Japanese

06/16/2008

Auditor

Mr.

Han Dong-Hwa

Male

Korean

07/19/2010

Auditor

Mr.

Shiota Yoshio

Male

Japanese

06/18/2010

 

 

Financials

 

Year / Unit : KRW

Sales

Assets

Net Income

2009

219,001,945,770

159,634,856,497

21,695,848,327

2008

204,491,335,877

153,916,504,724

9,667,634,155

2007

151,482,919,960

134,196,824,121

4,814,410,180

2006

 143,249,207,329

 108,829,517,839

 11,048,313,789

2005

129,916,865,273

81,204,422,939

17,568,304,688

2004

110,680,354,635

61,447,096,136

4,718,277,521

2003

99,325,824,880

61,964,578,036

6,328,211,894

 

Financial Description

 

Authorized Capital(KRW)

60,000,000,000

Paid-Up Capital(KRW)

21,500,000,000

Total Issues Shares

4,300,000

 

 

Balance Sheet

 

Unit : Korean Won

As of 12/31/2009

As of 12/31/2008

As of 12/31/2007

Total Assets

159,634,856,497

153,916,504,724

134,196,824,121

Current Assets

70,613,446,875

55,348,142,259

41,316,856,471

-Quick Assets

31,783,769,618

11,650,400,861

11,914,792,940

-Inventories

38,829,677,257

43,697,741,398

29,402,063,531

Fixed Assets

89,021,409,622

98,568,362,465

92,879,967,650

-Investment

3,807,675,652

7,039,653,265

3,671,608,321

-Tangibles

83,504,980,476

89,311,858,290

87,082,890,645

-Intangibles

868,820,974

987,634,010

1,081,305,911

-Others

839,932,520

1,229,216,900

1,044,162,773

Total Liabilities

69,656,133,573

80,530,436,057

67,963,873,296

Current Liabilities

49,473,122,512

38,737,343,969

29,115,722,200

Fixed Liabilities

20,183,011,061

41,793,092,088

38,848,151,096

Capital Stock

21,500,000,000

21,500,000,000

21,500,000,000

Capital Surplus

1,559,108,425

1,559,108,425

1,559,108,425

Profit Surplus

67,012,324,882

50,691,476,555

43,173,842,400

Capital Adjustment

(-)92,710,383

(-)364,516,313

-

Total Equity

89,978,722,924

73,386,068,667

66,232,950,825

Liab. & Shareholder’s Equity

159,634,856,497

153,916,504,724

134,196,824,121

 

Current Liabilities

49,473,122,512

38,737,343,969

29,115,722,200

Trade Payables

15,231,238,106

2,311,021,748

10,224,345,859

Short-Term Borrowings

-

9,000,000,000

5,000,000,000

Account Payables

6,747,639,452

8,639,998,800

5,970,361,509

Advance Receipts

395,090,833

-

20,005,920

Withholdings

46,667,162

40,446,182

209,024,252

Taxes Withhold

47,679,720

52,243,070

66,722,213

Accrued Income Tax

4,739,874,400

2,825,592,594

111,063,436

Accrued Expenses

1,773,719,069

1,048,438,090

1,263,159,796

Current Portion of Long-Term Debts

20,144,927,076

14,715,024,220

6,250,000,000

Derivatives

346,286,694

104,579,265

-

Current Portion of Deferred Income Tax Credit

-　

-　

1,039,215

Fixed Liabilities

20,183,011,061

41,793,092,088

38,848,151,096

Long-Term Borrowings

18,979,384,433

39,695,360,649

37,750,000,000

Derivatives

243,013,900

331,893,720

-

Provision for Severance & Retirement

6,236,699,061

5,904,789,703

5,601,450,687

Non-Current Portion of Deferred Income Tax Credit

318,042,369

-

-

 

 

Income Statement

 

Unit : Korean Won

As of 12/31/2009

As of 12/31/2008

As of 12/31/2007

Sales

219,001,945,770

204,491,335,877

151,482,919,960

Cost of Sold Goods

169,594,466,165

171,301,433,450

131,051,513,770

Gross Profit

49,407,479,605

33,189,902,427

20,431,406,190

Selling & Admin. Expenses

17,591,566,275

17,488,616,512

12,830,995,406

Operating Income

31,815,913,330

15,701,285,915

7,600,410,784

Non-Operating Income

3,113,930,204

10,724,129,507

719,159,989

Non-Operating Expenses

6,581,716,202

14,507,446,111

2,469,766,150

Ordinary Income

28,348,127,332

11,917,969,311

5,849,804,623

Special Income

-

-

-

Income Before Taxes

28,348,127,332

11,917,969,311

5,849,804,623

Income Taxes Expenses

6,652,279,005

2,250,335,156

1,035,394,443

Net Income

21,695,848,327

9,667,634,155

4,814,410,180

 

