MIRA INFORM REPORT

 

 

Report Date :

12.03.2013

 

IDENTIFICATION DETAILS

 

Name :

WACKER CHEMICALS KOREA, INC.

 

 

Registered Office :

203-1, Seongam-dong, Nam-gu, Ulsan

 

 

Country :

South Korea

 

 

Financials (as on) :

31.12.2011

 

 

Date of Incorporation :

15.05.1992

 

 

Com. Reg. No.:

110111-0857841

 

 

Legal Form :

Co., Ltd by shares

 

 

Line of Business :

Manufacture of Synthetic Resin and Other Plastic Materials

 

 

No. of Employees :

126

 

 

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 – June 30th, 2012

 

Country Name

Previous Rating

(31.03.2012)

Current Rating

(30.06.2012)

South Korea

A1

A1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

South Korea - ECONOMIC OVERVIEW

 

South Korea over the past four decades has demonstrated incredible growth and global integration to become a high-tech industrialized economy. In the 1960s, GDP per capita was comparable with levels in the poorer countries of Africa and Asia. In 2004, South Korea joined the trillion dollar club of world economies, and currently is among the world's 20 largest economies. Initially, a system of close government and business ties, including directed credit and import restrictions, made this success possible. The government promoted the import of raw materials and technology at the expense of consumer goods, and encouraged savings and investment over consumption. The Asian financial crisis of 1997-98 exposed longstanding weaknesses in South Korea''s development model including high debt/equity ratios and massive short-term foreign borrowing. GDP plunged by 6.9% in 1998, and then recovered by 9% in 1999-2000. Korea adopted numerous economic reforms following the crisis, including greater openness to foreign investment and imports. Growth moderated to about 4% annually between 2003 and 2007. With the global economic downturn in late 2008, South Korean GDP growth slowed to 0.3% in 2009. In the third quarter of 2009, the economy began to recover, in large part due to export growth, low interest rates, and an expansionary fiscal policy, and growth was 3.6% in 2011. In 2011, the US-South Korea Free Trade Agreement was ratified by both governments and is projected to go into effect in early 2012. The South Korean economy''s long term challenges include a rapidly aging population, inflexible labor market, and heavy reliance on exports - which comprise half of GDP.

 

Source : CIA

 


Basic

 

Company Name

WACKER CHEMICALS KOREA, INC.

(Korean Company Name : “()바커케미칼코리아)

Registered Address

203-1, Seongam-dong, Nam-gu, Ulsan, Korea

Zip Code

680-140

Tel

+82-52-930-8400

Fax

+82-52-930-8484

E-mail

jykim@wacker.com

Website

www.wacker.com

Trading Address

3FL., S-Dong, 231, Pangyoyeok-ro, Bundang-gu, Seongnam-si, Gyeonggi-do, Korea

Tel

+82-2-6710-1200

Fax

+82-2-6710-1203

Type

Export/Import

Industry

Manufacture of Synthetic Resin and Other Plastic Materials

  Main Business

VAE(Vinyl Acetate Ethylene), Cylinder Gases, Specialty Gases, Liquid & Bulk Gases, Vinyl Acetate Ethylene Emulsion, PVAc  Emulsion, EVCL Emulsion

Established (mm/dd/yyyy)

05/15/1992

The Subject owns the premises of registered HQ address.

 

 

Detailed Products

 

Activity

Detailed Products (UNSPSC)

Sell

Emulsions(12161804)

Sell

Chemical adhesives(31201601)

Buy

Polyvinyl alcohol(13111042)

Buy

Ethylene(15111504)

Buy

Ethylene vinyl acetate resin(13111008)

 

 

CEO’s

 

Name

Cho Han-Hyung

Address

Rm.102-201, 320, Siheung-dong, Sujeong-gu, Seongnam-si, Gyeonggi-do, Korea

Date of Birth

08/19/1949

Title

President & CEO

Sex

Male

Nationality

Korean

 

 


Profiles

 

Capital (KRW)

16,000,000,000

Employees

126

Formation

Co., Ltd by shares

Foreign Direct Investment Corporation

Bank Details

The Hongkong and Shanghai Banking Corporation Limited(HSBC)-Sinsa Dong Branch

Corporate Registered No.

110111-0857841

Business Registered No.

120-81-58519

Permit & Licenses

Int’l Trade No. : 53000572

Shareholder Position

Name

Shares

%

WACKER CHEMICALS FINANCE B.V.

1,100,000

100.00

TOTAL

1,100,000

100.00

Company History

05/15/1992 Incorporated as Korea Kobunja Co., Ltd.

01/05/1994 Registered as a Foreign Direct Investment Corporation

01/30/1996 Changed company name to Korea Air Products Co., Ltd.

