MIRA INFORM REPORT

 

 

Report Date :

16.04.2013

 

IDENTIFICATION DETAILS

 

Name :

DONG YANG INK CO., LTD

 

 

Registered Office :

338-6, Gagok-ri, Jinwi-myeon, Pyeongtaek-si, Gyeonggi-do, Korea, Zip Code 451-861

 

 

Country :

South Korea

 

 

Financials (as on) :

31.12.2012

 

 

Date of Incorporation :

28.08.1975

 

 

Com. Reg. No.:

125-81-04075

 

 

Legal Form :

Co., Ltd by shares

 

 

Line of Business :

Manufacturer of Printing Ink

 

 

No. of Employees :

227

 

 

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 :

Slow but 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

DONG YANG INK CO., LTD.

(Korean Company Name : “()동양잉크”)

Registered Address

338-6, Gagok-ri, Jinwi-myeon, Pyeongtaek-si, Gyeonggi-do, Korea

Zip Code

451-861

Tel

+82-31-660-9210

Fax

+82-31-667-4877

E-mail

dyink@dongyangink.com

Website

www.dongyangink.com

Trading Address

338-6, Gagok-ri, Jinwi-myeon, Pyeongtaek-si, Gyeonggi-do, Korea

Tel

+82-31-660-9200

Fax

+82-31-667-4745

Other Address-2nd Factory

542-6, Segyo-dong, Pyeongtaek-si, Gyeonggi-do, Korea

Tel

+82-31-658-8871

Fax

+82-31-655-6375

Other Address-Seobu Sales Office

36-3, Dangsandong 4-ga, Yeongdeungpo-gu, Seoul, Korea

Tel

+82-2-2675-7301~3

Fax

+82-2-2675-7304

Other Address-Dongbu Sales Office

289-284, Seongsu 2-ga 1-dong, Seongdong-gu, Seoul, Korea

Tel

+82-2-466-1491~2

Fax

+82-2-466-1609

Other Address-Ansan Factory Office

Rm.406, 731-4, Wonsi-dong, Danwon-gu, Ansan-si, Gyeonggi-do, Korea

Type

Export/Import

Industry

Manufacture of Printing Ink

  Main Business

Sheet Fed Offset Ink, Specialty Ink, Pantone Color Ink, Web Offset Ink, Flexographic Inks, UV Ink, FLEXO Ink

Established (mm/dd/yyyy)

08/28/1975

 

 

Detailed Products

 

Activity

Detailed Products (UNSPSC)

Sell

Coating paints(31211504)

Sell

Printing and drawing inks(60121800)

Sell

Varnishes(31211707)

Sell

Phenolic resin(13111002)

Sell

Additives(12160000)

Buy

Pigments(12171600)

Buy

Surfactants(12161900)

Buy

Waxes(12181500)

 


CEO’s

 

Name

Choi Dae-Kwang

Address

Suite 6-1501, 1315, Seocho-dong, Seocho-gu, Seoul, Korea

Date of Birth

10/16/1954

Title

President & CEO

Sex

Male

Nationality

Korean

 

 

Profiles

 

Capital (KRW)

3,327,000,000

Employees

227

Formation

Co., Ltd by shares

Bank Details

Citibank, Korea

Hana Bank

Woori Bank-Songtan Branch

Corporate Registered No.

134711-0002397

Business Registered No.

125-81-04075

Permit & Licenses

01/29/2002 ISO 9001

 

Int’l Trade No.: 950538

Shareholder Position

Name

Shares

%

CHOI DAE-KWANG

150,279

22.58

CHOI JI-WON

93,970

14.12

CHOI DAE-SEOK

66,540

10.00

CHOI DAE-MYUNG

49,986

7.51

OTHERS

304,625

45.78

TOTAL

665,400

100.00

Company History

11/2008 Awarded US$20 Million Export Top Prize

04/2006 Took part in the KPC A Show (International Exhibition of Electronic Circuits & Industrial Materials)

03/2005 Opened a business site in Ansan for the electronic materials business

03/2005 Developed its own PSR ink (DYS-1000 Series)

03/2005 Sold the Du Pont Dry Film (Cooperated with Du Pont)

09/2004 Accomplished the 20 million dollar-exports

04/2004 Established a subsidiary in Jinan , China

12/2003 Made a strategic alliance with Shinmoorim Paper MFG

02/2002 Acquired the ISO 9001:2000 certificate

08/2001 Transferred the FLEXO factory into its second one

08/2001 Expanded and transferred the ??? facilities

02/2002 Selected as a promising small & medium company in Gyeonggi-do

02/2002 Selected as an excellent company for technological competitiveness by the Small & Medium Business Association

