MIRA INFORM REPORT

Report Date :

09.12.2013

IDENTIFICATION DETAILS

Name :	DONG-IL ALUMINIUM CO., LTD.

Registered Office :	160, Seonggeo-gil, Seonggeo-eup, Seobuk-gu, Cheonan-si, Chungcheongnam-do, Korea

Country :	South Korea

Financials (as on) :	31.12.2013

Date of Incorporation :	25.04.1989

Com. Reg. No.:	312-81-06487

Legal Form :	Company Limited By Shares

Line of Business :	Manufacture of Smelting, Refining and Alloys of Aluminum

No of Employees :	286

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 – September 30, 2014

Country Name

Previous Rating

(30.06.2014)

Current Rating

(30.09.2014)

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. South 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. South 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-Korea Free Trade Agreement was ratified by both governments in 2011 and went into effect in March 2012. Throughout 2012 and 2013 the economy experienced sluggish growth because of market slowdowns in the United States, China, and the Eurozone. The administration in 2014 is likely to face the challenge 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, dominance of large conglomerates (chaebols), and heavy reliance on exports, which comprise about half of GDP.

Source : CIA

Basic Information

Company Name	DONG-IL ALUMINIUM CO., LTD.
Registered Address	160, Seonggeo-gil, Seonggeo-eup, Seobuk-gu, Cheonan-si, Chungcheongnam-do, Korea (Old Address System : 378-1, Cheonheung-ri, Seonggeo-eup, Cheonan-si, Chungcheongnam-do, Korea)
Building	--
Zip Code	330-836
Tel	+82-41-559-2200
Fax	+82-41-555-9600
E-mail	diaft@dongilal.com ; diaa240@hanmail.net
Website	www.dongilal.com

Trading Address	Jung-Hyun Bldg., 944-1, Daechi 3-dong, Gangnam-gu, Seoul, Korea
Tel	+82-2-2222-3342
Fax	+82-2-555-9600

Other Address	517, Sincheon-ri, Hallim-myeon, Gimhae-si, Gyeongsangnam-do, Korea
Tel	+82-55-342-5503~4
Fax	+82-55-342-5505

Type	Export
Industry	Manufacture of Smelting, Refining and Alloys of Aluminum
Main Business	Aluminum Foil, Heat Exchanger

Established (mm/dd/yyyy)	04/25/1989

Detailed Products

Activity	Detailed Products (UNSPSC)
Sell	Aluminum foil(30102006)
Sell	Heat exchangers(40101802)
Sell	Lining papers(14111616)
Sell	Aluminum(11101705)

CEO’s

Name	Hwang Ku-Yon
Address	Suite 221-501, 435, Olympic-ro, Songpa-gu, Seoul, Korea
Date of Birth	06/12/1953
Title	President & CEO
Sex	Male
Nationality	Korean

Profiles

Capital (KRW)

25,978,050,000

Employees

286

Formation

Co., Ltd by shares

A Company of Dongil Group

Bank Details

Kookmin Bank-Head Office

Shinhan Bank-Teheranro Branch

Corporate Registered No.

161511-0005350

Business Registered No.

312-81-06487

Permit & Licenses

01/15/1998 ISO 9001

04/12/2001 KS

04/12/2001 ISO 9001

Int’l Trade No.: 258340

Shareholder Position

Name	Shares	%
DONGIL CORPORATION(110111-0019219)	4,687,746	90.23
KOOKMIN BANK(110111-0015655)	487,500	9.38
DI-BIZ CO., LTD.(110111-0584858)	8,454	0.16
OTHERS	11,910	0.23
TOTAL	5,195,610	100.00

Company History

04/25/1989 Incorporated as the present name

04/01/1990 Operate Cheonan Factory

04/01/1992 Launched into Aluminum Foil Business

11/30/2000 Awarded US$30 Million Export Top Prize

08/13/2004 Established India Corporation

10/28/2004 Established Kimhae Factory

11/30/2005 Awarded US$ 70 Million Export Top Prize

11/30/2007 Awarded US$ 100 Million Export Top Prize

Management

Job Description	Title	Name	Sex	Nationality	Inauguration Date
President & CEO	Mr.	Hwang Ku-Yon	Male	Korean	03/16/2007
Director	Mr.	Seo Min-Suck	Male	Korean	03/15/2002
Director	Mr.	Park Chan-Kyu	Male	Korean	03/18/2011
Director	Mr.	Jung Nak-Ho	Male	Korean	03/16/2007
Director	Mr.	Byun Hong	Male	Korean	03/29/2013
Auditor	Mr.	Jung Kyu-Young	Male	Korean	03/29/2013

