MIRA INFORM REPORT

 

 

Report Date :

14.09.2013

 

IDENTIFICATION DETAILS

 

Name :

STACO CO., LTD.

 

 

Registered Office :

Noksan Industrial Complex, 1589-3, Songjeong-dong, Gangseo-gu, Busan, Korea

 

 

Country :

South Korea

 

 

Financials (as on) :

31.12.2012

 

 

Date of Incorporation :

16.01.1992

 

 

Com. Reg. No.:

603-81-18652

 

 

Legal Form :

Co., Ltd by shares

 

 

Line of Business :

Manufacture of Sections for Ships, Ship Panel, Cabin Door

 

 

No. of Employees :

334

 

 

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

 

Company Name

STACO CO., LTD.

(Korean Company Name : “스타코()”)

Registered Address

1589-3, Songjeong-dong, Gangseo-gu, Busan, Korea

Building

Noksan Industrial Complex

Zip Code

618-818

Tel

+82-51-831-7000

Fax

+82-51-831-7007

E-mail

business@staco.co.kr;trade@staco.co.kr

Website

www.staco.co.kr

Trading Address

Noksan Industrial Complex, 1589-3, Songjeong-dong, Gangseo-gu, Busan, Korea

(New Address System : 28, Noksansandan 261-ro, Gangseo-gu, Busan, Korea)

Tel

+82-51-831-7000

Fax

+82-51-831-7007

Other Address

4FL., 567, Seolleung-ro, Gangnam-gu, Seoul, Korea

Tel

+82-2-569-6898

Fax

+82-2-566-0403

Other Address-Daebul Factory

1697-12, Nanjeon-Ri, Samho-Myeon, Yeongam-Gun, Jeonnam-Do 526-892 Korea

Tel

+82-61-464-5331

Fax

 

Type

Export

Industry

Manufacture of Sections for Ships

  Main Business

Ship Panel, Cabin Door

  Sub Business

 

Established (mm/dd/yyyy)

01/16/1992

The Subject Company owns the premises of registered HQ address(15,957.3).

 

 

Detailed Products

 

Activity

Detailed Products (UNSPSC)

Sell

Interior design or decorating(72101901)

Sell

Marine craft systems and subassemblies(25111900)

Sell

Graphic design(82140000)

Buy

Marine craft systems and subassemblies(25111900)

Buy

Sinks(30181504)

Buy

Faucets(40141702)

Buy

Curtains(52131501)

Buy

Doors(30171500)

Buy

Beds(56101515)

Buy

Panels or panelling(30161505)

Buy

Steel plate(30102204)

Buy

Bathtubs(30181501)

Buy

Shower heads(40141703)

 

CEO’s

 

Name

Lee Dong-Hyung

Address

Suite 102-1206, 11, Jeseok-ro 79beon-gil, Saha-gu, Busan, Korea

Date of Birth

07/05/1946

Title

President & CEO

Sex

Male

Nationality

Korean

 

 

Profiles

 

Capital (KRW)

5,800,000,000

Employees

334

Formation

Co., Ltd by shares

Venture Business

Bank Details

Industrial Bank of Korea- Noksan Central Branch

No. 1631-3, Songjeong-Dong, Gangseo-Gu, Busan 618-270 Korea

Tel: +82-51-832-0172

 

Korea Exchange Bank

Corporate Registered No.

180111-0122183

Business Registered No.

603-81-18652

Permit & Licenses

04/1999 CE Mark Certificated.

11/1998 ISO 9001 Certificated

 

Int’l Trade No.: 12002212

Shareholder Position

Name

Shares

%

LEE DONG-HYUNG

6,641,667

71.10

LEE SANG-KEUM

900,000

9.63

HONG SOON-KYUN

800,000

8.56

OTHERS

2,600,000

27.83

TOTAL

9,341,667

100.00

Company History

01/16/1992 Incorporated as ShinSung Eng. & Archi.Co., Ltd.

11/1996 Wins $1 Mil. Export Tower Award.

11/1998 Acquisition of ISO 9001 Certificate

11/1998 Wins $5 Mil. Export Tower Award.

