|
Report Date : |
10.06.2013 |
IDENTIFICATION DETAILS
|
Name : |
DAEWON CHEMICAL CO., LTD. |
|
|
|
|
Registered Office : |
278-19, Nonhyeon 2-dong, Gangnam-gu, Seoul, Korea 13th Fl., Gungdo
Bldg. 135-833 |
|
|
|
|
Country : |
South Korea |
|
|
|
|
Financials (as on) : |
31.03.2013 |
|
|
|
|
Date of Incorporation : |
23.05.1974 |
|
|
|
|
Com. Reg. No.: |
204-81-36263 |
|
|
|
|
Legal Form : |
Listed Company |
|
|
|
|
Line of Business : |
Manufacture of Plastics Synthetic Leather |
|
|
|
|
No. of Employees : |
222 |
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) |
|
South Korea |
A1 |
A1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
SOUTH KOREA - ECONOMIC OVERVIEW
South Korea over the past four decades has demonstrated
incredible growth and global integration to become a high-tech industrialized
economy. In the 1960s, GDP per capita was comparable with levels in the poorer
countries of Africa and Asia. In 2004, South Korea joined the trillion dollar
club of world economies, and is currently the world''s 12th largest economy.
Initially, a system of close government and business ties, including directed
credit and import restrictions, made this success possible. The government
promoted the import of raw materials and technology at the expense of consumer
goods, and encouraged savings and investment over consumption. The Asian
financial crisis of 1997-98 exposed longstanding weaknesses in South Korea''s
development model including high debt/equity ratios and massive short-term
foreign borrowing. GDP plunged by 6.9% in 1998, and then recovered by 9% in
1999-2000. Korea adopted numerous economic reforms following the crisis,
including greater openness to foreign investment and imports. Growth moderated
to about 4% annually between 2003 and 2007. Korea''s export focused economy was
hit hard by the 2008 global economic downturn, but quickly rebounded in
subsequent years, reaching 6.3% growth in 2010. The US-South Korea Free Trade
Agreement was ratified by both governments in 2011 and went into effect in
March 2012. Throughout 2012 the economy experienced sluggish growth because of
market slowdowns in the United States, China, and the Eurozone. The incoming
administration in 2013, following the December 2012 presidential election, is
likely to face the challenges of balancing heavy reliance on exports with
developing domestic-oriented sectors, such as services. The South Korean
economy''s long term challenges include a rapidly aging population, inflexible
labor market, and heavy reliance on exports - which comprise half of GDP.
|
Source
: CIA |
Basic
|
Company Name |
DAEWON CHEMICAL CO., LTD. |
|
Registered Address |
278-19, Nonhyeon 2-dong, Gangnam-gu, Seoul, Korea |
|
Building |
13th Fl., Gungdo Bldg. |
|
Zip Code |
135-833 |
|
Tel |
+82-31-372-3992 |
|
Fax |
+82-31-372-3995 |
|
E-mail |
howard.kwon@daewon21.co.kr;sspark@didwallpaper.com |
|
Website |
www.daewon21.co.kr |
|
Trading Address-Osan Factory |
496, Yoisammi-Dong, Osan-si, Gyeonggi-do, Korea |
|
Tel |
+82-31-372-3992 |
|
Fax |
+82-31-372-3995 |
|
Other Address-Busan Office |
260-34, An-dong ,Gimhae-si, Gyeongsangnam-do, Korea |
|
Tel |
+82-55-332-8777 |
|
Fax |
+82-55-331-3328 |
|
Type |
Export/Import |
|
Industry |
Manufacture of Plastics Synthetic Leather |
|
Main Business |
Polyurethane Synthetic Leather, Wallpaper, DMF Refinery |
|
Sub
Business |
Manufacture of Wallpaper and Oilpaper |
|
Established (mm/dd/yyyy) |
05/23/1974 |
The Subject owns the premises of registered
Onsan factory(45,023㎡).
