|
Report Date : |
22.10.2012 |
IDENTIFICATION DETAILS
|
Name : |
DONGWHA ENTERPRISE CO., LTD. |
|
|
|
|
|
|
Registered Office : |
150-14, Gajwa 1-dong, Seo-gu, Incheon, Korea 404-810 |
|
|
|
|
|
|
Country : |
South Korea |
|
|
|
|
|
|
Financials (as on) : |
31.12.2010 |
|
|
|
|
|
|
Date of Incorporation : |
01.10.2003 |
|
|
|
|
|
|
Com. Reg. No.: |
137-81-56538 |
|
|
|
|
|
|
Legal Form : |
Co., Ltd by Shares |
|
|
|
|
|
|
Line of Business : |
Manufacture of Densified and Reconstituted Wood |
|
|
|
|
|
|
No. of Employees : |
504 |
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
|
Company Name |
DONGWHA ENTERPRISE CO., LTD. (Korean Company Name : “동화기업(주)”) |
|
Registered Address |
150-14, Gajwa 1-dong, Seo-gu, Incheon,
Korea |
|
Zip Code |
404-810 |
|
Tel |
+82-32-580-5161~4 |
|
Fax |
+82-32-577-0056 |
|
Trading Address |
150-14, Gajwa 1-dong, Seo-gu, Incheon,
Korea |
|
Tel |
+82-32-580-5161~4 |
|
Fax |
+82-32-577-0056 |
|
Other Address-Nonhyeon Branch |
192, Nonhyeon-dong,
Gangnam-gu, Seoul, Korea |
|
Other Address-Asan Branch |
186-3, Munbang-ri,
Inju-myeon, Asan-si, Chungcheongnam-do, Korea |
|
Other Address-Manseok-Dong Branch |
2-324, Manseok-dong,
Dong-gu, Incheon, Korea |
|
Type |
Export/Import |
|
Industry |
Manufacture of Densified and Reconstituted Wood |
|
Main Business |
Particle Board, Medium Density Fiberboard, Formalin |
|
Sub
Business |
Manufacture of Other Basic Organic Chemicals |
|
Established (mm/dd/yyyy) |
10/01/2003 |
|
Activity |
Detailed Products (UNSPSC) |
|
Sell |
Flooring(30161700) |
|
Sell |
Wallboard(30161501) |
|
Sell |
Particleboard(11121611) |
|
Sell |
Access flooring(30161717) |
|
Sell |
Windows(30171600) |
|
Sell |
Doors(30171500) |
|
Sell |
Plywood(11121609) |
|
Buy |
Wood(11121600) |
|
Name |
Kim Hong-Jin |
|
Address |
Suite 106-701, 747, Suseo-dong,
Gangnam-gu, Seoul, Korea |
|
Date of Birth |
07/09/1965 |
|
Title |
President & CEO |
|
Sex |
Male |
|
Nationality |
Korean |
|
Capital (KRW) |
8,962,990,000 |
|||||||||
|
Employees |
504 |
|||||||||
|
Formation |
Co., Ltd by Shares A Company of DONGWHA HOLDINGS CO., LTD.(120111-0004218) |
|||||||||
|
Bank Details |
Woori Bank Shinhan Bank Korea Development Bank |
|||||||||
|
Corporate Registered No. |
120111-0327933 |
|||||||||
|
Business Registered No. |
137-81-56538 |
|||||||||
|
Permit & Licenses |
N/A |
|||||||||
|
Shareholder Position |
|
|||||||||
|
Company History |
10/01/2003 Incorporated as the present name
after Split off from DONGWHA
HOLDINGS CO., LTD.(120111-0004218) 01/01/2009 Acquired DONGWHA
CHEMICAL CO., LTD. 01/01/2010 Acquired DONGWHA CEZAIN
CO., LTD.(110111-3484766) and DONGWHA RESOURCES