04/1999 Acquisition of C.E. Mark

11/2001 Wins $10 Mil. Export Tower Award

05/2003 Korean World-class Product Award

10/17/2003 Moved to the present HQ address from 556, Sinpyeong-dong, Saha-gu, Busan, Korea

12/2003 Establishment of STACO R&D Center

10/2004 Designated as a INNO-BIZ(Innovation Business) Company

11/2004 Wins $20 Mil. Export Tower Award

05/18/2005 Changed name to STACO CO., LTD.

07/2005 Opened branch office in Shanghai, China and Mumbai, India

02/2006 Established new factory in China under name of STACO Zhangjiagang New tech Material Co., Ltd

11/2006 Wins $30 Mil. Export Tower Award

07/05/2007 Increased capital to 2,000,000,000 KRW from 1,500,000,000 KRW

03/18/2008 Increased the authorized shares to 50,000,000 shares from 2,000,000 shares

11/03/2008 Spin off the par value to 500 KRW from 5,000 KRW

08/17/2009 Increased capital to 4,000,000,000 KRW from 3,000,000,000 KRW

04/30/2010 Increased capital to 5,000,000,000 KRW from 4,000,000,000 KRW

08/31/2010 Increased capital to 5,800,000,000 KRW from 5,000,000,000 KRW

 

 

 

 

Detailed Information

 

Management

 

Job Description

Title

Name

Sex

Nationality

Inauguration Date

Co-President & CEO

Mr.

Lee Dong-Hyung

Male

Korean

01/16/2001

Director

Mr.

Han Ki-Young

Male

Korean

02/01/2013

Director

Mr.

Moon Sang-Hoon

Male

Korean

03/28/2008

Auditor

Mr.

Lee Young-Tae

Male

Korean

10/09/2012

 

Financials

 

Year / Unit : KRW

Sales

Assets

Net Income

2012

136,994,417,146

111,250,547,927

96,032,609

2011

166,232,901,807

124,250,988,334

839,864,252

2010

149,636,458,668

102,858,138,549

7,665,390,950

2009

146,131,255,770

81,001,876,891

11,838,761,494

2008

117,760,038,970

64,149,973,488

2,014,138,221

2007

86,697,399,849

39,449,791,480

841,995,936

2006

60,080,932,603

34,213,489,229

1,584,269,177

2005

47,128,042,826

22,778,843,658

1,299,179,811

2004

33,912,974,865

20,880,844,100

1,064,876,928

2003

29,281,817,779

17,477,115,909

619,334,592

 

Financial Description

 

Authorized Capital(KRW)

25,000,000,000

Paid-Up Capital(KRW)

5,800,000,000

Total Issues Shares

9,341,667

 

 

 

 

Balance Sheet

Unit : Korean Won

As of 12/31/2012

As of 12/31/2011

As of 12/31/2010

Total Assets

111,250,547,927

124,250,988,334

102,858,138,549

Current Assets

60,253,398,865

77,926,610,440

63,556,598,023

-Quick Assets

50,747,353,559

65,153,580,086

55,138,326,889

-Inventories

9,506,045,306

12,773,030,354

8,418,271,134

Fixed Assets

50,997,149,062

46,324,377,894

39,301,540,526

-Investment

20,560,931,954

22,795,860,611

18,566,971,156

-Tangibles

28,668,335,485

21,586,306,717

18,786,089,789

-Intangibles

117,784,067

133,113,010

112,782,025

-Others

1,650,097,556

1,809,097,556

1,835,697,556

Total Liabilities

81,623,706,475

80,495,803,469

59,975,096,067

Current Liabilities

70,762,736,622

61,952,855,706

42,058,509,337

Fixed Liabilities

10,860,969,853

18,542,947,763

17,916,586,730

Capital Stock

5,800,000,000

5,800,000,000

5,800,000,000

Capital Surplus

7,292,705,743

7,279,419,898

7,315,907,397

Profit Surplus

6,255,187,874

19,704,873,868

18,865,009,616

Capital Adjustment

10,278,947,835

10,970,891,099

10,902,125,469

Total Equity

29,626,841,452

43,755,184,865

42,883,042,482

Liab. & Shareholder’s Equity

111,250,547,927

124,250,988,334

102,858,138,549

 

