MIRA INFORM REPORT

 

 

Report Date :

04.05.2013

 

IDENTIFICATION DETAILS

 

Name :

DAIHAN INK CO., LTD.

 

 

Registered Office :

615, Bakdal 2-dong, Manan-gu, Anyang-si, Gyeonggi-Do, Korea

 

 

Country :

South Korea

 

 

Financials (as on) :

31.12.2012

 

 

Date of Incorporation :

26.10.1998

 

 

Com. Reg. No.:

123-81-46822

 

 

Legal Form :

Co., Ltd by shares

 

 

Line of Business :

Manufacture of Printing Ink

 

 

No. of Employees :

146

 

 

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

DAIHAN INK CO., LTD.

(Korean Company Name : “대한잉크()”)

Registered Address

615, Bakdal 2-dong, Manan-gu, Anyang-si, Gyeonggi-Do, Korea

Zip Code

430-849

Tel

+82-31-467-6321~3

Fax

+82-31-443-4192

E-mail

webmaster@daihanink.co.kr;kjlim@d-ink.co.kr;wsjung@d-ink.co.kr

Website

www.daihanink.com

Trading Address

615, Bakdal 2-dong, Manan-gu, Anyang-si, Gyeonggi-do, Korea

Tel

+82-31-467-6321~3

Fax

+82-31-443-4192

Other Address-Pyeongtaek Factory

899, Eoyeon-ri, Cheongbuk-myeon, Pyeongtaek-si, Gyeonggi-do, Korea

Tel

+82-31-686-0205

Fax

+82-31-686-7388

Other Address-Branch

150-4, Soraji-ro, Paju-si, Gyeonggi-do, Korea

Type

Export/Import

Industry

Manufacture of Printing Ink

  Main Business

Offset Ink, Gravure Ink

Established (mm/dd/yyyy)

10/26/1998

The Subject owns the premises of Pyeongtaek Factory(23,200.4).

 

 

Detailed Products

 

Activity

Detailed Products (UNSPSC)

Sell

Printing and drawing inks(60121800)

Buy

Pigments(12171600)

Buy

Waxes(12181500)

Buy

Resins(13111000)

Buy

Ketones or quinones or its substitutes(12352115)

Buy

Alcohols or its substitutes(12352104)

Buy

Pigments(12171600)

Buy

Organic pigments(12171605)

Buy

Aromatic or heterocyclic compounds(12352005)

Buy

Organic derivatives and substituted compounds(12352100)

Buy

Phenolic resin(13111002)

 

 

CEO’s

 

Name

Han Jin-Soo

Address

Suyite 1601, 462-2, Dogok-dong, Gangnam-gu, Seoul, Korea

Date of Birth

02/27/1957

Title

President & CEO

Sex

Male

Nationality

Korean

 

 

Profiles

 

Capital (KRW)

4,428,550,000

Employees

146

Formation

Co., Ltd by shares

A Company of NOROO GROUP

Bank Details

Korea Exchange Bank-Beomkye Station Branch

Shinhan Bank

Woori Bank

Industrial Bank of Korea

Corporate Registered No.

134111-0062616

Business Registered No.

123-81-46822

Permit & Licenses

07/12/2004 ISO 9001

11/2007 ISO 14001

 

Int’l Trade No.: 11571397

Shareholder Position

Name

Shares

%

HAN JIN-SOO

885,710

100.00

TOTAL

885,710

100.00

Company History

10/1945 Founded as the Daihan Offset Printing Ink Mfg., Co. producing Korea’s first domestic printing ink

08/1952 Daihan Ink Manufacturing co., adopted as new company name

10/1953 Adopted the Deer mark as company symbol

11/1955 Mullae-dong plant completed

01/1962 Korea’s first exporter of printing ink to Hong Kong and Southeast Asian countries

12/1971 Signed technology agreement with Dainippon Ink & Chemical Inc(DIC)

04/1976 Anyang plant completed

02/1989 Company name changed to Daihan Paint and Ink Co., Ltd

04/1989 Branch office, DPI America Inc. opened in the Chicago, U.S.A.

07/1993 Awarded the President Award Trophy for Productivity

04/1994 Daihan Ink Co., Ltd. became independent from D.P.I.

09/1996 Designated as Quality Assurance company (Q mark) by Government office

10/26/1998 Incorporated as DAIHAN INK CHEMICAL CO., LTD.

11/01/1998 Acquired the Business Division of Printing Ink

02/2000 New R&D center open

11/2002 Acquired ISO 9001:2000 Certificate

07/01/2004 Changed company name to the present name

01/24/2006 Increased capital to 4,428,550,000 KRW from 3,000,000,000 KRW

06/2006 Completed Pyeongtaek Factory

 

 


Detailed Information

 

Management

 

Job Description

Title

Name

Sex

Nationality

Inauguration Date

Co-President & CEO

Mr.

