MIRA INFORM REPORT

Report Date :

17.08.2013

IDENTIFICATION DETAILS

Name :	DONGYANG P&F CO., LTD.
Registered Office :	18th Fl., IT Premiere Tower 345-50, Gasan-dong, Geumcheon-gu, Seoul, Korea 153-707
Country :	South Korea
Financials (as on) :	31.03.2013
Date of Incorporation :	01.07.1999
Com. Reg. No.:	113-81-54363
Legal Form :	Listed Company
Line of Business :	Manufacture of Other Work trucks, Lifting and Handling Equipment
No. of Employees :	143

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 – March 31^st, 2013

Country Name	Previous Rating (31.12.2012)	Current Rating (31.03.2013)
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 is currently the world's 12th largest economy. 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. Korea''s export focused economy was hit hard by the 2008 global economic downturn, but quickly rebounded in subsequent years, reaching 6.3% growth in 2010. The US-South Korea Free Trade Agreement was ratified by both governments in 2011 and went into effect in March 2012. Throughout 2012 the economy experienced sluggish growth because of market slowdowns in the United States, China, and the Eurozone. The incoming administration in 2013, following the December 2012 presidential election, is likely to face the challenges of balancing heavy reliance on exports with developing domestic-oriented sectors, such as services. 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 Information

Company Name	DONGYANG P&F CO., LTD. (Korean Company Name : “동양피엔에프(주)”)
Registered Address	345-50, Gasan-dong, Geumcheon-gu, Seoul, Korea
Building	18th Fl., IT Premiere Tower
Zip Code	153-707
Tel	+82-2-2106-8000
Fax	+82-2-2106-8100
E-mail	parkyw@dypnf.co.kr
Website	www.dypnf.co.kr
Trading Address	17~18th Fl., IT Premiere Tower, 345-50, Gasan-dong, Geumcheon-gu, Seoul, Korea
Tel	+82-2-2106-8000
Fax	+82-2-2106-8100
Type	Export/Import
Industry	Manufacture of Other Work trucks, Lifting and Handling Equipment
Main Business	Bulk Handling System, Weighing System, Bagging & Palletizing System
Established (mm/dd/yyyy)	07/01/1999

Detailed Products

Activity	Detailed Products (UNSPSC)
Sell	Conveyors and accessories(24101700)
Sell	Cargo handling equipment(24102101)
Sell	Batch mixers(23191000)
Sell	Tanks and cylinders and their accessories(24111800)
Sell	Weight measuring instruments(41111500)
Sell	Air conveyors(24101714)
Sell	Industrial drying equipment(23201200)

CEO’s

Name	Choi Jeong-Sup
Date of Birth	03/18/1952
Title	Co-President & CEO
Sex	Male
Nationality	Korean

Profiles

Capital (KRW)	5,356,812,500
Employees	143
Formation	Listed Company (KOSDAQ : 104460) as of 12/22/2009 Venture Business
Bank Details	Industrial Bank of Korea-Gochuk Branch SC First Bank of Korea Woori Bank
Corporate Registered No.	110111-1725386
Business Registered No.	113-81-54363
Permit & Licenses	05/2005 ISO 9001 04/2009 Designated as an INNO-BIZ Company
Shareholder Position	Int’l Trade No.: 14045503
Company History	07/01/1999 Incorporated as the4 present name 12/22/2004 Designated as a Venture Business 11/2008 Awarded US$ 10 Million Export Prize 11/2009 Awarded US$ 20 Million Export Prize 09/30/2010 Moved to the present HQ address from 345-30, Gasan-dong, Geumcheon-gu, Seoul, Korea 05/16/2012 Designated as a Venture Business

Management

Job Description	Title	Name	Nationality	Date of Birth	Education
Co-President & CEO	Mr.	Choi Jeong-Sup	Korean	1952.03.18	Korea University, Korea
Co-President & CEO	Mr.	Lee Gye-An	Korean	1952.03.28	Seoul National University, Korea
Executive Director	Mr.	Shin Seung-Dae	Korean	1966.11.10	Hanyang University, Korea
Executive Director	Mr.	Park Joon-Wan	Korean	1961.11.10	Korea National Open University, Korea
Director	Mr.	Lee Seung-Hyo	Korean	1965.07.21	Chunbuk National University, Korea
Auditor	Mr.	Yoon Jong-Koo	Korean	1962.09.10	Korea University, Korea