01/02/2003 Moved to the present HQ address from 19FL., 100, Gongpyeong-dong, Jongno-gu, Seoul, Korea

05/29/2004 Decreased capital to 7,000,000,000 KRW from 30,000,000,000 KRW

03/01/2008 Changed company name to WACKER POLYMER KOREA, INC.

06/01/2008 Changed company name to the present name

06/19/2009 Increased capital to 11,000,000,000 KRW from 7,000,000,000 KRW

12/07/2012 Increased capital to 16,000,000,000 KRW from 11,000,000,000 KRW

 

 

 

 

Detailed Information

 

Management

 

Job Description

Title

Name

Sex

Nationality

Inauguration Date

President & CEO

Mr.

Cho Han-Hyung

Male

Korean

02/01/2008

Director

Mr.

John M. Taka

Male

USA

02/01/2008

Director

Mr.

Thomas Koini

Male

Australian

02/20/2009

Director

Mr.

Jinrai Onell Gross

Male

French

03/25/2011

Director

Mr.

Anophon Darertz

Male

German

03/25/2010

Director

Mr.

Earnst Bund Pahali

Male

German

12/14/2011

Auditor

Mr.

Cygreed Paist

Male

German

03/25/2011

 

Financials

 

Year / Unit : KRW

Sales

Assets

Net Income

(*)12/2011

102,945,633,561

68,948,343,543

3,143,193,511

(*)12/2010

65,475,336,483

62,224,845,540

5,028,652,227

12/2009

62,154,817,837

38,012,415,795

6,318,253,130

12/2008

12,275,268,806

37,752,606,454

3,156,942,992

09/2007

46,606,738,843

36,952,721,617

-3,029,941,175

09/2006

38,405,805,493

30,540,130,126

568,419,170

09/2005

32,483,881,434

37,455,354,720

-1,720,767,047

09/2004

31,009,073,512

36,718,701,760

-112,991,370

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

 

Financial Description

 

Authorized Capital(KRW)

100,000,000,000

Paid-Up Capital(KRW)

16,000,000,000

Total Issued Shares

1,600,000

 

 

Balance Sheet

 

Unit : Korean Won

As of 12/31/2011

As of 12/31/2010

As of 12/31/2009

Total Assets

68,948,343,543

62,224,845,540

 

Current Assets

45,282,155,121

38,935,514,327

 

Cash & Cash Equivalents

6,544,544,036

6,002,161,433

 

Trade Receivables & Other Receivables

28,758,921,956

25,376,611,918

 

Other Current Assets

1,121,722,259

744,123,432

 

Inventories

8,856,966,870

6,812,617,544

 

Non-Current Assets

23,666,188,422

23,289,331,213

 

Non-Current Financial Instruments

3,000,000

3,000,000

 

Long-Term Trade Receivables & Other Receivables

510,034,048

439,148,280

 

Tangibles

15,453,484,884

15,136,709,189

 

Intangibles

7,262,413,485

7,236,059,218

 

Deferred Income Tax Assets

437,256,005

474,414,526

 

Total Liabilities

44,708,411,832

41,128,107,340

 

Current Liabilities

44,028,940,952

40,435,738,924

 

Trade Payables & Other Payables

20,629,871,570

11,662,282,258

 

Short-Term Borrowings

22,700,000,000

27,700,000,000

 

Accrued Income Tax

597,778,684

997,002,719

 

Other Current Liabilities

101,290,698

76,453,947

 

Non-Current Liabilities

679,470,880

692,368,416

 

Provision for Severance & Retirement

679,470,880

692,368,416

 

Capital Stock

11,000,000,000

11,000,000,000

 

Profit Surplus

13,239,931,711

10,096,738,200

 

Total Equity

24,239,931,711

21,096,738,200

 

Liab. & Shareholder’s Equity

68,948,343,543

62,224,845,540

 

Income Statement

 

Unit : Korean Won

As of 12/31/2011

As of 12/31/2010

As of 12/31/2009

Sales

102,945,633,561

65,475,336,483

 

Cost of Sold Goods

84,152,981,205

47,973,054,079

 

Gross Profit

18,792,652,356

17,502,282,404

 

Selling & Admin. Expenses

14,566,791,898

11,395,561,475

 

Other Operating Expenses

-

1,656,522

 

Operating Income

4,225,860,458

6,105,064,407

 

Non-Operating Income

709,680,128

674,021,503

 

Finance Income

29,784,302

844,331,640

 

Finance Expenses

984,075,185

1,423,951,447

 

Income Before Taxes

3,981,249,703

6,199,466,103

 

Income Taxes Expenses

838,056,192

1,170,813,876

 

Net Income

3,143,193,511

5,028,652,227

 

Sales

102,945,633,561

65,475,336,483

 

 

 

Cash Flows

 

