MIRA INFORM REPORT

 

 

Report Date :

24.07.2013

 

IDENTIFICATION DETAILS

 

Name :

FORMOSA PLASTICS CORPORATION

 

 

Registered Office :

No. 39 Jhongshan 3rd Road, Cianjhen District Kaohsiung, 806

 

 

Country :

Taiwan

 

 

Financials (as on) :

31.12.2012

 

 

Date of Incorporation :

30.10.1954

 

 

Legal Form :

Public Parent Company

 

 

Line of Business :

Manufacturer of plastics in primary forms

 

 

No. of Employees :

6,784

 

 

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 31st 2013

 

Country Name

Previous Rating

(31.12.2012)

Current Rating

(31.03.2013)

Taiwan

A2

A2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

C1

Restricted

C2

Off-credit

 

D

 

 

 

TAIWAN - ECONOMIC OVERVIEW

 

Taiwan has a dynamic capitalist economy with gradually decreasing government guidance of investment and foreign trade. Exports, led by electronics, machinery, and petrochemicals have provided the primary impetus for economic development. This heavy dependence on exports exposes the economy to fluctuations in world demand. In 2009, Taiwan's GDP contracted 1.8%, due primarily to a 13.1% year-on-year decline in exports. In 2010 GDP grew 10.7%, as exports returned to the level of previous years, and in 2011, grew 4.0%. In 2012, however, growth fell to 1.3%, because of softening global demand. Taiwan's diplomatic isolation, low birth rate, and rapidly aging population are major long-term challenges. Free trade agreements have proliferated in East Asia over the past several years, but except for the landmark Economic Cooperation Framework Agreement (ECFA) signed with China in June 2010, so far Taiwan has been excluded from this greater economic integration in part because of its diplomatic status. Negotiations continue on such follow-on components of ECFA regarding trade in goods and services. The MA administration has said that the ECFA will serve as a stepping stone toward trade pacts with other key trade partners, which Taiwan subsequently launched with Singapore and New Zealand. Taiwan's Total Fertility rate of just over one child per woman is among the lowest in the world, raising the prospect of future labor shortages, falling domestic demand, and declining tax revenues. Taiwan's population is aging quickly, with the number of people over 65 accounting for 11.2% of the island's total population as of 2012. The island runs a large trade surplus largely because of its surplus with China, and its foreign reserves are the world's fifth largest, behind China, Japan, Saudi Arabia, and Russia. In 2006 China overtook the US to become Taiwan's second-largest source of imports after Japan. China is also the island's number one destination for foreign direct investment. Three financial memorandums of understanding, covering banking, securities, and insurance, took effect in mid-January 2010, opening the island to greater investments from the mainland's financial firms and institutional investors, and providing new opportunities for Taiwan financial firms to operate in China. In August 2012, Taiwan Central Bank signed a memorandum of understanding on cross-Strait currency settlement with its Chinese counterpart. The MOU allows for the direct settlement of Chinese RMB and the New Taiwan dollar across the Strait, which could help develop Taiwan into a local RMB hub. Closer economic links with the mainland bring greater opportunities for the Taiwan economy, but also poses new challenges as the island becomes more economically dependent on China while political differences remain unresolved.

 

Source : CIA

Company name and address

Top of Form

Formosa Plastics Corporation

                                                                                                                                              

 

No. 39

Jhongshan 3rd Road, Cianjhen District

 

Kaohsiung, 806

Taiwan

 

 

Tel:

886-2-27122211

Fax:

886-2-27178108

 

www.fpc.com.tw  

 

Operating Address:

2#1, Tung Hwa North Road, Taiwan

Employees:

6,784

Company Type:

Public Parent

Corporate Family:

53 Companies

Traded:

Taiwan Stock Exchange:

1301

Incorporation Date:

30-Oct-1954

Auditor:

KPMG LLP

Financials in

 USD (mil)

Fiscal Year End:

31-Dec-2012

Reporting Currency:

Taiwanese New Dollar

Annual Sales:

6,655.9  1

Net Income:

495.7

Total Assets:

12,410.4  2

Market Value:

14,714.7

 

(29-Mar-2013)

 

 

 

 

                                

 

Business Description                  

 

Formosa Plastics Corporation is primarily engaged in the manufacture and distribution of plastic products. The Company operates its businesses through Plastics Division, which provides polyvinyl chloride (PVC) powder and liquid soda; Polyolefin Division, which offers high-density polyethylene (PE), polyvinyl acetate, low-density PE and linear low-density PE; Polypropylene Division, which provides polypropylene products; Tairylan Division, which offers acrylic staple fibers, acrylic ester and carbon fibers; Chemicals Division, which provides acrylonitrile, methyl tert-butyl ether, methacrylic ester and epoxy chloropropane; Calcium Carbide Division, which offers calcium carbonates and calcium carbides, as well as Engineering and Construction Division, which provides water, electricity and steam. For the fiscal year ended 31 December 2012, Formosa Plastics Corporation revenues decreased 9% to NT$196.88B. Net income decreased 59% to NT$14.66B. Revenues reflect Other Department segment decrease of 14% to NT$50.91B, DPE segment decrease of 17% to NT$31.64B, Other Foreign segment decrease of 21% to NT$45.77B, Taiwan segment decrease of 6% to NT$78.61B. Net income also reflects Gain on Equity Investment decrease of 26% to NT$7.81B (income).

          

Industry                                                                                                                                

 

Industry

Chemicals - Plastics and Rubber

ANZSIC 2006:

1821 - Synthetic Resin and Synthetic Rubber Manufacturing

NACE 2002:

2416 - Manufacture of plastics in primary forms

NAICS 2002:

325211 - Plastics Material and Resin Manufacturing

UK SIC 2003:

2416 - Manufacture of plastics in primary forms

UK SIC 2007:

2016 - Manufacture of plastics in primary forms

US SIC 1987:

2821 - Plastics Materials, Synthetic Resins, and Nonvulcanizable Elastomers

 


Key Executives           

   

 

Name

Title

Guangming Chen

Deputy General Manager-Polypropylene Department

William Wong

Executive Director

Jason Lin

President

Benny Chang

VP-Finance

W H Huang

Assistant Vice President - Accounting Department

 

    Significant Developments                                                                             

 

Topic

#*

Most Recent Headline

Date

Regulatory / Company Investigation

1

Formosa Plastics Corp Receives Fine

5-Dec-2012

General Reorganization

1

Formosa Plastics Corp Announces Merger of Subsidiaries

24-Dec-2012

New Business / Unit / Subsidiary

1

Formosa Plastics Corp to Invest in Mainland China

24-Dec-2012

Debt Financing / Related

1

Formosa Plastics Corp to Issue Unsecured Corporate Bonds

27-Aug-2012

Dividends

2

Formosa Plastics Corp Announces FY 2012 Dividend Payment

25-Mar-2013

      

Financial Summary                                                                                                                  

 

As of 31-Dec-2012

Key Ratios

Company

Industry

Current Ratio (MRQ)

2.19

2.03

Quick Ratio (MRQ)

1.85

1.20

Debt to Equity (MRQ)

0.44

0.95

Sales 5 Year Growth

0.34

1.42

Net Profit Margin (TTM) %

7.45

4.60

Return on Assets (TTM) %

4.14

3.98

Return on Equity (TTM) %

6.27

12.15

 

 

 


Stock Snapshot                                  

 

Traded: Taiwan Stock Exchange: 1301

 

As of 29-Mar-2013

   Financials in: TWD

Recent Price

71.90

 

EPS

2.25

52 Week High

87.20

 

Price/Sales

2.24

52 Week Low

67.40

 

Dividend Rate

4.00

Avg. Volume (mil)

6.48

 

Price/Earnings

32.81

Market Value (mil)

440,093.00

 

Price/Book

1.94

 

 

 

Beta

0.66

 

Price % Change

Rel S&P 500%

4 Week

-6.38%

-5.83%

13 Week

-8.52%

-11.05%

52 Week

-16.49%

-16.97%

Year to Date

-8.52%

-11.05%

 

 

 

1 - Profit & Loss Item Exchange Rate: USD 1 = TWD 29.57962
2 - Balance Sheet Item Exchange Rate: USD 1 = TWD 29.012

 

 

Corporate Overview

 

Location
No. 39
Jhongshan 3rd Road, Cianjhen District
Kaohsiung, 806
Taiwan

 

Tel:

886-2-27122211

Fax:

886-2-27178108

 

www.fpc.com.tw

Quote Symbol - Exchange

1301 - Taiwan Stock Exchange

Sales TWD(mil):

196,879.0

Assets TWD(mil):

360,049.2

Employees:

6,784

Fiscal Year End:

31-Dec-2012

 

Industry:

Chemicals - Plastics and Rubber

Incorporation Date:

30-Oct-1954

Company Type:

Public Parent

Quoted Status:

Quoted

 

Executive Director:

William Wong

 

Industry Codes

 

ANZSIC 2006 Codes:

1821

-

Synthetic Resin and Synthetic Rubber Manufacturing

1812

-

Basic Organic Chemical Manufacturing

2811

-

Water Supply

1522

-

Paper Bag Manufacturing

26

-

Electricity Supply

 

NACE 2002 Codes:

2416

-

Manufacture of plastics in primary forms

4011

-

Production of electricity

2522

-

Manufacture of plastic packing goods

2414

-

Manufacture of other organic basic chemicals

4030

-

Steam and hot water supply

2112

-

Manufacture of paper and paperboard

 

NAICS 2002 Codes:

325211

-

Plastics Material and Resin Manufacturing

221330

-

Steam and Air-Conditioning Supply

2211

-

Electric Power Generation

322221

-

Coated and Laminated Packaging Paper and Plastics Film Manufacturing

325199

-

All Other Basic Organic Chemical Manufacturing

326111

-

Plastics Bag Manufacturing

 

US SIC 1987:

2821

-

Plastics Materials, Synthetic Resins, and Nonvulcanizable Elastomers

4911

-

Electric Services

2869

-

Industrial Organic Chemicals, Not Elsewhere Classified

2673

-

Plastics, Foil, and Coated Paper Bags

4961

-

Steam and Air-Conditioning Supply

2671

-

Packaging Paper and Plastics Film, Coated and Laminated

 

UK SIC 2003:

2416

-

Manufacture of plastics in primary forms

2112

-

Manufacture of paper and paperboard

2522

-

Manufacture of plastic packing goods

4030

-

Steam and hot water supply

4011

-

Production of electricity

2414

-

Manufacture of other organic basic chemicals

 

UK SIC 2007:

2016

-

Manufacture of plastics in primary forms

3511

-

Production of electricity

3530

-

Steam and air conditioning supply

1712

-

Manufacture of paper and paperboard

2222

-

Manufacture of plastic packing goods

2014

-

Manufacture of other organic basic chemicals

 

Business Description

Formosa Plastics Corporation is primarily engaged in the manufacture and distribution of plastic products. The Company operates its businesses through Plastics Division, which provides polyvinyl chloride (PVC) powder and liquid soda; Polyolefin Division, which offers high-density polyethylene (PE), polyvinyl acetate, low-density PE and linear low-density PE; Polypropylene Division, which provides polypropylene products; Tairylan Division, which offers acrylic staple fibers, acrylic ester and carbon fibers; Chemicals Division, which provides acrylonitrile, methyl tert-butyl ether, methacrylic ester and epoxy chloropropane; Calcium Carbide Division, which offers calcium carbonates and calcium carbides, as well as Engineering and Construction Division, which provides water, electricity and steam. For the fiscal year ended 31 December 2012, Formosa Plastics Corporation revenues decreased 9% to NT$196.88B. Net income decreased 59% to NT$14.66B. Revenues reflect Other Department segment decrease of 14% to NT$50.91B, DPE segment decrease of 17% to NT$31.64B, Other Foreign segment decrease of 21% to NT$45.77B, Taiwan segment decrease of 6% to NT$78.61B. Net income also reflects Gain on Equity Investment decrease of 26% to NT$7.81B (income).