Financials

Year / Unit : KRW	Sales	Assets	Net Income
(*)03/2013	11,117,917,750	72,508,963,212	753,685,929
(*)2012	53,733,776,698	74,639,017,859	3,233,794,646
(*)2011	51,300,120,078	76,689,676,307	7,531,559,483
2010	42,077,237,425	61,749,645,213	6,913,735,558
2009	38,897,970,544	51,615,794,441	11,825,581,003
2008	36,691,262,643	28,615,544,001	4,334,178,838

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

Financial Description

Authorized Capital(KRW)	15,000,000,000
Paid-Up Capital(KRW)	5,356,812,500
Total Issued Shares	10,713,625

Balance Sheet

Unit : Korean Won	01/01/2013~03/31/2013	As of 12/31/2012	As of 12/31/2011
Total Assets	72,508,963,212	74,639,017,859	76,689,676,307
Current Assets	51,434,055,783	53,262,742,859	52,860,365,796
Cash & Cash Equivalents	5,295,507,435	7,039,045,422	7,784,191,301
Current Financial Instruments	7,300,000,000	9,300,000,000	13,300,000,000
Trade Receivables	34,985,694,620	33,534,663,651	31,303,726,015
Other Receivables	3,042,859,222	2,433,127,545	73,826,220
Derivatives	0	288,351,486	0
Other Current Assets	633,557,671	495,996,742	374,080,051
Inventories	176,436,835	171,558,013	24,542,209
Non-Current Assets	21,074,907,429	21,376,275,000	23,829,310,511
Non-Current Financial Instruments	805,297,703	773,585,612	889,130,378
Other Receivables	812,641,363	1,008,381,399	192,094,326
Marketable Financial Instruments	2,607,695,540	2,698,432,214	2,857,207,986
Investment_Related Companies	781,950,000	781,950,000	881,950,000
Investment_Real Estates	1,724,234,976	1,729,055,141	2,843,785,375
Tangibles	13,311,174,047	13,352,956,834	15,133,228,646
Intangibles	1,031,913,800	1,031,913,800	1,031,913,800
Total Liabilities	18,631,831,371	21,444,798,121	21,430,189,063
Current Liabilities	16,823,596,298	19,509,747,231	20,809,641,933
Trade Payables	15,362,377,804	18,665,906,064	15,096,795,908
Other Payables	703,593,713	655,829,582	1,615,176,188
Other Current Financial Debts	175,540,000	175,540,000	208,860,000
Derivatives	144,778,934	0	531,260,000
Deferred Income Tax Credit	291,914,543	3,187,275	1,425,673,400
Other Current Liabilities	145,391,304	9,284,310	1,931,876,437
Non-Current Liabilities	1,808,235,073	1,935,050,890	620,547,130
Other Non-Current Financial Debts	1,675,540,000	1,675,540,000	396,080,000
Provisions	83,350,101	154,082,323	132,300,633
Deferred Income Tax Credit	49,344,972	105,428,567	92,166,497
Capital Stock	5,356,812,500	5,111,250,000	5,111,250,000
Capital Surplus	17,303,654,904	17,303,654,904	17,303,654,904
Treasury Stock	-3,130,717,050	-3,130,717,050	0
Other General Accumulated Amounts	-262,395,066	-191,621,240	-67,776,138
Profit Surplus	34,609,776,553	34,101,653,124	32,912,358,478
Total Equity	53,877,131,841	53,194,219,738	55,259,487,244
Liab. & Shareholder’s Equity	72,508,963,212	74,639,017,859	76,689,676,307

Income Statement

Unit : Korean Won	01/01/2013~03/31/2013	As of 12/31/2012	As of 12/31/2011
Sales	11,117,917,750	53,733,776,698	51,300,120,078
Cost of Sold Goods	8,928,491,520	46,223,010,025	37,317,734,059
Gross Profit	2,189,426,230	7,510,766,673	13,982,386,019
Selling & Admin. Expenses	1,300,677,195	4,509,102,753	4,484,744,758
Operating Income	888,749,035	3,001,663,920	9,497,641,261
Finance Profits	36,656,816	784,820,315	385,406,416
Finance Income	631,036,591	1,577,907,193	1,216,083,762
Finance Expenses	-594,379,775	-793,086,878	-830,677,346
Non-Operating Profits	15,032,293	735,672,615	-16,860,070
Non-Operating Income	38,909,466	797,945,251	191,562,626
Non-Operating Expenses	-23,877,173	-62,272,636	-208,422,696
Income Before Taxes	940,438,144	4,522,156,850	9,866,187,607
Income Taxes Expenses	186,752,215	1,288,362,204	2,334,628,124
Net Income	753,685,929	3,233,794,646	7,531,559,483

