MIRA INFORM REPORT

Report Date :

23.11.2012

IDENTIFICATION DETAILS

Name :	KOREA PRINTING INK CO., LTD.

Registered Office :	477-3, Mongnae-dong, Danwon-gu, Ansan-si, Gyeonggi-do, Korea, Zip Code 425-100

Country :	South Korea

Financials (as on) :	31.12.2011

Date of Incorporation :	08.11.1982

Com. Reg. No.:	134-81-00414

Legal Form :	Co., Ltd by Shares

Line of Business :	Manufacture of Printing Ink

No. of Employees :	72 employees

RATING & COMMENTS

MIRA’s Rating :

RATING		STATUS	PROPOSED CREDIT LINE
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory

Status :	Satisfactory
Payment Behaviour :	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 30^th, 2012

Country Name

Previous Rating

(31.03.2012)

Current Rating

(30.06.2012)

South Korea

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

Company Name	KOREA PRINTING INK CO., LTD. (Korean Company Name : “한국신문잉크(주)”)
Registered Address	477-3, Mongnae-dong, Danwon-gu, Ansan-si, Gyeonggi-do, Korea
Zip Code	425-100
Tel	+82-31-494-7781
Fax	+82-31-491-0486
E-mail	gyl6365@naver.com
Website	www.korink.com
Trading Address	11FL., Sambo Bldg., 275-6, Yangjae-dong, Seocho-gu, Seoul, Korea
Tel	+82-2-3272-4116
Fax	+82-2-3272-6814
Type	Export
Industry	Manufacture of Printing Ink
Main Business	Web Offset Ink, Heat-Set Ink, Sheet-Fed Ink
Established (mm/dd/yyyy)	11/08/1982

Detailed Products

Activity	Detailed Products (UNSPSC)
Sell	Printing and drawing inks(60121800)
Sell	Printing barens and brayers(60121713)

CEO’s

Name	Park Su-Man
Address	Suite 27-1702, 844, Sindang-dong, Jung-gu, Seoul, Korea
Date of Birth	11/27/1948
Title	President & CEO
Sex	Male
Nationality	Korean

Profiles

Capital (KRW)

1,411,400,000

Employees

Formation

Co., Ltd by Shares

Bank Details

Kookmin Bank

Industrial Bank of Korea-Shinchon Branch

Corporate Registered No.

130111-0010700

Business Registered No.

134-81-00414

Permit & Licenses

11/07/2008 ISO 9001

11/07/2008 ISO 14001

Int’l Trade No.: 483809

Shareholder Position

Name	Shares	%
DONG-A ILBO(110111-0013310)	1,638	11.61
THE SEOUL SHINMUN(110111-0013493)	1,638	11.61
CHOSUN IIBO CO., LTD.(110111-0015457)	1,638	11.61
JOONGANG ILBO(110111-0051493)	1,638	11.61
HANKOOK ILBO(110111-0223810)	1,638	11.61
THE KYUNGHYANG DAILY NEWS(110111-0706501)	1,092	7.74
OTHERS	4,832	34.24
TOTAL	14,114	100.00

Company History

11/08/1982 Incorporated as the present name

01/15/2009 Designated as an INNO-BIZ Company

10/16/2009 Designated as a MAIN-BIZ Company

Management

Job Description	Title	Name	Sex	Nationality	Inauguration Date
President & CEO	Mr.	Park Soo-Man	Male	Korean	03/22/2008
Outside Director	Mr.	Lee Hee-Joon	Male	Korean	03/22/2005
Outside Director	Mr.	Cha Hyung-Ho	Male	Korean	03/21/2007
Outside Director	Mr.	Lee Jae-Heung	Male	Korean	03/22/2011
Outside Director	Mr.	Park Eui-Joon	Male	Korean	03/16/2012
Auditor	Mr.	Kwon Moon-Han	Male	Korean	03/21/2008
Auditor	Mr.	Kwon Hae-Keun	Male	Korean	04/01/2011

Financials

Year / Unit : KRW	Sales	Assets	Net Income
2011	36,860,825,278	28,332,096,209	1,844,108,523
2010	31,940,219,228	24,258,316,216	112,705,988
2009	27,256,362,203	23,620,353,543	-677,267,542

Financial Description

Authorized Capital(KRW)	3,200,000,000
Paid-Up Capital(KRW)	1,411,400,000
Total Issued Shares	14,114

Balance Sheet
Unit : Korean Won	As of 12/31/2011	As of 12/31/2010	As of 12/31/2009
Total Assets	28,332,096,209	24,258,316,216	23,620,353,543
Current Assets	22,265,112,281	17,498,614,960	17,475,589,427
-Quick Assets	18,622,197,048	13,863,034,263	14,578,496,338
-Inventories	3,642,915,233	3,635,580,697	2,897,093,089
Fixed Assets	6,066,983,928	6,759,701,256	6,144,764,116
-Investment	10,465,000	10,465,000	11,820,000
-Tangibles	5,815,497,690	6,436,734,698	6,086,621,823
-Intangibles	139,674,838	181,078,618	1,819,193
-Others	101,346,400	131,422,940	44,503,100
Total Liabilities	15,049,330,558	12,819,659,088	12,294,402,403
Current Liabilities	12,126,908,363	10,541,585,175	9,722,827,264
Fixed Liabilities	2,922,422,195	2,278,073,913	2,571,575,139
Capital Stock	1,411,400,000	1,411,400,000	1,411,400,000
Capital Surplus
Profit Surplus	11,871,365,651	10,027,257,128	9,914,551,140
Capital Adjustment
Total Equity	13,282,765,651	11,438,657,128	11,325,951,140
Liab. & Shareholder’s Equity	28,332,096,209	24,258,316,216	23,620,353,543