Unit : Korean Won

As of 12/31/2011

As of 12/31/2010

As of 12/31/2009

Operating Activities Cash Flows

8,661,433,140

5,955,509,276

 

Net Income

3,143,193,511

5,028,652,227

 

Adjustment

5,025,876,742

3,736,215,230

 

Changes in Asset/ & Liability

2,721,120,809

-1,321,621,761

 

Income Taxes

-1,200,121,706

-1,416,442,686

 

Interests Paid

-1,058,420,518

-100,713,925

 

Interests Received

29,784,302

29,420,191

 

Cash Flows from Investing

-3,119,050,537

-23,850,342,931

 

Cash Flows from Financing

-5,000,000,000

17,897,500,000

 

Increase/Decrease in Cash

542,382,603

2,666,345

 

Cash at the Beginning of Year

6,002,161,433

6,000,929,009

 

Cash at the End of Year

6,544,544,036

6,002,161,433

 

 

Products, Technologies, Services Description

 

Main Products & Services

VAE(Vinyl Acetate Ethylene)

 

Trade Partners & Competitors

 

Competitors

DAE HEUNG INDUSTRIAL CO., LTD.

560-1, CHEONGYONG-RI, SAMSEONG-MYEON, EUMSEONG-GUN, CHUNGCHEONGBUK-DO, KOREA

TEL:+82-43-878-5281  FAX:+82-43-877-2139

 

DONGAM CO., LTD.

672-8, YONG-DONG, GWANGSAN-GU, GWANGJU, KOREA

TEL:+82-62-944-1907  FAX:+82-62-944-1908

 

SEOKWANG E.V.A CO., LTD.

431-11, YULSAENG-RI, DAEGOT-MYEON, GIMPO-SI, GYEONGGI-DO, KOREA

TEL:+82-31-989-8306  FAX:+82-31-989-8305

 

Related Parties (Subsidiaries, Joint-Venture & Affiliates)

 

Affiliates

KOREA INDUSTRIAL GASES LTD.(124311-0002719)

WACKER CHEMIE AG

WACKER CHEMICAL CORPORATION

DRAWIN VERTRIEBS GMBH

WACKER ASAHIKASEI SILICONE CO., LTD.

WACKER CHEMICALS TRADING(SHANGHAI) CO., LTD.

WACKER METROARK CHEMICALS PVT. LTD.

WACKER CHEMICALS AUSTRALIA PTY. LTD.

WACKER CHEMICALS M.E. FZE.

WACKER CHEMICALS S.A. PTE. LTD.

WACKER CHEMIE INDIA PVT. LTD.

WACKER SCHOTT SOLAR VERTRIEBS GMBH

WACKER CHEMICALS (ZHANGJIAGANG) CO., LTD.

Corporate Ownership

WACKER CHEMIE AG

WACKER CHEMICALS FINANCE B.V.

Major Shareholders

WACKER CHEMICALS FINANCE B.V.

Cooperative Enterprise

-Insured Company

SAMSUNG FIRE & MARINE INSURANCE CO., LTD.(110111-0005078)

 

-IT Related Service from

WACKER CHEMIE AG

 

-Technical Support & Market Research/Marketing Services from

WACKER CHEMICAL CORPORATION

 

 

Sales by Region (Activity & Markets)

 

The Subject deals with the companies in China, USA, Africa, and South East Africa.

 

 


Court Action

 

No.

 

 

News Clipping

 

--

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.54.29

UK Pound

1

Rs.81.08

Euro

1

Rs.70.61

 

 

INFORMATION DETAILS

 

Report Prepared by :

PDT

 

 

RATING EXPLANATIONS

 

RATING

STATUS

 

 

PROPOSED CREDIT LINE

>86

Aaa

Possesses an extremely sound financial base with the strongest capability for timely payment of interest and principal sums

 

Unlimited

71-85

Aa

Possesses adequate working capital. No caution needed for credit transaction. It has above average (strong) capability for payment of interest and principal sums

 

Large

56-70

A

Financial & operational base are regarded healthy. General unfavourable factors will not cause fatal effect. Satisfactory capability for payment of interest and principal sums

 

Fairly Large

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

 

Satisfactory

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

 

Small

11-25

Ca

Adverse factors are apparent. Repayment of interest and principal sums in default or expected to be in default upon maturity

 

Limited with full security

<10

C

Absolute credit risk exists. Caution needed to be exercised

 

 

Credit not recommended

--

NB

                                       New Business

 

--

 

This score serves as a reference to assess SC’s credit risk and to set the amount of credit to be extended. It is calculated from a composite of weighted scores obtained from each of the major sections of this report. The assessed factors and their relative weights (as indicated through %) are as follows:

 

Financial condition (40%)            Ownership background (20%)                 Payment record (10%)

Credit history (10%)                    Market trend (10%)                                Operational size (10%)

 

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This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.