MIRA INFORM REPORT

 

 

Report Date :

02.04.2013

 

IDENTIFICATION DETAILS

 

Name :

TONG YANG MOOLSAN CO., LTD.

 

 

Registered Office :

90, Nonhyeon 2-dong, Gangnam-gu, Seoul, Korea, 2nd Fl., Daeyong Bldg., 135-818

 

 

Country :

South Korea

 

 

Financials (as on) :

31.12.2010

 

 

Date of Incorporation :

01.02.1960

 

 

Com. Reg. No.:

106-81-28552

 

 

Legal Form :

Listed Company

 

 

Line of Business :

Manufacture of Tobacco Products

 

 

No. of Employees :

686

 

 

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 :

Usually correct

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

(31.03.2012)

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

 

Company Name

TONG YANG MOOLSAN CO., LTD.

(Korean Company Name : “동양물산기업()”)

Registered Address

90, Nonhyeon 2-dong, Gangnam-gu, Seoul, Korea

Building

2nd Fl., Daeyong Bldg.

Zip Code

135-818

Tel

+82-2-3014-2800

Fax

+82-2-3014-2850

E-mail

dylee@tym.co.kr;rachel2030@tym.co.kr

Website

www.tym.co.kr

Trading Address

2nd Fl., Daeyong Bldg., 90, Nonhyeon 2-dong, Gangnam-gu, Seoul, Korea (P.O.BOX 2270)

Tel

+82-2-3014-2800

Fax

+82-2-3014-2850

Other Address-Iksan Factory

1369, Gwang-am-ri, Wanggung-myeon, Iksan-si, Jeonbuk, Korea

Tel

+82-63-830-2000

Fax

+82-63-831-2171

Other Address-Culture Division

399-1, Ahyeon 2(i)-dong, Mapo-gu, Seoul, Korea

Tel

+82-2-313-3322

Fax

+82-2-364-1341

Other Address-Changwon Factory

604-9, Namsan-dong, Changwon-si, Gyeongsangnam-do, Korea

Tel

+82-55-279-4231

Fax

+82-55-279-4445

Other Address-Jincheon Filter Factory

85-17, Hapmok-ri, Deoksan-myeon, Jincheon-gun, Chungcheongbuk-do, Korea

Tel

+82-43-536-5104~8

Fax

+82-43-536-5109

Other Address-R&D Institute

66-6, Jeil-ri, Yangji-myeon, Yongin-si, Gyeonggi-do, Korea

Tel

+82-31-334-8221

Fax

+82-31-334-8224

Type

Export/Import

Industry

Manufacture of Agricultural and Forestry Machinery

  Main Business

Tractor, Combine, Rice Transplanter

  Sub Business

Manufacture of Tobacco Products

Established (mm/dd/yyyy)

02/01/1960

The Subject owns the premises of Changwon Factory, Jincheon Filter Factory and R&D Institute.

 

 

Detailed Products

 

Activity

Detailed Products (UNSPSC)

Sell

Domestic dinner set(52152016)

Sell

Domestic spoons(52151704)

Sell

Agricultural tractors(25101901)

Sell

Combine harvesters(21101704)

Sell

Stainless steel plate(30102205)

Sell

Transplanters(21101602)

Sell

Cigarette papers or filters(50211607)

Sell

Agricultural machinery for harvesting(21101700)

Sell

Cultivators(21101503)

Buy

Agricultural and forestry and landscape machinery and equipment(21100000)

Buy

Engines(26101500)

Buy

Filter papers(40161803)

Buy

Hydraulic systems and components(25172800)

Buy

Stainless steel sheet(30102505)

Buy

Cigarette papers or filters(50211607)

Buy

Bearings(31171500)

 

 

CEO’s

 

Name

Kim Hee-Yong

Address

 

Date of Birth

11/02/1942

Title

Chairman & CEO

Sex

Male

Nationality

Korean

 

 

Profiles

 

Capital (KRW)

32,694,450,000 KRW

Employees

686

Formation

Listed Company (Korea Stock Exchange : 002900) as of 06/26/1973

A Company of BYUKSAN Business Group

Bank Details

Nonghyup Bank-Sales Department

Woori Bank-Seocho Branch

Korea Exchange Bank-Toigyero Branch

Corporate Registered No.

110111-0032899

Business Registered No.