 

Cash Flows

 

Unit : Korean Won

As of 12/31/2009

As of 12/31/2008

As of 12/31/2007

Cash Flows from Operating

49,386,398,722

1,413,386,033

6,394,902,720

-Net Income

21,695,848,327

9,667,634,155

4,814,410,180

-Exp. without Cash Outflow

13,970,821,147

21,791,719,069

8,234,929,182

-Revenue without Cash Inflows

(-)3,670,393,317

(-)7,243,357,286

(-)49,163,948

-Changes in Asset/ & Liability

17,390,122,565

(-)22,802,609,905

(-)6,605,272,694

Cash Flows from Investing

(-)6,600,223,983

(-)10,088,884,308

(-)27,142,878,096

-Cash Inflow from Investing

265,695,105

642,031,351

147,206,514

-Cash Outflows for Investing

(-)6,865,919,088

(-)10,730,915,659

(-)27,290,084,610

Cash Flows from Financing

(-)28,608,024,225

5,596,500,000

23,600,000,000

-Cash Inflows from Financing

482,000,000

45,834,437,687

275,567,000,000

-Cash Outflows from Financing

(-)29,090,024,225

(-)40,237,937,687

(-)251,967,000,000

Increase/Decrease in Cash

14,178,150,514

(-)3,078,998,275

2,852,024,624

Cash at the Beginning of Year

656,285,941

3,735,284,216

883,259,592

Cash at the End of Year

14,834,436,455

656,285,941

3,735,284,216

 

 

Products, Technologies, Services Description

 

Main Products & Services

Ethylene-Propylene based rubbers(EP(D)M)

 

 

Trade Partners & Competitors

 

Customers

KOREA KUMHO PETRO CHEMICAL CO., LTD.(110111-0205975)

Competitors

SHIN-ETSU SILICONE KOREA CO., LTD.

RM. 904, DANAM BLDG., 120, NAMDAEMUNNO 5-GA, JUNG-GU, SEOUL, KOREA

TEL:+82-2-775-9691 FAX:+82-2-775-9690

 

CHO YANG CORPORATION

111-1, ANPYEONG-RI, HOBEOP-MYEON, ICHEON-SI, GYEONGGI-DO, KOREA

TEL:+82-31-638-4220  FAX:+82-31-636-8015

 

DYM CO., LTD.

624-2, EOPSEONG-DONG, SEOBUK-GU, CHEONAN-SI, CHUNGCHEONGNAM-DO, KOREA

TEL:+82-41-621-6250  FAX:+82-41-621-8420

 

 

Related Parties

(Subsidiaries, Joint-Venture & Affiliates)

Affiliates-Domestic

KUMHO INDUSTRIAL CO., LTD(110111-0134877)

KOREA KUMHO PETRO CHEMICAL CO., LTD(110111-0205975)

DAEWOO ENGINEERING & CONSTRUCTION CO., LTD.(110111-2137895)

KUMHO TIRE CO., LTD.(110111-2810590)

ASIANA AIRLINES INC.(110111-0562804)

KOREA EXPRESS CO., LTD(110111-0006167)

KUMHO TRADING CO., LTD.(110111-2079641)

KUMHO RENT-A-CAR CO., LTD.(110111-0513253)

KUMHO MITSUI CHEMICALS, INS.(110111-0612980)

KUMHO LIFE INSURANCE CO., LTD.(200111-0014608)

KUMHO POLYCHEM CO., LTD.(110111-0400533)

KUMHO P&B CHEMICALS, INC.(206211-0018313)

KUMHO ASIANA MAIN TOWER CO., LTD.(110111-3207712)

SEOUL EXPRESS BUS TERMINAL CO., LTD.(110111-0187644)

ASIANAIDT, INC.(110111-0801848)

ASIANA AIRPORT DEVELOPMENT CO., LTD.(110111-1412496)

ASIANA ABACUS , INC.(110111-3010925)

INCHEON AIRPORT ENERGY CO., LTD.(110111-1415408)

JUNG-BU INTEGRATED FREIGHT TERMINAL CO., LTD.(110111-3284158)

CHUNGJU BORAMAE CO., LTD.(110111-3348524)

KUMHO TERMINAL CO., LTD.(200111-0231418)

KUMHO RESORT CO., LTD(134511-0105856)

GK FIXED LINK CORP(180111-0443224)

