MIRA INFORM REPORT

 

 

Report Date :

31.05.2014

 

IDENTIFICATION DETAILS

 

Name :

STX CORPORATION

 

 

Formerly Known As :

SSANGYONG HEAVY INDUSTRIES CO., LTD

 

 

Registered Office :

105, Jungang-daero, Seongsan-gu, Changwon-si, Gyeongsangnam-do, Korea

 

 

Country :

South Korea

 

 

Financials (as on) :

31.03.2014

 

 

Date of Incorporation :

24.12.1976

 

 

Com. Reg. No.:

609-81-01917

 

 

Legal Form :

Listed Company

 

 

Line of Business :

Wholesale of Solid Fuel and Related Products

 

 

No of Employees :

142

 

 

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 :

Slow But Correct

 

 

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, 2014

 

Country Name

Previous Rating

(31.12.2013)

Current Rating

(31.03.2014)

South Korea

A1

A1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low Risk

 

A2

Moderately Low Risk

 

B1

Moderate Risk

 

B2

Moderately  High Risk

C1

High Risk

 

C2

Very High Risk

 

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

 

Basic

 

Company Name

STX CORPORATION

(Korean Company Name : “()STX”)

Registered Address

105, Jungang-daero, Seongsan-gu, Changwon-si, Gyeongsangnam-do, Korea

(Old Address System : 93-3, Jungang-dong, Seongsan-gu, Changwon-si, Gyeongsangnam-do, Korea)

Zip Code

642-845

Tel

+82-55-548-1122

Fax

+82-55-546-7928

E-mail

stxir@onestx.com

Website

www.stx.co.kr

Trading Address

22th Fl., STX Namsan Tower, 98, Huam-ro, Jung-gu, Seoul, Korea

(Old Address System : 22th Fl., STX Namsan Tower, 631, Namdaemunno 5-ga, Jung-gu, Seoul, Korea)

Tel

+82-2-316-9600  +82-2-311-9418

Fax

+82-2-316-9999

Type

Export/Import

Industry

Non-Financial Holding Companies

  Main Business

Maritime Equipments, Energy Resources, Ship Maintenance

  Sub Business

Wholesale of Solid Fuel and Related Products

Established (mm/dd/yyyy)

12/24/1976

 

Detailed Products

 

Activity

Detailed Products (UNSPSC)

Sell

Management Consulting & Support

Sell

Energy Resources

Sell

Investment

 

CEO’s

 

Name

Seo Choong-Il

Address

Suite 102-3204, 464, Cheongpa-ro, Jung-gu, Seoul, Korea

Date of Birth

03/03/1955

Title

President & CEO

Sex

Male

Nationality

Korean

 

Profiles

 

Capital (KRW)

671,660,977,500

Employees

142

Formation

Listed Company (Korea stock Exchange : 011810) as of 09/12/1990

A Company of STX Group

Bank Details

Woori Bank-Jungbu Sales Dept.

Corporate Registered No.

194211-0000183

Business Registered No.

609-81-01917

Permit & Licenses

Int’l Trade No.: 844929

Shareholder Position

Name

Shares

%

KOREA DEVELOPMENT BANK(110135-0000937)

98,080,158

36.51

WOORI BANK(110111-0023393)

40,250,240

14.98

NONGHYUP BANK(110111-4809385)

27,093,200

10.09

SHINHAN BANK(110111-0012809)

15,907,840

5.92

KOREA FINANCE CORPORATION(254171-0016498)

8,393,520

3.12

OTHERS

78,882,473

29.37

TOTAL

268,607,431

100.00

Company History

12/24/1976 Incorporated as SSANGYONG HEAVY INDUSTRIES CO., LTD.

05/01/2001 Changed company name to the present name

11/28/2003 Awarded US$ 200 Million Export Top Prize

03/2011 Moved to the present HQ address from 100, Wonpo-dong, Jinhae-gu, Changwon-si, Gyeongsangnam-do, Korea

04/04/2011 Spin off into the Subject company and newly established company(STX MARINE SERVICE CO., LTD.(180111-0755413))

09/01/2012 Acquired STX FUTURE INSTITUTE CO., LTD.(110111-4573433)

05/2013 Applied for Collaborate Management by Institutional Creditors

01/2014 Agreed to execute Management Normalization Plan with Institutional Creditors

02/11/2014 Increased the authorized shares to 500,00,00 shares from 200,00,000 shares

03/13/2014 Increased capital to 671,660,977,500 KRW from 42,883,495,000 KRW

 

 


Detailed Information

 

Management

 

Job Description

Title

Name

Nationality

Date of Birth

Education

President & CEO

Mr.

Seo Choong-Il

Korean

1955.03.03

Seoul National University, Korea

Auditor

Mr.

Cha Yong-Sik

Korean

1957.04.19

Busan National University, Korea

Outside Director

Mr.

Shin Dong-Hyuck

Korean

1953.08.05

Yonsei University, Korea

Sr. Executive Director

Mr.

