MIRA INFORM REPORT

 

 

Report Date :

13.09.2013

 

IDENTIFICATION DETAILS

 

Name :

KOSTIC KOREA LTD.

 

 

Registered Office :

32-2, Pungmu-dong, Gimpo-si, Gyeonggi-do, Korea 415-070)

 

 

Country :

South Korea

 

 

Financials (as on) :

31.12.2012

 

 

Date of Incorporation :

07.07.1983

 

 

Com. Reg. No.:

136-81-03867

 

 

Legal Form :

Co., Ltd by shares

 

 

Line of Business :

Manufacture of Other Paper and Paperboard

 

 

No. of Employees :

180

 

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

KOSTIC KOREA LTD.

Registered Address

32-2, Pungmu-dong, Gimpo-si, Gyeonggi-do, Korea

Zip Code

415-070)

Tel

+82-31-982-1773

Fax

+82-31-984-2124

E-mail

sevice@kostic.co.kr;sales@kostic.co.kr;trade@kostic.co.kr

Website

www.kostic.co.kr

Trading Address

32-2, Pungmu-dong, Gimpo-si, Gyeonggi-do, Korea

(New Address System : 185, Pungmu-ro, Gimpo-si, Gyeonggi-do, Korea)

Tel

+82-31-984-2114

Fax

+82-31-986-7818

Other Address-Youngnam Business Div.

49, Gaya-daero 134beon-gil, Sasang-gu, Busan, Korea

Tel

+82-51-322-2401

Fax

+82-51-322-2405

Other Address- Paju Factory

682-3, Deogeun-ri, Wollong-myeon, Paju-si, Gyeonggi-do, Korea

Tel

+82-31-948-3504

Fax

+82-31-948-3604

Type

Export

Industry

Manufacture of Adhesives and Gelatin

  Main Business

PSA Labels

  Sub Business

Manufacture of Other Paper and Paperboard

Established (mm/dd/yyyy)

07/07/1983

The Subject owns the premises of registered HQ address/Factory, Paju Factory and Youngnam Business Div.

 

 

Detailed Products

 

Activity

Detailed Products (UNSPSC)

Sell

Self adhesive labels(55121606)

Sell

Labels(55121600)

Sell

Addressing or mailing labels(55121605)

Sell

Clothing labels(55121602)

Buy

Polyester films(13111210)

Buy

Aluminum(11101705)

Buy

Films(13111200)

Buy

Other adhesives and sealants(31201600)

Buy

Art or craft paper(14111606)

Buy

Printing and writing paper(14111500)

Buy

Thermal paper(14111818)

Buy

Silicone coated papers(14121804)

Buy

Uncoated base papers(14122100)

 

CEO’s

 

Name

Kim Jun-Hyung

Address

5FL., 395-174, Seogyo-dong, Mapo-gu, Seoul 121-840 Korea

Date of Birth

07/30/1965

Title

President & CEO

Sex

Male

Nationality

Korean

 

 

Profiles

 

Capital (KRW)

4,050,000,000

Employees

180

Formation

Co., Ltd by shares

Bank Details

Kookmin Bank-Seogyo Dong Branch

Shinhan Bank-Seogyo Dong Branch

Woori Bank-Gimpo Branch

Corporate Registered No.

124411-0001628

Business Registered No.

136-81-03867

Permit & Licenses

08/1989 ISO 9001

08/1989 UL

02/2000 ISO 9001

04/2001 NT

08/2002 ISO 14001

 

Int’l Trade No.: 970491

Shareholder Position

Name

Shares

%

KIM JUN-HYUNG

188,396

46.52

KIM YOUNG-SOOK

85,870

21.20

KIM MI-KYUNG

33,210

8.20

KIM NAM-HEE

20,250

5.00

KIM SOO-JEONG

20,250

5.00

FORMTEC KOREA CO., LTD.(124411-0006420)

57,024

14.08

TOTAL

405,000

100.00

Company History

07/07/1983 Incorporated as Nammi Industry Co., Ltd.

08/19/2002 Changed company name to the present name

 

 

 

 

Detailed Information

 

Management

 

Job Description

Title

Name

Sex

Nationality

Inauguration Date

President & CEO

Mr.

Kim Jun-Hyung

Male

Korean

01/11/2002

Director

M/S.

Kim Young-Sook

Female

Korean

07/20/2000

Director

Mr.

Kang Kyung-Koo

Male

Korean

01/01/2009

Auditor

M/S.