Cash Flows

Unit : Korean Won	01/01/2013~03/31/2013	As of 12/31/2012	As of 12/31/2011
Operating Activities Cash Flows	-3,249,965,735	2,176,618,476	5,278,981,700
Cash Flows from Operating	-3,342,886,559	4,568,039,620	6,809,447,539
Net Income	753,685,929	3,233,794,646	7,531,559,483
Adjustment	727,282,138	789,492,516	2,675,080,579
Changes in Asset/ & Liability	-4,823,854,626	544,752,458	-3,397,192,523
Interests Received	70,668,866	380,841,747	691,622,215
Interests Paid	-43,602,348	-109,607,302	-61,685,154
Income Taxes	65,854,306	-2,662,655,589	-2,160,402,900
Cash Flows from Investing	1,496,864,823	1,010,805,818	-3,499,249,628
Cash Inflow from Investing	2,082,540,000	15,771,253,749	12,340,495,000
Cash Outflows for Investing	-585,675,177	-14,760,447,931	-15,839,744,628
Cash Flows from Financing	0	-3,929,077,050	595,821,415
Cash Inflows from Financing	0	1,500,000,000	2,160,001,415
Cash Outflows from Financing	0	-5,429,077,050	-1,564,180,000
Increase/Decrease in Cash	-1,743,537,987	-745,145,879	2,476,161,869
Cash at the Beginning of Year	7,039,045,422	7,784,191,301	5,308,029,432
Cash at the End of Year	5,295,507,435	7,039,045,422	7,784,191,301

Balance Sheet

Unit : US$	01/01/2013~03/31/2013 (1,112.1KRW/US$)	As of 12/31/2012 (1,071.1KRW/US$)	As of 12/31/2011 (1,153.3KRW/US$)
Total Assets	65,200,039	69,684,453	66,495,861
Current Assets	46,249,488	49,727,143	45,834,012
Cash & Cash Equivalents	4,761,719	6,571,791	6,749,494
Current Financial Instruments	6,564,158	8,682,663	11,532,125
Trade Receivables	31,459,127	31,308,621	27,142,743
Other Receivables	2,736,138	2,271,616	64,013
Derivatives	-	269,211	-
Other Current Assets	569,695	463,072	324,356
Inventories	158,652	160,170	21,280
Non-Current Assets	18,950,551	19,957,310	20,661,849
Non-Current Financial Instruments	724,123	722,235	770,945
Other Receivables	730,727	941,445	166,561
Marketable Financial Instruments	2,344,839	2,519,309	2,477,420
Investment_Related Companies	703,129	730,044	764,719
Investment_Real Estates	1,550,432	1,614,280	2,465,781
Tangibles	11,969,404	12,466,583	13,121,676
Intangibles	927,897	963,415	894,749
Total Liabilities	16,753,737	20,021,285	18,581,626
Current Liabilities	15,127,773	18,214,683	18,043,564
Trade Payables	13,813,846	17,426,857	13,090,086
Other Payables	632,671	612,295	1,400,482
Other Current Financial Debts	157,846	163,888	181,098
Derivatives	130,185	-	460,643
Deferred Income Tax Credit	262,489	2,976	1,236,169
Other Current Liabilities	130,736	8,668	1,675,086
Non-Current Liabilities	1,625,964	1,806,602	538,062
Other Non-Current Financial Debts	1,506,645	1,564,317	343,432
Provisions	74,948	143,854	114,715
Deferred Income Tax Credit	44,371	98,430	79,915
Capital Stock	4,816,844	4,771,963	4,431,848
Capital Surplus	15,559,442	16,155,032	15,003,603
Treasury Stock	-2,815,140	-2,922,899	-
Other General Accumulated Amounts	-235,946	-178,901	-58,767
Profit Surplus	31,121,101	31,837,973	28,537,552
Total Equity	48,446,301	49,663,168	47,914,235
Liab. & Shareholder’s Equity	65,200,039	69,684,453	66,495,861