CO., LTD.(110111-0634348), and split off MFB/Chemical Business 01/04/2010
Spin off, and newly established DONGWHA
GREENCHEM CO., LTD.(120111-0519225) 01/02/2012
Acquired DONGWHA GREENCHEM CO., LTD.(120111-0519225) 01/02/2012 Increased capital to 8,962,990,000 KRW from 7,162,990,000 KRW |
|||||||||
|
|
|
|
Job Description |
Title |
Name |
Sex |
Nationality |
Inauguration Date |
|
President & CEO |
Mr. |
Kim Hong-Jin |
Male |
Korean |
08/31/2010 |
|
Director |
Mr. |
Lee Byung-Eon |
Male |
Korean |
08/12/2011 |
|
Director |
Mr. |
Min Kyung-Sub |
Male |
Korean |
09/21/2011 |
|
Auditor |
Mr. |
Park In-Cheol |
Male |
Korean |
08/18/2010 |
|
Supervisor of HQ Office |
Mr. |
Seo Jae-Jin |
Male |
Korean |
11/07/2005 |
|
Year / Unit : KRW |
Sales |
Assets |
Net Income |
|
215,235,123,267 |
207,916,136,176 |
3,216,253,834 |
|
|
2009 |
169,453,558,098 |
251,809,670,230 |
7,252,979,217 |
|
2008 |
169,874,939,918 |
238,452,906,455 |
3,751,654,287 |
|
2007 |
187,316,955,902 |
221,907,195,418 |
-821,203,081 |
|
2006 |
197,835,004,925 |
241,001,243,910 |
2,160,360,306 |
|
Authorized Capital(KRW) |
60,000,000,000 |
|
Paid-Up Capital(KRW) |
8,962,990,000 |
|
Total Issued Shares |
17,925,980 |
Balance
Sheet
|
|||
|
Unit : Korean Won |
As of 12/31/2010 |
As of 12/31/2009 |
As of 12/31/2008 |
|
Total Assets |
207,916,136,176 |
251,809,670,230 |
238,452,906,455 |
|
Current Assets |
57,436,807,248 |
84,106,085,351 |
73,258,862,643 |
|
-Quick Assets |
33,528,475,152 |
58,289,465,186 |
48,046,857,401 |
|
-Inventories |
23,908,332,096 |
25,816,620,165 |
25,212,005,242 |
|
Fixed Assets |
150,479,328,928 |
167,703,584,879 |
165,194,043,812 |
|
-Investment |
7,036,324,043 |
2,319,743,917 |
2,105,402,985 |
|
-Tangibles |
137,090,228,319 |
157,714,671,078 |
154,486,274,956 |
|
-Intangibles |
3,868,233,751 |
5,266,138,238 |
6,729,394,456 |
|
-Others |
2,484,542,815 |
2,403,031,646 |
1,872,971,415 |
|
Total Liabilities |
97,937,846,072 |
115,779,075,327 |
118,826,533,429 |
|
Current Liabilities |
80,035,212,351 |
86,736,648,566 |
91,205,810,895 |
|
Fixed Liabilities |
17,902,633,721 |
29,042,426,761 |
27,620,722,534 |
|
Capital Stock |
7,162,990,000 |
8,888,000,000 |
8,388,000,000 |
|
Capital Surplus |
89,210,857,958 |
110,694,850,269 |
102,104,713,536 |
|
Profit Surplus |
19,533,197,019 |
16,316,943,185 |
9,063,963,968 |
|
Capital Adjustment |
-5,928,754,873 |
130,801,449 |
69,695,522 |
|
Total Equity |
109,978,290,104 |
136,030,594,903 |
119,626,373,026 |
|
Liab. & Shareholder’s Equity |
207,916,136,176 |
251,809,670,230 |
238,452,906,455 |
|
Current Liabilities |
80,035,212,351 |
86,736,648,566 |
91,205,810,895 |
|
Trade Payables |
16,198,648,489 |
