MIRA INFORM REPORT

 

 

Report Date :

20.05.2013

 

IDENTIFICATION DETAILS

 

Name :

SUNG LIM CO., LTD.

 

 

Registered Office :

297-15, Gongdan 2-dong, Gumi-si, Gyeongsangbuk-do, Korea 730-906

 

 

Country :

South Korea

 

 

Financials (as on) :

31.12.2012

 

 

Date of Incorporation :

19.04.1983

 

 

Com. Reg. No.:

513-81-03759

 

 

Legal Form :

Co., Ltd by shares

 

 

Line of Business :

Spinning of Man-Made Fibers

 

 

No. of Employees :

117

 

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 Information

 

Basic

 

Company Name

SUNG LIM CO., LTD.

Registered Address

297-15, Gongdan 2-dong, Gumi-si, Gyeongsangbuk-do, Korea

Zip Code

730-906

Tel

+82-54-463-2183

Fax

+82-54-461-9343

E-mail

sunglimco@kornet.net

Trading Address

Rm. 911, Daemyeong Bldg., 44-1, Yeouido-dong, Yeongdeungpo-gu, Seoul, Korea

Tel

+82-2-783-2725

Fax

+82-2-783-2726

Type

Export/Import

Industry

Spinning of Man-Made Fibers

  Main Business

Polyester Chip, Polyester Staple Fiber, Virgin Staple Fiber

Established (mm/dd/yyyy)

04/19/1983

The Subject owns the premises of registered HQ address(20,541).

 

 

Detailed Products

 

Activity

Detailed Products (UNSPSC)

Sell

Polyester fibers(11151503)

Sell

Fibers(11151500)

 

 

CEO’s

 

Name

Kwon In-Sup

Address

Suite 102-3203, 36, Yeouido-dong, Yeongdeungpo-gu, Seoul, Korea

Date of Birth

08/27/1947

Title

President & CEO

Sex

Male

Nationality

Korean

 

 

Profiles

 

Capital (KRW)

127,000,000

Employees

117

Formation

Co., Ltd by shares

Bank Details

Citibank, Korea

Hana Bank-Yeoido Branch

Shinhan Bank

Industrial Bank of Korea

Corporate Registered No.

124311-0009301

Business Registered No.

513-81-03759

Permit & Licenses

Int’l Trade No.: 910987

Shareholder Position

Name

Shares

%

KWON IN-SUP

11,400

44.90

OH SOOK-HEE & OTHERS(6)

14,000

55.10

TOTAL

25,400

100.00

Company History

04/19/1983 Incorporated as the present name

11/2007 Awarded US$ 30 Million Export Top Prize

06/21/2010 Decreased capital to 127,000,000 KRW from 300,000,000 KRW

 

 

 

 

Detailed Information

 

Management

 

Job Description

Title

Name

Sex

Nationality

Inauguration Date

President & CEO

Mr.

Kwon In-Sup

Male

Korean

10/26/2000

Director

M/S.

Oh Sook-Hee

Female

Korean

10/26/2000

Director

Mr.

Park Tae-Wan

Male

Korean

06/21/2003

Auditor

Mr.

Kwon Yook

Male

Korean

03/14/2013

 

Financials

 

Year / Unit : KRW

Sales

Assets

Net Income

2012

72,880,341,070

30,106,022,282

1,137,549,476

2011

69,065,681,492

28,706,441,851

2,176,049,160

2010

55,531,788,094

23,611,135,152

1,523,751,257

2009

47,385,469,667

22,946,685,225

359,780,301

2008

52,945,296,899

19,797,621,069

1,488,325,441

2007

40,422,202,218

16,502,653,722

482,755,732

2006

37,785,566,054

15,201,129,015

455,686,152

2005

34,514,715,064

15,230,122,410

561,076,870

2004

33,983,252,723

15,030,448,865

227,909,284

 

 

Financial Description

 

Authorized Capital(KRW)

550,000,000

Paid-Up Capital(KRW)

127,000,000

Total Issued Shares

25,400

 

Balance Sheet

Unit : Korean Won

As of 12/31/2012

As of 12/31/2011

As of 12/31/2010

Total Assets

30,106,022,282

28,706,441,851

23,611,135,152

Current Assets

18,576,086,492

17,252,521,406

11,455,057,805

-Quick Assets

11,707,883,770

9,611,568,556

7,823,456,671

-Inventories

6,868,202,722

7,640,952,850

3,631,601,134

Fixed Assets

11,529,935,790

11,453,920,445

12,156,077,347

-Investment

3,725,460,500

3,975,078,209

4,256,863,000

-Tangibles

7,179,863,046

6,892,279,992

7,476,048,103

-Intangibles

624,612,244

586,562,244

423,166,244

Total Liabilities

18,521,853,989

18,569,492,479

15,261,446,248

Current Liabilities

14,923,328,223

14,801,648,443

13,707,407,834

Fixed Liabilities

3,598,525,766

3,767,844,036

1,554,038,414

Capital Stock

127,000,000

127,000,000

127,000,000

Capital Surplus

 

 

 