 

More Business Descriptions

Production of intermediate raw materials for use in the manufacture of plastics including caustic soda, PVC resin, hydrochloride acid, calcium carbide products and polyethylene

 

Plastics Products Mfr

 

Formosa Plastics Corporation (FPC), a subsidiary of Formosa Plastics Group, produces and supplies intermediate raw materials for plastics. The product portfolio of the company includes poly vinyl chloride (PVC) resins, vinyl chloride monomers (VCM), caustic soda, hydrochloric acid, MBS, high-density polyethylene (HDPE), ethylene-vinyl acetate (EVA)/ low-density polyethylene (LDPE) and linear low-density polyethylene (LLDPE). The company also offers processed plastic products developed in coordination with production of HDPE at its Hsinkang complex. It also owns and operates seven manufacturing plants, namely, Kaohsiung Plant, Jenwu Plant, Linyuan Plant, Tungshan Plant, Sanhsia Plant, Hsinkang Plant and Mailiao Plant. Geographically, the company conducts its operations through its subsidiaries located across Taiwan and the US. FPC is headquartered in Taipei, Taiwan.The company reported revenues of (Taiwanese Dollars) TWD 217,037.10 million during the fiscal year ended December 2011, a decrease of 3.68% from 2010. The operating profit of the company was TWD 23,145.49 million during the fiscal year 2011, a decrease of 25.73% from 2010. The net profit of the company was TWD 35,724.46 million during the fiscal year 2011, a decrease of 21.56% from 2010.

 

Other Plastics Product Manufacturing

 

 

 

 

 

 

Financial Data

Financials in:

TWD(mil)

 

Revenue:

196,879.0

Net Income:

14,662.5

Assets:

360,049.2

Long Term Debt:

58,676.9

 

Total Liabilities:

133,428.7

 

Working Capital:

62.0

 

 

 

Date of Financial Data:

31-Dec-2012

 

1 Year Growth

-9.3%

-59.0%

3.3%

 

Market Data

Quote Symbol:

1301

Exchange:

Taiwan Stock Exchange

Currency:

TWD

Stock Price:

71.9

Stock Price Date:

03-29-2013

52 Week Price Change %:

-16.5

Market Value (mil):

440,092,992.0

 

SEDOL:

6348544

ISIN:

TW0001301000

 

Equity and Dept Distribution:

07/06, 3% stock dividend. 06/05, 9% stock dividend. 6/04, 6% stock dividend. 7/03, 6% stock dividend. 7/01, stock split with an adj. factors of 1.0999999. 07/02, performed stock split with an adj factor of 1.0700001. FY'04 fncl Restated/reclassifed. 07/2009,7% Stock dividend. FY'09 Q1,Q2 B/S & C/F are being CLA. FY'09 C/F is CLA.

 

 

Subsidiaries

Company

Percentage Owned

Country

Formosa Polypropylene (Ningbo) Co., Ltd

100%

PEOPLE'S REPUBLIC OF CHINA

Formosa Super Absorbent Polymer (Ningbo) Co., Ltd

100%

PEOPLE'S REPUBLIC OF CHINA

Formosa Industries (Ningbo) Co., Ltd

100%

PEOPLE'S REPUBLIC OF CHINA

Formosa Electronics (Ningbo) Co., Ltd

100%

PEOPLE'S REPUBLIC OF CHINA

Formosa Acrylic Esters (Ningbo) Co., Ltd

100%

PEOPLE'S REPUBLIC OF CHINA

FPC (Cayman) Limited

100%

CAYMAN ISLANDS

 

 

 

 

Key Corporate Relationships

Auditor:

KPMG LLP

 

Auditor:

KPMG LLP, KPMG

 

 

 

 

 

 

 

 

 

 

Corporate Structure News

 

Formosa Plastics Corporation
Total Corporate Family Members: 53

 

 

Company Name

Company Type

Location

Country

Industry

Sales
(USD mil)

Employees

Formosa Plastics Corporation

Parent

Kaohsiung

Taiwan

Chemicals - Plastics and Rubber

6,655.9

6,784

Nan Ya Plastics Corporation

Subsidiary

Kaohsiung

Taiwan

Chemicals - Plastics and Rubber

10,166.0

34,423

Wen Fung Industrial Co., Ltd.

Subsidiary

New Taipei City

Taiwan

Containers and Packaging

 

 

Wellink Technology Co., Ltd.

Subsidiary

New Taipei City

Taiwan

Miscellaneous Capital Goods

5.0

103

Nan Ya Plastics (Hong Kong) Corporation Limited

Subsidiary

 

 

 

 

 

Nan Ya Plastics (Hui Zhou) Co., Ltd.

Subsidiary

Huizhou, Guangdong

China

Textiles - Non Apparel

82.2

630

Nanya Plastic Industry (Xiamen) Co., Ltd.

Subsidiary

Xiamen, Fujian

China

Fabricated Plastic and Rubber

32.2

200

Nanya Electric (Nantong) Co., Ltd.

Subsidiary

Nantong, Jiangsu

China

Electronic Instruments and Controls

12.1

200

Nanya Rigid Film (Guangzhou) Co., Ltd.

Subsidiary

Guangzhou, Guangdong

China

Fabricated Plastic and Rubber

 

200

Nan Ya Plastics Film (Nantong) Co., Ltd.

Subsidiary

Nantong, Jiangsu

China

Chemicals - Plastics and Rubber

30.8

100

Nanya Plastic Industry (Anshan) Co., Ltd.

Subsidiary

Anshan, Liaoning

China

Fabricated Plastic and Rubber

5.2

100

Nanya Plastic Construction Material (Guangzhou) Co., Ltd.

Subsidiary

Guangzhou, Guangdong

China

Fabricated Plastic and Rubber

13.9

74

Nan Ya Printed Circuit Board Corporation

Subsidiary

Lujhu

Taiwan

Electronic Instruments and Controls

1,004.8

13,451

Formosa Plastics Corporation, U.S.A.

Subsidiary

Livingston, NJ

United States

Chemicals - Plastics and Rubber

1,750.0

2,100

Inteplast Group, Ltd.

Subsidiary

Livingston, NJ

United States

Fabricated Plastic and Rubber

 

1,550

World-Pak Corp

Branch

Lolita, TX

United States

Fabricated Plastic and Rubber

5,599.4

2,000

Inteplast Amtopp Division

Subsidiary

Lolita, TX

United States

Fabricated Plastic and Rubber

 

2,000

Inteplast Integrated Bagging Systems

Subsidiary

Livingston, NJ

United States

Fabricated Plastic and Rubber

 

1,800

Integrated Bagging Systems Inc

Branch

Lolita, TX

United States

Fabricated Plastic and Rubber

792.0

1,600

AM Topp Corp

Branch

Livingston, NJ

United States

Chemicals - Plastics and Rubber

532.4

400

Minigrip/Zip-Pak

Subsidiary

Seguin, TX

United States

Containers and Packaging

 

160

Zip-Pak

Division

Manteno, IL

United States

Containers and Packaging

 

50

Zip-Pak

Branch

Orangeburg, NY

United States

Paper and Paper Products

33.3

122

Zip-Pak

Division

Atlanta, GA

United States

Miscellaneous Capital Goods

0.9

60

Zip-Pak

Branch

Ottawa, IL

United States

Retail (Specialty)

0.2

60

Zip-Pak Systems

Branch

Duluth, GA

United States

Fabricated Plastic and Rubber

9.2

35

Zip-Pak

Branch

Loveland, OH

United States

Fabricated Plastic and Rubber

0.3

1

BagCo Inc.

Division

Kennesaw, GA

United States

Containers and Packaging

 

15

Inteplast World-Pak

Subsidiary

Livingston, NJ

United States

Fabricated Plastic and Rubber

 

160

Inteplast Group Limited

Branch

North Dighton, MA

United States

Paper and Paper Products

33.5

125

Nina Plastics Inc

Subsidiary

Orlando, FL

United States

Fabricated Plastic and Rubber

40.0

100

Formosa Plastics Corporation, Texas

Branch

Point Comfort, TX

United States

Fabricated Plastic and Rubber

719.2

1,500

Formosa Plastics Corporation, Louisiana

Branch

Baton Rouge, LA

United States

Construction - Supplies and Fixtures

610.1

316

Formosa Plastics Corporation, Delaware

Branch

Delaware City, DE

United States

Construction - Supplies and Fixtures

185.3

130

Neumin Production Company

Subsidiary

Point Comfort, TX

United States

Oil and Gas Operations

11.8

45

Lavaca Pipe Line Company

Subsidiary

Point Comfort, TX

United States

Natural Gas Utilities

9.1

42

Formosa Hydrocarbons Company, Inc.

Subsidiary

Point Comfort, TX

United States

Oil and Gas Operations

 

40

Formosa Plastic Corp

Branch

Illiopolis, IL

United States

Retail (Specialty)

0.7

3

Formosa Heavy Industries Corporation

Subsidiary

Taipei

Taiwan

Miscellaneous Capital Goods

365.0

1,250

Hwa Ya Power Corporation

Subsidiary

Kueishan Hsiang, Taoyuan

Taiwan

Electric Utilities

 

108

Asia Pacific Energy Corporation

Subsidiary

Mabalacat, Pampanga

Philippines

Electric Utilities

 

49

Formosa Plasma Display Corporation

Subsidiary

Taipei

Taiwan

Miscellaneous Capital Goods

 

500

Mai-Liao Power Corporation

Affiliates

Yun-lin

Taiwan

Electric Utilities

 

378

Formosa Petrochemical Transportation Corporation

Subsidiary

Taipei, Yun Lin

Taiwan

Chemical Manufacturing

 

200

Formosa Plastics Marine Corporation

Subsidiary

Taipei City, Taipei

Taiwan

Water Transportation

 

70

Formosa Asahi Spandex Co., Ltd.