33,116,223,986 |
24,249,758,457 |
|
Short-Term Borrowings |
18,496,000,000 |
20,000,000,000 |
44,900,000,000 |
|
Short-Term Debentures |
30,000,000,000 |
10,000,000,000 |
10,000,000,000 |
|
Account Payables |
8,661,370,442 |
13,759,555,617 |
4,517,332,339 |
|
Advance Receipts |
394,470,748 |
674,122,269 |
482,480,766 |
|
Withholdings |
239,321,719 |
271,004,058 |
261,955,334 |
|
VAT Withhold |
1,824,358,290 |
1,699,140,834 |
649,325,264 |
|
Accrued Expenses |
1,929,840,965 |
4,017,898,253 |
1,969,696,937 |
|
Accrued Income Tax |
291,740,705 |
1,150,163,549 |
930,351,798 |
|
Current Portion of Long-Term Debts |
1,890,490,000 |
2,048,540,000 |
3,244,910,000 |
|
Current Portion of Deferred Income Tax |
108,970,993 |
- |
- |
|
Fixed Liabilities |
17,902,633,721 |
29,042,426,761 |
27,620,722,534 |
|
Long-Term Borrowings |
14,456,380,000 |
8,523,160,000 |
8,019,580,000 |
|
Debentures |
- |
15,000,000,000 |
15,000,000,000 |
|
VAT Withhold |
1,035,204,883 |
1,244,218,189 |
1,534,218,189 |
|
Provision for Severance & Retirement |
10,884,315,977 |
12,122,290,380 |
8,413,157,354 |
|
Deferred Income Tax Credit |
12,961,045 |
- |
286,580,802 |
Income
Statement
|
|||
|
Unit : Korean Won |
As of 12/31/2010 |
As of 12/31/2009 |
As of 12/31/2008 |
|
Sales |
215,235,123,267 |
169,453,558,098 |
169,874,939,918 |
|
Cost of Sold Goods |
185,692,658,557 |
139,986,215,231 |
145,244,665,347 |
|
Gross Profit |
29,542,464,710 |
29,467,342,867 |
24,630,274,571 |
|
Selling & Admin. Expenses |
24,721,434,253 |
24,980,949,635 |
18,687,809,981 |
|
Operating Income |
4,821,030,457 |
4,486,393,232 |
5,942,464,590 |
|
Non-Operating Income |
4,070,599,024 |
3,843,187,409 |
2,095,021,599 |
|
Non-Operating Expenses |
4,478,859,895 |
4,639,854,794 |
4,527,192,186 |
|
Income Before Taxes |
4,412,769,586 |
3,689,725,847 |
3,510,294,003 |
|
Income Taxes from Continues
Business |
1,196,515,752 |
1,049,721,159 |
676,589,574 |
|
Income from Continues Business |
3,216,253,834 |
2,640,004,688 |
2,833,704,429 |
|
Income from Stopped Business |
- |
4,612,974,529 |
917,949,858 |
|
Net Income |
3,216,253,834 |
7,252,979,217 |
3,751,654,287 |
Cash
Flows
|
|||
|
Unit : Korean Won |
As of 12/31/2010 |
As of 12/31/2009 |
As of 12/31/2008 |
|
Cash Flows from Operating |
-10,863,391,173 |
23,753,513,162 |
9,044,577,926 |
|
-Net Income |
3,216,253,834 |
7,252,979,217 |
3,751,654,287 |
|
-Exp. without Cash Outflow |
12,487,703,915 |
16,473,848,212 |
16,710,469,241 |
|
-Revenue without Cash Inflows |
-1,204,068,441 |
-2,002,411,275 |
-231,477,035 |
|
-Changes in Asset/ & Liability |
-25,363,280,481 |
2,029,097,008 |
-11,186,068,567 |
|
Cash Flows from Investing |
