MIRA INFORM REPORT

 

 

Report Date :

10.05.2013

 

IDENTIFICATION DETAILS

 

Name :

EG METAL CO., LTD.

 

 

Registered Office :

836, Hwangseong-dong, Nam-gu, Ulsan, Korea, Zip Code 680-160

 

 

Country :

South Korea

 

 

Financials (as on) :

31.12.2012

 

 

Date of Incorporation :

08.04.2010

 

 

Com. Reg. No.:

610-86-02148

 

 

Legal Form :

Co., Ltd by Shares

 

 

Line of Business :

Recovery of Metal Waste and Scrap

 

 

No. of Employees :

64

 

RATING & COMMENTS

 

MIRA’s Rating :

B

 

RATING

STATUS

PROPOSED CREDIT LINE

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

Small

 

Status :

Moderate  

 

 

Payment Behaviour :

Slow

 

 

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

EG METAL CO., LTD.

(Korean Company Name : “()이지메탈”)

Registered Address

836, Hwangseong-dong, Nam-gu, Ulsan, Korea

Zip Code

680-160

Tel

+82-52-278-6800

Fax

+82-52-269-9900

E-mail

webmaster@egmetal.com 

Website

www.egmetal.co.kr

Trading Address

836, Hwangseong-dong, Nam-gu, Ulsan, Korea

Tel

+82-52-278-6800

Fax

+82-52-269-9900

Type

Export/Import

Industry

Recovery of Metal Waste and Scrap

  Main Business

Molybdenum, Non-Ferrous Metal

Established (mm/dd/yyyy)

04/08/2010

 

 

Detailed Products

 

Activity

Detailed Products (UNSPSC)

Sell

Metal scrap(11191600)

 

 

CEO’s

 

Name

Sung Nak-Il

Address

Suite 101-1204, 164, Daehak-ro, Nam-gu, Ulsan, Korea

Date of Birth

10/17/1971

Title

President & CEO

Sex

Male

Nationality

Korean

 

 

Profiles

 

Capital (KRW)

3,404,420,000

Employees

64

Formation

Co., Ltd by Shares

Bank Details

Hana Bank-Daejoen Branch

Corporate Registered No.

2301110-164506

Business Registered No.

610-86-02148

Permit & Licenses

Int’l Trade No.: 23011101

Shareholder Position

Name

Shares

%

EG CORPORATION(161511-0003619)

600,000

88.10

EG TECH CORPORATION(164211-0007151)

80,884

11.90

TOTAL

680,884

100.00

Company History

04/08/2010 Incorporated as the present name after split off from EG CORPORATION(161511-0003619)

 

09/18/2012 Increased capital to 3,404,420,000 KRW from 3,000,000,000 KRW

 

 

 

 

Management

 

Job Description

Title

Name

Sex

Nationality

Inauguration Date

President & CEO

Mr.

Sung Nak-Il

Male

Korean

12/03/2012

Director

Mr.

Park Ji-Man

Male

Korean

04/09/2013

Director

Mr.

Lee Kwang-Hyung

Male

Korean

04/09/2013

Director

Mr.

Min Byung-Koo

Male

Korean

04/09/2013

Auditor

Mr.

Moon Kyung-Hwan

Male

Korean

03/27/2013

 

Financials

 

Year / Unit : KRW

Sales

Assets

Net Income

2012

18,352,461,169

32,438,388,315

-7,418,697,219

2011

24,177,965,524

39,932,073,075

-3,329,836,850

2010

13,909,453,002

39,790,701,587

39,593,463

 

 

Financial Description

 

Authorized Capital(KRW)

12,000,000,000

Paid-Up Capital(KRW)

3,404,420,000

Total Issued Shares

680,884

 

 

Balance Sheet

 

Unit : Korean Won

As of 12/31/2012

As of 12/31/2011

As of 12/31/2010

Total Assets

32,438,388,315

39,932,073,075

39,790,701,587

Current Assets

12,911,289,237

19,817,451,453

18,476,302,503

-Quick Assets

6,141,403,984

6,586,586,461

6,622,251,660

-Inventories

6,769,885,253

13,230,864,992

11,854,050,843

Fixed Assets

19,527,099,078

20,114,621,622

21,314,399,084

-Investment

366,937,820

170,723,385

192,947,869

-Tangibles

19,153,546,008

19,935,593,987

21,109,028,238

-Intangibles

6,615,250

8,304,250

-

-Others

 

 

12,422,977

Total Liabilities

11,362,682,550

14,433,756,441

11,002,299,560

Current Liabilities

1,862,682,550

14,433,756,441

1,445,831,482

Fixed Liabilities

9,500,000,000

-

9,556,468,078

Capital Stock

3,404,420,000

3,000,000,000

3,000,000,000

Capital Surplus

28,380,226,371

25,788,560,021

25,788,560,021

Profit Surplus

-10,708,940,606

-3,290,243,387

39,593,463

Capital Adjustment

 

 