Kim Soo-Bong

Korean

1952.05.13

Seoul National University, Korea

 

Financials

 

Year / Unit : KRW

Sales

Assets

Net Income

(*)03/2014

290,109,000,000

1,152,251,000,000

383,684,000,000

(*)2013

1,895,063,000,000

1,086,567,000,000

-1,646,014,000,000

(*)2012

4,116,767,000,000

3,226,878,000,000

-23,863,000,000

(*)2011

4,173,397,000,000

3,302,248,000,000

84,657,000,000

(*)2010

3,245,569,511,893

2,908,637,451,106

30,462,051,822

2009

2,225,676,108,489

2,523,599,224,167

-171,798,678,357

2008

2,418,949,621,357

2,185,999,043,376

23,258,333,562

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

 

 

Financial Description

 

Authorized Capital(KRW)

1,250,000,000,000

Paid-Up Capital(KRW)

671,660,977,500

Total Issues Shares

268,607,431(Common : 268,607,348 / Preferable : 83)

 

 

Balance Sheet

Unit : Million Korean Won

01/01/2014~03/31/2014

As of 12/31/2013

As of 12/31/2012

Total Assets

1,152,251

1,086,567

3,226,878

Current Assets

712,229

640,293

856,977

Cash & Cash Equivalents

49,680

43,139

17,643

Current Financial Instruments

245,528

231,891

79,552

Derivatives

2,939

2,615

3,214

Trade Receivables

252,047

228,917

404,642

Inventories

86,939

47,749

108,537

Advance Payments

49,483

63,294

88,568

Other Receivables

22,826

20,146

152,376

Current Non-Financial Instruments

2,787

2,542

2,445

Non-Current Assets

440,022

446,274

2,369,890

Non-Current Financial Instruments

78,958

82,334

47,818

Investment_Subsidiaries

108,607

108,607

421,532

Investment_Related Companies

51,430

54,088

1,611,214

Long-Term Trade Receivables

3,987

6,992

20,156

Other Receivables

54,771

50,717

93,564

Tangibles

61,150

62,152

69,598

Investment_Real Estates

74,944

75,066

75,556

Intangibles

6,175

6,318

10,255

Deferred Income Tax Assets

 

 

20,197

Non-Current Assets to be Sold

 

 

11

Total Liabilities

1,042,852

1,608,657

2,103,344

Current Liabilities

631,524

1,071,743

1,821,548

Trade Payables

74,922

117,155

211,303

Advance Receipts

42,756

34,333

56,330

Short-Term Borrowings

413,604

474,021

949,942

Current Portion of Long-Term Debts

18,792

350,280

540,299

Other Current Financial Debts

58,737

66,472

59,925

Derivatives

1,725

1,457

3,135

Current Non-Financial Debts

20,988

28,025

614

Non-Current Liabilities

411,328

536,914

281,796

Debentures

117,565

144,989

180,338

Long-Term Borrowings

291,592

391,256

97,993

Other Non-Current Financial Debts

676

669

3,465

Deferred Income Tax Credit

1,495

 

 

Capital Stock

671,661

153,838

151,128

Capital Surplus

279,876

579,097

574,117

Treasury Stock

 

-23,570

-23,570

Others

5,633

 

 

Profit Surplus

-847,771

-1,231,455

421,859

Total Equity

109,399

-522,090

1,123,534

Liab. & Shareholder’s Equity

1,152,251

1,086,567

3,226,878

 


 

Income Statement

Unit : Million Korean Won

01/01/2014~03/31/2014

As of 12/31/2013

As of 12/31/2012

Revenues

290,109

1,895,063

4,116,767

Operating Expenses

-283,364

-1,962,296

-4,099,034

Cost of Sold Goods

-272,555

-1,814,171

-3,997,635

Selling Expenses

-5,750

-107,046

-51,826

Admin. Expenses

-5,059

-41,079

-49,573

Operating Income

6,745

-67,233

17,733

Other Operating Income

330

156,652

3,824

Other Operating Expenses

-1,997

-1,526,313

-11,534

Finance Income

442,326

250,308

174,647

Finance Expenses

-63,720

-439,134

-230,433

Income Before Taxes

383,684

-1,625,720

-45,763

Income Taxes Expenses

-

-20,294

21,900

Net Income

383,684

-1,646,014

-23,863

 

 

Cash Flows

Unit : Million Korean Won

01/01/2014~03/31/2014

As of 12/31/2013

As of 12/31/2012

Operating Activities Cash Flows

-78,109

85,353

159,192

Cash Flows from Operating

-79,983

59,987

121,994

Interests Received

2,177

15,421

6,552

Dividends Received

2

10,127

29,121

Income Taxes

-305

-182

1,525

Cash Flows from Investing

-13,822

256,801

-170,700

Cash Flows from Financing

98,800

-316,469

-58,448

Increase/Decrease in Cash

6,869

25,685

-69,956

Cash at the Beginning of Year

43,139

17,643

88,385

Cash at the End of Year

49,680

43,139

17,643

 

 

Products, Technologies, Services Description

 

Main Products & Services

Investment Business

Energy Business

Detailed Products Spec.