06/1998 Set up the second factory within the Pyeongtaek Industrial Complex (Site 8,200 pyong, Building Area 4,100 pyong)

10/1997 Changed the corporate name into DONGYANK INK CO., LTD

09/1997 Took over the assets of Coats Korea

05/1997 Exported the varnish technology to Philippines BENGARD

11/1995 Won the award for the Tower of 10 Million-Dollar Export

04/1995 Completed the construction of red & medium automation facilities lines

11/1994 Won the award for the Tower of 5 Million-Dollar Export

01/1994 Completed the construction of blue & Chinese ink automation facilities lines

07/1990 Established the PREMIER GRAPHICS as a subsidiary in Indiana Polis, the United States

06/1988 Moved to new buildings of headquarters and factory at Gagok-ri Jinwi-myeon Pyeogtaek-gun Gyeonggi-do

08/1986 Established the technology research institute attached to DONGYANG PRINTING INK Co., Ltd recognized by the Ministry of Science and Technology

08/28/1975 Incorporated as DONGYANG PRINTING INK Co., Ltd with a 2 million-won capital

04/1974 Developed synthetic resin and glossy ink

10/1956 Developed new products of oil offset, metallic power and corrugated board inks

03/1948 Established as Dongyang Printing Ink Industry at Wonhyo-ro Yongsan-gu Seoul

 

 

 

 

Management

 

Job Description

Title

Name

Sex

Nationality

Inauguration Date

President & CEO

Mr.

Choi Dae-Kwang

Male

Korean

10/01/2009

Director

Mr.

Lee Won-Jae

Male

Korean

03/25/2008

Director

Mr.

Lim Jae-Duck

Male

Korean

12/02/2010

Auditor

Mr.

Kim Kwang-Eon

Male

Korean

03/25/2002

Supervisor of 2nd Factory

Mr.

Shin Hyun-Nam

Male

Korean

10/15/1957

 

 

Financials

 

Year / Unit : KRW

Sales

Assets

Net Income

2012

90,468,371,261

75,760,644,595

4,330,153,407

2011

85,005,017,705

71,968,934,255

-1,750,255,486

2010

74,945,208,120

65,801,836,256

-800,770,331

2009

67,458,793,270

62,704,214,707

264,000,983

2008

63,390,247,517

62,645,320,322

-2,281,943,667

2007

53,496,860,764

55,737,247,325

3,720,188,413

2006

53,080,250,435

56,785,178,305

776,048,271

2005

57,415,489,494

54,832,370,359

979,595,641

2004

56,770,232,538

52,456,415,016

2,610,538,083

 

Financial Description

 

Authorized Capital(KRW)

7,500,000,000

Paid-Up Capital(KRW)

3,327,000,000

Total Issues Shares

665,400

 

 

Balance Sheet

 

Unit : Korean Won

As of 12/31/2012

As of 12/31/2011

As of 12/31/2010

Total Assets

75,760,644,595

71,968,934,255

65,801,836,256

Current Assets

40,395,581,536

36,456,147,404

35,476,838,416

-Quick Assets

27,227,900,493

23,788,387,471

24,206,721,114

-Inventories

13,167,681,043

12,667,759,933

11,270,117,302

Fixed Assets

35,365,063,059

35,512,786,851

30,324,997,840

-Investment

13,485,500,410

13,658,147,074

8,616,434,143

-Tangibles

20,592,833,423

21,181,262,573

20,777,825,876

-Intangibles

1,286,729,226

673,377,204

930,737,821

Total Liabilities

33,634,233,013

32,489,789,753

24,538,443,921

Current Liabilities

31,681,051,425

30,760,800,891

23,029,418,966

Fixed Liabilities

1,953,181,588

1,728,988,862

1,509,024,955

Capital Stock

3,327,000,000

3,327,000,000

3,327,000,000

Capital Surplus

3,359,786,243

3,359,786,243

3,359,786,243

Profit Surplus

33,450,213,911

30,039,845,374

32,455,500,860

Capital Adjustment

1,989,411,428

2,752,512,885

2,121,105,232

Total Equity

42,126,411,582

39,479,144,502

41,263,392,335

Liab. & Shareholder’s Equity

75,760,644,595

71,968,934,255

65,801,836,256

 

Current Liabilities

31,681,051,425

30,760,800,891

23,029,418,966

Trade Payables

11,626,871,088

12,697,776,530

9,104,979,257

Short-Term Borrowings

17,350,655,656

14,615,108,629

11,247,059,146

Account Payables

1,655,708,011

2,561,205,728

1,870,054,986

Advance Receipts

288,443,858

683,532,832

475,630,746

Withholdings

426,228,423

141,723,929

156,559,449

Leasehold Deposit Received

20,000,000

28,000,000

20,000,000

Guarantee Deposit Withhold

10,000,000

-

45,000,000

Accrued Expenses

303,144,389

33,453,243

21,463,705

Other Current Liabilities

 