Joint Venture

Taipei

Taiwan

Fabricated Plastic and Rubber

 

12

Formosa Plastics Corporation - Linyuan Plant

Facility

Kaohsiung

Taiwan

Fabricated Plastic and Rubber

 

 

Formosa Plastics Corporation - Plastics Division

Division

Taipei

Taiwan

Fabricated Plastic and Rubber

 

 

Formosa Plastics Corporation - Carbide Division

Division

Taipei

Taiwan

Construction - Supplies and Fixtures

 

 

Formosa Plastics Corporation - Polyolefin Division

Division

Taipei

Taiwan

Chemical Manufacturing

 

 

Formosa Plastics Corporation - Polypropylene Division

Division

Taipei

Taiwan

Chemical Manufacturing

 

 

Formosa Plastics Corporation - Tairylan Division

Division

Taipei

Taiwan

Construction - Supplies and Fixtures

 

 

Formosa Plastics Corporation - Chemicals Division

Division

Taipei

Taiwan

Chemical Manufacturing

 

 

 



 

Competitors Report



CompanyName

Location

Employees

Ownership

BASF SE

Ludwigshafen Am Rhein, Germany

113,262

Public

Equistar Chemicals, LP

Houston, Texas, United States

3,330

Private

Ineos Group Ltd.

Lyndhurst, United Kingdom

15,500

Private

Oxy Vinyls, LP

Dallas, Texas, United States

40,000

Private

Sinopec Shanghai Petrochemical Co Ltd

Shanghai, China

15,256

Public

The Dow Chemical Company

Midland, Michigan, United States

54,353

Public

 

 

Executives Report

 

Board of Directors

 

Name

Title

Function

Chih-Tsuen Lee

 

Chairman

Chairman

Zhicun Li

 

Chairman of the Board

Chairman

Biography:

Li Zhicun has been Chairman of the Board in Formosa Plastics Corporation since June 5, 2006. Li used to be General Manager and Executive Director in the Company. Li also serves as Chairman of the Board in Formosa Sumco Technology Corporation and another company.

 

Tze-Fong Chang

 

VP-Polyolefin Division

Director/Board Member

 

 

Ralph Ho

 

Supervisory Board of Directors

Director/Board Member

 

 

C. F. Ho

 

Supervisory Board of Directors

Director/Board Member

 

 

T. J. Huang

 

Senior VP

Director/Board Member

 

 

Zongjing Huang

 

Senior Deputy General Manager, Director

Director/Board Member

 

 

Biography:

Huang Zongjing has been Senior Deputy General Manager and Director in Formosa Plastics Corporation. Huang was Assistant General Manager in the Company.

 

Jilang Ke

 

Director

Director/Board Member

 

 

Biography:

Ke Jilang has been Director in Formosa Plastics Corporation since April 29, 1988. Ke was Assistant General Manager in the Company.

 

Jerome C.L. Ko

 

Board Member

Director/Board Member

 

 

Jason Lin

 

President

Director/Board Member

 

 

Chen-Jung Lin

 

Senior VP

Director/Board Member

 

 

Jiannan Lin

 

General Manager, Director

Director/Board Member

 

 

Biography:

Lin Jiannan has been General Manager and Director in Formosa Plastics Corporation since March 22, 2011. Lin holds a Master's degree from an University in Netherlands. Lin is also General Manager in another company. Lin was Deputy General Manager in the Company.

 

Zhenrong Lin

 

Senior Deputy General Manager, Director

Director/Board Member

 

 

Wenyuan Wang

 

Managing Director

Director/Board Member

 

 

Biography:

Mr. Wang Wenyuan has been Managing Director in Formosa Plastics Corporation since June 5, 2006. He holds a Master's degree from University of Houston, the United States. He also serves as Chairman of the Board in Formosa Chemicals & Fibre Corporation and Formosa Taffeta Co Ltd.

 

Education:

University of Houston, M

 

Ruihua Wang

 

Managing Director

Director/Board Member

 

 

Biography:

Ms. Wang Ruihua has been Managing Director in Formosa Plastics Corporation since June 5, 2006. She also serves as Managing Director in Formosa Petrochemical Corporation.

 

Education:

Barnard College, B (Economics)

 

Wenchao Wang

 

Managing Director

Director/Board Member

 

 

Biography:

Mr. Wang Wenchao has been Managing Director in Formosa Plastics Corporation since June 5, 2006. He is also Managing Director in Formosa Petrochemical Corporation.

 

Susan Wang

 

Board Member

Director/Board Member

 

 

T. S. Wang

 

Board Member

Director/Board Member

 

 

Wilfred Wang

 

Board Member

Director/Board Member

 

 

Xuehong Wang

 

Director

Director/Board Member

 

 

Biography:

Ms. Wang Xuehong has been Director in Formosa Plastics Corporation since June 5, 2009. She also serves as Chairman of the Board in two other companies.

 

H. H. Wang

 

Board Member

Director/Board Member

 

 

Deshan Wang

 

Independent Director

Director/Board Member

 

 

Biography:

Wang Deshan serves as Independent Director in Formosa Plastics Corporation. Wang also serves as Independent Director in PhytoHealth Corporation. Wang was Director in the Company. Wang holds a Master's degree from National Chengchi University, Taiwan.

 

Education:

National Chengchi University, M
National Chengchi University, B

 

Qilin Wei

 

Independent Director

Director/Board Member

 

 

Biography:

Wei Qilin serves as Independent Director in Formosa Plastics Corporation. Wei is also Chairman of the Board in another company. Wei holds a Ph.D. in Economics from University of Paris, France.

 

Education:

University of Paris, PHD (Economics)
Imperial College, University of London, M (Management)

 

C. L. Wei

 

Board Member

Director/Board Member

 

 

K. H. Wu

 

Supervisory Board of Directors

Director/Board Member

 

 

Qingzhang Yan

 

Managing Director, Independent Director

Director/Board Member

 

 

Biography:

Yan Qingzhang serves as Managing Director and Independent Director in Formosa Plastics Corporation. Yan is also Chairman of the Board in Yuanta Financial Holding Co., Ltd. Yan holds a Master's degree in Law from the University of Michigan, the United States.

 

Education:

University of Michigan, M (Law)
National Taiwan University, M

 

Zhaolin Yang

 

Director

Director/Board Member

 

 

Biography:

Yang Zhaolin serves as Director in Formosa Plastics Corporation. Yang is also Managing Director in Formosa Petrochemical Corporation. Yang was Managing Director in the Company.

 

Education:

National Cheng Kung University, B (Accounting and Statistics)

 

C. C. Yen

 

Board Member

Director/Board Member

 

 

Zifeng Zhang

 

Deputy General Manager-Polyolefin Department, Director

Director/Board Member

 

 

Yurui Zhang

 

Director

Director/Board Member

 

 

 

Executives

 

Name

Title

Function

 

William Wong

 

Executive Director

Chief Executive Officer

 

Jason Lin

 

President

President

 

Tze-Fong Chang

 

VP-Polyolefin Division

Division Head Executive

 

Kwang-Ming Chen

 

VP-Polypropylene Division

Division Head Executive

 

Cheng-Chung Cheng

 

VP-Plastics Division

Division Head Executive

 

Wen-Chin Hsiao

 

VP-Tairylan Division

Division Head Executive

 

Tien Hsiang Lee

 

Vice President Chemicals Division

Division Head Executive

 

Jiannan Lin

 

General Manager, Director

Division Head Executive

 

Biography:

Lin Jiannan has been General Manager and Director in Formosa Plastics Corporation since March 22, 2011. Lin holds a Master's degree from an University in Netherlands. Lin is also General Manager in another company. Lin was Deputy General Manager in the Company.

 

Wenyuan Wang

 

Managing Director

Managing Director

 

 

Biography:

Mr. Wang Wenyuan has been Managing Director in Formosa Plastics Corporation since June 5, 2006. He holds a Master's degree from University of Houston, the United States. He also serves as Chairman of the Board in Formosa Chemicals & Fibre Corporation and Formosa Taffeta Co Ltd.

 

Education:

University of Houston, M

 

Ruihua Wang

 

Managing Director

Managing Director

 

 

Biography:

Ms. Wang Ruihua has been Managing Director in Formosa Plastics Corporation since June 5, 2006. She also serves as Managing Director in Formosa Petrochemical Corporation.

 

Education:

Barnard College, B (Economics)

 

Wenchao Wang

 

Managing Director

Managing Director

 

 

Biography:

Mr. Wang Wenchao has been Managing Director in Formosa Plastics Corporation since June 5, 2006. He is also Managing Director in Formosa Petrochemical Corporation.

 

Qingzhang Yan

 

Managing Director, Independent Director

Managing Director

 

 

Biography:

Yan Qingzhang serves as Managing Director and Independent Director in Formosa Plastics Corporation. Yan is also Chairman of the Board in Yuanta Financial Holding Co., Ltd. Yan holds a Master's degree in Law from the University of Michigan, the United States.

 

Education:

University of Michigan, M (Law)
National Taiwan University, M

 

Benny Chang

 

VP-Finance

Finance Executive

 

 

Ray Lei

 

Vice President Finance

Finance Executive

 

 

W H Huang

 

Assistant Vice President - Accounting Department

Accounting Executive

 

 

Guangming Chen

 

Deputy General Manager-Polypropylene Department

Other

 

 

Chengzhong Cheng

 

Deputy General Manager-Plastic Department

Other

 

 

Zhenxiao Lei

 

Deputy General Manager-Finance

Other

 

 

Tianxiang Li

 

Deputy General Manager-Chemicals Department

Other

 

 

Wenqin Xiao

 

Deputy General Manager-TAIRYLAN Department

Other

 

 

Fushou Xie

 

Deputy General Manager-Public Works Department

Other

 

 

Wensong Zhang

 

Deputy General Manager-Calcium Carbide Department

Other

 

 

 

 Significant Developments

 

 

 

 

Formosa Plastics Corp Announces FY 2012 Dividend Payment

Mar 25, 2013


Formosa Plastics Corp announced that it will pay a cash dividend of NTD 1.2 per share, or NTD 7,345,085,516 in total to shareholders for fiscal year 2012.

Formosa Plastics Corp to Invest in Mainland China

Dec 24, 2012


Formosa Plastics Corp announced that it will invest USD 4.1 million to indirectly set up a subsidiary in Ningbo, Mainland China. The subsidiary will be engaged in the production and sale of lithium battery electrolyte.

Formosa Plastics Corp Announces Merger of Subsidiaries

Dec 24, 2012


Formosa Plastics Corp announced that its six wholly owned subsidiaries based in Ningbo, Mainland China, including a Ningpo-based industrial company (Subsidiary A), a Ningbo-based acrylate company, a Ningbo-based polyethylene company, a Ningbo-based propylene company, a Ningbo-based absorbent resin company, and a Ningbo-based electronics company, will merge with each other, with Subsidiary A to survive and the other five to be dissolved.

Formosa Plastics Corp Receives Fine

Dec 05, 2012


Formosa Plastics Corp announced that it was imposed a fine of NTD 0.16 million, due to its violation of Water Pollution Control Act.