Current Liabilities	12,126,908,363	10,541,585,175	9,722,827,264
Trade Payables	11,101,131,792	8,606,555,612	8,116,528,821
Short-Term Borrowings	-	500,000,000	1,200,000,000
Account Payables	341,345,042	219,482,979	232,763,833
Advance Receipts	594,386	605,588,189	8,098,340
Withholdings	37,737,830	31,974,560	18,397,930
Accrued Expenses	2,414,466	3,983,835	5,838,340
Accrued Income Tax	7,530,795	-	-
Guarantee Deposit Withhold		-	60,000,000
Derivatives	262,154,052	-	7,200,000
Current Portion of Long-Term Debts	374,000,000	574,000,000	74,000,000
Fixed Liabilities	2,922,422,195	2,278,073,913	2,571,575,139
Long-Term Borrowings	937,000,000	811,000,000	1,385,000,000
Provision for Severance & Retirement	3,020,667,777	2,470,117,564	2,166,603,918

Income Statement
Unit : Korean Won	As of 12/31/2011	As of 12/31/2010	As of 12/31/2009
Sales	36,860,825,278	31,940,219,228	27,256,362,203
Cost of Sold Goods	35,609,529,651	29,282,230,965	25,429,724,430
Gross Profit	1,251,295,627	2,657,988,263	1,826,637,773
Selling & Admin. Expenses	3,240,364,475	2,617,148,292	2,700,482,314
Operating Income	-1,989,068,848	40,839,971	-873,844,541
Non-Operating Income	4,536,372,005	331,139,774	485,690,526
Non-Operating Expenses	656,365,069	259,273,757	289,113,527
Income Before Taxes	1,890,938,088	112,705,988	-677,267,542
Income Taxes Expenses	46,829,565	-	-
Net Income	1,844,108,523	112,705,988	-677,267,542

Cash Flows
Unit : Korean Won	As of 12/31/2011	As of 12/31/2010	As of 12/31/2009
Cash Flows from Operating	151,676,539	983,992,620	1,380,349,599
-Net Income	1,844,108,523	112,705,988	-677,267,542
-Exp. without Cash Outflow	2,190,583,473	1,190,333,152	877,318,748
-Revenue without Cash Inflows	-4,097,797,946	-64,799,217	-177,742,993
-Changes in Asset/ & Liability	214,782,489	-254,247,303	1,358,041,386
Cash Flows from Investing	3,070,643,513	-903,640,942	-1,583,750,756
-Cash Inflow from Investing	10,764,704,267	3,937,656,700	3,321,279,200
-Cash Outflows for Investing	-7,694,060,754	-4,841,297,642	-4,905,029,956
Cash Flows from Financing	-662,404,744	-633,764,635	1,626,000,000
-Cash Inflows from Financing	1,900,000,000	740,755,856	2,624,144,711
-Cash Outflows from Financing	-2,562,404,744	-1,374,520,491	-998,144,711
Increase/Decrease in Cash	2,559,915,308	-553,412,957	1,422,598,843
Cash at the Beginning of Year	1,357,454,015	1,910,866,972	488,268,129
Cash at the End of Year	3,917,369,323	1,357,454,015	1,910,866,972

Products, Technologies, Services Description

Main Products & Services

Web Offset Ink, Heat-Set Ink, Sheet-Fed Ink

Brand Name : KORINK

Trade Partners & Competitors

Suppliers

GS-CALTEX CORPORATION(110111-0078819)

Customers

DONG-A ILBO(110111-0013310)

THE SEOUL SHINMUN(110111-0013493)

CHOSUN IIBO CO., LTD.(110111-0015457)

JOONGANG ILBO(110111-0051493)

HANKOOK ILBO(110111-0223810)

THE KYUNGHYANG DAILY NEWS(110111-0706501)

Competitors

DAIHAN INK CO., LTD.

615, BAKDAL 2-DONG, MANAN-GU, ANYANG-SI, GYEONGGI-DO, KOREA

TEL:+82-31-467-6321~3 FAX:+82-31-443-4192

DONG YANG INK CO., LTD.

338-6, GAGOK-RI, JINWI-MYEON, PYEONGTAEK-SI, GYEONGGI-DO, KOREA

TEL:+82-31-660-9210 FAX:+82-31-667-4877

NAMYANG INK CO., LTD.

153-4, CHUNUI-DONG, WONMI-GU, BUCHEON-SI, GYEONGGI-DO, KOREA

TEL:+82-32-664-3970 FAX:+82-32-664-1473

Related Parties

(Subsidiaries, Joint-Venture & Affiliates)

Cooperative Enterprise

-Insured Company

SAMSUNG FIRE & MARINE INSURANCE CO., LTD.(110111-0005078)

Sales by Region

(Activity & Markets)

The Subject exports to Russia, Japan, China, Philippines and Hong Kong.

Court Action

No.

News Clipping

---

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.55.16
UK Pound	1	Rs.88.03
Euro	1	Rs.70.86

INFORMATION DETAILS

Report Prepared by :

MNL

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%)

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