MIRA INFORM REPORT

 

 

Report Date :

12.12.2012

 

IDENTIFICATION DETAILS

 

Name :

AKZO NOBEL AMIDES CO., LTD.

 

 

Registered Office :

1070-2, Hwangseong-dong, Gyeongju-si, Gyeongsangbuk-do,

 

 

Country :

South Korea

 

 

Financials (as on) :

31.12.2011

 

 

Date of Incorporation :

29.09.1998

 

 

Reg. No.:

505-81-16495

 

 

Legal Form :

Co., Ltd by shares

 

 

Line of Business :

Manufacture of Other Basic Organic Chemicals

 

 

No. of Employees :

39

 

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 – June 30th, 2012

 

Country Name

Previous Rating

(31.03.2011)

Current Rating

(30.06.2012)

South Korea

A1

A1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

 

South Korea - ECONOMIC OVERVIEW

 

South Korea over the past four decades has demonstrated incredible growth and global integration to become a high-tech industrialized economy. In the 1960s, GDP per capita was comparable with levels in the poorer countries of Africa and Asia. In 2004, South Korea joined the trillion dollar club of world economies, and currently is among the world's 20 largest economies. Initially, a system of close government and business ties, including directed credit and import restrictions, made this success possible. The government promoted the import of raw materials and technology at the expense of consumer goods, and encouraged savings and investment over consumption. The Asian financial crisis of 1997-98 exposed longstanding weaknesses in South Korea''s development model including high debt/equity ratios and massive short-term foreign borrowing. GDP plunged by 6.9% in 1998, and then recovered by 9% in 1999-2000. Korea adopted numerous economic reforms following the crisis, including greater openness to foreign investment and imports. Growth moderated to about 4% annually between 2003 and 2007. With the global economic downturn in late 2008, South Korean GDP growth slowed to 0.3% in 2009. In the third quarter of 2009, the economy began to recover, in large part due to export growth, low interest rates, and an expansionary fiscal policy, and growth was 3.6% in 2011. In 2011, the US-South Korea Free Trade Agreement was ratified by both governments and is projected to go into effect in early 2012. The South Korean economy''s long term challenges include a rapidly aging population, inflexible labor market, and heavy reliance on exports - which comprise half of GDP.

 

Source : CIA

 

Basic Information

 

Company Name

AKZO NOBEL AMIDES CO., LTD.

Registered Address

1070-2, Hwangseong-dong, Gyeongju-si, Gyeongsangbuk-do, Korea

Zip Code

780-952

Tel

+82-54-770-4500

Fax

+82-54-776-0623

E-mail

sukwon.jung@akzonobel.com

Website

www.akzonobel.com

Trading Address

101-908, Yeouido The Sharp Island Park, 17, Yeouido-dong, Yeongdeungpo-gu, Seoul, Korea

Tel

+82-2-2090-7360~5

Fax

+82-2-392-5188

Type

Export/Import

Industry

Manufacture of Other Basic Organic Chemicals

  Main Business

Amide, Erucamide

Established (mm/dd/yyyy)

09/29/1998

The Subject owns the premises of registered HQ address.

 

 

Detailed Products

 

Activity

Detailed Products (UNSPSC)

Sell

Amides or imides(12352111)

Buy

Biochemicals(12352200)

Buy

Inorganic acids(12352301)

 

 

CEO’s

 

Name

Lee Kyung-Ryun

Address

Suite 202-401, 1380, Yonggang-dong, Gyeongju-si, Gyeongbuk, Korea

Date of Birth

03/17/1957

Title

President & CEO

Sex

Male

Nationality

Korean

 

 

Profiles

 

Capital (KRW)

5,350,000,000

Employees

39

Formation

Co., Ltd by shares

Foreign Direct Investment Corporation

Bank Details

Citibank

Corporate Registered No.

171211-0018258

Business Registered No.

505-81-16495

Permit & Licenses

Int’l Trade No.: 11567114

Shareholder Position

Name

Shares

%

AKZO NOBEL CHEMICALS INTERNATIONAL B.V. (NETHERLANDS)

535

100.00

TOTAL

535

100.00

Company History

09/29/1998 Incorporated as the present name

10/13/1998 Registered as a Foreign Direct Investment Corporation

12/21/2007 Decreased the authorized shares to 550 shares from 700 shares

12/21/2007 Decreased capital to 5,350,000,000 KRW from 6,850,000,000 KRW

 

 

 

 

Detailed Information

 

Management

 

Job Description

Title

Name

Sex

Nationality

Inauguration Date

President & CEO

Mr.