Kim Mi-Kyung

Female

Korean

01/01/2009

 

Financials

 

Year / Unit : KRW

Sales

Assets

Net Income

2012

59,073,425,422

50,889,186,108

3,541,304,456

2011

61,767,184,813

54,102,162,215

4,009,072,121

2010

57,802,933,509

53,132,241,341

4,505,948,943

2009

49,130,888,159

51,059,824,334

2,355,506,747

2008

46,000,987,092

49,785,120,637

-1,799,377,453

2007

45,134,509,380

50,848,297,544

-1,742,689,597

2006

44,143,941,873

50,237,403,835

-1,877,099,326

2005

40,753,907,827

46,659,523,298

 716,321,412

2004

37,552,640,487

41,143,356,984

1,601,461,251

2003

36,249,440,928

33,633,268,535

1,463,826,062

 

 

Financial Description

 

Authorized Capital(KRW)

6,000,000,000

Paid-Up Capital(KRW)

4,050,000,000

Total Issued Shares

405,000

 

Balance Sheet

Unit : Korean Won

As of 12/31/2012

As of 12/31/2011

As of 12/31/2010

Total Assets

50,889,186,108

54,102,162,215

53,132,241,341

Current Assets

24,883,090,127

26,478,526,139

24,722,752,462

-Quick Assets

15,988,968,403

16,870,744,947

16,060,057,753

-Inventories

8,894,121,724

9,607,781,192

8,662,694,709

Fixed Assets

26,006,095,981

27,623,636,076

28,409,488,879

-Investment

242,500,000

52,500,000

77,500,000

-Tangibles

25,190,549,305

27,006,685,738

27,740,381,541

-Intangibles

23,292,755

14,696,417

28,513,417

-Others

549,753,921

549,753,921

563,093,921

Total Liabilities

15,240,450,244

21,494,205,887

24,128,357,134

Current Liabilities

11,692,592,145

15,897,423,069

17,173,821,649

Fixed Liabilities

3,547,858,099

5,596,782,818

6,954,535,485

Capital Stock

4,050,000,000

4,050,000,000

4,050,000,000

Capital Surplus

9,934,961,265

9,934,961,265

9,934,961,265

Profit Surplus

21,663,774,599

18,622,995,063

15,018,922,942

Capital Adjustment

 

 

 

Total Equity

35,648,735,864

32,607,956,328

29,003,884,207

Liab. & Shareholder’s Equity

50,889,186,108

54,102,162,215

53,132,241,341

 

Current Liabilities

11,692,592,145

15,897,423,069

17,173,821,649

Trade Payables

4,571,429,146

5,250,056,980

5,720,207,679

Short-Term Borrowings

3,035,790,935

6,000,000,000

7,826,682,149

Current Portion of Long-Term Debts

2,105,159,550

2,118,948,800

-

Account Payables

383,935,601

402,914,504

310,511,377

Advance Receipts

51,188,650

50,396,426

16,365,577

Withholdings

41,470,930

39,905,660

30,691,960

VAT Withhold

373,377,635

366,568,808

277,055,637

Accrued Expenses

717,494,351

647,808,641

582,794,548

Current Portion of Long-Term Debts

- 

- 

2,130,281,100

Deferred Income Tax Credit

412,745,347

1,020,823,250

279,231,622

Fixed Liabilities

3,547,858,099

5,596,782,818

6,954,535,485

Long-Term Borrowings

2,387,523,850

4,492,683,400

5,911,632,200

Leasehold Deposit Received

269,000,000

261,000,000

256,000,000

Provision for Severance & Retirement

1,025,082,390

938,130,290

854,962,330

 

Income Statement

Unit : Korean Won

As of 12/31/2012

As of 12/31/2011

As of 12/31/2010

Sales

59,073,425,422

61,767,184,813

57,802,933,509

Cost of Sold Goods

49,267,604,810

51,485,646,952

47,828,571,294

Gross Profit

9,805,820,612

10,281,537,861

9,974,362,215

Selling & Admin. Expenses

4,934,627,371

4,619,477,514

4,408,072,645

Operating Income

4,871,193,241

5,662,060,347

5,566,289,570

Non-Operating Income

130,256,322

169,449,449

103,499,046

Non-Operating Expenses

590,615,940

712,739,915

882,828,842

Income Before Taxes

4,410,833,623

5,118,769,881

4,786,959,774

Income Taxes Expenses

869,529,167

1,109,697,760

281,010,831

Net Income

3,541,304,456

4,009,072,121

4,505,948,943

 