Current Liabilities

70,762,736,622

61,952,855,706

42,058,509,337

Trade Payables

12,717,104,551

26,792,678,320

16,903,926,126

Short-Term Borrowings

39,724,046,137

25,873,956,326

17,875,416,145

Account Payables

1,147,318,969

1,922,291,930

1,046,300,769

Advance Receipts

259,102,623

234,967,301

390,795,613

Withholdings

90,046,810

91,852,280

75,805,510

Accrued Expenses

1,143,890,598

1,021,561,975

895,706,027

Accrued Income Tax

12,449,934

-

1,175,582,658

Current Portion of Long-Term Debts

15,668,777,000

4,288,271,000

3,324,645,000

Unearned Income

-

162,233,953

151,431,590

Derivatives

-

1,565,042,621

218,899,899

Fixed Liabilities

10,860,969,853

18,542,947,763

17,916,586,730

Debentures

-

10,000,000,000

10,000,000,000

Long-Term Borrowings

6,507,770,512

3,798,492,395

3,019,966,503

Leasehold Deposit Received

25,000,000

-

 

Provision for Severance & Retirement

3,539,385,700

3,349,018,900

2,700,704,600

Deferred Income Tax Credit

1,103,157,683

1,444,728,649

2,197,961,129

 

 

Income Statement

Unit : Korean Won

As of 12/31/2012

As of 12/31/2011

As of 12/31/2010

Sales

136,994,417,146

166,232,901,807

149,636,458,668

Cost of Sold Goods

119,217,867,849

149,302,804,208

125,086,304,807

Gross Profit

17,776,549,297

16,930,097,599

24,550,153,861

Selling & Admin. Expenses

13,520,721,571

14,400,268,246

12,540,357,802

Operating Income

4,255,827,726

2,529,829,353

12,009,796,059

Non-Operating Income

4,460,709,208

3,959,242,017

4,449,340,124

Non-Operating Expenses

8,362,014,619

7,119,947,269

5,948,563,062

Income Before Taxes

354,522,315

-630,875,899

10,510,573,121

Income Taxes Expenses

258,489,706

-1,470,740,151

2,845,182,171

Net Income

96,032,609

839,864,252

7,665,390,950

 

 

Cash Flows

Unit : Korean Won

As of 12/31/2012

As of 12/31/2011

As of 12/31/2010

Cash Flows from Operating

-6,997,549,768

-4,917,680,089

-7,669,586,364

-Net Income

96,032,609

839,864,252

7,665,390,950

-Exp. without Cash Outflow

5,867,100,321

5,859,935,802

4,693,062,697

-Revenue without Cash Inflows

-2,219,734,231

-1,045,729,513

-2,666,217,337

-Changes in Asset/ & Liability

-10,740,948,467

-10,571,750,630

-17,361,822,674

Cash Flows from Investing

-5,017,666,343

-8,831,374,977

-176,790,554

-Cash Inflow from Investing

1,055,627,250

1,362,514,420

4,100,896,542

-Cash Outflows for Investing

-6,073,293,593

-10,193,889,397

-4,277,687,096

Cash Flows from Financing

5,982,115,123

9,454,553,896

10,347,678,853

-Cash Inflows from Financing

47,671,000,136

38,701,884,241

47,253,782,330

-Cash Outflows from Financing

-41,688,885,013

-29,247,330,345

-36,906,103,477

Increase/Decrease in Cash

6,033,100,988

4,294,501,170

2,501,301,935

Cash at the Beginning of Year

7,338,379,472

11,632,880,642

9,131,578,707

Cash at the End of Year

1,305,278,484

7,338,379,472

11,632,880,642

 

 

Products, Technologies, Services Description

 

Main Products & Services

Ship Panel, Cabin Door

Wall Panel

Ceiling Panel

Cabins

Unit Toilet

Cabin Door

Interior Furnishing

Marine Engineering

Installation

Detailed Products Spec.

Cabin Door

-   45 mm thick mineral wool core

-   Available in 0.4 and 0.6 mm steel plate. Galvanized steel also available.

-   Face sheets are totally supported by rigid mineral wool for increased impact resistance.

-   Superior insulating characteristics.

Technologies Acquired

 

 

 

Trade Partners & Competitors

 

Customers

SHINSUNG INTERIOR TECHNOLOGY CO., LTD.

Competitors

SHINHAN MACHINERY CO., LTD.

117, UBONG-RI, ONSAN-EUP, ULJU-GUN, ULSAN, KOREA

TEL:+82-52-240-5000~1  FAX:+82-52-240-5041

 

SAMGONG CO., LTD.