 

Technologies Acquired

 

 

 

Trade Partners & Competitors

 

Suppliers

NEXOLON COMPANY LIMITED(110111-3720673)

Customers

STX PAN OCEAN CO., LTD.(110111-0004286)

STX ENERGY CO., LTD.(135011-0121570)

STX JAPAN CORPORATION

CHINATEX GRAINS AND OILS IMP. & EXP. CO., LTD.

TRAFIGURA PTE LTD

Competitors

GS HOLDINGS CORP.

23TH FL., GS GANGNAM TOWER, 679, YEOKSAM 1-DONG, GANGNAM-GU, SEOUL, KOREA

TEL:+82-2-2005-8125  FAX:+82-2-2005-8180

 

LS CORP.

21TH FL., ASEM TOWER, 159-1, SAMSEONG 1-DONG, GANGNAM-GU, SEOUL, KOREA

TEL:+82-2-2189-9988  FAX:+82-2-2189-9799

 

SK HOLDINGS CO., LTD.

SK BLDG., 99, SEORIN-DONG, JONGNO-GU, SEOUL, KOREA

TEL:+82-2-2121-0114  FAX:+82-2-2121-7001

 

 

Related Parties (Subsidiaries, Joint-Venture & Affiliates)

 

Affiliates-Domestic

STX MARINE SERVICE CO., LTD.(180111-0755413)

(100.0% held by the subject company)

 

STX RESORT CORPORATION(110111-3794644)

(100.00% held by the subject company)

 

STX PAN OCEAN CO., LTD.(110111-0004286)

STX CONSTRUCTION CO., LTD.(194111-0009939)

STX SOLAR CO., LTD.(110111-3788671)

FORCE TEC CO., LTD.(194211-0019522)

HEUNG KOOK MUTUAL SAVINGS BANK(180111-0010255)

SAEROM SUNGWON INDUSTRIAL CO., LTD.(194211-0004523)

CXD CO., LTD.(194111-0012685)

CHEIL A&C CO., LTD.(110111-3159351)

STX HEAVY INDUSTRIES CO., LTD.(194111-0009004)

STX ELECTRIC POWER CO., LTD.(144711-0019225)

Affiliates-Overseas

STX(DAIRYIAN) ENGINE CO., LTD.(CHINA)

STX(DAIRYIAN) METAL CO., LTD.(CHINA)

STX(DAIRYIAN) INFORMATION & TECHNOLOGY CO., LTD.(CHINA)

DAIRYIAN STUS A&C CO., LTD.(CHINA)

POSI(DAIRYIAN) LOGISTICS CO., LTD.(CHINA)

STX BANGJISAN DEVELOPMENT (DAIRYIAN) CO., LTD. (CHINA)

STX HEAVY INDUSTRIES(MUSOON) CO., LTD.(CHINA)

STX MIDDLE EAST FZE

STX (SHANGHAI) CORPORATION LTD.

STX AMERICA INC.

ORION STROY

STX ENGINEERING & CONSTRUCTION GHANA LTD.

YOUNEX ENTERPRISES CORPORATION

STX-YOUNEX CONSTRUCTION CO., LTD.

STX CONSTRUCTION AUSTRALIA PTY., LTD.

STX INTERNATIONAL TRADING (SINGAPORE) PTE., LTD.

STX GHANA LTD.

STX SERVICE EUROPE B.V.

STX SERVICE SINGAPORE PTE., LTD.

STX SERVICE AMERICAS, LLC

STX BRASIL AGENCIAMENTO DE NEGOCIOS DE IMPORTACOES E EXPORTACOES DE BENS LTDA.

Subsidiary

STX MARINE SERVICE CO., LTD.(180111-0755413)

(100.0% held by the subject company)

 

STX RESORT CORPORATION(110111-3794644)

(100.00% held by the subject company)

 

 

Sales by Region (Activity & Markets)

 

Investment Business

 

Sales/ Unit :Mil KRW

03/2011

2010

2009

Export

625,254

2,047,398

 

Domestic

379,067

1,144,331

 

Total

1,004,321

3,191,729

 

 

Energy Business

 

Sales/ Unit :Mil KRW

09/2011

2010

2009

Export

36,966

33,011

1,144

Domestic

726,250

782,371

529,420

Total

763,216

815,382

530,564

The Subject deals with the companies in China, Japan, Middle East and Europe.

 

 

Court Action

 

Case No.

Court

Plaintiff(s)/ Creditor(s)/ Applicant(s)

Defendant(s)/ Debtor(s)/ Respondent(s)

Cause

Amount (Million KRW)

Status

 

 

The Subject Company

Sedong Enertec Co., Ltd.(Korea)

Claim for Compensation from Damages

1,060

1st round is proceeding

 

 

The Subject Company

SY Tank Terminal Co., Ltd.(Korea)

Claim for Compensation from Damages

2,935

1st round is proceeding

 

News Clipping

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.59.03

UK Pound

1

Rs.98.91

Euro

1

Rs.80.33

 

 

INFORMATION DETAILS

 

Analysis Done by :

DIV

 

 

Report Prepared by :

SHG

 

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.