|
Activity |
Detailed Products (UNSPSC) |
|
Sell |
Wallpapers(30161502) |
|
Sell |
Synthetic or imitation leather(11162307) |
|
Name |
Kang Dong-Yeop |
|
Address |
|
|
Date of Birth |
03/01/1969 |
|
Title |
President & CEO |
|
Sex |
Male |
|
Nationality |
Korean |
|
Capital (KRW) |
13,726,350,000 |
|||||||||||||||||||||
|
Employees |
222 |
|||||||||||||||||||||
|
Formation |
Listed Company (Korea Stock Exchange: 024890)
as of 10/28/1997 |
|||||||||||||||||||||
|
Bank Details |
Woori bank-HQ Sales 2 Dept. Korea Development Bank Shinhan Bank |
|||||||||||||||||||||
|
Corporate Registered No. |
110111-0165393 |
|||||||||||||||||||||
|
Business Registered No. |
204-81-36263 |
|||||||||||||||||||||
|
Permit & Licenses |
03/03/1998 ISO 9001 04/17/2001 ISO 14001 08/02/2006 ISO/TS 16949:2002 AWARD 1990/03 - Won Official Commendation For A
Exemplary Taxpayer-The Minister of Finance 1994/03 - Won Official Commendation For A
Exemplary Taxpayer-The Minister of Finance 1998/12 - Received An Award For Protection
of Environment-The Governor of Kyounggi Province 1999/12 - Received The Second Prize, The
Peace of Industrial Service Merit -The Governor of Kyounggi Province Int’l Trade No.: 524287 |
|||||||||||||||||||||
|
Shareholder Position |
|
|||||||||||||||||||||
|
Company History |
05/23/1974 - Established as DAEWON Chemical Industrial Company 08/06/1974 Changed company name to the present name 05/1977 - Completed Osan factory and began operation 1983 - Developed "ULTRA-PORE", breathable water proof coated
fabric 1987 - Entered into technical cooperation with Toyo Polymer of Japan 1989 - Installed wet process line from Italy and finishing facilities 1991- Developed artificial leather for high quality athletic footwear,
began supplying to Nike, Adidas and other brands 12/1994 - Completed automated warehouse at Osan factory 09/1995 - Established R&D Center in Osan factory 10/1997 - Listed on Korea Stock Exchange. 03/1998 - Acquired ISO 9001. (The first certification in the Synthetic
leather & wallpaper industry in Korea) 12/1998 - Established Guangzhou Sales branch Office 04/2001 - Acquired ISO 14000 08/08/2001 Moved to the present HQ address from 823, Yeoksam-dong
,Gangnam-gu, Seoul, Korea 01/2002 - President Dong-Yeop, Kang took office as CEO 11/2002 - Developed “High-Lock”, began supplying to Hynudai Motor
Company 12/2003 - Acquired ISO 14001. (The first certification in the
Synthetic leather & wallpaper industry in Korea) 08/2006 - Acquired ISO/TS 16949:2002 06/12/2007 Participated and Invested in Lucky ship Project in Canada |
Management
|
Job Description |
Title |
Name |
Sex |
Date of Birth |
Education |
|
President & CEO |
Mr. |
Kang Dong-Yeop |
Korean |
1969.03.01 |
Yonsei University, Korea |
|
Director |
Mr. |
Kang Soo-Chang |
Korean |
1943.01.16 |
Yonsei University, Korea |
|
Director |
Mr. |
Park Dong-Hyuck |
Korean |
1942.10.12 |
Yonsei University, Korea |
|
Auditor |
Mr. |
Hur Hoon-Jong |
Korean |
1955.02.20 |
Daegu Commercial High, Korea |
|
Outside Director |
Mr. |
Ju Young-Eun |
Korean |
1941.08.24 |
Yonsei University, Korea |
|
Outside Director |
Mr. |
Kim Seung-Hern |
Korean |
1943.04.13 |
Korea University, Korea |
Financials
|
Year / Unit : KRW |
Sales |
Assets |
Net Income |
|
26,258,119,293 |
110,119,420,985 |
38,052,650 |
|
|
(*)2012 |
117,040,163,370 |
106,152,833,364 |
-1,648,794,572 |
|
(*)2011 |
115,754,238,035 |
102,432,491,732 |
-11,171,783,648 |
|
(*)2010 |
108,692,038,782 |
112,131,012,802 |
-4,842,894,143 |
|
2009 |
91,582,201,328 |
107,080,255,699 |
-3,026,564,454 |
|
2008 |
92,952,226,930 |
106,919,829,244 |
-7,818,416,065 |
(*)Figures are
based on the K-IFRS Accounting System.