- 

88,671,677

Fixed Liabilities

1,953,181,588

1,728,988,862

1,509,024,955

Provision for Severance & Retirement

5,198,671,003

4,490,468,890

3,781,132,756

Deferred Income Tax Credit

- 

- 

67,956,775

 

Income Statement

 

Unit : Korean Won

As of 12/31/2012

As of 12/31/2011

As of 12/31/2010

Sales

90,468,371,261

85,005,017,705

74,945,208,120

Cost of Sold Goods

74,274,325,738

75,723,792,937

65,295,477,002

Gross Profit

16,194,045,523

9,281,224,768

9,649,731,118

Selling & Admin. Expenses

11,934,563,024

10,975,015,177

10,712,389,834

Operating Income

4,259,482,499

-1,693,790,409

-1,062,658,716

Non-Operating Income

2,845,002,172

1,405,483,048

970,212,681

Non-Operating Expenses

1,905,529,875

1,303,199,767

1,254,821,541

Income Before Taxes

5,198,954,796

-1,591,507,128

-1,347,267,576

Income Taxes Expenses

868,801,389

158,748,358

-546,497,245

Net Income

4,330,153,407

-1,750,255,486

-800,770,331

 

 

Cash Flows

 

Unit : Korean Won

As of 12/31/2012

As of 12/31/2011

As of 12/31/2010

Cash Flows from Operating

673,173,194

1,731,030,819

-1,334,178,888

-Net Income

4,330,153,407

-1,750,255,486

-800,770,331

-Exp. without Cash Outflow

3,013,943,323

2,816,372,605

2,719,030,713

-Revenue without Cash Inflows

-1,832,542,921

-617,762,098

-317,449,369

-Changes in Asset/ & Liability

-4,838,380,615

1,282,675,798

-2,934,989,901

Cash Flows from Investing

-1,016,594,359

-5,570,006,882

-691,160,138

-Cash Inflow from Investing

1,883,873,906

925,051,196

1,409,833,481

-Cash Outflows for Investing

-2,900,468,265

-6,495,058,078

-2,100,993,619

Cash Flows from Financing

2,745,005,034

2,454,852,501

1,707,756,452

-Cash Inflows from Financing

10,662,642,304

5,453,924,178

7,506,628,902

-Cash Outflows from Financing

-7,917,637,270

-2,999,071,677

-5,798,872,450

Increase/Decrease in Cash

2,401,583,869

-1,384,123,562

-317,582,574

Cash at the Beginning of Year

2,332,612,303

3,716,735,865

4,034,318,439

Cash at the End of Year

4,734,196,172

2,332,612,303

3,716,735,865

 

 

Products, Technologies, Services Description

 

Main Products & Services

PRINTING INK DIVISION

Sheetfed Offset Ink

Web Offset Ink

Water-Base Flexo Ink for Corrugated Board

UV Ink

Synthetic Resin Ink

 

ELECTRONIC MATERIALS DIVISION

PSR Ink

DRY Film(D/F)

 

 

Trade Partners & Competitors

 

Suppliers

DUPONT LTD.(110114-0032124)

Competitors

TAIYO INK MFG. CO., LTD.

1058-8, SINGIL-DONG, DANWON-GU, ANSAN-SI, GYEONGGI-DO, KOREA

TEL:+82-31-491-9250  FAX:+82-31-491-7671

 

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

 

KWANG MYUNG INK MFG. CO., LTD.

1534-1, SONGJEONG-DONG, GANGSEO-GU, BUSAN, KOREA

TEL:+82-51-831-9800  FAX:+82-51-831-6608

 

Related Parties

(Subsidiaries, Joint-Venture & Affiliates)

 

Subsidiary

JENAM HWANGKWAN YUMUK CO., LTD.(CHINA)

(100.0% held by the subject company)

NO. 199 MAJIAZHUANG JILUO ROAD JINAN SHANDONG CHINA

TEL:+86-531-8576-9591 FAX:+86-531-8576-9598

Corporate Ownership

 

Major Shareholders

 

Cooperative Enterprise

-Insured Company

KOREA LIFE INSURANCE CO., LTD(110111-0003204)

 

 

Sales by Region

(Activity & Markets)

 

The Subject deals with the companies in China and Hong Kong.

 

 

Court Action

 

No.

 

News Clipping

 

---


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.54.63

UK Pound

1

Rs.83.70

Euro

1

Rs.71.42

 

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.