MIRA INFORM REPORT

Report Date :

28.10.2013

IDENTIFICATION DETAILS

Name :	WHAN IN PHARM CO., LTD.

Registered Office :	84-1, Munjeong-Dong, Songpa-Gu

Country :	South Korea

Financials (as on) :	30.06.2013

Date of Incorporation :	16.12.1982

Com. Reg. No.:	215-81-36171

Legal Form :	Listed Company (Korea Stock Exchange : 016580) as of 07/03/1996

Line of Business :	Manufacture of Finished Medicaments

No. of Employees :	412

RATING & COMMENTS

MIRA’s Rating :

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 31^st, 2013

Country Name

Previous Rating

(31.12.2012)

Current Rating

(31.03.2013)

South Korea

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

Company Name	WHAN IN PHARM CO., LTD.
Registered Address	84-1, Munjeong-dong, Songpa-gu, Seoul, Korea
Building
Zip Code	138-200
Tel	+82-2-405-3000
Fax	+82-2-404-2518
E-mail	seankim@whanin.com;jangg@whanin.com
Website	www.whanin.com
Trading Address	84-1, Munjeong-dong, Songpa-gu, Seoul, Korea (New Address System : 117, Saemal-ro, Songpa-gu, Seoul, Korea)
Tel	+82-2-405-3000
Fax	+82-2-404-2518
Other Address-Anseong Factory	150, Sinsohyeon-dong, Anseong-si, Gyeonggi-do, Korea
Tel	+82-31-673-2783
Fax	+82-31-675-4671
Type	Export/Import
Industry	Manufacture of Finished Medicaments
Main Business	Mental Disease Cure, Osteoporosis Cure, Dermatologic Diseases, Cardiovascular Drugs, Anodyne, Antibiotics, Antidepressants, Antiepileptics, Antiinflammatory Analgesics, Antipsychotics, Anxiolytics, CNS Stimulants, Haemorrhoids, Immunostimulating Agent
Sub Business
Established (mm/dd/yyyy)	12/16/1982

Detailed Products

Activity	Detailed Products (UNSPSC)
Sell	Tranquilizers and antimanic and antianxiety drugs(51141900)
Sell	Nonsteroidal anti inflammatory drugs NSAIDs(51142100)
Sell	Antibiotics(51101500)
Sell	Antiulcer and related gastrointestinal GI drugs(51171900)
Sell	Hypnotics(51141800)
Sell	Drugs and Pharmaceutical Products(51000000)
Sell	Vitamin supplements(51191905)
Sell	Antifungal drugs(51101800)
Buy	Nonsteroidal anti inflammatory drugs NSAIDs(51142100)
Buy	Chemistry reagents or solutions(41116105)
Buy	Preservatives(12164501)
Buy	Dietary supplements and nutritional therapy products(51191900)
Buy	Biochemicals(12352200)
Buy	Inorganic metal salts(12352302)
Buy	Honey(50192403)
Buy	Tofisopam(51141911)
Buy	Amines or imines or its substitutes(12352116)
Buy	Alcohols or its substitutes(12352104)
Buy	Famotidine(51171902)
Buy	Ascorbic acid(12162201)

CEO’s

Name	Lee Kwang-Sik
Address	--
Date of Birth	11/05/1947
Title	Chairman & CEO
Sex	Male
Nationality	Korean

Profiles

Capital (KRW)

9,700,035,000

Employees

412

Formation

Listed Company (Korea Stock Exchange : 016580) as of 07/03/1996

Bank Details

Shinhan Bank-Jamsil Branch

Corporate Registered No.

110111-0339542

Business Registered No.