Financials

Year / Unit : KRW	Sales	Assets	Net Income
(*)2013	172,842,645,449	107,774,609,354	5,050,809,911
(*)2012	161,459,628,488	82,382,925,289	4,822,366,085
(*)2011	175,199,488,738	82,160,059,742	4,867,294,301
(*)2010	160,004,227,379	75,297,297,883	5,743,050,969
2009	141,421,391,160	58,819,250,347	5,184,281,705
2008	151,324,120,451	57,940,034,976	5,495,116,405
2007	144,796,082,860	56,364,009,526	2,383,590,979
2006	118,167,986,913	56,697,724,064	1,362,952,707
2005	106,317,078,934	58,176,928,250	(-)686,871,601
2004	113,181,018,751	64,352,717,636	3,687,522,633
2003	90,405,543,621	55,890,960,314	3,187,731,151

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

Financial Description

Authorized Capital(KRW)	30,000,000,000
Paid-Up Capital(KRW)	25,978,050,000
Total Issues Shares	5,195,610

Balance Sheet
Unit : Korean Won	As of 12/31/2013	As of 12/31/2012	As of 12/31/2011
Total Assets	107,774,609,354	82,382,925,289	82,160,059,742
Current Assets	39,538,203,588	38,096,723,161	41,980,845,421
Cash & Cash Equivalents	3,423,520,013	5,108,865,859	6,968,598,506
Current Financial Instruments	51,415,000	6,260,000	5,085,000
Trade Receivables	17,054,663,192	16,273,881,090	17,798,007,339
Other Receivables	2,551,022,125	1,187,961,355	1,328,950,188
Inventories	16,401,392,106	15,367,671,081	15,824,413,656
Other Current Assets	56,191,152	152,083,776	55,790,732
Non-Current Assets	68,236,405,766	44,286,202,128	40,179,214,321
Non-Current Financial Instruments	905,095,000	942,040,000	345,310,000
Investment_Related Companies	649,072,922	1,038,290,386	1,565,025,117
Tangibles	66,074,836,093	41,559,300,558	37,572,426,921
Intangibles	446,470,751	455,640,184	463,609,283
Other Non-Current Assets	160,931,000	290,931,000	232,843,000
Total Liabilities	47,186,462,135	26,017,471,038	29,243,546,483
Current Liabilities	33,183,352,894	21,247,852,399	21,691,730,737
Trade Payables	9,224,832,964	9,581,306,909	9,366,395,200
Other Current Financial Debts	19,685,000,000	6,802,300,000	8,253,911,344
Other Payables	3,641,236,809	3,257,145,073	3,022,269,988
Accrued Income Tax	387,786,850	557,135,725	812,270,275
Other Current Liabilities	244,496,271	1,049,964,692	236,883,930
Non-Current Liabilities	14,003,109,241	4,769,618,639	7,551,815,746
Other Non-Current Financial Debts	12,500,000,000	2,000,000,000	4,200,000,000
Provision for Severance & Retirement	292,039,387	1,115,829,445	1,613,082,376
Deferred Income Tax Credit	1,211,069,854	1,653,789,194	1,738,733,370
Capital Stock	25,978,050,000	25,978,050,000	25,978,050,000
Capital Surplus	35,082,467,228	30,667,771,009	27,160,808,823
Others	-472,370,009	-280,366,758	-222,345,564
Total Equity	60,588,147,219	56,365,454,251	52,916,513,259
Liab. & Shareholder’s Equity	107,774,609,354	82,382,925,289	82,160,059,742

Income Statement
Unit : Korean Won	As of 12/31/2013	As of 12/31/2012	As of 12/31/2011
Sales	172,842,645,449	161,459,628,488	175,199,488,738
Cost of Sold Goods	160,303,385,195	148,481,739,929	162,272,473,848
Gross Profit	12,539,260,254	12,977,888,559	12,927,014,890
Selling & Admin. Expenses	6,670,315,981	6,933,615,742	6,898,033,836
Operating Income	5,868,944,273	6,044,272,817	6,028,981,054
Finance Income	570,944,822	620,639,660	2,199,253,870
Finance Expenses	922,477,408	966,765,110	1,730,496,791
Other Income	235,169,483	649,797,959	256,899,554
Other Expenses	297,692,635	44,007,710	141,989,260
Profits from Investment on Related Companies	-282,532,824	-385,298,585	-288,952,988
Income Before Taxes	5,172,355,711	5,918,639,031	6,323,695,439
Income Taxes Expenses	121,545,800	1,096,272,946	1,456,401,138
Net Income	5,050,809,911	4,822,366,085	4,867,294,301