Profit Surplus

9,822,503,840

8,717,809,004

9,800,202,444

Capital Adjustment

1,634,664,453

1,292,140,368

-1,577,513,540

Total Equity

11,584,168,293

10,136,949,372

8,349,688,904

Liab. & Shareholder’s Equity

30,106,022,282

28,706,441,851

23,611,135,152

 

Current Liabilities

14,923,328,223

14,801,648,443

13,707,407,834

Trade Payables

728,806,859

775,171,067

642,815,840

Account Payables

1,781,845,569

1,624,274,387

1,456,803,550

Withholdings

9,892,850

13,265,530

6,219,430

Advance Receipts

318,411,104

567,200,705

58,482,515

Short-Term Borrowings

11,820,000,000

11,064,000,000

11,064,000,000

Accrued Income Tax

24,042,070

517,187,350

279,035,290

Accrued Expenses

50,329,771

50,549,404

42,551,209

Current Portion of Long-Term Debts

190,000,000

190,000,000

157,500,000

Fixed Liabilities

3,598,525,766

3,767,844,036

1,554,038,414

Long-Term Borrowings

475,000,000

665,000,000

855,000,000

Debentures

2,000,000,000

2,000,000,000

-

Guarantee Deposit Withhold

14,500,000

14,500,000

14,500,000

Leasehold Deposit Received

12,000,000

12,000,000

12,000,000

Provision for Severance & Retirement

1,246,383,768

1,218,005,412

807,290,613

 

Income Statement

Unit : Korean Won

As of 12/31/2012

As of 12/31/2011

As of 12/31/2010

Sales

72,880,341,070

69,065,681,492

55,531,788,094

Cost of Sold Goods

66,746,577,645

61,978,200,987

49,564,656,546

Gross Profit

6,133,763,425

7,087,480,505

5,967,131,548

Selling & Admin. Expenses

4,048,731,420

3,686,042,559

4,459,068,401

Operating Income

2,085,032,005

3,401,437,946

1,508,063,147

Non-Operating Income

486,495,474

534,774,027

1,358,999,976

Non-Operating Expenses

1,169,515,203

1,099,300,253

963,349,386

Income Before Taxes

1,402,012,276

2,836,911,720

1,903,713,737

Income Taxes Expenses

264,462,800

660,862,560

379,962,480

Net Income

1,137,549,476

2,176,049,160

1,523,751,257

 

Cash Flows

Unit : Korean Won

As of 12/31/2012

As of 12/31/2011

As of 12/31/2010

Cash Flows from Operating

2,436,303,513

-509,575,190

2,306,755,105

-Net Income

1,137,549,476

2,176,049,160

1,523,751,257

-Exp. without Cash Outflow

1,062,483,474

1,304,248,126

904,472,072

-Revenue without Cash Inflows

-11,860,934

-58,179,814

-694,160,728

-Changes in Asset/ & Liability

248,131,497

-3,931,692,662

572,692,504

Cash Flows from Investing

-1,116,096,435

-4,352,155,020

2,292,586,895

-Cash Inflow from Investing

4,413,641,552

1,180,826,870

6,165,741,908

-Cash Outflows for Investing

-5,529,737,987

-5,532,981,890

-3,873,155,013

Cash Flows from Financing

566,000,000

1,842,500,000

-1,592,242,600

-Cash Inflows from Financing

7,600,000,000

7,650,000,000

4,826,000,000

-Cash Outflows from Financing

-7,034,000,000

-5,807,500,000

-6,418,242,600

Increase/Decrease in Cash

1,886,207,078

-3,019,230,210

3,007,099,400

Cash at the Beginning of Year

1,552,634,843

4,571,865,053

1,564,765,653

Cash at the End of Year

3,438,841,921

1,552,634,843

4,571,865,053

 

 

Products, Technologies, Services Description

 

Main Products & Services

Polyester Chip, Polyester Staple Fiber, Virgin Staple Fiber

Detailed Products Spec.

 

Technologies Acquired

 

 

 

Trade Partners & Competitors

 

Suppliers

HYUNDAI CAPITAL SERVICES, INC.(110111-0995378) provides the vehicles Leasing Services to the Subject Company.

Customers

 

Competitors

WOONGJIN CHEMICAL CO., LTD.(174811-0000151)

HYOSUNG CORPORATION(110111-0030497)

TK CHEMICAL CORPORATION(110111-3783457)

 

 

Related Parties (Subsidiaries, Joint-Venture & Affiliates)

 

Affiliates

 

Overseas Office

 

Liaison Office

 

Overseas Branch

 

Joint Venture

 

Subsidiary

 

Corporate Ownership

 

Major Shareholders

 

Cooperative Enterprise

-Insured Company

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

 

 

Sales by Region (Activity & Markets)

 

Sales/ Unit :Mil KRW

2012

2011

2010

Export

 

 

 

Domestic

 

 

 

Total

 

 

 

The Subject exports 95% to USA and Europe.

 

 

News Clipping

 

Not Available


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.54.88

UK Pound

1

Rs.83.66

Euro

1

Rs.70.58

 

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%)

 

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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.