MIRA INFORM REPORT
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Report Date : |
01.07.2013 |
IDENTIFICATION DETAILS
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Name : |
S&W CORPORATION |
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Registered Office : |
560, Sinpyeong 1-dong, Saha-gu, Busan, Korea 604-836 |
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Country : |
South Korea |
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Financials (as on) : |
31.03.2013 |
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Date of Incorporation : |
01.01.1990 |
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Com. Reg. No.: |
603-81-11659 |
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Legal Form : |
Listed Company |
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Line of Business : |
Manufacture of Internal Combustion Piston Engines |
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No. of Employees : |
213 |
RATING & COMMENTS
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MIRA’s Rating : |
Ba |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Status : |
Satisfactory |
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Payment Behaviour : |
Slow but Correct |
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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, 31st, 2013
|
Country Name |
Previous Rating (31.12.2012) |
Current Rating (31.03.2013) |
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South Korea |
A1 |
A1 |
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Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
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Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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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
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Company Name |
S&W CORPORATION |
|
Registered Address |
560, Sinpyeong 1-dong, Saha-gu, Busan, Korea |
|
Zip Code |
604-836 |
|
Tel |
+82-51-205-7411 |
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Fax |
+82-51-205-7417 |
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E-mail |
snw@snwcorp.com |
|
Website |
www.snwcorp.com |
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Trading Address |
560, Sinpyeong 1-dong, Saha-gu, Busan, Korea |
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Tel |
+82-51-205-7411 |
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Fax |
+82-51-205-7417 |
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Other Address-2nd Factory |
532, Sinpyeong-dong, Saha-gu, Busan, Korea |
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Tel |
+82-51-209-2327 |
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Fax |
+82-51-209-2360 |
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Other Address-Jillye Factory |
38-1, Sanbon-ri, Jillye-myeon, Gimhae-si, Gyeongsangnam-do, Korea |
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Tel |
+82-55-345-9816 |
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Fax |
+82-55-345-9820 |
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Type |
Export |
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Industry |
Manufacture of Internal Combustion Piston Engines |
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Main Business |
Diesel Engine Component, Bolts ,Nuts, Cam Shaft |
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Established (mm/dd/yyyy) |
01/01/1990 |
The Subject owns the premises of registered
HQ address and Jillye Factory.
|
Activity |
Detailed Products (UNSPSC) |
|
Sell |
Bolts(31161600) |
|
Sell |
Nuts(31161700) |
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Sell |
Stud bolts(31161619) |
|
Buy |
Base Metals(11101700) |
|
Buy |
Non ferrous alloy(11101711) |
|
Buy |
Steel(11101704) |
|
Buy |
Ferrous alloy(11101712) |
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Name |
Jung Hwa-Sup |
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Date of Birth |
12/13/1946 |
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Title |
President & CEO |
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Sex |
Male |
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Nationality |
Korean |
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Capital (KRW) |
3,600,000,000 |
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Employees |
213 |
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Formation |
Listed Company (KOSDAQ : 103230) as of 08/05/2009 |
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Bank Details |
Industrial Bank of Korea Korea Exchange Bank |
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Corporate Registered No. |
180111-0095637 |
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Business Registered No. |
603-81-11659 |
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Permit & Licenses |
10/31/2005 ISO 9001 by LRQA 03/2009 ISO 14001 Int’l Trade No.: 12026175 |
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Shareholder Position |
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Company History |
03/02/1967 Established as SHINIL NUT
INDUSTRIES CO.(Sole Proprietorship) 01/01/1990 Incorporated as SHINIL BOLT
INDUSTRY CO., LTD. 05/01/2003 M&A with Woosung Valve Co.,
Ltd., and changed company name to the present name 06/15/2003 Designated as a Venture Business 06/15/2005 Designated as a Venture Business
again 12/2009 Designated as a Promising Export
SME 04/2011 Designated as an INNO-BIZ Company |
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Management
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Job Description |
Title |
Name |
Nationality |
Date of Birth |
Education |
|
President & CEO |
Mr. |
Jung Hwa-Sup |
Korean |
1946.12.13 |
Dongah University, Korea |
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Vice President |
Mr. |
Jung Woo-Jin |
Korean |
1974.03 |
Busan national University, Korea |
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Executive Director |
Mr. |
Lim Chae-Yoon |
Korean |
1957.08.14 |
Gyungnam Technical college, Korea |
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Auditor |
Mr. |
Kim Han-Jong |
Korean |
1948.04.16 |
Dongah University, Korea |
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Outside Director |
Mr. |
Jung Young-Hwan |
Korean |
1952.03.20 |
Seoul National University, Korea |
Financials
|
Year / Unit : KRW |
Sales |
Assets |
Net Income |
|
14,143,694,675 |
83,382,133,502 |
690,675,524 |
|
|
(*)2012 |
70,545,756,157 |
85,865,763,018 |
2,565,332,815 |
|
(*)2011 |
86,447,591,775 |
95,587,807,838 |
-1,282,758,245 |
|
2010 |
75,588,068,845 |
75,312,259,521 |
3,233,557,541 |
|
2009 |
65,527,106,511 |
68,746,403,459 |
5,689,201,809 |
|
2008 |
66,135,876,883 |
69,539,013,772 |
2,423,151,318 |
|
2007 |
50,287,217,812 |
40,269,780,619 |
5,745,609,015 |
|
2006 |
38,672,400,789 |
23,959,152,380 |
2,222,045,482 |
(*)Figures are
based on the K-IFRS Accounting System.
