MIRA INFORM REPORT

 

 

Report Date :

11.10.2014

 

IDENTIFICATION DETAILS

 

Name :

RIFA CO., LTD.

 

 

Registered Office :

70, Seonyudong 2-ro, Yeongdeungpo-gu, Seoul, Korea

 

 

Country :

South Korea

 

 

Financials (as on) :

30.06.2014

 

 

Date of Incorporation :

29.03.1950

 

 

Com. Reg. No.:

107-81-13542

 

 

Legal Form :

Listed Company

 

 

Line of Business :

Wholesaler of Dyes, Pigments and Related Products.

 

 

No of Employees :

70

 

 

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 – June 1, 2014

 

Country Name

Previous Rating

(31.03.2014)

Current Rating

(01.06.2014)

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. 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

RIFA CO., LTD.

(Korean Company Name : “이화산업()”)

Registered Address

70, Seonyudong 2-ro, Yeongdeungpo-gu, Seoul, Korea

Building

Rifa Bldg.

Zip Code

150-045

Tel

+82-2-2007-5555

Fax

+82-2-2636-2230

E-mail

rifa@rifa.co.kr

Website

www.rifa.co.kr

Trading Address

Rifa Bldg., 70, Seonyudong 2-ro, Yeongdeungpo-gu, Seoul, Korea

(Old Address System : Rifa Bldg., 9-4, Dangsan-dong 5-ga, Yeongdeungpo-gu, Seoul, Korea)

Tel

+82-2-2007-5555

Fax

+82-2-2636-2230

Other Address-Incheon Factory

223-1, Seongnam 2-dong, Seo-gu, Incheon, Korea

Tel

+82-32-571-5221

Fax

+82-32-574-7113

Other Address-Daegu Branch

2004-10, Bisan-dong, Seo-gu, Daegu, Korea

Tel

+82-53-352-7314

Fax

+82-53-351-2453

Other Address-Busan Branch

938, Yeongseondong 4-ga, Yeongdo-gu, Busan, Korea

Tel

+82-51-415-0391

Fax

+82-51-415-0396

Type

Export/Import

Industry

Wholesale of Dyes, Pigments and Related Products

  Main Business

Dye, Food Additives, Technical Grade

  Sub Business

 

Established (mm/dd/yyyy)

03/29/1950

The Subject owns the premises of registered HQ address.

 

 

Detailed Products

 

Activity

Detailed Products (UNSPSC)

Sell

Personal communication devices(43191500)

Sell

Digital video disk players or recorders(52161516)

Sell

Ethers or its substitutes(12352112)

Sell

Inorganic metal salts(12352302)

Sell

Aromatic or heterocyclic compounds(12352005)

Sell

Organic acids or its substitutes(12352106)

Buy

Keyboards(43211706)

Buy

Television tuners(52161546)

Buy

Dry cell batteries(26111705)

Buy

Screws(31161500)

Buy

Remote control(52161525)

Buy

Rubber and elastomers(13100000)

Buy

Signal cable(26121604)

Buy

Light emitting diodes LEDs(32111503)

Buy

Inter connect wire(26121532)

Buy

Indicating and recording instruments(41111900)

Buy

Electrical cable and accessories(26121600)

Buy

Power cable for direct burial(26121615)

 

 

CEO’s

 

Name

Min Kyung-Seo

Address

 

Date of Birth

12/29/1945

Title

President & CEO

Sex

Male

Nationality

Korean

 

 

Profiles

 

Capital (KRW)

14,000,000,000

Employees

70

Formation

Listed Company (Korea Stock Exchange : 000760) as of 04/29/1994

Bank Details

Shinhan Bank-Dangsan Dong Branch

Woori Bank

Corporate Registered No.

110111-0018138

Business Registered No.

107-81-13542

Permit & Licenses

03/15/1995 ISO 9002 by DNV

07/09/2000 ISO 14001 by DNV

04/17/2003 QS 9000 by TUV

11/2008 Certified of REACH[Regulation (EC) NO 1907/2006] by KTR Europe GmbH

08/2008 Certified of Global Organic Textile Standard (GOTS) by Control Union Certifications Korea

 

Int’l Trade No.: 680183

Shareholder Position

Name

Shares

%

RIFA ADVANCED MATERIALS CO,. LTD.(110111-0432601)

640,517

22.88

CHO KYU-WAN

837,173

29.90

CHO HONG-SEOK

454,916

16.25

RIFA ENG CO., LTD.(110111-0700373)

91,887

3.28

OTHERS

775,507

27.70

TOTAL

2,800,000

100.00

Company History

03/29/1950 Incorporated as the present name

11/30/1988 Awarded US$ 10 Million Export Top Prize

 

 

 

 

Detailed Information

 

Management

 

Job Description

Title

Name

Nationality

Date of Birth

Education

Chairman

Mr.