Han Jin-Soo

Male

Korean

10/26/2001

Co-President & CEO

Mr.

Ahn Hee-Seok

Male

Korean

12/01/2010

Director

Mr.

Kwon Joo-Yeol

Male

Korean

12/01/2010

Auditor

Mr.

Lee Deok-Tae

Male

Korean

01/02/2007

 

Financials

 

Year / Unit : KRW

Sales

Assets

Net Income

(*)2012

63,063,924,839

66,449,058,819

3,002,611,243

(*)2011

63,846,785,375

63,954,811,183

1,520,896,811

(*)2010

59,541,455,284

64,209,802,808

657,593,257

2009

56,501,832,128

57,837,774,320

150,359,505

2008

60,682,859,914

58,631,327,902

344,279,550

2007

55,922,247,080

58,544,334,622

942,527,130

2006

56,284,023,251

59,346,325,842

898,722,395

2005

57,424,160,132

50,355,093,090

6,919,011,270

2004

60,622,183,136

38,893,352,959

2,396,371,887

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

 

Financial Description

 

Authorized Capital(KRW)

15,000,000,000

Paid-Up Capital(KRW)

4,428,550,000

Total Issued Shares

885,710

 

 

Balance Sheet

 

Unit : Korean Won

As of 12/31/2012

As of 12/31/2011

As of 12/31/2010

Total Assets

66,449,058,819

63,954,811,183

64,209,802,808

Current Assets

34,192,748,988

32,926,877,249

32,323,983,876

Inventories

5,936,412,180

8,040,580,289

8,157,624,243

Trade Receivables & Other Receivables

22,287,345,945

21,292,413,172

20,201,515,490

Cash & Cash Equivalents

4,173,921,278

2,886,313,570

2,810,924,570

Current Financial Instruments

1,270,000,000

510,000,000

930,000,000

Current Non-Financial Instruments

525,069,585

197,570,218

223,919,573

Non-Current Assets

32,256,309,831

31,027,933,934

31,885,818,932

Tangibles

21,939,293,787

21,086,224,493

22,884,905,932

Intangibles

1,303,627,226

1,299,959,468

1,299,271,057

Investment_Related Companies

8,270,300,368

7,883,419,523

7,087,311,493

Non-Current Financial Instruments

392,195,540

408,195,540

264,195,540

Non-Current Non-Financial Instruments

350,892,910

350,134,910

350,134,910

Total Liabilities

25,784,213,834

26,295,569,386

28,029,302,814

Current Liabilities

23,090,369,678

22,543,353,658

25,421,473,574

Trade Payables & Other Payables

13,919,378,214

12,497,010,107

13,490,725,846

Other Current Financial Debts

8,600,000,000

9,750,158,667

11,920,747,728

Accrued Income Tax

210,842,477

64,859,715

-

Current Non-Financial Debts

360,148,987

231,325,169

10,000,000

Non-Current Liabilities

2,693,844,156

3,752,215,728

2,607,829,240

Provision for Severance & Retirement

149,976,902

153,211,084

135,883,854

Non-Current Financial Debts

1,697,000,000

2,900,000,000

1,500,000,000

Deferred Income Tax Credit

846,867,254

699,004,644

971,945,386

Capital Stock

4,428,550,000

4,428,550,000

4,428,550,000

Capital Surplus

8,562,781,090

8,562,781,090

8,562,781,090

Profit Surplus

27,857,015,844

24,854,404,601

23,333,507,790

Others

-183,501,949

-186,493,894

-144,338,886

Total Equity

40,664,844,985

37,659,241,797

36,180,499,994

Liab. & Shareholder’s Equity

66,449,058,819

63,954,811,183

64,209,802,808

 

 

Income Statement

 

Unit : Korean Won

As of 12/31/2012

As of 12/31/2011

As of 12/31/2010

Sales

63,063,924,839

63,846,785,375

59,541,455,284

Cost of Sold Goods

-52,753,308,367

-55,371,885,717

-50,378,328,669

Gross Profit

10,310,616,472

8,474,899,658

9,163,126,615

Selling & Admin. Expenses

-7,569,844,091

-7,190,384,357

-8,029,708,118

Operating Income

2,740,772,381

1,284,515,301

1,219,685,517

Other Operating Income

1,275,208,303

1,699,395,473

931,575,107

Other Operating Expenses

-546,081,449

-344,578,863

-845,308,087

Finance Income

120,780,776

81,482,337

103,440,477

Finance Expenses

-582,884,013

-686,626,799

-633,442,218

Income Before Taxes

3,007,795,998

2,034,187,449

689,683,776

Income Taxes Expenses

-5,184,755

-513,290,638

-32,090,519

Net Income

3,002,611,243

1,520,896,811

657,593,257

 