Formosa Plastics Corp to Issue Unsecured Corporate Bonds

Aug 27, 2012


Formosa Plastics Corp announced that it will issue NTD 9,000 million worth of unsecured corporate bonds, each with par value of NTD 1 million and a term of up to ten years.

Formosa Plastics Corporation Announces FY 2011 Dividend Payment Date

Jun 19, 2012


Formosa Plastics Corporation announced that it will pay cash dividends of NTD 4 per share) to shareholders of record on July 15, 2012. The Company's shares will be traded ex-dividend on July 9, 2012.



 

Annual Income Statement

 

Financials in: USD (mil)

 

Except for share items (millions) and per share items (actual units)

 

 

 

 

 

  Financial Glossary

 

 

 

31-Dec-2012

31-Dec-2011

31-Dec-2010

31-Dec-2009

31-Dec-2008

Period Length

12 Months

12 Months

12 Months

12 Months

12 Months

UpdateType/Date

Updated Normal
31-Dec-2012

Updated Normal
31-Dec-2011

Reclassified Normal
31-Dec-2011

Updated Normal
31-Dec-2009

Reclassified Normal
31-Dec-2009

Filed Currency

TWD

TWD

TWD

TWD

TWD

Exchange Rate (Period Average)

29.57962

29.39004

31.497037

33.023867

31.543497

Auditor

KPMG LLP

KPMG LLP

KPMG Peat Marwick LLP

KPMG Peat Marwick LLP

KPMG LLP

Auditor Opinion

Unqualified with Explanation

Unqualified with Explanation

Unqualified with Explanation

Unqualified with Explanation

Unqualified with Explanation

 

 

 

 

 

 

    Gross Revenue

6,663.6

7,390.1

7,160.3

5,460.1

6,354.6

    Sales Returns and Allowances

-7.7

-5.4

-6.6

-7.2

-8.6

Revenue

6,655.9

7,384.7

7,153.7

5,452.9

6,346.1

Total Revenue

6,655.9

7,384.7

7,153.7

5,452.9

6,346.1

 

 

 

 

 

 

    Cost of Revenue

6,138.3

6,178.5

5,852.2

4,761.5

5,899.6

Cost of Revenue, Total

6,138.3

6,178.5

5,852.2

4,761.5

5,899.6

Gross Profit

517.6

1,206.2

1,301.5

691.4

446.5

 

 

 

 

 

 

    Selling/General/Administrative Expense

306.2

303.8

286.1

253.0

263.4

Total Selling/General/Administrative Expenses

306.2

303.8

286.1

253.0

263.4

Research & Development

31.5

38.3

26.0

22.1

29.1

    Impairment-Assets Held for Use

-

76.6

0.0

-

-

Unusual Expense (Income)

-

76.6

0.0

-

-

Total Operating Expense

6,475.9

6,597.2

6,164.3

5,036.6

6,192.1

 

 

 

 

 

 

Operating Income

180.0

787.5

989.4

416.3

154.0

 

 

 

 

 

 

        Interest Expense - Non-Operating

-44.8

-42.5

-40.8

-50.0

-65.7

    Interest Expense, Net Non-Operating

-44.8

-42.5

-40.8

-50.0

-65.7

        Interest Income - Non-Operating

27.9

25.4

8.2

7.8

14.9

        Investment Income - Non-Operating

347.1

589.9

658.2

510.6

446.4

    Interest/Investment Income - Non-Operating

375.0

615.3

666.5

518.4

461.3

Interest Income (Expense) - Net Non-Operating Total

330.2

572.8

625.7

468.3

395.6

Gain (Loss) on Sale of Assets

34.8

5.1

8.6

-3.2

1.6

    Other Non-Operating Income (Expense)

23.4

27.5

14.9

16.0

23.7

Other, Net

23.4

27.5

14.9

16.0

23.7

Income Before Tax

568.3

1,392.9

1,638.5

897.5

575.0

 

 

 

 

 

 

Total Income Tax

72.6

177.4

192.5

63.7

-49.9

Income After Tax

495.7

1,215.5

1,446.1

833.7

624.8

 

 

 

 

 

 

Net Income Before Extraord Items

495.7

1,215.5

1,446.1

833.7

624.8

Net Income

495.7

1,215.5

1,446.1

833.7

624.8

 

 

 

 

 

 

Income Available to Common Excl Extraord Items

495.7

1,215.5

1,446.1

833.7

624.8

 

 

 

 

 

 

Income Available to Common Incl Extraord Items

495.7

1,215.5

1,446.1

833.7

624.8

 

 

 

 

 

 

Basic/Primary Weighted Average Shares

6,120.9

6,120.9

6,120.9

6,120.9

6,120.9

Basic EPS Excl Extraord Items

0.08

0.20

0.24

0.14

0.10

Basic/Primary EPS Incl Extraord Items

0.08

0.20

0.24

0.14

0.10

Diluted Net Income

495.7

1,215.5

1,446.1

833.7

624.8

Diluted Weighted Average Shares

6,120.9

6,120.9

6,120.9

6,120.9

6,120.9

Diluted EPS Excl Extraord Items

0.08

0.20

0.24

0.14

0.10

Diluted EPS Incl Extraord Items

0.08

0.20

0.24

0.14

0.10

Dividends per Share - Common Stock Primary Issue

0.04

0.14

0.22

0.12

0.05

Gross Dividends - Common Stock

248.3

833.1

1,321.5

741.4

326.4

Interest Expense, Supplemental

44.8

42.5

40.8

50.0

65.7

Interest Capitalized, Supplemental

-2.4

-1.8

-1.9

-4.1

-22.6

Depreciation, Supplemental

300.4

378.9

350.8

364.8

354.7

Total Special Items

-34.8

71.5

-8.6

3.2

-1.6

Normalized Income Before Tax

533.5

1,464.4

1,629.9

900.7

573.4

 

 

 

 

 

 

Effect of Special Items on Income Taxes

-4.4

9.1

-1.0

0.2

-0.6

Inc Tax Ex Impact of Sp Items

68.1

186.5

191.5

64.0

-50.4

Normalized Income After Tax

465.4

1,277.9

1,438.5

836.7

623.8

 

 

 

 

 

 

Normalized Inc. Avail to Com.

465.4

1,277.9

1,438.5

836.7

623.8

 

 

 

 

 

 

Basic Normalized EPS

0.08

0.21

0.24

0.14

0.10

Diluted Normalized EPS

0.08

0.21

0.24

0.14

0.10

Amort of Intangibles, Supplemental

27.9

34.7

30.7

28.4

22.5

Research & Development Exp, Supplemental

31.5

38.3

26.0

22.1

29.1

Normalized EBIT

180.0

864.1

989.4

416.3

154.0

Normalized EBITDA

508.3

1,277.7

1,370.8

809.6

531.3

    Current Tax - Total

41.2

87.4

88.6

21.5

39.5

Current Tax - Total

41.2

87.4

88.6

21.5

39.5

    Deferred Tax - Total

31.3

90.0

103.9

42.2

-89.4

Deferred Tax - Total

31.3

90.0

103.9

42.2

-89.4

Income Tax - Total

72.6

177.4

192.5

63.7

-49.9

Interest Cost - Domestic

6.2

9.0

7.7

7.6

7.7

Service Cost - Domestic

3.9

3.7

6.6

7.0

8.0

Expected Return on Assets - Domestic

-0.3

-0.1

-0.3

-0.1

-0.3

Actuarial Gains and Losses - Domestic

0.1

-0.1

0.1

-0.2

0.0

Transition Costs - Domestic

6.2

5.9

5.4

5.4

5.9

Domestic Pension Plan Expense

16.1

18.4

19.5

19.7

21.4

Defined Contribution Expense - Domestic

7.2

6.3

4.7

3.1

3.1

Total Pension Expense

23.3

24.7

24.2

22.9

24.4

Discount Rate - Domestic

2.00%

2.00%

3.00%

3.00%

3.00%

Expected Rate of Return - Domestic

2.00%

2.00%

3.00%

3.00%

-

Compensation Rate - Domestic

2.50%

2.50%

3.00%

3.00%

3.00%

Total Plan Interest Cost

6.2

9.0

7.7

7.6

7.7

Total Plan Service Cost

3.9

3.7

6.6

7.0

8.0

Total Plan Expected Return

-0.3

-0.1

-0.3

-0.1

-0.3

 




 

Annual Balance Sheet

Financials in: USD (mil)

 

  Financial Glossary

 

 

 

31-Dec-2012

31-Dec-2011

31-Dec-2010

31-Dec-2009

31-Dec-2008

UpdateType/Date

Updated Normal
31-Dec-2012

Reclassified Normal
31-Dec-2012

Updated Normal
31-Dec-2010

Updated Normal
31-Dec-2009

Reclassified Normal
31-Dec-2009

Filed Currency

TWD

TWD

TWD

TWD

TWD

Exchange Rate

29.011999

30.279

29.1565

31.985

32.818

Auditor

KPMG LLP

KPMG LLP

KPMG Peat Marwick LLP

KPMG Peat Marwick LLP

KPMG LLP

Auditor Opinion

Unqualified with Explanation

Unqualified with Explanation

Unqualified with Explanation

Unqualified with Explanation

Unqualified with Explanation

 

 

 

 

 

 

    Cash & Equivalents

351.8

260.7

445.1

255.6

124.9

    Short Term Investments

2,014.8

2,053.8

2,620.4

1,872.9

1,040.1

Cash and Short Term Investments

2,366.5

2,314.5

3,065.4

2,128.5

1,165.1

        Accounts Receivable - Trade, Gross

239.6

244.6

292.2

228.9

158.6

        Provision for Doubtful Accounts

-0.2

-0.2

-7.8

-6.9

-4.7

    Trade Accounts Receivable - Net

383.6

372.6

408.3

352.0

200.7

    Notes Receivable - Short Term

29.1

23.8

28.8

11.4

13.5

    Other Receivables

1,080.0

900.2

568.1

403.2

390.7

Total Receivables, Net

1,492.7

1,296.6

1,005.2

766.6

604.8

    Inventories - Finished Goods

456.0

479.8

333.9

254.5

306.8

    Inventories - Work In Progress

105.6

115.7

95.1

88.0

89.3

    Inventories - Raw Materials

143.4

133.7

146.0

116.0

95.8

    Inventories - Other

22.1

26.6

22.1

8.9

6.2

Total Inventory

727.1

755.8

597.2

467.4

498.1

Prepaid Expenses

136.1

131.0

101.7

67.1

111.6

    Deferred Income Tax - Current Asset

1.2

3.8

51.1

36.2

21.5

    Other Current Assets

0.0

5.9

-

0.0

0.5

Other Current Assets, Total

1.2

9.6

51.1

36.2

22.0

Total Current Assets

4,723.6

4,507.6

4,820.6

3,465.8

2,401.6

 

 

 

 

 

 