106-81-28552

Permit & Licenses

1995 ISO 9002

1998 ISO 9002

1998 KT

2003 ISO 9001

03/14/2005 KT

 

Int’l Trade No.: 670825

Shareholder Position

Name

Shares

%

KIM HEE-YONG

981,107

15.00

MISTUBISHI CORPORATION

653,890

10.00

KIM TAE-SIK

410,372

6.28

KIM SIK

409,098

6.26

GYEONGGI MUTUAL SAVINGS BANK(111511-0041560)

297,280

4.55

OTHERS

3,787,143

57.92

TOTAL

6,538,890

100.00

Company History

02/01/1960 incorporated as Bokun Enterprise Co., Ltd.

07/10/1992 Changed company name to the present name

05/07/2004 Moved to the present HQ address from 826-14, Yeoksam-dong, Gangnam-gu, Seoul, Korea

 

 

Detailed Information

 

Management

 

Job Description

Title

Name

Sex

Nationality

Date of Birth

Chairman & CEO

Mr.

Kim Hee-Yong

Male

Korean

1942.11.02

Director

Mr.

Yoon Yeo-Doo

Male

Korean

1947.08.15

Director

Mr.

Park Hee-Gon

Male

Korean

1948.11.22

Director

Mr.

Sohn Sung-Man

Male

Korean

1955.03.10

Outside Director

Mr.

Park Sang-Woo

Male

Korean

1939.08.11

Outside Director

Mr.

Lee Sang-Moo

Male

Korean

1949.09.12

Auditor

Mr.

Jung Hak-Soo

Male

Korean

1958.02.12

 

Financials

 

Year / Unit : KRW

Sales

Assets

Net Income

(*)/2012

358,860,691,804

350,024,942,126

3,191,544,682

(*)2011

332,996,127,741

331,960,122,075

4,536,573,060

(*)2010

304,043,301,383

324,320,407,661

19,908,031,281

2009

317,617,935,004

279,603,794,459

6,201,364,056

2008

284,576,263,686

256,941,608,997

3,893,865,694

2007

247,640,655,799

231,333,271,586

10,571,493,370

2006

265,422,706,692

222,709,250,834

4,428,584,450

2005

263,259,594,919

206,257,862,957

5,114,096,183

2004

244,030,074,138

199,076,714,726

2,974,152,087

(*)Figures are based on the K-IFRS Accounting System.

 

Financial Description

 

Authorized Capital(KRW)

85,000,000,000

Paid-Up Capital(KRW)

32,694,450,000

Total Issues Shares

6,538,890

 


Balance Sheet

 