215-81-36171

Permit & Licenses

Int’l Trade No.: 391290

Shareholder Position

Name	Shares	%
LEE KWANG-SIK	3,465,170	17.86
FIDELITY LOW PRICED STOCK FUND	1,860,000	9.59
NATIONAL PENSION SERVICE(110171-0007134)	1,567,870	8.08
OTHERS	12,507,030	64.47
TOTAL	19,400,070	100.00

Company History

12/16/1982 Incorporated as the present name

04/2010 Split off the par value 500 KRW from 1,000 KRW

Management

Job Description	Title	Name	Nationality	Date of Birth	Education
Chairman & CEO	Mr.	Lee Kwang-Sik	Korean	1947.11.05	Seoul National University, Korea
President & CEO	Mr.	Lee Won-Beom	Korean	1974.10.10	Seoul National University, Korea
Outside Director / Auditor	Mr.	Lee Jong-Seok	Korean	1946.08.26	Korea University, Korea
Outside Director / Auditor	Mr.	Ha Kwang-Soo	Korean	1954.07.	Kyunggi Commercial High, Korea
Outside Director / Auditor	Mr.	Lee Byung-Moo	Korean	1971.09.	Korea University, Korea

Financials

Year / Unit : KRW	Sales	Assets	Net Income
(*)06/2013	49,250,037,719	182,029,880,919	6,119,700,941
(*)2012	107,221,597,940	181,428,237,635	15,796,562,795
(*)2011	110,052,051,323	166,109,685,883	14,612,077,204
2010	105,687,139,375	136,963,123,310	17,236,907,678
2009	99,386,536,364	118,945,831,986	14,434,549,554
2008	92,915,021,187	107,579,970,384	14,434,549,554

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

Financial Description

Authorized Capital(KRW)	30,000,000,000
Paid-Up Capital(KRW)	9,700,035,000
Total Issued Shares	19,400,070

Balance Sheet
Unit : Korean Won	01/01/2013~-06/30/2013	As of 12/31/2012	As of 12/31/2011
Total Assets	182,029,880,919	181,428,237,635	166,109,685,883
Current Assets	132,103,356,534	131,470,887,059	119,341,820,034
Cash & Cash Equivalents	33,821,028,449	50,822,627,729	33,990,666,394
Current Financial Instruments	33,878,313,834	18,781,265,394	21,537,182,019
Trade Receivables & Other Receivables	45,715,033,557	47,335,863,129	51,399,344,193
Other Current Assets	4,231,194,514	93,126,230	103,589,849
Inventories	14,457,786,180	14,438,004,577	12,311,037,579
Non-Current Assets	49,926,524,385	49,957,350,576	46,767,865,849
Non-Current Financial Instruments	5,000,000,000	5,000,000,000	5,013,310,000
Guarantees	936,166,000	939,166,000	959,897,830
Long-Term Receivables	1,369,939,389	1,269,875,389	1,246,114,354
Tangibles	37,996,954,464	38,078,134,036	34,666,874,564
Intangibles	4,623,464,532	4,670,175,151	4,881,669,101
Total Liabilities	17,278,262,268	18,898,537,305	16,254,891,192
Current Liabilities	11,884,006,175	13,470,032,845	11,175,033,495
Trade Payables & Other Payables	7,597,373,938	9,034,814,557	6,097,448,122
Other Current Liabilities	2,153,677,647	2,078,865,902	2,150,861,594
Accrued Income Tax	2,132,954,590	2,356,352,386	2,926,723,779
Non-Current Liabilities	5,394,256,093	5,428,504,460	5,079,857,697
Provisions	481,434,641	607,021,963	903,221,165
Deferred Income Tax Credit	4,912,821,452	4,821,482,497	4,176,636,532
Capital Stock	9,700,035,000	9,700,035,000	9,700,035,000
Capital Surplus	21,135,149,669	21,135,149,669	21,135,149,669
Others	-9,711,648,313	-9,630,633,193	-10,325,743,537
Profit Surplus	143,628,082,295	141,325,148,854	129,345,353,559
Total Equity	164,751,618,651	162,529,700,330	149,854,794,691
Liab. & Shareholder’s Equity	182,029,880,919	181,428,237,635	166,109,685,883