Cho Chang-Hwan

Korean

1937.09.10

Western Reserve College

Vice Chairman

Mr.

Cho Kyu-Wan

Korean

1963.08.17

FDU

President & CEO

Mr.

Min Kyung-Seo

Korean

1945.12.29

Sungkyunkwan University, Korea

Outside Director

Mr.

Kim Hyun-Tae

Korean

1964.01.

-

Auditor

Mr.

Jang Yoon-Zip

Korean

1939.12.17

Dongkuk University, Korea

 

 

Financials

 

Year / Unit : KRW

Sales

Assets

Net Income

(*)06/2014

21,147,901,777

109,559,595,175

27,485,473,464

(*)03/2013

71,159,511,554

115,979,436,740

-4,229,547,750

(*)03/2012

63,599,388,818

114,821,410,368

4,458,981,975

(*)03/2011

63,435,159,044

98,386,328,791

-1,804,888,424

(*)03/2010

65,013,387,025

100,229,512,052

6,957,699,418

03/2009

54,882,811,834

72,944,156,520

-942,117,631

03/2008

51,695,295,044

78,281,693,421

101,662,750

03/2007

50,243,928,303

75,306,371,582

-6,022,758,489

03/2006

54,960,720,087

83,357,921,282

-10,224,279,532

03/2005

72,243,437,421

93,661,255,558

-9,479,393,293

03/2004

84,340,634,472

99,050,498,605

-5,895,978,267

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

 

 

Financial Description

 

Authorized Capital(KRW)

28,000,000,000

Paid-Up Capital(KRW)

14,000,000,000

Total Issues Shares

2,800,000

 

Balance Sheet

Unit : Korean Won

04/01/2014~06/30/2014

As of 03/31/2013

As of 03/31/2012

Total Assets

109,559,595,175

115,979,436,740

114,821,410,368

Current Assets

44,940,880,317

40,506,021,707

40,984,690,736

Cash & Cash Equivalents

6,340,419,141

3,643,170,272

2,498,470,969

Trade Receivables

24,845,118,295

23,922,482,945

29,074,133,273

Other Receivables

227,363,325

268,870,878

85,987,022

Inventories

13,361,309,721

12,526,972,558

9,208,796,488

Other Current Assets

166,669,835

144,525,054

117,302,984

Non-Current Assets

64,618,714,858

75,473,415,033

73,836,719,632

Non-Current Financial Instruments

36,500,000

36,500,000

16,500,000

Other Receivables

158,693,281

32,173,281

32,173,281

Other Financial Assets

20,400,000

20,570,000

22,775,000

Tangibles

9,171,034,402

20,139,295,843

20,398,528,326

Intangibles

208,898,477

208,898,477

207,963,917

Deferred Income Taxes

1,864,409,590

1,877,198,324

0

Investment_Related Companies

53,158,779,108

53,158,779,108

53,158,779,108

Total Liabilities

39,711,646,230

73,599,919,363

68,273,779,728

Current Liabilities

27,442,956,176

46,338,998,785

53,203,886,053

Trade Payables

2,571,841,017

2,588,956,283

2,204,088,363

Short-Term Borrowings

17,000,000,000

37,176,080,138

49,487,988,078

Deferred Income Taxes

6,499,793,692

0

0

Other Payables

1,216,123,491

1,275,346,689

1,260,156,329

Other Current Liabilities

155,197,976

5,298,615,675

251,653,283

Non-Current Liabilities

12,268,690,054

27,260,920,578

15,069,893,675

Long-Term Borrowings

10,500,000,000

25,500,000,000

13,500,000,000

Other Payables

760,633,022

663,898,651

360,100,000

Provision for Severance & Retirement

1,008,057,032

1,097,021,927

1,209,793,675

Capital Stock

14,000,000,000

14,000,000,000

14,000,000,000

Capital Surplus

8,820,000,000

8,820,000,000

8,820,000,000

Profit Surplus

39,217,965,257

11,749,533,689

15,917,646,952

Others

7,809,983,688

7,809,983,688

7,809,983,688

Total Equity

69,847,948,945

42,379,517,377

46,547,630,640

Liab. & Shareholder’s Equity

109,559,595,175

115,979,436,740

114,821,410,368

 

Income Statement

Unit : Korean Won

04/01/2014~06/30/2014

As of 03/31/2013

As of 03/31/2012

Sales

21,147,901,777

71,159,511,554

63,599,388,818

Cost of Sold Goods

17,639,315,334

60,365,629,018

54,203,162,587

Gross Profit

3,508,586,443

10,793,882,536

9,396,226,231

Selling & Admin. Expenses

2,596,355,130

13,712,002,066

9,787,223,765

Operating Income

912,231,313

-2,918,119,530

-390,997,534

Other Operating Income

33,784,761,572

543,586,734

8,986,212,098

Other Operating Expenses

301,362,306

295,816,567

820,801,996

Finance Income

41,404,564

199,614,841

41,921,537

Finance Expenses

438,429,973

3,636,011,552

3,357,352,130

Income Before Taxes

33,998,605,170

-6,106,746,074

4,458,981,975

Income Taxes Expenses

6,513,131,706

-1,877,198,324

0

Net Income

27,485,473,464

-4,229,547,750

4,458,981,975

 