Unit : Korean Won

As of 12/31/2012

As of 12/31/2011

As of 12/31/2010

Total Assets

350,024,942,126

331,960,122,075

324,320,407,661

Current Assets

208,750,255,560

191,913,506,398

184,985,323,497

Cash & Cash Equivalents

23,087,502,632

17,726,038,987

21,577,442,135

Trade Receivables

109,252,144,994

99,078,883,593

85,949,785,013

Other Finance Assets

6,178,216,773

4,086,911,299

5,374,809,548

Other Current Assets

4,786,420,730

3,538,987,647

3,530,759,142

Inventories

65,445,970,431

67,009,583,800

68,552,527,659

Income Tax

-

473,101,072

-

Non-Current Assets

140,105,704,135

138,877,633,246

139,335,084,164

Other Financial Instruments

7,445,346,333

7,483,208,715

6,733,042,458

Marketable Financial Instruments

2,380,666,772

3,280,548,112

4,361,359,550

Investment_Related Companies

1,000

1,000

225,253,832

Investment_Joint Venture

11,008,127,845

11,008,127,845

5,126,287,222

Investment_Subsidiaries

16,776,977,502

16,776,977,502

17,509,327,549

Tangibles

95,689,276,705

94,550,300,876

101,160,270,166

Intangibles

6,087,962,655

5,077,489,355

3,158,555,916

Other Non-Current Assets

637,099,217

700,979,841

935,873,752

Deferred Income Tax Assets

80,246,106

-

125,113,719

Non-Current Assets to be Sold

1,168,982,431

1,168,982,431

-

Total Liabilities

187,542,139,574

175,096,288,498

168,549,121,891

Current Liabilities

124,377,318,759

128,082,035,725

131,227,608,664

Trade Payables

45,518,790,234

35,745,036,073

42,239,275,959

Other Finance Debts

9,967,197,554

6,993,012,757

7,570,048,411

Short-Term Borrowings

63,275,100,741

79,726,994,532

71,391,940,012

Other Current Liabilities

4,757,849,587

5,588,580,854

7,169,891,297

Accrued Income Tax

812,220,885

-

2,738,831,092

Derivatives

46,159,758

28,411,509

117,621,893

Non-Current Liabilities

63,164,820,815

47,014,252,773

37,321,513,227

Long-Term Borrowings

42,006,777,505

28,442,587,783

24,325,283,344

Other Non-Current Debts

3,345,778,921

2,486,539,667

267,279,764

Provision for Severance & Retirement

16,656,714,450

14,156,310,412

11,862,681,973

Provisions

1,155,549,939

1,089,237,502

866,268,146

Deferred Income Taxes

-

839,577,409

-

Capital Stock

32,694,450,000

32,694,450,000

32,694,450,000

Capital Surplus

15,037,104,038

15,037,104,038

15,037,104,038

Others

113,894,820

-5,236,406,852

-4,482,531,325

Profit Surplus

114,637,353,694

114,368,686,391

112,522,263,057

Total Equity

162,482,802,552

156,863,833,577

155,771,285,770

Liab. & Shareholder’s Equity

350,024,942,126

331,960,122,075

324,320,407,661

 

Income Statement

 

Unit : Korean Won

As of 12/31/2012

As of 12/31/2011

As of 12/31/2010

Sales

358,860,691,804

332,996,127,741

304,043,301,383

Cost of Sold Goods

286,451,691,335

259,023,061,679

236,009,169,620

Gross Profit

72,409,000,469

73,973,066,062

68,034,131,763

Selling & Admin. Expenses

59,719,062,810

63,948,810,462

64,879,241,929

Other Operating Profits

 

 

1,517,695,518

Operating Income

12,689,937,659

10,024,255,600

4,672,585,352

Non-Operating Income

3,797,601,723

4,545,984,407

36,394,959,904

Non-Operating Expenses

1,127,910,513

1,838,772,965

9,124,269,528

Finance Income

5,406,630,746

4,665,673,455

2,864,830,816

Finance Expenses

18,521,501,685

11,178,586,256

10,275,012,954

Income Before Taxes

2,244,757,930

6,218,554,241

24,533,093,590

Income Taxes Expenses

-946,786,752

1,681,981,181

4,625,062,309

Net Income

3,191,544,682

4,536,573,060

19,908,031,281

 

 

Cash Flows

 

Unit : Korean Won

As of 12/31/2012

As of 12/31/2011

As of 12/31/2010

Operating Activities Cash Flows

21,886,925,634

-10,590,879,699

-7,801,458,905

Cash Flows from Operating

26,385,298,235

-1,255,991,018

343,443,088

Net Income

3,191,544,682

4,536,573,060

19,908,031,281

Adjustment

25,656,640,294

11,981,004,617

-3,945,456,585

Changes in Asset/ & Liability

-2,462,886,741

-17,773,568,695

-15,619,131,608

Interests Received

820,839,708

335,378,190

583,175,912

Interests Paid

-5,769,476,324

-6,545,334,707

-5,520,404,850

Dividends Received

99,282,301

87,000,000

106,000,000

Income Taxes

350,981,714

-3,211,932,164

-3,313,673,055

Cash Flows from Investing

-13,692,905,565

-3,596,340,533

13,375,696,909

Cash Flows from Financing

-2,832,556,424

10,335,817,084

-737,902,767

Increase/Decrease in Cash

5,361,463,645

-3,851,403,148

4,836,335,237

Cash at the Beginning of Year

17,726,038,987

21,577,442,135

16,741,106,898

Cash at the End of Year

23,087,502,632

17,726,038,987

21,577,442,135

 

 


Products, Technologies, Services Description

 

Main Products & Services

-Machinery Division

Plant Area : 101,673 m2

Bldg. Area : 24,614 m2

Annual Production Capacity :

 - Tractor = 10,000 /units

 - Combine = 7,000 /units

 - Rice Transplanter = 15,000 /units

 

Tractor

Used Tractor

Rice Transplanter

Combine Harvestor

 

-Stainless Steel Flatware Division

- Spoons & Forks made of 13% Cr.,18%Cr, 18/8(18/10)%Cr./Ni with various kinds of models

- Hot forged Monoblock knives

- 1pc & 2pc. Hollow Handle Knives with cement injection style

- Hollow handle Buffetware

- Ceramic coated products

Indonesia Factory

 Commercial production have been started since Sept. 1, 1991

 Production capacity : 3 Mil. pcs/Month

 

China Factory

 Commercial production have been started since Nov.'94

 Production capacity : 3 Mil. pcs/Month

 

-Cigarette Filter Division

 Plant Area : 40,000

 Bldg. Area : 9,000

 Annual Production Capacity : 15 BILLION RODS.