-39,751,457

Total Equity

21,075,705,765

25,498,316,634

28,788,402,027

Liab. & Shareholder’s Equity

32,438,388,315

39,932,073,075

39,790,701,587

 

Current Liabilities

1,862,682,550

14,433,756,441

1,445,831,482

Trade Payables

1,254,881,176

4,406,706,166

1,199,567,167

Account Payables

570,735,906

411,350,659

-

Accrued Expenses

23,216,438

101,303,836

101,303,836

VAT Withhold

 

 

125,215,890

Other Current Liabilities

13,849,030

14,395,780

12,832,809

Accrued Income Tax

 

 

6,911,780

Current Portion of Long-Term Debts

-

9,500,000,000

-

Fixed Liabilities

9,500,000,000

-

9,556,468,078

Long-Term Borrowings

9,500,000,000

-

9,500,000,000

Derivatives

 

 

56,468,078

 

 

Income Statement

 

Unit : Korean Won

As of 12/31/2012

As of 12/31/2011

As of 12/31/2010

Sales

18,352,461,169

24,177,965,524

13,909,453,002

Cost of Sold Goods

24,439,227,888

26,094,196,502

12,860,013,796

Gross Profit

-6,086,766,719

-1,916,230,978

1,049,439,206

Selling & Admin. Expenses

1,138,969,803

1,081,549,305

736,552,843

Operating Income

-7,225,736,522

-2,997,780,283

312,886,363

Non-Operating Income

156,153,462

214,658,803

155,575,252

Non-Operating Expenses

747,033,161

511,072,567

416,999,871

Income Before Taxes

-7,816,616,221

-3,294,194,047

51,461,744

Income Taxes Expenses

397,919,002

35,642,803

11,868,281

Net Income

-7,418,697,219

-3,329,836,850

39,593,463

 

 

Cash Flows

 

Unit : Korean Won

As of 12/31/2012

As of 12/31/2011

As of 12/31/2010

Cash Flows from Operating

-2,523,641,080

-347,713,938

3,212,307,218

-Net Income

-7,418,697,219

-3,329,836,850

39,593,463

-Exp. without Cash Outflow

3,027,262,548

2,243,715,894

971,105,455

-Revenue without Cash Inflows

-249,436

-25,234,728

-49,754,000

-Changes in Asset/ & Liability

1,868,043,027

763,641,746

2,251,362,300

Cash Flows from Investing

-538,651,326

1,265,529,125

-2,180,002,595

-Cash Inflow from Investing

278,883,000

1,415,821,845

59,932,439

-Cash Outflows for Investing

-817,534,326

-150,292,720

-2,239,935,034

Cash Flows from Financing

2,996,086,350

-

-14,400,000

-Cash Inflows from Financing

2,996,086,350

-

-

-Cash Outflows from Financing

-

-

-14,400,000

Increase/Decrease in Cash

-66,206,056

917,815,187

1,017,904,623

Cash at the Beginning of Year

4,936,944,212

4,019,129,025

3,001,224,402

Cash at the End of Year

4,870,738,156

4,936,944,212

4,019,129,025

 

 

Products, Technologies, Services Description

 

Main Products & Services

Molybdenum, Non-Ferrous Metal

 

 

Trade Partners & Competitors

 

Suppliers

EG CORPORATION(161511-0003619)

Competitors

SHINWOO SPECIAL STEEL CO., LTD.

1646-3, SONGJEONG-DONG, GANGSEO-GU, BUSAN, KOREA

TEL:+82-51-831-0601  FAX:+82-51-831-0605

 

SINJIN-SM CO., LTD.

5B, JANGGYE NONG GONG DANJI, 845, GEUMDEOK-RI, JANGGYE-MYEON, JANGSU-GUN, JEOLLABUK-DO, KOREA

TEL:+82-63-352-5301~2  FAX:+82-63-352-5300

 

MORE STEEL CO., LTD.

1345-6, MUNDEOK-RI, OCHEON-EUP, NAM-GU, POHANG-SI, GYEONGSANGBUK-DO, KOREA

TEL:+82-54-278-5401  FAX:+82-54-278-5404

 

GIJEON CO., LTD.

155B-8L, NAMDONG INDUSTRIAL COMPLEX, 726-7, GOJAN-DONG, NAMDONG-GU, INCHEON, KOREA

TEL:+82-32-811-4000  FAX:+82-32-811-4487

 


Related Parties

(Subsidiaries, Joint-Venture & Affiliates)

 

Affiliates

EG CORPORATION(161511-0003619)

EG TECH CORPORATION(164211-0007151)

EG FOTEC CO., LTD.(171711-0070290)

Corporate Ownership

EG CORPORATION(161511-0003619)

Major Shareholders

EG CORPORATION(161511-0003619)

 

 

Sales by Region

(Activity & Markets)

 

Not Available.

 

Court Action

 

No.

 

 

News Clipping

 

--

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.54.24

UK Pound

1

Rs.84.30

Euro

1

Rs.71.36

 

INFORMATION DETAILS

 

Report Prepared by :

MNL

 

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.