Lee Kyung-Ryun

Male

Korean

04/30/2007

Director

Mr.

Jan Allen Lenatsbad

Male

Swedish

04/20/2011

Director

Mr.

Steven Hunt

Male

USA

09/29/2010

Auditor

Mr.

Richard Bekers

Male

Netherlands

08/01/2011

 

 

Financials

 

Year / Unit : KRW

Sales

Assets

Net Income

2011

38,762,155,040

16,467,158,612

2,606,503,962

2010

43,054,719,135

20,104,188,767

5,492,671,069

2009

43,239,559,098

23,323,704,742

7,022,158,128

2008

31,153,019,209

16,496,997,912

4,582,441,663

2007

24,677,811,352

14,560,195,792

4,132,646,493

2006

25,018,414,511

14,800,822,981

2,966,246,905

2005

27,285,727,027

14,334,424,114

2,308,098,778

2004

19,822,014,467

11,639,574,709

2,255,013,075

 

 

Financial Description

 

Authorized Capital(KRW)

7,000,000,000

Paid-Up Capital(KRW)

5,350,000,000

Total Issues Shares

535

 

Balance Sheet

Unit : Korean Won

As of 12/31/2011

As of 12/31/2010

As of 12/31/2009

Total Assets

16,467,158,612

20,104,188,767

23,323,704,742

Current Assets

8,798,811,301

16,847,012,544

19,983,643,131

-Quick Assets

5,150,008,967

13,142,022,141

17,463,156,673

-Inventories

3,648,802,334

3,704,990,403

2,520,486,458

Fixed Assets

7,668,347,311

3,257,176,223

3,340,061,611

-Investment

4,540,510,100

56,857,300

55,032,300

-Tangibles

3,002,911,466

3,073,959,212

3,160,059,446

-Intangibles

124,925,745

126,359,711

124,969,865

Total Liabilities

6,081,513,927

7,331,710,709

9,870,400,859

Current Liabilities

6,081,513,927

7,331,710,709

9,870,400,859

Fixed Liabilities

-

-

-

Capital Stock

5,350,000,000

5,350,000,000

5,350,000,000

Capital Surplus

 

 

 

Profit Surplus

5,035,644,685

7,422,478,058

8,103,303,883

Capital Adjustment

 

 

 

Total Equity

10,385,644,685

12,772,478,058

13,453,303,883

Liab. & Shareholder’s Equity

16,467,158,612

20,104,188,767

23,323,704,742

 

Current Liabilities

6,081,513,927

7,331,710,709

9,870,400,859

Trade Payables

4,755,368,404

5,919,175,570

6,426,503,384

Account Payables

663,069,655

708,787,564

726,531,827

Accrued Expenses

437,165,697

127,723,518

377,365,916

Accrued Expenses

19,885,218

-

13,547,548

Withholdings

109,358,719

116,791,886

105,577,155

Accrued Income Tax

96,666,234

459,232,171

2,220,875,029

Fixed Liabilities

-

-

-

Provision for Severance & Retirement

-

-

-

 

Income Statement

Unit : Korean Won

As of 12/31/2011

As of 12/31/2010

As of 12/31/2009

Sales

38,762,155,040

43,054,719,135

43,239,559,098

Cost of Sold Goods

31,282,066,796

31,363,736,326

29,580,032,096

Gross Profit

7,480,088,244

11,690,982,809

13,659,527,002

Selling & Admin. Expenses

4,302,110,250

4,513,361,591

4,147,229,451

Operating Income

3,177,977,994

7,177,621,218

9,512,297,551

Non-Operating Income

1,599,279,206

2,241,466,257

1,837,107,908

Non-Operating expenses

1,397,729,507

2,238,264,268

2,122,067,340

Income Before Taxes

3,379,527,693

7,180,823,207

9,227,338,119

Income Taxes Expenses

773,023,731

1,688,152,138

2,205,179,991

Net Income

2,606,503,962

5,492,671,069

7,022,158,128

 