Income Statement
Unit : Korean Won	01/01/2013~-06/30/2013	As of 12/31/2012	As of 12/31/2011
Sales	49,250,037,719	107,221,597,940	110,052,051,323
Cost of Sold Goods	21,080,014,768	53,343,576,452	53,879,899,200
Gross Profit	28,170,022,951	53,878,021,488	56,172,152,123
Selling & Admin. Expenses	18,541,486,255	35,587,374,572	35,889,851,422
Operating Income	9,628,536,696	18,290,646,916	20,282,300,701
Non-Operating Income	1,117,782,409	1,975,841,108	-1,346,265,628
Other Income	105,847,594	98,658,025	95,324,753
Other Expenses	-427,736,056	-2,800,126,548	-3,982,529,853
Finance Income	1,456,543,784	5,444,874,651	3,057,523,397
Finance Expenses	-16,872,913	-767,565,020	-516,583,925
Income Before Taxes	10,746,319,105	20,266,488,024	18,936,035,073
Income Taxes Expenses	4,626,618,164	4,469,925,229	4,323,957,869
Net Income	6,119,700,941	15,796,562,795	14,612,077,204

Cash Flows
Unit : Korean Won	01/01/2013~-06/30/2013	As of 12/31/2012	As of 12/31/2011
Operating Activities Cash Flows	2,425,209,375	21,111,224,304	15,115,299,987
Net Income	6,119,700,941	15,796,562,795	14,612,077,204
Adjustment	4,045,209,875	3,210,326,087	6,076,824,738
Changes in Asset/ & Liability	-4,134,532,125	4,858,451,067	-3,987,858,774
Interests Received	1,068,974,771	1,477,904,680	1,732,669,579
Dividends Received	61,682,500	359,487,096	359,960,765
Income Taxes	-4,735,826,587	-4,591,507,421	-3,678,373,525
Cash Flows from Investing	-15,610,041,155	-462,495,469	-721,110,771
Cash Flows from Financing	-3,816,767,500	-3,816,767,500	620,689,160
Increase/Decrease in Cash	-17,001,599,280	16,831,961,335	15,014,878,376
Cash at the Beginning of Year	50,822,627,729	33,990,666,394	18,975,788,018
Cash at the End of Year	33,821,028,449	50,822,627,729	33,990,666,394

Products, Technologies, Services Description

Main Products & Services	Mental Disease Cure, Osteoporosis Cure, Dermatologic Diseases, Cardiovascular Drugs, Anodyne, Antibiotics, Antidepressants, Antiepileptics, Antiinflammatory Analgesics, Antipsychotics, Anxiolytics, CNS Stimulants, Haemorrhoids, Immunostimulating Agent
Detailed Products Spec.
Technologies Acquired

Trade Partners & Competitors

Competitors

DAEWOONG PHARMACEUTICAL CO., LTD.(134811-0075342)

SHINPOONG PHARMACEUTICAL CO.,LTD.(130111-0011815)

BOEHRINGER INGELHEIM KOREA LTD.(110111-0359342)

SAMJIN PHARMACEUTICAL CO., LTD.(110111-0088652)

DONGWHA PHARM IND CO., LTD.(110111-0043870)

DONGA PHARMACEUTICAL CO.,LTD.(110111-0017990)

YUHAN CORPORATION(110111-0014409)

HANMI PHAM CO., LTD.(134811-0003187)

GREEN CROSS CORPORATION(110111-0109854)

CHOONGWAE PHARMA CORP.(110111-0019342)

Related Parties (Subsidiaries, Joint-Venture & Affiliates)

-----

Sales by Region (Activity & Markets)

Not Available.

Court Action

No.

News Clipping

-----

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.61.63
UK Pound	1	Rs.99.94
Euro	1	Rs.84.14

INFORMATION DETAILS

Report Prepared by :

NIT

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.