|
Authorized Capital(KRW) |
50,000,000,000 |
|
Paid-Up Capital(KRW) |
13,726,350,000 |
|
Total Issued Shares |
2,745,270 |
|
Balance Sheet |
|||
|
Unit : Korean Won |
01/01/2013~03/31/2013 |
As of 12/31/2012 |
As of 12/31/2011 |
|
Total Assets |
110,119,420,985 |
106,152,833,364 |
102,432,491,732 |
|
Current Assets |
49,350,934,739 |
45,464,450,723 |
43,042,666,970 |
|
Cash & Cash Equivalents |
713,398,825 |
1,423,019,953 |
1,100,785,921 |
|
Trade Receivables |
32,113,713,903 |
28,402,315,561 |
26,985,478,285 |
|
Other Receivables |
633,053,126 |
355,495,323 |
695,120,616 |
|
Other Current Financial
Instruments |
1,231,195,000 |
1,317,195,000 |
1,037,245,000 |
|
Inventories |
14,174,565,092 |
13,830,467,320 |
13,103,942,413 |
|
Income Taxes |
7,528,577 |
6,294,917 |
4,585,110 |
|
Other Current Assets |
477,480,216 |
129,662,649 |
115,509,625 |
|
Non-Current Assets |
60,768,486,246 |
60,688,382,641 |
59,389,824,762 |
|
Non-Current Receivables |
7,083,146,664 |
6,821,836,664 |
9,669,056,824 |
|
Non-Current Financial Instruments |
292,615,000 |
253,410,000 |
142,475,000 |
|
Investment_Subsidiaries |
5,431,500,000 |
5,431,500,000 |
- |
|
Investment_Related Companies |
665,007,764 |
665,007,764 |
687,729,224 |
|
Tangibles |
45,353,551,683 |
45,462,364,135 |
48,819,925,792 |
|
Intangibles |
1,900,014,655 |
2,011,613,598 |
15,714,432 |
|
Other Non-Current Assets |
42,650,480 |
42,650,480 |
54,923,490 |
|
Total Liabilities |
71,013,981,547 |
67,082,523,980 |
62,298,836,328 |
|
Current Liabilities |
57,052,075,472 |
50,097,711,454 |
51,020,810,688 |
|
Trade Payables |
11,202,668,710 |
12,185,076,692 |
12,544,695,149 |
|
Other Current Payables |
2,379,407,713 |
2,865,799,409 |
3,101,798,710 |
|
Short-Term Borrowings |
43,098,686,256 |
34,740,366,310 |
35,210,961,893 |
|
Other Current Liabilities |
371,312,793 |
306,469,043 |
163,354,936 |
|
Non-Current Liabilities |
13,961,906,075 |
16,984,812,526 |
11,278,025,640 |
|
Long-Term Borrowings |
1,749,993,000 |
4,999,992,000 |
6,085,000,000 |
|
Provision for Severance &
Retirement |
1,818,180,180 |
1,704,312,996 |
1,506,579,928 |
|
Provisions |
18,913,384 |
18,913,384 |
24,422,951 |
|
Deferred Income Tax Credit |
3,672,332,918 |
3,667,388,680 |
3,662,022,761 |
|
Bond With Warrant |
6,702,486,593 |
6,594,205,466 |
|
|
Capital Stock |
15,564,773,500 |
15,564,773,500 |
15,564,773,500 |
|
Capital Surplus |
16,523,820,841 |
16,523,820,841 |
16,115,140,101 |
|
Others |
-3,528,313,700 |
-3,528,313,700 |
-3,528,313,700 |
|
Profit Surplus |
10,545,158,797 |
10,510,028,743 |
11,982,055,503 |
|
Total Equity |
39,105,439,438 |
39,070,309,384 |
40,133,655,404 |
|
Liab. & Shareholder’s Equity |
110,119,420,985 |
106,152,833,364 |
102,432,491,732 |
|
Income Statement |
|||
|
Unit : Korean Won |
01/01/2013~03/31/2013 |
As of 12/31/2012 |
As of 12/31/2011 |
|
Sales |
26,258,119,293 |
117,040,163,370 |
115,754,238,035 |
|
Cost of Sold Goods |
23,108,138,529 |
103,281,937,041 |
104,519,641,895 |
|
Gross Profit |
3,149,980,764 |
13,758,226,329 |
11,234,596,140 |
|
Selling & Admin. Expenses |
2,277,736,607 |
10,901,241,625 |
12,112,916,099 |
|
Operating Income |
872,244,157 |
2,856,984,704 |
-878,319,959 |
|
Other Operating Income |
820,918,662 |
2,537,569,447 |
3,342,993,096 |
|
Other Operating Expenses |
877,841,939 |
4,087,709,439 |
3,345,438,245 |
|
Finance Income |
117,081,769 |
583,809,650 |
972,914,375 |
|