Cash Flows

Unit : Korean Won

As of 12/31/2012

As of 12/31/2011

As of 12/31/2010

Cash Flows from Operating

4,801,539,083

5,851,159,874

4,360,257,760

-Net Income

3,541,304,456

4,009,072,121

4,505,948,943

-Exp. without Cash Outflow

2,565,358,372

2,525,718,282

2,515,952,259

-Revenue without Cash Inflows

-9,056,358

-54,980,665

-198,665,068

-Changes in Asset/ & Liability

-1,296,067,387

-628,649,864

-2,462,978,374

Cash Flows from Investing

-165,556,392

-906,749,379

-785,432,784

-Cash Inflow from Investing

133,813,864

582,126,208

145,343,876

-Cash Outflows for Investing

-299,370,256

-1,488,875,587

-930,776,660

Cash Flows from Financing

-5,480,157,865

-3,656,963,249

-3,570,502,273

-Cash Inflows from Financing

3,043,790,935

1,849,000,000

7,922,682,149

-Cash Outflows from Financing

-8,523,948,800

-5,505,963,249

-11,493,184,422

Increase/Decrease in Cash

-844,175,174

1,287,447,246

4,322,703

Cash at the Beginning of Year

3,021,742,874

1,734,295,628

1,729,972,925

Cash at the End of Year

2,177,567,700

3,021,742,874

1,734,295,628

 

 

Products, Technologies, Services Description

 

Main Products & Services

-Labels for Electronic Applications

Photocopier/Computer Printer Labels, Parts/Bar codes, Electronic Appliances, Rechargeable Battery, Mobile Phone, Computer Components, CD/DVD Players, semiconductor

-Office/Computer Labels

Mailing Labels, Media Labels, Classification Labels

-Specialty Labels

Battery, Iron Industry, Ship Manufacturing, Dynamite Detonators, Fire Extinguisher

Consumer Product Labels          General Containers, General Containers (Transparent)

-Food Contact Labels

Labels for Processed Meat such as ham, Frozen Food Labels, Food & Beverage Labels

-Bar-code/Logistics Labels

Scale Labels, Barcode Labels, Shipping Labels

-Stationery/Fancy Products/Study Material Labels

Study/Teaching Material Stickers, Fancy Stickers, File Index Labels

-Labels for Clothes

Clothes Brand Tags

-Medical Product Labels

Blood Bag Labels, Pharmaceutical Container Labels

-Automobile Industry Labels

Automobile Assembly Labels, Tire Labels

Consumer Products/ General promotional Labels            Advertisement Labels

PAPER

Art Paper, Woodfree Paper, Cast Coated Paper, Kraft Paper, Foiled Paper (Gold, Silver Paper), Direct Thermal Paper

FILM

PET, PVC, White PVC, Yupo, NY, Laminating Film, OPP, Aluminum, Nylon Textile

Detailed Products Spec.

 

Technologies Acquired

 

 

 

Trade Partners & Competitors

 

Suppliers

 

Customers

FORMTEC KOREA CO., LTD.(124411-0006420)

32-2, PUNGMU-DONG, KIMPO-SI, KYUNGGI-DO, KOREA

TEL : +82-31-982-4952 FAX : +82-31-982-4953

E-MAIL : SERVICE@FORMTEC.CO.KR

HOMEPAGE : HTTP://WWW.FORMTEC.CO.KR

Competitors

SAELIM CO., LTD.(110111-0233645)

449-6, MOGOK-DONG, PYEONGTAEK-SI, GYEONGGI-DO, KOREA

TEL:+82-31-666-1551~5  FAX:+82-31-666-1556

 

AVERY DENNISON KOREA LTD.(110111-0465195)

710-2, YONGTAN-DONG, CHUNGJU-SI, CHUNGCHEONGBUK-DO, KOREA

TEL:+82-43-853-2707  FAX:+82-43-853-2705

 

ELIZA TAPE CO., LTD.(120111-0131871)

278-12, GEUMGOK-DONG, SEO-GU, INCHEON, KOREA

TEL:+82-32-565-0123  FAX:+82-32-564-4466

 

 

Related Parties (Subsidiaries, Joint-Venture & Affiliates)

 

Affiliates

SKY BLUE ENTERTAINMENT CO., LTD.

(33.33% held by the subject company)

 

FORMTEC KOREA CO., LTD.(124411-0006420)

32-2, PUNGMU-DONG, KIMPO-SI, KYUNGGI-DO, KOREA

TEL : +82-31-982-4952 FAX : +82-31-982-4953

E-MAIL : SERVICE@FORMTEC.CO.KR

HOMEPAGE : HTTP://WWW.FORMTEC.CO.KR

Overseas Office

 

Liaison Office

 

Overseas Branch

 

Joint Venture

 

Subsidiary

 

Corporate Ownership

 

Major Shareholders

 

Cooperative Enterprise

-Insured Company

FIRST FIRE & MARINE INSURANCE CO.,LTD.(110111-0017586)

 

Sales by Region (Activity & Markets)

 

Sales/ Unit : KRW

2012

2011

2010

Export

-

1,849,002,801

1,942,019,517

Domestic

-

59,918,182,012

55,860,913,992

Total

59,073,425,422

61,767,184,813

57,802,933,509

The Subject deals with the companies in Taiwan, Iran, Italy, and Pakistan.

 

 

News Clipping

 

Not Available
 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.63.67

UK Pound

1

Rs.100.71

Euro

1

Rs.84.72

 

 

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%)

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.