5B-1L, NOKSAN INDUSTRIAL COMPLEX, 1464-2, SONGJEONG-DONG, GANGSEO-GU, BUSAN, KOREA

TEL:+82-51-200-3040  FAX:+82-51-200-3046

 

ILJIN MACHINERY CO., LTD.

725-2, HWANGSEONG-DONG, NAM-GU, ULSAN, KOREA

TEL:+82-52-259-8800  FAX:+82-52-257-5525

 

 

Related Parties (Subsidiaries, Joint-Venture & Affiliates)

 

Affiliates

SMACO ENG CO., LTD (180111-0521872)

D&S KOREA CO., LTD.(KOREA)

STA INTECH CO., LTD.(180111-0520022)

D LINE KOREA CO., LTD.(110111-3896507)

Overseas Office

CHINA HEAD OFFICE (FACTORY)

#1 CHENG DUN RD., GANGKOU STREET, FENGHUANG TOWN, ZHANGJIAGANG CITY, JIANGSU PROVINCE, CHINA

TEL :+ 82 512 56987000  FAX :+86 512 56987001

 

SHANGHAI BRANCH OFFICE

RM.2707, #2077, YANAN RD. (WEST), CHANGNING, DISTRICT, SHANGHAI, CHINA

TEL :+86 21 6270387 62703872  FAX:+86 21 62703797

 

STACO INDIA BRANCH OFFICE

C/612, LEGEND APT., SANTACRUZ (EAST), MUMBAI, INDIA 400055

TEL/FAX :+ 91 22 2665 3899  MOBILE:+ 91 932 331 7008

Joint Venture

STACO CHALMERS CO., LTD.(180111-0747072)

(50.0% held by the subject company)

Subsidiary

STAPREVILLE CO., LTD.(110111-4164581)

(66.7% held by the subject company)

 

GREEN FILED CO., LTD.(KOREA)

(59.6% held by the subject company)

 

STACO NEW TECH MATERIAL (ZHANGJIAGANG) CO., LTD.(CHINA)

(92.0% held by the subject company)

CHENGDUN RD.1, CANGKOU ST, FENGHUANG TN, JIANG JIAGANG CITY, JIANGSU PROVINCE, CHINA

 

STACO NEW TECH MATERIAL (DALIAN) CO., LTD.(CHINA)

(100.0% held by the subject company)

 

STA VINA CO., LTD.

(100.0% held by the subject company)

Cooperative Enterprise

LIVART FURNITURE CO., LTD.

54-10, BUK-RI, NAMSA-MYEON, CHEOIN-GU, YONGIN-SI, GYEONGGI-DO 449-884 KOREA

TEL:+82-31-331-7921 FAX:+82-31-332-7656

INDUSTRY: MANUFACTURE OF OTHER WOOD FURNITURE

 

SIGONG TECH CO., LTD.

SIGONG BLDG., 107-7, SAMSEONG 1-DONG, GANGNAM-GU, SEOUL 135-873 KOREA

TEL:+82-2-3438-0077 FAX:+82-2-3438-0088

INDUSTRY: ARCHITECTURAL SERVICES

 

NAGASAKI SENBAKU SOBI (NSS)(WWW.NSSJPN.CO.JP)

LOCATION: NAGASAKI, JAPAN

(OEM CONTRACT IN JAPAN)

 

B&B ITALIA SPA(WWW.BEBITALIA.IT)

LOCATION: MILAN, ITALY

 

S.A.SVENDSEN OY(WWW.SASVENDSEN.COM)

KINIEMENTIE 3 B, FIN-00210 HELSINKI, FINLAND

TEL:+358 9 681 1170 FAX:+358 9 681 11 768

 

-Insured Company

HEUNGKUK FIRE & MARINE INSURANCE CO., LTD.(110111-0016728)

HANWHA NON-LIFE INSURANCE CO., LTD.(110111-0006456)

 

 

Sales by Region (Activity & Markets)

 

The Subject deals with the companies in Italy, Finland, USA, China and Japan.

 

Court Action

 

No.

 

News Clipping

---

 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.63.78

UK Pound

1

Rs.100.70

Euro

1

Rs.84.66

 

INFORMATION DETAILS

 

Report Prepared by :

NLM

 

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.