 


Cash Flows

 

Unit : Korean Won

As of 12/31/2012

As of 12/31/2011

As of 12/31/2010

Operating Activities Cash Flows

7,340,462,052

    1,000,062,510

1,225,839,581

Net Income

   3,002,611,243

1,520,896,811

657,593,257

Adjustment

2,576,451,239

2,644,511,731

3,034,754,773

Changes in Asset/ & Liability

1,957,477,393

-1,812,306,717

-1,963,276,348

Interests Received

107,494,250

112,322,976

85,178,395

Interests Paid

-591,388,808

-767,908,061

-589,645,076

Income Taxes

287,816,735

-697,454,230

1,234,580

Cash Flows from Investing

-3,690,373,065

-154,084,449

-2,729,687,129

Cash Flows from Financing

-2,353,158,667

-770,589,061

1,147,499,135

Increase/Decrease in Cash

1,296,930,320

         75,389,000

-356,348,413

Cash at the Beginning of Year

2,886,313,570

2,810,924,570

3,167,272,983

Cash at the End of Year

4,173,921,278

2,886,313,570

2,810,924,570

 

 

Products, Technologies, Services Description

 

Main Products & Services

Offset Sheet-Fed Inks

Web Offset Printing Inks

Ordinary Spot Colors Offset Ink

Pantone Basic Colors Inks

Fluorescent Ink

Metal Decorating Inks

UV(Ultra Violet) Ink & Coatings

Metallic Gold & Silver Inks

POP Ink

Gravure & Flexo Printing Ink

 

 

Trade Partners & Competitors

 

Suppliers

NOROO PAINT & COATINGS CO., LTD. (134111-0142575)

SEDA CO., LTD. (110111-0032469)

Customers

NOROO PAINT & COATINGS CO., LTD. (134111-0142575)

DPI HOLDINGS CO., LTD. (134111-0002878)

Competitors

DONG YANG INK CO., LTD.

338-6, GAGOK-RI, JINWI-MYEON, PYEONGTAEK-SI, GYEONGGI-DO, KOREA

TEL:+82-31-660-9210  FAX:+82-31-667-4877

 

KOREA PRINTING INK CO., LTD.

477-3, MONGNAE-DONG, DANWON-GU, ANSAN-SI, GYEONGGI-DO, KOREA

TEL:+82-31-494-7781  FAX:+82-31-491-0486

 

NAMYANG INK CO., LTD.

153-4, CHUNUI-DONG, WONMI-GU, BUCHEON-SI, GYEONGGI-DO, KOREA

TEL:+82-32-664-3970  FAX:+82-32-664-1473

 

 

Related Parties (Subsidiaries, Joint-Venture & Affiliates)

 

Affiliates

SEDA CO., LTD. (110111-0032469)

(50.0% held by the subject company)

 

NOROO PAINT & COATINGS CO., LTD.(134111-0142575)

DPI HOLDINGS CO., LTD.(134111-0002878)

INTERNATIONAL PAINT (KOREA) LTD(134111-0006565)

DAC(134111-0048492)

DAIHAN INK CO., LTD(110111-0117568)

CK PAINT CO., LTD(135011-0031406)

DAIHAN COIL COATING CO, LTD(171711-0039501)

DAIHAN BEE CHEMICAL CO., LTD.(134111-0031083)

DAEYEON(230111-0091353)

DIGITAL IMAGING TECHNOLOGY CO., LTD.(134811-0112334)

DPM

BUILTONE CO., LTD.

COLOR MATE CO., LTD.

DIAMOND SPECIAL TRANSPORTATION CO., LTD.

NOROO LOGIS CO., LTD.

DRC CO., LTD.

IZEN CO., LTD.

DI(SHANGHAI) INT'L TRADE CO., LTD.

DPI HOLDINGS(H.K) CO.,LTD

Subsidiary

DAIHANINK AMERICA CORP.

(100.0% held by the subject company)

 

DAIHANINK CHINA CO., LTD.

(51.0% held by the subject company)

Cooperative Enterprise

-Insured Company

DONGBU INSURANCE CO.,LTD.(110111-0095285)

MERITZ FIRE & MARINE INSURANCE CO., LTD.(110111-0013328)

Sales by Region (Activity & Markets)

 

The Subject deals with the companies in China, Hong Kong and USA.

 

 

Court Action

 

No.

 

 

News Clipping

 

--

 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.53.95

UK Pound

1

Rs.83.80

Euro

1

Rs.70.49

 

 

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%)

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.