|
Authorized Capital(KRW) |
50,000,000,000 |
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Paid-Up Capital(KRW) |
3,600,000,000 |
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Total Issued Shares |
7,200,000 |
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Balance Sheet |
|||
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Unit : Korean Won |
01/01/2013~03/31/2013 |
As of 12/31/2012 |
As of 12/31/2011 |
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Total Assets |
83,382,133,502 |
85,865,763,018 |
95,587,807,838 |
|
Current Assets |
31,290,550,195 |
33,185,865,995 |
42,655,535,345 |
|
Cash & Cash Equivalents |
3,464,553,780 |
3,426,537,989 |
972,821,374 |
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Other Financial Assets |
0 |
0 |
21,227,560 |
|
Trade Receivables |
11,275,510,140 |
13,253,781,222 |
14,922,501,717 |
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Other Receivables |
42,942,430 |
42,002,140 |
460,428,587 |
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Other Current Assets |
82,948,539 |
35,252,304 |
63,774,092 |
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Inventories |
16,424,595,306 |
16,428,292,340 |
26,214,782,015 |
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Non-Current Assets |
52,091,583,307 |
52,679,897,023 |
52,932,272,493 |
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Other Financial Assets |
2,500,000 |
2,500,000 |
2,500,000 |
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Marketable Financial Instruments |
1,071,633,900 |
1,071,633,900 |
144,633,900 |
|
Other Receivables |
1,177,500,000 |
1,179,500,000 |
1,214,340,000 |
|
Tangibles |
49,376,474,850 |
49,941,006,751 |
50,776,666,972 |
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Intangibles |
463,474,557 |
485,256,372 |
794,131,621 |
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Total Liabilities |
27,540,703,378 |
30,801,327,665 |
43,564,289,663 |
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Current Liabilities |
23,214,140,894 |
26,514,913,421 |
38,323,782,302 |
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Trade Payables |
3,351,802,182 |
2,519,561,731 |
4,317,948,047 |
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Short-Term Borrowings |
17,121,810,700 |
6,500,000,000 |
13,032,875,142 |
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Deferred Income Tax Credit |
852,877,768 |
624,788,652 |
0 |
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Current Portion of Long-Term
Debts |
200,000,000 |
15,656,525,000 |
18,601,132,400 |
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Other Payables |
1,571,305,525 |
1,071,089,727 |
1,647,554,597 |
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Other Current Liabilities |
116,344,719 |
142,948,311 |
724,272,116 |
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Non-Current Liabilities |
4,326,562,484 |
4,286,414,244 |
5,240,507,361 |
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Long-Term Borrowings |
- |
50,000,000 |
250,000,000 |
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Confirmed Salaries |
3,071,325,147 |
2,618,426,164 |
2,915,581,633 |
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Deferred Income Tax Credit |
1,255,237,337 |
1,617,988,080 |
2,074,925,728 |
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Capital Stock |
3,600,000,000 |
3,600,000,000 |
3,600,000,000 |
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Capital Surplus |
12,349,437,000 |
12,349,437,000 |
12,349,437,000 |
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Profit Surplus |
39,891,993,124 |
39,114,998,353 |
36,074,081,175 |
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Total Equity |
55,841,430,124 |
55,064,435,353 |
52,023,518,175 |
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Liab. & Shareholder’s Equity |
83,382,133,502 |
85,865,763,018 |
95,587,807,838 |
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Income Statement |
|||
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Unit : Korean Won |
01/01/2013~03/31/2013 |