Cash Flows
Unit : Korean Won	As of 12/31/2013	As of 12/31/2012	As of 12/31/2011
Operating Activities Cash Flows	2,722,606,917	9,282,493,086	1,946,742,790
Net Income	5,050,809,911	4,822,366,085	4,867,294,301
Adjustment	-1,282,973,763	6,094,432,484	-1,043,345,581
Interests Received	144,302,202	108,064,242	146,043,312
Interests Paid	-293,565,508	-451,936,460	-714,926,572
Income Taxes	-895,965,925	-1,290,433,265	-1,308,322,670
Cash Flows from Investing	-26,883,774,343	-6,585,295,845	-8,991,208,036
Cash Flows from Financing	22,473,468,250	-4,560,139,069	4,506,331,322
Increase/Decrease in Cash	-1,687,699,176	-1,862,941,828	-2,538,133,924
Cash at the Beginning of Year	5,108,865,859	6,968,598,506	9,505,044,567
Cash at the End of Year	3,423,520,013	5,108,865,859	6,968,598,506

Products, Technologies, Services Description

Main Products & Services

Aluminum Foil

Heat Exchanger

Detailed Products Spec.

Technologies Acquired

Trade Partners & Competitors

Suppliers

Customers

DIA ALUMINIUM INDIA PRIVATE LIMITED

DONG-IL DEVANLAY INC.(110111-1973604)

DONGIL CORPORATION(110111-0019219)

LG ELECTRONICS INC.(110111-2487050)

Competitors

SAM-A ALUMINIUM CO., LTD.

111-2, BAKDAL 2-DONG, MANAN-GU, ANYANG-SI, GYEONGGI-DO, KOREA

TEL:+82-31-467-6800 FAX:+82-31-446-2121

DAE HAN EUNPAKGY CO., LTD.

308, UNYONG-RI, DUNPO-MYEON, ASAN-SI, CHUNGCHEONGNAM-DO, KOREA

TEL:+82-41-532-0108 FAX:+82-41-532-0109

KOREA ALUMINIUM CO., LTD.

457, GWANGDEOK-RI, DOAN-MYEON, JEUNGPYEONG-GUN, CHUNGCHEONGBUK-DO, KOREA

TEL:+82-43-836-8801 FAX:+82-43-836-8804

Related Parties (Subsidiaries, Joint-Venture & Affiliates)

Affiliates-Domestic	DONGIL CORPORATION(110111-0019219) DONG IL RENOWN INC.(120111-0002444) DONG-IL Y&K INC(110111-0090384) DONG-IL DEVANLAY INC.(110111-1973604) DI-BIZ CO., LTD.(110111-0584858)
Affiliates-Overseas	PT DONGIL INDONESIA DIB-EGYPT LTD. QINGDAO DONGIL CO., LTD.(CHINA)
Overseas Office
Liaison Office
Overseas Branch
Joint Venture	DIA ALUMINIUM INDIA PRIVATE LIMITED (50.0% held by the subject company) Dong-il Corporation and Dong-il aluminium Corporation established, investing 50:50, at August 13, 2004 by purpose for oversea market reclamation of heat exchanger for air conditioner. It is situated in PUNE footway, MUMBAI, neighborhood city and rushed in regular production after it is completed in first half of 2005. We are trying for the production, sale growth by main force of heat exchanger. Also, as the first local subsidiary, feel self-conceit, and we will expand our business area through oversea market reclamation and production and sale extension. PLOT NO. A-6/2, MIDC RANJANGAON, TAL. SHIRUR .DIST. PUNE -412 220 ,INDIA TEL:+91-21-3823-2841 FAX:+ 91-21-3823-2844 CHEON KWON, LEE, PRESIDENT : LCK3712@YAHOO.CO.KR D-29, MARIGOLD, KALYANINAGAR, PUNE -411 014, INDIA TEL:+91-20-2703-1061 FAX:+ 91-20-2703-2844 YOUNG CHEON, KIM, MANAGER : DIAKYC@YAHOO.CO.KR
Subsidiary
Corporate Ownership	DONGIL CORPORATION(110111-0019219)
Major Shareholders	DONGIL CORPORATION(110111-0019219)
Cooperative Enterprise	-Insured Company MERITZ FIRE & MARINE INSURANCE CO., LTD(110111-0013328)

Sales by Region (Activity & Markets)

The subject deals with the companies in Australia, China, Germany, India, Indonesia, Iran, Japan and USA.

Court Action

No.

News Clipping

-----

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.61.93
UK Pound	1	Rs.96.37
Euro	1	Rs.76.10

INFORMATION DETAILS

Analysis Done by :	DIV

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%)

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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.