Income Statement

Unit : US$	01/01/2013~03/31/2013 (1,112.1KRW/US$)	As of 12/31/2012 (1,071.1KRW/US$)	As of 12/31/2011 (1,153.3KRW/US$)
Sales	9,997,228	50,166,909	44,481,158
Cost of Sold Goods	8,028,497	43,154,710	32,357,352
Gross Profit	1,968,731	7,012,199	12,123,806
Selling & Admin. Expenses	1,169,569	4,209,787	3,888,619
Operating Income	799,163	2,802,412	8,235,187
Finance Profits	32,962	732,724	334,177
Finance Income	567,428	1,473,165	1,054,438
Finance Expenses	-534,466	-740,441	-720,261
Non-Operating Profits	13,517	686,838	-14,619
Non-Operating Income	34,987	744,977	166,100
Non-Operating Expenses	-21,470	-58,139	-180,719
Income Before Taxes	845,642	4,221,974	8,554,745
Income Taxes Expenses	167,928	1,202,840	2,024,303
Net Income	677,714	3,019,134	6,530,443

Cash Flows

Unit : US$	01/01/2013~03/31/2013 (1,112.1KRW/US$)	As of 12/31/2012 (1,071.1KRW/US$)	As of 12/31/2011 (1,153.3KRW/US$)
Operating Activities Cash Flows	-2,922,368	2,032,134	4,577,284
Cash Flows from Operating	-3,005,923	4,264,812	5,904,316
Net Income	677,714	3,019,134	6,530,443
Adjustment	653,972	737,086	2,319,501
Changes in Asset/ & Liability	-4,337,609	508,592	-2,945,628
Interests Received	63,545	355,561	599,690
Interests Paid	-39,207	-102,332	-53,486
Income Taxes	59,216	-2,485,908	-1,873,236
Cash Flows from Investing	1,345,980	943,708	-3,034,119
Cash Inflow from Investing	1,872,619	14,724,352	10,700,160
Cash Outflows for Investing	-526,639	-13,780,644	-13,734,280
Cash Flows from Financing	-	-3,668,264	516,623
Cash Inflows from Financing	-	1,400,429	1,872,888
Cash Outflows from Financing	-	-5,068,693	-1,356,265
Increase/Decrease in Cash	-1,567,789	-695,683	2,147,023
Cash at the Beginning of Year	6,329,508	7,267,474	4,602,471
Cash at the End of Year	4,761,719	6,571,791	6,749,494

Products, Technologies, Services Description

Main Products & Services

Bulk Handling System, Weighing System, Bagging & Palletizing System Brand Name : DYP&F

Trade Partners & Competitors

Customers	LG CHEM LTD.(110111-2207995) SAMSUNG PETROCHEMICAL CO., LTD.(181211-0000435) POSCO(174611-0000741) SK INNOVATION CO., LTD.(110111-3710385)
Competitors	BANDO HOIST CRANE CO., LTD. 652-4, SOCHON-DONG, GWANGSAN-GU, GWANGJU, KOREA TEL:+82-62-942-6611 FAX:+82-62-941-0054 DAESUNG CRANE & HEAVY INDUSTRIES CO., LTD. 680-16, NAEGI-RI, POSEUNG-EUP, PYEONGTAEK-SI, GYEONGGI-DO, KOREA TEL:+82-31-432-3550 FAX:+82-31-432-3552 HYUNDAI HOIST CO., LTD. 408-5, HANJIN-RI, SONGAK-MYEON, DANGJIN-GUN, CHUNGCHEONGNAM-DO, KOREA TEL:+82-41-359-7777 FAX:+82-41-359-7782

Related Parties

(Subsidiaries, Joint-Venture & Affiliates)

Affiliates	DONGYANG P&S CO., LTD.(124411-0081620) (50.00% held by the subject Company)
Subsidiary	DY P&F USA CORP. (100.00% held by the subject Company) 2977 HUNTER ROAD, MURRIETA, CA. 92563 U.S.A NAMKYUNG ZWAJIN METAL FACILITIES CO., LTD.(CHINA) (100.00% held by the subject Company) HONGYING BUILDING NO.805  DAGUANG ROAD, 49 NANJING CHINA

Sales by Region

(Activity & Markets)

The Subject deals with the companies in UK, Italy, China, Kuwait and France.

Court Action

No.

News Clipping

--

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.61.82
UK Pound	1	Rs.96.57
Euro	1	Rs.82.45

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%)

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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.