MIRA INFORM REPORT

Report Date :

23.10.2012

IDENTIFICATION DETAILS

Name :	HKE CO., LTD.
Registered Office :	Rm.1007, World Meridian Biz Center 15-1, Yangpyeong-dong 3-ga, Yeongdeungpo-gu, Seoul, Korea 150-103

Country :	South Korea

Financials (as on) :	31.12.2010

Date of Incorporation :	21.07.1994

Com. Reg. No.:	107-81-46285

Legal Form :	Co., Ltd by shares

Line of Business :	Manufacture of Machinery and Accessaries Specialized for Printing and Bookbinding

No. of Employees :	16

RATING & COMMENTS

MIRA’s Rating :

RATING		STATUS	PROPOSED CREDIT LINE
26-40	B	Capability to overcome financial difficulties seems comparatively below average.	Small

Status :	Moderate
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

(31.03.2011)

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

Important Note:

as per your request, please understand we cannot confirm or issue of any credentials if the subject can be a good supplier or not.

Only based on the report we submitted the subject has been engaged in exporting and importing of Rotary Press machinery and related industry since 1994, we could only guess they have the capability in normal business environment.

Basic Information

Company Name	HKE CO., LTD. (Korean Company Name : “(주)에취케이이”)
Registered Address	15-1, Yangpyeong-dong 3-ga, Yeongdeungpo-gu, Seoul, Korea
Building	Rm.1007, World Meridian Biz Center
Zip Code	150-103
Tel	+82-2-2635-1313
Fax	+82-2-2635-1315
E-mail	hkeng@chollian.net
Trading Address	Rm.1007, World Meridian Biz Center, 15-1, Yangpyeong-dong 3-ga, Yeongdeungpo-gu, Seoul, Korea
Tel	+82-2-2165-8954
Fax	+82-2-2635-1315
Other Address-Factory	558-1, Janghang-dong, Ilsandong-gu, Goyang-si, Gyeonggi-do, Korea
Type	Export/Import
Industry	Manufacture of Machinery and Accessaries Specialized for Printing and Bookbinding
Main Business	Rotary Press
Sub Business	Publication
Established (mm/dd/yyyy)	07/21/1994

Detailed Products

Activity	Detailed Products (UNSPSC)
Sell	Machinery for Publishing
Sell	Machinery for Book Binding
Sell	Publication

CEO’s

Name	Kim Kyung-Nam
Address	Suite 105-402, 95, Dangsan-ro, Yeongdeungpo-gu, Seoul, Korea
Date of Birth	01/05/1952
Title	President & CEO
Sex	Male
Nationality	Korean

Profiles

Capital (KRW)

250,000,000

Employees

Formation

Co., Ltd by shares

Bank Details

S.C. First Bank of Korea-Yangpyung Dong Corporate Finance Branch

Corporate Registered No.

110111-1059701

Business Registered No.

107-81-46285

Permit & Licenses

Int’l Trade No.: 11818155

Shareholder Position

Name	Shares	%
KIM KYUNG-NAM	10,000	40.00
SEO MYUNG-HWAN	2,500	10.00
LEE JUNG-HOON	2,500	10.00
KIM KYUNG-SOO	2,500	10.00
JEON GYE-SUN	2,500	10.00
OTHERS	5,000	20.00
TOTAL	25,000	100.00

Company History

10/15/1989 Established as HK ENGINEERING CO.(Sole Proprietorship)

07/21/1994 Incorporated as the present name

02/04/2004 Increased capital to 250,000,000 KRW from 50,000,000 KRW

04/06/2007 Moved to the present address from 100-17, Onsu-dong, Guro-gu, Seoul, Korea

Management

Job Description	Title	Name	Sex	Nationality	Inauguration Date
President & CEO	Mr.	Kim Kyung-Nam	Male	Korean	07/21/1994
Director	Mr.	Kim Kyung-Soo	Male	Korean	11/18/1995
Director	Mr.	Yoo Duck-Hyun	Male	Korean	03/31/2006
Auditor	Mr.	Choi Jin-Bok	Male	Korean	03/31/2012

Financials

Year / Unit : KRW	Sales	Assets	Net Income
2011	4,716,400,000		137,970,000
2010	3,094,000,000	3,218,000,000	128,000,000
2009	2,303,000,000	3,333,000,000	83,000,000
2008	13,307,000,000	2,746,000,000	310,000,000
2007	2,129,550,000		211,190,000
2006
2005
2004
2003	3,775,000,000	5,934,000,000	85,000,000

The full financial is not available, and the subject does not have any obligation to releases its financials to the public.

Financial Description

Authorized Capital(KRW)	1,000,000,000
Paid-Up Capital(KRW)	250,000,000
Total Issued Shares	25,000

Balance Sheet
Unit : Korean Won	As of 12/31/2010	As of 12/31/2009	As of 12/31/2008
Total Assets	3,218,000,000	3,333,000,000	2,746,000,000
Current Assets	-	1,824,000,000	1,264,000,000
-Quick Assets	-	961,000,000	613,000,000
-Inventories	-	863,000,000	651,000,000
Fixed Assets	-	1,509,000,000	1,483,000,000
-Investment	-	33,000,000	33,000,000
-Tangibles	-	1,156,000,000	1,130,000,000
-Intangibles	-	205,000,000	205,000,000
Total Liabilities	1,558,000,000	1,802,000,000	1,298,000,000
Current Liabilities	-	1,198,000,000	622,000,000
Fixed Liabilities	-	604,000,000	676,000,000
Capital Stock	-	250,000,000	250,000,000
Capital Surplus	-	-	-
Profit Surplus	1,410,000,000	1,282,000,000	1,199,000,000
Capital Adjustment	-	-1,000,000	-1,000,000
Total Equity	1,659,000,000	1,531,000,000	1,448,000,000
Liab. & Shareholder’s Equity	3,218,000,000	3,333,000,000	2,746,000,000

Income Statement
Unit : Korean Won	As of 12/31/2010	As of 12/31/2009	As of 12/31/2008
Sales	3,094,000,000	2,303,000,000	13,307,000,000
Cost of Sold Goods	-	1,430,000,000	11,823,000,000
Gross Profit	-	872,000,000	1,484,000,000
Selling & Admin. Expenses	-	674,000,000	1,219,000,000
Operating Income	-	198,000,000	265,000,000
Non-Operating Income	-	2,000,000	171,000,000
Non-Operating Expenses	-	59,000,000	89,000,000
Income Before Taxes	-	141,000,000	347,000,000
Income Taxes Expenses	-	58,000,000	37,000,000
Net Income	128,000,000	83,000,000	310,000,000

Products, Technologies, Services Description

Main Products & Services

Machinery for Publishing & Book Binding

Sales by Region

(Activity & Markets)

Not Available.

Court Action

Not Available.

News Clipping

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.53.67
UK Pound	1	Rs.86.05
Euro	1	Rs.70.07

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%)

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.