 

Triple Solid Filter

CP Filter

Flavour Thread Filter

Recess Filter

 

-Culture Service Division

For over thirty years The Subject has been importing various kinds of Japanese periodicals (newspaper, magazine and book) through O.C.S JAPAN, to distribute to its customers in KOREA.

Its main handling items for newspapers covers Asahi, Yomiuri, Nihonkeizai, Sankei, Mainichi, etc, and for magazines screen, Nihon camera, So-en, Beautiful room, Mc sister, JJ, Machinery design, Engineering and Laboratory, Netpia, She's, etc.

Trade Partners & Competitors

 

Suppliers

POSCO(174611-0000741)

DONGSUNG CORPORATION

KUK-IL PAPER MFG CO.,LTD.(134511-0001377)

Customers

NACF

PUBLIC PROCUREMENT SERVICE, KOREA

ISEKI(JAPAN)

IHI(JAPAN)

JOHN DEERE(USA)

PHILIP MORRIS KOREA

KT&G

 

It is paid by credit with 3 months, cash within 2 months, and D/A, TT and L/C.

Competitors

-Machinery

DAEDONG INDUSTRIAL CO., LTD.(191111-0000104)

KUKJE, MACHINERY CO., LTD.(131111-0000635)

LS MACHINERY CO., LTD.

 

The Subject is ranked as the 2nd player next to DAEDONG INDUSTRIAL CO., LTD.

 

-Filter

CELL CO., LTD.(110111-0385800)

SAMHWA SILUP CO., LTD.(180111-0006379)

HYUNDAI FILTER CO., LTD.(214911-0002578)

The Subject is ranked as the 2nd player next to CELL CO., LTD.

 

 

Related Parties (Subsidiaries, Joint-Venture & Affiliates)

 

Affiliates-Domestic

BYUKSAN CORPORATION(110111-0113384)

BYUCKSAN ENGINEERING & CONSTRUCTION CO., LTD.(110111-0016827)

INHEE CO., LTD(180111-0002301)

BYUCKSAN PAINT & COATINGS CO., LTD.(134111-0011952)

HAATZ INC.(115611-0003902)

SHINKWANG PAINT IND.CO., LTD.(111511-0002215)

CROSS NETWORKS CO., LTD.(110111-3743344)

TONG YANG NET CO., LTD.(195211-0004952)

GMT CO., LTD.(KOREA)

Affiliates-Overseas

BECCO GUAM

 

PT.TYM.NUSANTARA

(100% held by the subject company)

 

TYM-USA INC.

(100% held by the subject company)

 

TONG YANG NET CO., LTD.(195211-0004952)

(100% held by the subject company)

 

JIANGSU TONGYANG RICE TRANSPLANTER CO., LTD.

(56.11% held by the subject company)

 

LTYM(LIAO NING, CHINA)

(100% held by the subject company)

Joint Venture

 

Subsidiary

PT.TYM.NUSANTARA

(100% held by the subject company)

 

TYM-USA INC.

(100% held by the subject company)

 

TONG YANG NET CO., LTD.(195211-0004952)

(100% held by the subject company)

 

JIANGSU TONGYANG RICE TRANSPLANTER CO., LTD.

(56.02% held by the subject company)

 

LTYM(LIAO NING, CHINA)

(100% held by the subject company)

 

TONG YANG MOOLSAN CO., LTD.(JAPAN)

(100% held by the subject company)

 

 

Sales by Region (Activity & Markets)

 

Sales/ Unit :Thousand KRW

06/2012

2011

2010

Export

85,568,564

98,034,017

76,019,931

Domestic

191,827,975

229,758,311

228,023,370

Total

277,396,539

327,792,328

304,043,301

Cigarette filter division has been exporting to Turkey, China, Vietnam, Russia, Bangladesh, Taiwan, Hong Kong, Egypt, and other Africa nations.

 

 


Court Action

 

No.

 

 

News Clipping

 

---

 

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.54.38

UK Pound

1

Rs.82.32

Euro

1

Rs.69.54

 

 

INFORMATION DETAILS

 

Report Prepared by :

PDT

 

 

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.