        Buildings

854.3

814.3

835.6

759.8

715.3

        Land/Improvements

232.9

223.4

229.8

206.2

200.9

        Machinery/Equipment

5,277.6

4,922.6

4,898.6

4,457.6

4,226.5

        Construction in Progress

302.4

215.4

258.0

262.5

338.3

        Leases

-

-

-

1.9

-

        Other Property/Plant/Equipment

16.1

15.5

16.3

15.4

15.0

    Property/Plant/Equipment - Gross

6,683.2

6,191.2

6,238.4

5,703.4

5,496.0

    Accumulated Depreciation

-4,024.7

-3,587.9

-3,340.2

-2,726.5

-2,300.1

Property/Plant/Equipment - Net

2,658.5

2,603.3

2,898.2

2,977.0

3,196.0

Goodwill, Net

4.3

4.1

4.3

3.9

3.8

Intangibles, Net

33.1

43.0

59.0

73.1

89.2

    LT Investment - Affiliate Companies

4,180.4

3,847.6

4,017.0

3,436.2

2,890.7

    LT Investments - Other

384.0

262.2

148.2

137.6

80.1

Long Term Investments

4,564.4

4,109.8

4,165.2

3,573.8

2,970.8

    Deferred Charges

30.8

40.6

32.1

29.1

33.3

    Deferred Income Tax - Long Term Asset

-

-

0.0

56.5

111.3

    Other Long Term Assets

395.6

206.9

206.8

174.0

164.9

Other Long Term Assets, Total

426.4

247.5

238.9

259.5

309.4

Total Assets

12,410.4

11,515.3

12,186.2

10,353.2

8,970.8

 

 

 

 

 

 

Accounts Payable

477.0

400.3

515.0

440.0

210.4

Accrued Expenses

159.3

163.0

163.8

130.7

113.1

Notes Payable/Short Term Debt

1,026.9

282.1

259.8

325.8

463.1

Current Portion - Long Term Debt/Capital Leases

365.4

295.3

330.4

458.8

486.0

    Other Payables

43.8

74.7

102.6

104.1

69.1

    Other Current Liabilities

85.7

72.3

88.8

68.4

68.7

Other Current liabilities, Total

129.5

146.9

191.4

172.5

137.7

Total Current Liabilities

2,158.1

1,287.5

1,460.4

1,527.9

1,410.2

 

 

 

 

 

 

    Long Term Debt

2,022.5

1,894.5

1,451.0

1,559.9

1,870.8

Total Long Term Debt

2,022.5

1,894.5

1,451.0

1,559.9

1,870.8

Total Debt

3,414.8

2,471.9

2,041.2

2,344.6

2,819.8

 

 

 

 

 

 

    Deferred Income Tax - LT Liability

130.6

105.9

61.7

-

-

Deferred Income Tax

130.6

105.9

61.7

-

-

    Pension Benefits - Underfunded

273.2

251.4

252.6

216.0

194.6

    Other Long Term Liabilities

14.8

8.2

14.2

4.5

4.2

Other Liabilities, Total

288.0

259.6

266.8

220.5

198.8

Total Liabilities

4,599.1

3,547.6

3,239.9

3,308.3

3,479.8

 

 

 

 

 

 

    Common Stock

2,109.8

2,021.5

2,099.3

1,913.7

1,743.1

Common Stock

2,109.8

2,021.5

2,099.3

1,913.7

1,743.1

Additional Paid-In Capital

442.2

423.7

439.9

400.6

390.5

Retained Earnings (Accumulated Deficit)

3,772.8

3,939.3

4,293.2

3,255.0

2,769.2

Unrealized Gain (Loss)

1,464.9

1,496.3

2,112.1

1,369.8

461.0

    Translation Adjustment

21.6

87.0

1.7

105.8

127.3

Other Equity, Total

21.6

87.0

1.7

105.8

127.3

Total Equity

7,811.3

7,967.7

8,946.3

7,044.9

5,491.0

 

 

 

 

 

 

Total Liabilities & Shareholders’ Equity

12,410.4

11,515.3

12,186.2

10,353.2

8,970.8

 

 

 

 

 

 

    Shares Outstanding - Common Stock Primary Issue

6,120.9

6,120.9

6,120.9

6,120.9

6,120.9

Total Common Shares Outstanding

6,120.9

6,120.9

6,120.9

6,120.9

6,120.9

Treasury Shares - Common Stock Primary Issue

0.0

0.0

0.0

0.0

0.0

Employees

6,784

5,925

5,570

5,519

5,562

Number of Common Shareholders

-

-

239,663

289,185

302,952

Total Long Term Debt, Supplemental

665.2

998.5

604.8

721.5

-

Long Term Debt Maturing within 1 Year

49.3

34.2

51.4

92.1

-

Long Term Debt Maturing in Year 2

430.2

770.5

35.5

296.9

-

Long Term Debt Maturing in Year 3

172.0

184.3

488.1

282.5

-

Long Term Debt Maturing in Year 4

0.0

9.6

19.9

22.8

-

Long Term Debt Maturing in Year 5

13.8

-

9.9

18.1

-

Long Term Debt Maturing in 2-3 Years

602.2

954.8

523.5

579.4

-

Long Term Debt Maturing in 4-5 Years

13.8

9.6

29.8

41.0

-

Long Term Debt Matur. in Year 6 & Beyond

0.0

0.0

0.0

9.1

-

Pension Obligation - Domestic

319.5

303.3

304.7

254.5

254.1

Plan Assets - Domestic

9.1

9.3

8.1

7.4

8.6

Funded Status - Domestic

-310.4

-294.0

-296.6

-247.1

-245.5

Accumulated Obligation - Domestic

254.5

238.9

232.4

191.6

189.1

Total Funded Status

-310.4

-294.0

-296.6

-247.1

-245.5

Discount Rate - Domestic

2.00%

2.00%

3.00%

3.00%

3.00%

Expected Rate of Return - Domestic

2.00%

2.00%

3.00%

3.00%

3.00%

Compensation Rate - Domestic

2.50%

2.50%

3.00%

3.00%

3.00%

Accrued Liabilities - Domestic

-273.2

-251.4

-252.6

-216.0

-194.6

Net Assets Recognized on Balance Sheet

-273.2

-251.4

-252.6

-216.0

-194.6

Total Plan Obligations

319.5

303.3

304.7

254.5

254.1

Total Plan Assets

9.1

9.3

8.1

7.4

8.6

 



 

Annual Cash Flows

Financials in: USD (mil)

 

  Financial Glossary

 

 

 

31-Dec-2012

31-Dec-2011

31-Dec-2010

31-Dec-2009

31-Dec-2008

Period Length

12 Months

12 Months

12 Months

12 Months

12 Months

UpdateType/Date

Updated Normal
31-Dec-2012

Reclassified Normal
31-Dec-2012

Updated Normal
31-Dec-2010

Reclassified Normal
31-Dec-2010

Reclassified Normal
31-Dec-2009

Filed Currency

TWD

TWD

TWD

TWD

TWD

Exchange Rate (Period Average)

29.57962

29.39004

31.497037

33.023867

31.543497

Auditor

KPMG LLP

KPMG LLP

KPMG Peat Marwick LLP

KPMG Peat Marwick LLP

KPMG LLP

Auditor Opinion

Unqualified with Explanation

Unqualified with Explanation

Unqualified with Explanation

Unqualified with Explanation

Unqualified with Explanation

 

 

 

 

 

 

Net Income/Starting Line

495.7

1,215.5

1,446.1

833.7

624.8

    Depreciation

300.4

378.9

350.8

364.8

354.7

Depreciation/Depletion

300.4

378.9

350.8

364.8

354.7

    Amortization of Intangibles

27.9

34.7

30.7

28.4

22.5

Amortization

27.9

34.7

30.7

28.4

22.5

Deferred Taxes

31.3

90.0

103.9

42.2

-89.4

    Unusual Items

-35.1

71.5

-8.6

-2.2

-5.8

    Equity in Net Earnings (Loss)

-264.0

-361.1

-579.6

-472.8

-172.4

    Other Non-Cash Items

235.0

431.5

422.3

74.6

736.3

Non-Cash Items

-64.2

141.9

-165.9

-400.3

558.1

    Accounts Receivable

-32.5

30.2

-45.8

-152.3

229.4

    Inventories

42.3

-177.3

-61.4

107.3

-124.6

    Prepaid Expenses

0.6

-34.1

-21.7

45.9

-8.9

    Other Assets

-

-

-15.5

-6.0

-18.5

    Accounts Payable

58.1

-98.6

29.9

217.0

-274.9

    Accrued Expenses

-10.5

5.4

18.9

14.3

-17.7

    Other Liabilities

-29.7

-48.2

56.5

-0.7

-

    Other Assets & Liabilities, Net

0.1

-1.1

2.6

2.1

2.1

Changes in Working Capital

28.3

-323.7

-36.5

227.6

-213.2

Cash from Operating Activities

819.5

1,537.3

1,728.9

1,096.5

1,257.5

 

 

 

 

 

 

    Purchase of Fixed Assets

-278.5

-123.3

-81.2

-98.2

-250.7

    Purchase/Acquisition of Intangibles

-4.1

-1.9

0.0

-0.7

0.0

Capital Expenditures

-282.6

-125.1

-81.2

-99.0

-250.7

    Sale of Fixed Assets

41.3

0.5

7.1

2.1

2.1

    Sale/Maturity of Investment

-

-

0.0

1.6

0.0

    Investment, Net

-

-

0.0

-57.5

5.6

    Purchase of Investments

-217.6

-312.3

-76.3

-26.0

-13.9

    Sale of Intangible Assets

4.8

-

-

-

0.6

    Other Investing Cash Flow

-280.7

-395.3

-115.3

7.4

-11.2

Other Investing Cash Flow Items, Total

-452.2

-707.1

-184.5

-72.5

-16.8

Cash from Investing Activities

-734.8

-832.2

-265.7

-171.4

-267.4

 

 

 

 

 

 

    Other Financing Cash Flow

6.3

11.6

-44.8

24.1

-25.5

Financing Cash Flow Items

6.3

11.6

-44.8

24.1

-25.5

    Cash Dividends Paid - Common

-826.8

-1,414.6

-786.2

-302.6

-1,214.4

Total Cash Dividends Paid

-826.8

-1,414.6

-786.2

-302.6

-1,214.4

    Short Term Debt, Net

718.2

34.0

-90.1

-145.2

-15.4

        Long Term Debt Issued

1,134.1

1,370.3

364.6

196.4

655.5

        Long Term Debt Reduction

-1,033.8

-882.9

-761.4

-580.9

-305.9

    Long Term Debt, Net

100.3

487.4

-396.7

-384.5

349.6

Issuance (Retirement) of Debt, Net

818.5

521.4

-486.8

-529.7

334.1

Cash from Financing Activities

-2.0

-881.6

-1,317.8

-808.1

-905.7

 

 

 

 

 

 

Foreign Exchange Effects

-4.6

3.6

7.0

6.4

-45.4

Net Change in Cash

78.1

-172.9

152.4

123.4

39.0

 

 

 

 

 

 