Finance Expenses |
888,581,439 |
3,676,488,070 |
2,979,443,620 |
|
Profits from Related Companies |
0 |
22,721,460 |
-8,594,755,982 |
|
Income Before Taxes |
43,821,210 |
-1,808,555,168 |
-11,482,050,335 |
|
Income Taxes Expenses |
5,768,560 |
-159,760,596 |
-310,266,687 |
|
Net Income |
38,052,650 |
-1,648,794,572 |
-11,171,783,648 |
|
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 |
-5,223,079,662 |
-1,472,210,723 |
-157,745,332 |
|
Net Income |
38,052,650 |
-1,648,794,572 |
-11,171,783,648 |
|
Adjustment |
1,530,890,109 |
5,870,863,954 |
12,258,663,653 |
|
Changes in Asset/ & Liability |
-6,130,849,026 |
-2,736,660,309 |
1,129,510,567 |
|
Interests Received |
108,804,503 |
581,572,549 |
590,700,580 |
|
Interests Paid |
-768,744,238 |
-3,537,482,538 |
-2,998,641,504 |
|
Income Taxes |
-1,233,660 |
-1,709,807 |
33,805,020 |
|
Cash Flows from Investing |
-299,853,856 |
-4,110,521,161 |
-4,003,733,542 |
|
Cash Flows from Financing |
4,812,300,946 |
5,908,334,417 |
2,434,128,928 |
|
Increase/Decrease in Cash |
709,621,128 |
322,234,032 |
-1,727,203,762 |
|
Cash at the Beginning of Year |
1,423,019,953 |
1,100,785,921 |
2,827,989,683 |
|
Cash at the End of Year |
713,398,825 |
1,423,019,953 |
1,100,785,921 |
|
Main Products & Services |
The Subject Company is a PU synthetic
leather supplier of its wet type PU items for shoes & balls such as for NIKE,
ADDIDAS, WILSON, SPALDING and so on, and also wallpaper. - Synthetic Leather - Wallpaper - Solvent(D.M.F) Refining Brand Name: Art-Lite, Ace-Buck, High-Lock,
Encarta, Unio, D&D, 4U |
|
Detailed Products Spec. |
|
|
Technologies Acquired |
|
|
Suppliers |
|
|
Customers |
NIKE, ADIDAS, REEBOK, WILSON, SPALDING DID CO., LTD. YUE YUEN FOOTWEAR CO., LTD KOLON INDUSTRIES INC (110111-0030528) |
|
Competitors |
-SYNTHETIC LEATHER DCKSUNG CO.,LTD (134111-0000096) BAIKSAN CO.,LTD (114711-0003729) DAEWOO INTERNATIONAL CORPORATION
(110111-2137358) KOLON INDUSTRIES INC (110111-0030528) -SOLVENT(D.M.F) REFINING HANONE FINE CHEMICAL CO.,LTD
(110111-0515712 ) KOLON INDUSTRIES INC (110111-0030528) - WALLPAPER DAE DONG WALL PAPER CO.,
LTD(180111-0024975) LG CHEM LTD (110111-2207995) SEOULWALLPAPER CO., LTD(115411-0002742) GAENARI INC(110111-2529373) |
|
Affiliates |
DID CO., LTD.(KOREA) PHARM CLEAN ENERGY CO., LTD.(KOREA) (24.28% held by
the subject company) CELTRION CO., LTD. (0.2% held by the subject company) |
|
Overseas Office |
CHINA BRANCH #1217 SOUTH TOWER, GUANZHOU WORLD TRADE
CENTER COMPLEX, HUANSHI DONG-LU, GUANZHOU, P.R.C TEL : +86-20-8760-9609 FAX : +86-20-8760-9615 E-MAIL : DAEWONGZ@GDVNET.COM TAIWAN BRANCH 11F-8, NO.77, SHIZHENG N. 1ST ROAD,
TAICHUNG CITY 407, TAIWAN R.O.C. TEL : +886-4-2251-3490 / FAX :
+886-4-2251-4039 E-MAIL : TED.GOO@DAEWON21.CO.KR |
|
Joint Venture |
YOUNGPA WONRYUNG WALLPAPER CO., LTD.(CHINA) (40.0% held by the subject company) |
|
Subsidiary |
DAEWON CHEMICAL.VINA.CO., LTD. (100.0% held by the subject company) DAEWON INTERNATIONAL AMERICA CORP. (100.0% held by the subject company) DAEWON SHANGHAI CO., LTD.(CHINA) (100.0% held by the subject company) |
|
Sales/ Unit :Mil KRW |
03/2013 |
2012 |
2011 |
|
Export |
|
|
|
|
Domestic |
|
|
|
|
Total |
|
|
|
The Subject exports to China, Taiwan and USA.
Not Available
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.56.74 |
|
|
1 |
Rs.88.53 |
|
Euro |
1 |
Rs.75.20 |
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.