Cash Flows

Unit : Korean Won

As of 12/31/2011

As of 12/31/2010

As of 12/31/2009

Cash Flows from Operating

2,943,618,524

5,504,017,228

10,391,703,987

-Net Income

2,606,503,962

5,492,671,069

7,022,158,128

-Exp. without Cash Outflow

1,044,597,795

818,148,907

897,282,783

-Revenue without Cash Inflows

-138,533,753

-146,532,055

-118,307,644

-Changes in Asset/ & Liability

-568,949,480

-660,270,693

2,590,570,720

Cash Flows from Investing

-299,979,237

-791,875,581

-3,162,524,399

-Cash Inflow from Investing

4,520,987,727

8,652,273

13,072,727

-Cash Outflows for Investing

-4,820,966,964

-800,527,854

-3,175,597,126

Cash Flows from Financing

-4,993,337,335

-6,173,496,894

-4,165,856,057

-Cash Inflows from Financing

-

-

-

-Cash Outflows from Financing

-4,993,337,335

-6,173,496,894

-4,165,856,057

Increase/Decrease in Cash

2,349,698,048

1,461,355,247

3,063,323,531

Cash at the Beginning of Year

3,037,151,369

4,498,506,616

1,435,183,085

Cash at the End of Year

687,453,321

3,037,151,369

4,498,506,616

 

Products, Technologies, Services Description

 

Main Products & Services

Amide, Erucamide

Detailed Products Spec.

 

Technologies Acquired

 

 

 

Trade Partners & Competitors

 

Suppliers

 

Customers

 

Competitors

LION CHEMTECH CO., LTD.

41-5, MUNPYEONG-DONG, DAEDEOK-GU, DAEJEON, KOREA

TEL:+82-42-930-3300  FAX:+82-42-930-3333

 

HEEMANG TECHFLON CO.

598-1, OJEONG-DONG, OJEONG-GU, BUCHEON-SI, GYEONGGI-DO, KOREA

TEL:+82-32-671-1300  FAX:+82-32-671-1302

 

GEO-YOUNG CORPORATION

46-4, SSANGJEONG-RI, MAENGDONG-MYEON, EUMSEONG-GUN, CHUNGCHEONGBUK-DO, KOREA

TEL:+82-43-877-3463  FAX:+82-43-878-0738

 

 

 

 

Related Parties (Subsidiaries, Joint-Venture & Affiliates)

 

Affiliates

AKZO NOBEL POLYMER CHEMICALS B.V.

AKZO NOBEL POLYMER CHEMICALS LLC

AKZO NOBEL LTDA.

TIANJIN AKZO NOBEL PEROXIDES CO., LTD.

AKZO NOBEL CROSS LINKING PEROXIDES CO., LTD.

KAYAKU AKZO CORPORATION

AKZO NOBEL QUIMICA S.A.

AKZO NOBEL CHEMICALS INDIA LTD.

AKZO NOBEL CHEMICALS PTE LTD.

AKZO NOBEL CHEMICALS S.A.DE C.V.

AKZO NOBEL N.V.

AKZO NOBEL ASIA PTE LTD.

AKZO NOBEL INDUSTRIAL CHEMICALS BV.

AKZO NOBEL INDUSTRIAL COATINGS KOREA LTD

Overseas Office

 

Liaison Office

 

Overseas Branch

 

Joint Venture

 

Subsidiary

 

Corporate Ownership

AKZO NOBEL CHEMICALS INTERNATIONAL B.V.(NETHERLANDS)

Major Shareholders

AKZO NOBEL CHEMICALS INTERNATIONAL B.V.(NETHERLANDS)

Cooperative Enterprise

-Insured Company

HYUNDAI MARINE & FIRE INSURANCE CO., LTD.(110111-0035893)

 

-Brand & Technology Support from

AKZO NOBEL CHEMICALS INTERNATIONAL B.V.(NETHERLANDS)

 

Sales by Region (Activity & Markets)

 

Sales/ Unit :Mil KRW

2011

2010

2009

Export

 

 

 

Domestic

 

 

 

Total

 

 

 

The Subject deals with the companies in USA, Asia, Middle East and Europe.

 

 

Court Action

 

No.

 

 

News Clipping

 

Not Available  

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.54.32

UK Pound

1

Rs.87.36

Euro

1

Rs.70.36

 

 

INFORMATION DETAILS

 

Report Prepared by :

SDA

 

 

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.