Net Cash - Beginning Balance

266.9

441.5

259.5

124.2

91.0

Net Cash - Ending Balance

345.0

268.6

412.0

247.5

130.0

Cash Interest Paid

46.9

45.1

42.5

64.4

63.8

Cash Taxes Paid

73.6

118.4

48.2

21.2

34.2

 

 

Annual Income Statement

 

Financials in: USD (mil)

 

Except for share items (millions) and per share items (actual units)

 

 

 

 

 

 

 

 

 

31-Dec-2012

31-Dec-2011

31-Dec-2010

31-Dec-2009

31-Dec-2008

Period Length

12 Months

12 Months

12 Months

12 Months

12 Months

UpdateType/Date

Updated Normal
31-Dec-2012

Updated Normal
31-Dec-2011

Reclassified Normal
31-Dec-2011

Updated Normal
31-Dec-2009

Reclassified Normal
31-Dec-2009

Filed Currency

TWD

TWD

TWD

TWD

TWD

Exchange Rate (Period Average)

29.57962

29.39004

31.497037

33.023867

31.543497

Auditor

KPMG LLP

KPMG LLP

KPMG LLP

KPMG Peat Marwick LLP

KPMG LLP

Auditor Opinion

Unqualified with Explanation

Unqualified with Explanation

Unqualified with Explanation

Unqualified with Explanation

Unqualified with Explanation

 

 

 

 

 

 

    Gross Sales

6,663.6

7,390.1

7,160.3

5,460.1

6,354.6

    Sales Returns & Allowance

-7.7

-5.4

-6.6

-7.2

-8.6

Total Revenue

6,655.9

7,384.7

7,153.7

5,452.9

6,346.1

 

 

 

 

 

 

    Cost of Sales

6,138.3

6,178.5

5,852.2

4,761.5

5,899.6

    Selling Expenses

177.9

163.7

174.9

159.9

158.1

    General and Administrative Expenses

128.2

140.1

111.1

93.0

105.3

    Research and Development Expenses

31.5

38.3

26.0

22.1

29.1

    Impairment Loss

-

76.6

0.0

-

-

Total Operating Expense

6,475.9

6,597.2

6,164.3

5,036.6

6,192.1

 

 

 

 

 

 

    Interest Income

27.9

25.4

8.2

7.8

14.9

    Gain on Equity Investment

264.0

361.1

579.6

472.8

172.4

    Dividend Income

93.0

182.1

83.2

34.4

220.5

    Gain on Sale of Assets

34.8

5.3

8.7

0.4

1.7

    Gain on Sale of Investments

-

0.0

0.4

4.6

4.2

    Gain on Foreign Exchange

0.0

45.4

0.0

0.0

59.6

    Rent Income

3.3

3.4

3.1

3.0

3.5

    G/L on Financial Assets Revaluation

-0.3

0.2

-2.0

0.1

-6.4

    G/L on Fin. Liabilities Revaluation

0.3

1.1

1.3

0.5

-3.8

    Miscellaneous Income

26.6

30.9

20.0

14.9

26.5

    Interest Expense

-44.8

-42.5

-40.8

-50.0

-65.7

    Loss on Sale of Assets

-

-0.1

-0.1

-3.6

-0.1

    Foreign Exchange Losses

-10.0

0.0

-4.2

-1.9

0.0

    Miscellaneous Disbursements

-6.5

-6.8

-8.2

-1.9

-6.4

Net Income Before Taxes

568.3

1,392.9

1,638.5

897.5

575.0

 

 

 

 

 

 

Provision for Income Taxes

72.6

177.4

192.5

63.7

-49.9

Net Income After Taxes

495.7

1,215.5

1,446.1

833.7

624.8

 

 

 

 

 

 

Net Income Before Extra. Items

495.7

1,215.5

1,446.1

833.7

624.8

Net Income

495.7

1,215.5

1,446.1

833.7

624.8

 

 

 

 

 

 

Income Available to Com Excl ExtraOrd

495.7

1,215.5

1,446.1

833.7

624.8

 

 

 

 

 

 

Income Available to Com Incl ExtraOrd

495.7

1,215.5

1,446.1

833.7

624.8

 

 

 

 

 

 

Basic Weighted Average Shares

6,120.9

6,120.9

6,120.9

6,120.9

6,120.9

Basic EPS Excluding ExtraOrdinary Items

0.08

0.20

0.24

0.14

0.10

Basic EPS Including ExtraOrdinary Item

0.08

0.20

0.24

0.14

0.10

Diluted Net Income

495.7

1,215.5

1,446.1

833.7

624.8

Diluted Weighted Average Shares

6,120.9

6,120.9

6,120.9

6,120.9

6,120.9

Diluted EPS Excluding ExtraOrd Items

0.08

0.20

0.24

0.14

0.10

Diluted EPS Including ExtraOrd Items

0.08

0.20

0.24

0.14

0.10

DPS-Common Stock

0.04

0.14

0.22

0.12

0.05

Gross Dividends - Common Stock

248.3

833.1

1,321.5

741.4

326.4

Normalized Income Before Taxes

533.5

1,464.4

1,629.9

900.7

573.4

 

 

 

 

 

 

Inc Tax Ex Impact of Sp Items

68.1

186.5

191.5

64.0

-50.4

Normalized Income After Taxes

465.4

1,277.9

1,438.5

836.7

623.8

 

 

 

 

 

 

Normalized Inc. Avail to Com.

465.4

1,277.9

1,438.5

836.7

623.8

 

 

 

 

 

 

Basic Normalized EPS

0.08

0.21

0.24

0.14

0.10

Diluted Normalized EPS

0.08

0.21

0.24

0.14

0.10

R&D Expense, Supplemental

31.5

38.3

26.0

22.1

29.1

Interest Expense

44.8

42.5

40.8

50.0

65.7

Interest Capitalized

-2.4

-1.8

-1.9

-4.1

-22.6

Depreciation, Operating Cost

290.4

368.9

341.0

354.5

342.1

Depreciation, Operating Expense

10.0

10.0

9.8

10.3

12.6

Depreciation, Non-Operating Expense

-

-

0.0

0.0

0.0

Amortization, Operating Cost

27.7

34.4

30.3

27.6

22.2

Amortization, Operating Expense

0.3

0.3

0.3

0.8

0.1

Amortization, Non-Operating Expense

-

-

0.0

0.1

0.2

    Current Tax Payable

41.2

87.4

88.6

21.5

39.5

Current Tax - Total

41.2

87.4

88.6

21.5

39.5

    Deferred Tax

31.3

90.0

103.9

42.2

-89.4

Deferred Tax - Total

31.3

90.0

103.9

42.2

-89.4

Income Tax - Total

72.6

177.4

192.5

63.7

-49.9

Service Cost

3.9

3.7

6.6

7.0

8.0

Interest Cost

6.2

9.0

7.7

7.6

7.7

Expected Return on Plan Assets

-0.3

-0.1

-0.3

-0.1

-0.3

Plan Assets Gains/Losses

0.1

-0.1

0.1

-0.2

0.0

Amort. Transitional Benefit Obligation

5.8

5.8

5.4

5.2

5.4

Amort. of Transition Cost

0.5

0.1

-

0.3

0.5

Domestic Pension Plan Expense

16.1

18.4

19.5

19.7

21.4

Pro. for Defined Contribution Plan

7.2

6.3

4.7

3.1

3.1

Total Pension Expense

23.3

24.7

24.2

22.9

24.4

Discount Rate

2.00%

2.00%

3.00%

3.00%

3.00%

Rate of Compensation Increase

2.50%

2.50%

3.00%

3.00%

3.00%

Expected Rate of Return on Plan Assets

2.00%

2.00%

3.00%

3.00%

-

 




 

Annual Balance Sheet

Financials in: USD (mil)

 

 

 

31-Dec-2012

31-Dec-2011

31-Dec-2010

31-Dec-2009

31-Dec-2008

UpdateType/Date

Updated Normal
31-Dec-2012

Reclassified Normal
31-Dec-2012

Updated Normal
31-Dec-2010

Updated Normal
31-Dec-2009

Reclassified Normal
31-Dec-2009

Filed Currency

TWD

TWD

TWD

TWD

TWD

Exchange Rate

29.011999

30.279

29.1565

31.985

32.818

Auditor

KPMG LLP

KPMG LLP

KPMG LLP

KPMG Peat Marwick LLP

KPMG LLP

Auditor Opinion

Unqualified with Explanation

Unqualified with Explanation

Unqualified with Explanation

Unqualified with Explanation

Unqualified with Explanation

 

 

 

 

 

 

    Cash and Cash Equivalent

351.8

260.7

445.1

255.6

124.9

    Notes Receivable

29.1

23.8

28.8

11.4

13.5

    Accounts Receivable, Gross

239.6

244.6

292.2

228.9

158.6

    Provision for Doubtful Accounts

-0.2

-0.2

-7.8

-6.9

-4.7

    Accounts Receivable, Related Parties

144.2

128.1

123.9

130.0

46.8

    Other Receivables

42.5

37.4

37.6

31.2

20.7

    Other Receivables - Related Parties

1,037.5

862.8

530.5

372.0

369.9

    Finished Goods

456.0

479.8

333.9

254.5

306.8

    Half-Finished Goods

79.1

91.6

73.1

62.2

57.2

    Raw Materials

121.3

105.2

118.1

90.5

71.4

    Supplies

22.1

28.5

27.9

25.6

24.3

    Work-in-Process Parts

26.4

24.1

22.0

25.7

32.1

    Inventory in Transit

21.2

28.1

25.2

10.6

7.7

    Other Inventory

-

0.1

0.9

0.0

0.1

    Unrealized Valuation Difference

0.9

-1.6

-3.9

-1.7

-1.5

    Prepayment & Other Current Assets

136.1

131.0

101.7

67.1

111.6

    Noncurrent Assets Classified, Held for S

0.0

5.9

-

-

-

    Deferred Income Tax Assets, Current

1.2

3.8

51.1

36.2

21.5

    Current Fin. Assets at Fair Value

0.0

0.4

0.4

1.8

2.0

    Current Fin. Assets - Held for Sale

2,014.8

2,053.4

2,620.0

1,871.2

1,038.1

    Financial Derivatives - Hedging

-

-

-

0.0

0.5

Total Current Assets

4,723.6

4,507.6

4,820.6

3,465.8

2,401.6

 

 

 

 

 

 

    Long Term Equity Investment

4,180.4

3,847.6

4,017.0

3,436.2

2,890.7

    Financial Assets-Available for Sale,Non-

300.7

162.4

-

-

-

    Financial Assets Valuation - Cost Method

83.3

99.8

148.0

135.0

75.1

    Financial Assets - Fair Value, Non-Curr.