As of 12/31/2012 |
As of 12/31/2011 |
|
Sales |
14,143,694,675 |
70,545,756,157 |
86,447,591,775 |
|
Cost of Sold Goods |
13,265,171,733 |
65,120,016,067 |
80,341,681,807 |
|
Gross Profit |
878,522,942 |
5,425,740,090 |
6,105,909,968 |
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Selling & Admin. Expenses |
1,303,398,136 |
4,915,681,361 |
5,000,255,324 |
|
Operating Income |
-424,875,194 |
510,058,729 |
1,105,654,644 |
|
Other Income |
253,403,809 |
714,189,953 |
184,402,218 |
|
Other Expenses |
3,393,030 |
82,146,902 |
249,353,622 |
|
Finance Income |
863,661,736 |
2,972,281,787 |
160,201,438 |
|
Finance Expenses |
154,583,197 |
1,268,112,157 |
2,283,304,830 |
|
Income Before Taxes |
534,214,124 |
2,846,271,410 |
-1,082,400,152 |
|
Income Taxes Expenses |
-156,461,400 |
280,938,595 |
200,358,093 |
|
Net Income |
690,675,524 |
2,565,332,815 |
-1,282,758,245 |
|
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 |
4,197,939,199 |
12,337,853,925 |
9,693,509 |
|
Cash Flows from Operating |
4,338,321,717 |
13,741,867,143 |
1,725,480,906 |
|
Net Income |
690,675,524 |
2,565,332,815 |
-1,282,758,245 |
|
Adjustment |
467,772,649 |
2,642,684,957 |
6,500,792,580 |
|
Changes in Asset/ & Liability |
3,179,873,544 |
8,533,849,371 |
-3,492,553,429 |
|
Interests Received |
17,430,942 |
1,405,798 |
79,953,108 |
|
Interests Paid |
-155,373,820 |
-1,158,627,546 |
-1,147,461,664 |
|
Income Taxes |
-2,439,640 |
-246,791,470 |
-648,278,841 |
|
Cash Flows from Investing |
-114,886,630 |
-3,012,027,433 |
-2,973,520,028 |
|
-Cash Inflow from Investing |
57,794,030 |
241,658,924 |
1,474,988,316 |
|
-Cash Outflows for Investing |
-172,680,660 |
-3,253,686,357 |
-4,448,508,344 |
|
Cash Flows from Financing |
-4,051,578,720 |
-6,855,525,142 |
3,445,015,454 |
|
-Cash Inflows from Financing |
0 |
59,118,262,864 |
93,449,145,118 |
|
-Cash Outflows from Financing |
-4,051,578,720 |
-65,973,788,006 |
-90,004,129,664 |
|
Increase/Decrease in Cash |
38,015,791 |
2,453,716,615 |
467,840,049 |
|
Cash at the Beginning of Year |
3,426,537,989 |
972,821,374 |
504,981,325 |
|
Cash at the End of Year |
3,464,553,780 |
3,426,537,989 |
972,821,374 |
|
Main Products & Services |
Diesel Engine Component, Bolts ,Nuts, Cam Shaft |
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Detailed Products Spec. |
|
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Technologies Acquired |
|
|
Suppliers |
|
|
Customers |
STX METAL CO., LTD(194211-0048381) STX ENGINE CO,. LTD.(194211-0066763) HYUNDAI HEAVY INDUSTRIES CO., LTD.(181211-0000386) DAEWOO SHIPBUILDING & MARINE ENGINEERING CO., LTD.(110111-2095837) DOOSAN ENGINE CO., LTD.(194211-0038423) |
|
Competitors |
NSK KOREA CO., LTD. 60, SEONGSAN-DONG, CHANGWON-SI,
GYEONGSANGNAM-DO, KOREA TEL:+82-55-287-6001 FAX:+82-55-285-9982 YOOSUNG ENTERPRISE CO., LTD. 279-47, UNYONG-RI, DUNPO-MYEON, ASAN-SI,
CHUNGCHEONGNAM-DO, KOREA TEL:+82-41-539-5000~2 FAX:+82-41-539-5009 PUSAN CAST IRON CO., LTD. 60-4, HAKNAM-RI, ONSAN-EUP, ULJU-GUN,
ULSAN, KOREA TEL:+82-52-231-3824 FAX:+82-52-231-3897 |
|
Affiliates |
FREEMAC KOREA CO., LTD.(180111-0609686) (51.00% held by the subject company) SHINIL INDUSTRIAL CO., LTD.(180111-0563981) (100.00% held by the subject company) |
|
Overseas Office |
|
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Liaison Office |
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|
Overseas Branch |
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Joint Venture |
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Subsidiary |
FREEMAC KOREA CO., LTD.(180111-0609686) (51.00% held by the subject company) |
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Corporate Ownership |
|
|
Major Shareholders |
|
|
Cooperative Enterprise |
-Insured company GREEN NON-LIFE INSURANCE CO., LTD.(110111-0007082) MERITZ FIRE & MARINE INSURANCE CO., LTD.(110111-0013328) |
Not Available.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.59.70 |
|
|
1 |
Rs.91.14 |
|
Euro |
1 |
Rs.77.97 |
INFORMATION DETAILS
|
Report Prepared by
: |
SDA |
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.