-13,652,881,471 |
327,985,410 |
-6,685,630,186 |
|
-Cash Inflow from Investing |
2,792,660,191 |
5,236,458,896 |
3,635,294,818 |
|
-Cash Outflows for Investing |
-16,445,541,662 |
-4,908,473,486 |
-10,320,925,004 |
|
Cash Flows from Financing |
19,591,570,000 |
-32,592,790,000 |
5,692,390,000 |
|
-Cash Inflows from Financing |
165,545,122,500 |
49,598,020,000 |
200,923,000,000 |
|
-Cash Outflows from Financing |
-145,953,552,500 |
-82,190,810,000 |
-195,230,610,000 |
|
Increase/Decrease in Cash |
-4,839,186,408 |
-2,972,178,524 |
8,051,337,740 |
|
Cash at the Beginning of Year |
5,428,049,056 |
8,400,227,580 |
348,889,840 |
|
Cash at the End of Year |
588,862,648 |
5,428,049,056 |
8,400,227,580 |
|
Main Products & Services |
Particle Board, Medium Density Fiberboard, Formalin |
|
Competitors |
HANSOL HOMEDECO CO., LTD.(110111-0825624) 27TH FL., KOREA SPECIALTY CONTRACTOR
CENTER, 395-70, SINDAEBANG 2-DONG, DONGJAK-GU, SEOUL, KOREA TEL:+82-2-3284-3812~4 TEL:+82-2-3284-3838~9 UNID CO.,LTD.(110111-0275069) 17TH FL., ORIENTAL CHEMICAL INDUSTRIES
BLDG., 50, SOGONG-DONG, JUNG-GU, SEOUL, KOREA TEL:+82-2-3709-9500 FAX:+82-2-774-7591 SUNCHANG CORPORATION(110111-0027593) 6-32, BUKSEONG-DONG 1-GA, JUNG-GU, INCHEON,
KOREA TEL:+82-32-770-3000 FAX:+82-32-763-3171 |
(Subsidiaries,
Joint-Venture & Affiliates)
|
Affiliates-Domestic |
DONGWHA HOLDINGS CO., LTD.(120111-0004218) DAESUNG WOOD IND.CO.,LTD.(120111-0018524) DONGWHA NATURE FLOORING
CO.,LTD.(120111-0411827) DONGWHA LOGISTICS CO., LTD.9120111-0411893) EUNIQUE CO., LTD.(110111-1255614) DONGWHA SFC HOUSING CO.,
LTD.(110111-3453133) WON CHANG TRADING.CO., LTD.(110111-1053126) ELITEDOOR CO.,LTD.(120111-0202507) DONGWHA AUTOCARE CO., LTD.(120111-0497405) DONGWHA YELLO HAT CO., LTD.(110111-4102185) |
|
Affiliates-Overseas |
DONGWHA INTERNATIONAL CO.,LTD VRG DONGWHA JOINT STOCK COMPANY DONGWHA FIBREBOARD SDN., BHD. DONGWA MDF MALAYSIA DONGWHA MALAYSIA HOLDINGS DONGWHA CHEMICAL MALAYSIA |
|
Subsidiary |
DONGWHA VINA CO., LTD. (80.0% held by the Subject company) |
|
Corporate Ownership |
DONGWHA INTERNATIONAL CO. LIMITED (Ex.: MH HOLDINGS CO., LTD.) DONGWHA HOLDINGS CO., LTD.(120111-0004218) |
|
Major Shareholders |
DONGWHA HOLDINGS CO., LTD.(120111-0004218) |
|
Cooperative Enterprise |
-Insured Company MERITZ FIRE & MARINE INSURANCE CO., LTD.(110111-0013328) |
(Activity &
Markets)
Not Available.
No.
--
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.53.72 |
|
|
1 |
Rs.86.15 |
|
Euro |
1 |
Rs.70.17 |
INFORMATION DETAILS
|
Report
Prepared by : |
PRL |
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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.