-

-

0.2

2.6

5.0

    Land

232.9

223.4

229.8

206.2

200.9

    Buildings and Structures

854.3

814.3

835.6

759.8

715.3

    Machinery and Equipment

5,090.5

4,750.9

4,730.7

4,308.0

4,085.3

    Miscellaneous Equipment

187.1

171.7

167.9

149.6

141.2

    Revaluation Increments

16.1

15.5

16.3

15.4

15.0

    Accumulated Depreciation

-4,024.7

-3,587.9

-3,340.2

-2,726.2

-2,300.1

    Construction in Progress

239.2

208.8

252.4

256.1

330.1

    Prepayment for Land & Construction

63.2

6.7

5.6

6.4

8.1

    Goodwill

4.3

4.1

4.3

3.9

3.8

    Technological Cooperation Costs

17.2

19.6

24.4

29.9

35.6

    Land Use Right

15.9

18.8

18.2

17.8

18.7

    Other Intangible Assets

-

4.6

16.3

25.4

35.0

    Idle Assets & Assets for Lease

-

-

-

-

8.1

    Idle Assets

6.3

6.0

7.2

6.7

-

    Assets Leased to Others

-

-

-

1.9

-

    Accum. Depreciation for Leased Assets

-

-

-

-0.3

-

    Security Deposits Paid

2.2

2.3

2.5

2.8

2.5

    Deferred Income Tax Assets, Non-Current

-

-

0.0

56.5

111.3

    Deferred Charges

30.8

40.6

32.1

29.1

33.3

    Other Assets

387.1

198.6

197.2

164.5

154.3

Total Assets

12,410.4

11,515.3

12,186.2

10,353.2

8,970.8

 

 

 

 

 

 

    ST Borrowings

737.5

276.3

254.2

321.4

290.0

    Notes Payable

282.6

0.0

-

0.0

109.6

    Employee Borrowings

6.6

5.8

4.5

3.5

63.4

    Financial Liabilities at Fair Value

0.2

0.0

1.1

0.9

0.0

    Hedging Derivative Liabilities, Current

-

-

-

0.0

0.5

    Accounts Payable

134.0

114.7

105.6

99.5

78.6

    Accounts Payable - Related Parties

343.0

285.5

409.4

340.5

131.8

    Accrued Expenses

159.3

163.0

163.8

130.7

113.1

    Other Payables,Related Parties

23.9

15.8

8.0

54.3

29.4

    Other Payables

19.9

58.8

94.6

49.8

39.6

    Current Portion of Corporate Bonds

310.0

198.0

171.5

250.1

271.2

    Current Portion of Long Term Debt

55.4

97.3

158.9

208.7

214.8

    Other Current Liabilities

85.7

72.3

88.8

68.4

68.2

Total Current Liabilities

2,158.1

1,287.5

1,460.4

1,527.9

1,410.2

 

 

 

 

 

 

    Long Term Borrowings

646.6

970.9

628.8

840.2

1,106.9

    Corporate Bonds Payable

1,375.9

923.1

821.6

717.7

760.5

    Fncl. Liab. - Fair Value, Non-Current

0.0

0.5

0.6

2.0

3.4

Total Long Term Debt

2,022.5

1,894.5

1,451.0

1,559.9

1,870.8

 

 

 

 

 

 

    Accrued Pension Liabilities

273.2

251.4

252.6

216.0

194.6

    Deferred Income Tax Liabilities

130.6

105.9

61.7

-

-

    Other Long Term Liabilities

14.8

8.2

14.2

4.5

4.2

Total Liabilities

4,599.1

3,547.6

3,239.9

3,308.3

3,479.8

 

 

 

 

 

 

    Common Stock

2,109.8

2,021.5

2,099.3

1,913.7

1,743.1

    Share Premium

280.2

268.5

278.8

254.2

247.7

    Capital Surplus, Other

162.0

155.2

161.1

146.4

142.7

    Legal Reserve

1,371.9

1,196.5

1,086.4

904.2

821.2

    Special Reserve

1,058.8

815.0

887.0

864.5

1,022.1

    Retained Earnings

1,342.1

1,927.8

2,319.9

1,486.3

926.0

    Cumulative Translation Adjustment

21.6

87.0

1.7

105.8

127.3

    Unrealized Gain on Financial Products

1,458.7

1,490.3

2,105.9

1,364.1

455.5

    Unrealized Gain on FA Revaluation

6.2

6.0

6.2

5.6

5.5

Total Equity

7,811.3

7,967.7

8,946.3

7,044.9

5,491.0

 

 

 

 

 

 

Total Liabilities & Shareholders' Equity

12,410.4

11,515.3

12,186.2

10,353.2

8,970.8

 

 

 

 

 

 

    S/O-Common Stock

6,120.9

6,120.9

6,120.9

6,120.9

6,120.9

Total Common Shares Outstanding

6,120.9

6,120.9

6,120.9

6,120.9

6,120.9

T/S-Common Stock

0.0

0.0

0.0

0.0

0.0

Full-Time Employees

6,784

5,925

5,570

5,519

5,562

Shareholdere Number

-

-

239,663

289,185

302,952

LT Borrowing within 1 Year

49.3

34.2

51.4

92.1

-

LT Borrowing within 2 Years

430.2

770.5

35.5

296.9

-

LT Borrowing within 3 Years

172.0

184.3

488.1

282.5

-

LT Borrowing within 4 Years

0.0

9.6

19.9

22.8

-

LT Borrowing within 5 Years

13.8

-

9.9

18.1

-

LT Borrowing in Remaining Years

-

-

-

9.1

-

Total Long Term Debt, Supplemental

665.2

998.5

604.8

721.5

-

Accumulated Benefit Obligation

254.5

238.9

232.4

191.6

189.1

Benefit Obligation

319.5

303.3

304.7

254.5

254.1

Fair Value of Plan Assets

9.1

9.3

8.1

7.4

8.6

Funded Status

-310.4

-294.0

-296.6

-247.1

-245.5

Total Funded Status

-310.4

-294.0

-296.6

-247.1

-245.5

Discount Rate

2.00%

2.00%

3.00%

3.00%

3.00%

Rate of Compensation Increase

2.50%

2.50%

3.00%

3.00%

3.00%

Expected Rate of Return on Plan Assets

2.00%

2.00%

3.00%

3.00%

3.00%

Accrued Pension Liabilities

-273.2

-251.4

-252.6

-216.0

-194.6

Net Assets Recognized on Balance Sheet

-273.2

-251.4

-252.6

-216.0

-194.6

 




 

Annual Cash Flows

Financials in: USD (mil)

 

 

 

 

 

31-Dec-2012

31-Dec-2011

31-Dec-2010

31-Dec-2009

31-Dec-2008

Period Length

12 Months

12 Months

12 Months

12 Months

12 Months

UpdateType/Date

Updated Normal
31-Dec-2012

Reclassified Normal
31-Dec-2012

Updated Normal
31-Dec-2010

Reclassified Normal
31-Dec-2010

Reclassified Normal
31-Dec-2009

Filed Currency

TWD

TWD

TWD

TWD

TWD

Exchange Rate (Period Average)

29.57962

29.39004

31.497037

33.023867

31.543497

Auditor

KPMG LLP

KPMG LLP

KPMG LLP

KPMG Peat Marwick LLP

KPMG LLP

Auditor Opinion

Unqualified with Explanation

Unqualified with Explanation

Unqualified with Explanation

Unqualified with Explanation

Unqualified with Explanation

 

 

 

 

 

 

Net Income

495.7

1,215.5

1,446.1

833.7

624.8

    Depreciation

300.4

378.9

350.8

364.8

354.7

    Amortization

27.9

34.7

30.7

28.4

22.5

    Unrealized Loss on Foreign Exchange

-0.1

0.4

6.0

0.4

-5.7

    Provision for Doubtful Accounts

0.0

-7.7

0.3

2.1

-

    Amortization of Corporate Bonds Payable

0.7

0.6

0.5

0.4

0.2

    Inventory Devaluation & Obsolescence

23.8

-4.9

-3.4

-63.2

-

    Equity Investment Gain/Loss

-264.0

-361.1

-579.6

-472.8

-172.4

    Cash Dividends from Equity Subsidiaries

200.2

435.0

404.7

120.9

650.6

    Gain/Loss on Disposal of Properties

-0.5

-0.2

-6.9

3.4

-1.6

    Other Expenses-Construction in Progress

0.0

0.1

0.0

0.1

0.0

    GL on Disposal of Idle & Rental Assets

0.0

-5.0

-1.4

0.0

-

    Disposal of Other Assets-Land

-

-

0.0

-1.2

0.0

    Gain/Loss on Disposal of Land Use Right

-0.3

0.0

-0.4

0.0

-

    G/L on Sale of Investments

-

-

0.0

-4.6

-4.2

    Impairment on Financial Assets

0.0

76.6

0.0

0.2

-

    Amort. of Provisions

-

-

-

-

74.4

    Deferred Tax

31.3

90.0

103.9

42.2

-89.4

    Impairment-Fin. Assets for Sale

-

-

-

-

0.0

    Impairment-Fin. Assets-Cost

-

-

-

-

0.0

    Gain on Sale of Fin. Asset-Held for Sale

-34.3

-

-

-

-

    Deferred Directors Renumeration Transfer

-0.2

-0.4

-0.4

-1.8

-0.1

    Fin. A ssets&Liabilities at Fair Value

0.1

-1.1

2.6

2.1

2.1

    Accounts & Notes Receivable

-

-

-

-

212.2

    Notes Receivable

-4.2

4.2

-15.1

2.3

-

    Accounts Receivable

15.7

38.4

-46.4

-65.5

-

    Accounts Receivable-Related Parties

-10.3

-9.0

17.3

-79.4

-

    Other Receivables

-3.3

-3.8

-3.1

-9.6

17.2

    Other Receivables-Related Parties

-30.3

0.4

1.5

-0.1

-

    Inventories

42.3

-177.3

-61.4

107.3

-124.6

    Prepayment&Other Current Assets

0.6

-34.1

-21.7

45.9

-8.9

    Other Assets

-

-

-15.5

-6.0

-18.5

    Accounts Payable

14.0

13.4

-3.3

18.3

-277.4

    Accounts Payable,Related Parties

44.1

-112.0

33.2

198.7

-

    Accrued Expenses

-10.5

5.4

18.9

14.3

-17.7

    Other Payables

-41.4

-34.5

46.3

1.4

-

    Other Payables,Related Parties

1.6

-1.5

-2.5

-0.6

-

    Other Current Liabilities

10.1

-13.6

12.7

-1.5

-

    Other Payable & Current Liabilities

-

-

-

-

2.4

    Accrued Pension Liabilities

10.6

8.4

14.5

15.8

16.8

    Deferred Credits

0.0

1.4

-

-

-

Cash from Operating Activities

819.5

1,537.3

1,728.9

1,096.5

1,257.5

 

 

 

 

 

 

    Purchase of Financial Assets for Sale

-76.1

-204.2

-14.2

-23.1

0.0

    Fin. Assets at Cost Net

-

-

0.0

-57.5

5.6

    Sale of LT Equity Investment

-

-

0.0

1.6

0.0

    Disposal of Fixed Assets

1.0

0.5

7.1

2.1

2.1

    Disposal of Idle Assets&Leased Assets

0.0

5.9

3.1

0.0

-

    Sale of Other Assets-Land

-

-

0.0

1.2

0.0

    Capital Expenditure

-278.5

-123.3

-81.2

-98.2

-250.7

    Proceeds from Disposal of Non-current As

40.3

0.0

-

-

-

    LT/Equity Investment Increase

-141.5

-108.1

-62.1

-2.8

-13.9

    Security Deposit Paid

0.2

0.0

0.6

-0.3

0.3

    Deferred Charges

-5.3

-25.0

-13.0

-5.8

-19.4

    Sale of Deferred Charges

-

-

-

0.0

0.0

    Technology Increase

-4.1

-1.9

0.0

-0.7

0.0

    Sale of Land Use Right

4.8

-

-

-

0.6

    Due from Related Parties

-97.3

-367.3

-106.0

7.2

7.8

    Cap.Reduction of Fin. Assets-Cost Method

-

-

0.0

3.1

0.0

    Cap. Return of Fin. Assets-Cost Method

-

-

0.0

1.9

0.0

    Land Use Right Inc.