AAS AIRPORT SERVICES. INC(110111-0562713)

KUMHO AUTOLEASE, INC.(110111-3626970)

ILSAN GRAND BRIDGE CORP.(110111-2576192)

SOUTHWEST COAST LEISURE COMPANY(205511-0024878)

GREEN ANSEONG ENVIRO CO., LTD(110111-3780833)

SONGNISAN EXPRESS CO., LTD.(150111-0000286)

THE KOREA EXPRESS TERMINAL CO., LTD.(110111-1726227)

KOREA EXPRESS INFORMATION TECHNOLOGY CO., LTD(110111-2230417)

GWANGYANG WEST CONTAINER TERMINAL CO., LTD.(110111-3547514)

DAEHAN YONGYOK CO., LTD.

KOREA INTEGRATED FREIGHT TERMINAL CO., LTD(110111-0853576)

BUSAN EAST CONTAINER TERMINAL CO., LTD.(180111-0101252)

PECT NEW CONTAINER TERMINAL CO., LTD.(180111-0449579)

DONG SEOK LOGISTICS CO., LTD.(144711-0009135)

TERMINAL OPERATING CO., LTD OF MASAN PORT-PIER 4(194211-0035362)

BUSAN GAMMAN CONTAINER TERMINAL CO., LTD.(180111-0560234)

BND CO., LTD.(164811-0005799)

ULSAN PORT OPERATING CO., LTD.(230111-0057769)

INCHEON SOUTH TERMINAL OPERATION COMPANY(120111-0426305)

KE-CATI LOGISTICS CO., LTD(204611-0024273)

CNK WORLD LOGISTICS CO., LTD(110111-3638496)

AIR BUSAN CO., LTD(180111-0605121)

HANGANG TOWN(110111-3937260)

Affiliates-Overseas

JSR TRADING CO., LTD

DW ARABIA LTD.

DW CONSTRUCTION PHILIPPINE INC.

DW ENG & CON POLAND LTD.

DW NIGERIA LTD.

UNION DW ENG & CON LTD.

DAEWOO-HANEL CORP.

DAEWOO E & C IRAN

PRUGIO SAKHALIN LTD.

HECO(HELVETIA ENERGY COMPANY GMBH)

AL-HIDAYAH-DAEWOO DEVELOPMENT SDN.BHD

DW AMERICA DEVEL'T INC.

DW ENG & CON.(M) SDN BHD

DW POWER(INDIA) LTD.

MEGAWORLD-DW CO.

(BEIJING LUFTHANSA CENTER CO.

DAEHA CO., LTD.

GUILIN DW HOTEL CO., LTD.

GULF ENG.CONST. & CONTRACT

THT DEVELOPMENT CO.,LTD

DAEWOO TRIPOLI INVESTMENT & DEVELOPMENT CO.

KUMHO HOLDINGS (H.K.) CO., LTD

Cooperative Enterprise

- Insured Company

DONGBU INSURANCE CO., LTD.(110111-0095285)

 

-Technical Support Agreement with

EXXON MOBIL CHEMICAL COMPANY

 

 

Sales by Region

(Activity & Markets)

 

The subject deals with the companies in China, Taiwan and USA.

 

 

Court Action

 

No.

 

 

News Clipping

 

-----

 

-

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.44.42

UK Pound

1

Rs.70.95

Euro

1

Rs.63.63

 

 

RATING EXPLANATIONS

 

RATING

STATUS

 

 

PROPOSED CREDIT LINE

>86

Aaa

Possesses an extremely sound financial base with the strongest capability for timely payment of interest and principal sums

 

Unlimited

71-85

Aa

Possesses adequate working capital. No caution needed for credit transaction. It has above average (strong) capability for payment of interest and principal sums

 

Large

56-70

A

Financial & operational base are regarded healthy. General unfavourable factors will not cause fatal effect. Satisfactory capability for payment of interest and principal sums

 

Fairly Large

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

 

Satisfactory

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

 

Small

11-25

Ca

Adverse factors are apparent. Repayment of interest and principal sums in default or expected to be in default upon maturity

 

Limited with full security

<10

C

Absolute credit risk exists. Caution needed to be exercised

 

 

Credit not recommended

----

NB

New Business

----

 

This score serves as a reference to assess SC’s credit risk and to set the amount of credit to be extended. It is calculated from a composite of weighted scores obtained from each of the major sections of this report. The assessed factors and their relative weights (as indicated through %) are as follows:

 

Financial condition (40%)            Ownership background (20%)                 Payment record (10%)

Credit history (10%)                    Market trend (10%)                                Operational size (10%)

 

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.