-2.0

0.0

-

-

-

    Other Assets

-176.4

-9.0

-

-

-

Cash from Investing Activities

-734.8

-832.2

-265.7

-171.4

-267.4

 

 

 

 

 

 

    ST & Employee Borrowing, Net

-

-

-

-

-129.5

    Short Term Borrowings

440.5

32.4

-90.6

23.4

-

    Employee Borrowings

0.5

1.6

0.6

-59.6

-

    ST Notes, Net

277.2

-

0.0

-109.0

114.1

    Issuance of Corporate Bonds

708.1

339.3

190.0

181.2

-

    Repayment of Corporate Bonds

-202.8

-170.1

-254.0

-269.5

-

    Long Term Borrowings

426.0

1,031.0

174.6

15.1

-

    Repayment of LT Borrowings

-831.0

-712.7

-507.4

-311.4

-

    Long Term Borrowings&Coporate Bonds

-

-

-

-

655.5

    Repay. of LT Borrowings&Corporate Bonds

-

-

-

-

-305.9

    Cash Dividend

-826.8

-1,414.6

-786.2

-302.6

-1,214.4

    Directors Remuneration&Employees Bonus

-

-

-

-

-5.2

    Other Liabilities

0.6

1.7

0.4

0.2

1.1

    Accounts Payables-Related Parties

5.7

9.8

-45.2

23.9

-21.3

Cash from Financing Activities

-2.0

-881.6

-1,317.8

-808.1

-905.7

 

 

 

 

 

 

Foreign Exchange Effects

-4.6

3.6

7.0

6.4

-45.4

Net Change in Cash

78.1

-172.9

152.4

123.4

39.0

 

 

 

 

 

 

Net Cash - Beginning Balance

266.9

441.5

259.5

124.2

91.0

Net Cash - Ending Balance

345.0

268.6

412.0

247.5

130.0

    Cash Interest Paid

46.9

45.1

42.5

64.4

63.8

    Cash Taxes Paid

73.6

118.4

48.2

21.2

34.2

 

 

Financial Health

 

Financials in: USD (mil)

 

Except for share items (millions) and per share items (actual units)

 

 

Key Indicators USD (mil)

 

Quarter
Ending
31-Dec-2012

Quarter
Ending
Yr Ago

Annual
Year End
31-Dec-2012

1 Year
Growth

3 Year
Growth

5 Year
Growth

Total Revenue1

1,684.8

3.65%

6,655.9

-9.29%

3.02%

0.34%

Research & Development1

7.4

30.94%

31.5

-17.22%

8.39%

2.96%

Operating Income1

27.7

-

180.0

-77.00%

-27.11%

-22.44%

Income Available to Common Excl Extraord Items1

99.3

251.46%

495.7

-58.96%

-18.94%

-21.05%

Basic EPS Excl Extraord Items1

0.02

251.41%

0.08

-58.96%

-18.94%

-21.05%

Capital Expenditures2

284.6

128.86%

282.6

127.27%

36.76%

-12.18%

Cash from Operating Activities2

819.5

-46.35%

819.5

-46.35%

-12.52%

-11.22%

Free Cash Flow

545.4

-61.88%

547.4

-61.73%

-21.59%

-10.69%

Total Assets3

12,410.4

3.26%

12,410.4

3.26%

2.83%

-0.14%

Total Liabilities3

4,599.1

24.21%

4,599.1

24.21%

8.04%

3.32%

Total Long Term Debt3

2,022.5

2.29%

2,022.5

2.29%

5.55%

1.73%

Employees3

-

-

6784

14.50%

7.12%

4.43%

Total Common Shares Outstanding3

6,120.9

0.00%

6,120.9

0.00%

0.00%

0.00%

1-ExchangeRate: TWD to USD Average for Period

29.153628

 

29.579620

 

 

 

2-ExchangeRate: TWD to USD Average for Period

29.579620

 

29.579620

 

 

 

3-ExchangeRate: TWD to USD Period End Date

29.011999

 

29.011999

 

 

 

Utility Industry Specific USD (mil)

 

31-Dec-2012

31-Dec-2011

31-Dec-2010

31-Dec-2009

31-Dec-2008

 

Deferred Charges3

30.8

40.6

32.1

29.1

33.3

 

3-ExchangeRate: TWD to USD Period End Date

29.011999

30.279000

29.156500

31.985000

32.818000

 

Key Ratios

 

31-Dec-2012

31-Dec-2011

31-Dec-2010

31-Dec-2009

31-Dec-2008

Profitability

Gross Margin

7.78%

16.33%

18.19%

12.68%

7.04%

Operating Margin

2.70%

10.66%

13.83%

7.63%

2.43%

Pretax Margin

8.54%

18.86%

22.90%

16.46%

9.06%

Net Profit Margin

7.45%

16.46%

20.21%

15.29%

9.85%

Financial Strength

Current Ratio

2.19

3.50

3.30

2.27

1.70

Long Term Debt/Equity

0.26

0.24

0.16

0.22

0.34

Total Debt/Equity

0.44

0.31

0.23

0.33

0.51

Management Effectiveness

Return on Assets

4.14%

10.15%

13.27%

8.80%

6.00%

Return on Equity

6.27%

14.23%

18.74%

13.58%

9.18%

Efficiency

Receivables Turnover

4.77

6.33

8.37

8.12

8.53

Inventory Turnover

8.26

9.01

11.39

10.05

10.06

Asset Turnover

0.56

0.62

0.66

0.58

0.61

Market Valuation USD (mil)

P/E (TTM)

30.01

.

Enterprise Value2

16,217.6

Price/Sales (TTM)

2.24

.

Enterprise Value/Revenue (TTM)

2.39

Price/Book (MRQ)

1.94

.

Enterprise Value/EBITDA (TTM)

31.30

Market Cap as of 29-Mar-20131

14,714.7

.

 

 

1-ExchangeRate: TWD to USD on 29-Mar-2013

29.908335

 

 

 

2-ExchangeRate: TWD to USD on 31-Dec-2012

29.011999

 

 

 

 

 

Annual Ratios

 

Financials in: USD (mil)

 

Except for share items (millions) and per share items (actual units)

 

 

 

 

 

 

 

31-Dec-2012

31-Dec-2011

31-Dec-2010

31-Dec-2009

31-Dec-2008

Financial Strength

Current Ratio 

2.19

3.50

3.30

2.27

1.70

Quick/Acid Test Ratio 

1.79

2.80

2.79

1.89

1.26

Working Capital1 

2,565.6

3,220.0

3,360.2

1,938.0

991.4

Long Term Debt/Equity 

0.26

0.24

0.16

0.22

0.34

Total Debt/Equity 

0.44

0.31

0.23

0.33

0.51

Long Term Debt/Total Capital 

0.18

0.18

0.13

0.17

0.23

Total Debt/Total Capital 

0.30

0.24

0.19

0.25

0.34

Payout Ratio 

50.09%

68.53%

91.38%

88.92%

52.24%

Effective Tax Rate 

12.77%

12.74%

11.75%

7.10%

-8.67%

Total Capital1 

11,226.0

10,439.6

10,987.6

9,389.5

8,310.8

 

 

 

 

 

 

Efficiency

Asset Turnover 

0.56

0.62

0.66

0.58

0.61

Inventory Turnover 

8.26

9.01

11.39

10.05

10.06

Days In Inventory 

44.21

40.50

32.04

36.33

36.29

Receivables Turnover 

4.77

6.33

8.37

8.12

8.53

Days Receivables Outstanding 

76.53

57.66

43.60

44.97

42.82

Revenue/Employee2 

1,000,313

1,209,774

1,387,425

1,020,109

1,096,661

Operating Income/Employee2 

27,046

129,014

191,882

77,883

26,616

EBITDA/Employee2 

76,385

196,770

265,856

151,454

91,806

 

 

 

 

 

 

Profitability

Gross Margin 

7.78%

16.33%

18.19%

12.68%

7.04%

Operating Margin 

2.70%

10.66%

13.83%

7.63%

2.43%

EBITDA Margin 

7.64%

16.27%

19.16%

14.85%

8.37%

EBIT Margin 

2.70%

10.66%

13.83%

7.63%

2.43%

Pretax Margin 

8.54%

18.86%

22.90%

16.46%

9.06%

Net Profit Margin 

7.45%

16.46%

20.21%

15.29%

9.85%

R&D Expense/Revenue 

0.47%

0.52%

0.36%

0.41%

0.46%

COGS/Revenue 

92.22%

83.67%

81.81%

87.32%

92.96%

SG&A Expense/Revenue 

4.60%

4.11%

4.00%

4.64%

4.15%

 

 

 

 

 

 

Management Effectiveness

Return on Assets 

4.14%

10.15%

13.27%

8.80%

6.00%

Return on Equity 

6.27%

14.23%

18.74%

13.58%

9.18%

 

 

 

 

 

 

Valuation

Free Cash Flow/Share2 

0.09

0.22

0.29

0.17

0.16

Operating Cash Flow/Share 2 

0.14

0.24

0.31

0.18

0.20

1-ExchangeRate: TWD to USD Period End Date

29.011999

30.279

29.1565

31.985

32.818

2-ExchangeRate: TWD to USD Average for Period

29.011999

30.279

29.1565

31.985

32.818

 

Current Market Multiples

Market Cap/Earnings (TTM) 

30.01

Market Cap/Equity (MRQ) 

1.94

Market Cap/Revenue (TTM) 

2.24

Market Cap/EBIT (TTM) 

82.68

Market Cap/EBITDA (TTM) 

29.27

Enterprise Value/Earnings (TTM) 

32.09

Enterprise Value/Equity (MRQ) 

2.08

Enterprise Value/Revenue (TTM) 

2.39

Enterprise Value/EBIT (TTM) 

88.39

Enterprise Value/EBITDA (TTM) 

31.30

 

 

 

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.59.68

UK Pound

1

Rs.91.66

Euro

1

Rs.78.68

 

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%)

 

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.