Cash Flows

Unit : Korean Won

04/01/2014~06/30/2014

As of 03/31/2013

As of 03/31/2012

Operating Activities Cash Flows

-6,799,422,015

-3,021,603,197

1,479,714,260

Cash Flows from Operating

-6,471,098,335

-172,359,358

4,793,665,655

Net Income

27,485,473,464

-4,229,547,750

4,458,981,975

Adjustment

-26,625,088,205

6,505,803,900

-2,785,680,269

Changes in Asset/ & Liability

-7,331,483,594

-2,448,615,508

3,120,363,949

Interests Received

13,500,984

40,453,028

37,054,379

Interests Paid

-341,275,384

-2,889,696,867

-3,351,005,774

Income Taxes

-549,280

 

 

Cash Flows from Investing

44,672,751,022

4,478,210,440

-2,892,039,000

Cash Inflow from Investing

45,000,170,000

4,502,205,000

2,000,000

Cash Outflows for Investing

-327,418,978

-23,994,560

-2,894,039,000

Cash Flows from Financing

-35,176,080,138

-311,907,940

2,279,001,010

Cash Inflows from Financing

 

15,000,000,000

3,000,000,000

Cash Outflows from Financing

-35,176,080,138

-15,311,907,940

-720,998,990

Increase/Decrease in Cash

2,697,248,869

1,144,699,303

866,676,270

Cash at the Beginning of Year

3,643,170,272

2,498,470,969

1,631,794,699

Cash at the End of Year

6,340,419,141

3,643,170,272

2,498,470,969

 

 

Products, Technologies, Services Description

 

Main Products & Services

Dyestuffs

 

Chemicals

-Food additives

Preservative

Antioxidant

Flavor Enhancer

Acidifier

Sweetener

Solvent

Enriched agents

 

-Solvent

Aceton

Ethyl Acetate

Isopropyl Alcohol

Methanol

Methylethyl Ketone

Toluene

Xylene

Detailed Products Spec.

 

Technologies Acquired

 

 

 

Trade Partners & Competitors

 

Suppliers

 

Customers

 

Competitors

KYUNG-IN SYNTHETIC CORPORATION

223-52, SEONGNAM-DONG SEO-GU INCHEON, 404-220 SOUTH KOREA

TEL:+82-32-5717498 FAX:+82-2-36608539

 

DIAMINES & CHEMICALS LTD

PLOT NO.13, PCC AREA, PO. PETROCHEMICALS, VODODRA, 391 346 INDIA

TEL:+91-265-2230305 FAX:+91-265-2230218

 

VIDHI DYESTUFFS MANUFACTURING LTD

E/27, COMMERCE CENTRE 78 TARDEO ROAD, 5TH FLOOR MUMBAI, 400 034 INDIA

TEL:+91-22-23514349 FAX:+91-22-23521980

 

 

Related Parties (Subsidiaries, Joint-Venture & Affiliates)

 

Affiliates-Domestic

YOUNG HWA INDUSTRIAL CO., LTD.(110111-0015754)

(44.35% held by the subject company)

 

RIFA ADVANCED MATERIALS CO., LTD.(110111-0432601)

RIFA ENG CO., LTD.(110111-0700373)

SAMMYUNG CO., LTD.(120111-0002923)

RIFATRON CO., LTD.(110111-1500051)

DMCC SPORTS CO., LTYD.(110111-3593666)

OCTAGON PARTNERS CO., LTD.(110111-3711226)

RIFA & COMPANY(110111-3732793)

N- RIFA CO., LTD.(110111-3742940)

RIFA YUTONG CO., LTD.(110111-1812729)

 

RIFA MULSAN CO., LTD.(120111-0492158)

(69.29% held by the subject company)

 

NOMURA RIFA ASSET MANAGEMENT CO., LTD.(110111-3742940)

Affiliates-Overseas

RIFA SHANGHAI CO., LTD.(CHINA)

(100.0% held by the subject company)

Overseas Office

 

Liaison Office

 

Overseas Branch

 

Joint Venture

 

Subsidiary

RIFA SHANGHAI DYESTUFF CO., LTD.(CHINA)

(100.0% held by the subject company)

 

RIFA SHANGHAI CO., LTD.(CHINA)

(100.0% held by the subject company)

Corporate Ownership

 

Major Shareholders

 

Cooperative Enterprise

-Insured Company

DONGBU INSURANCE CO., LTD.(110111-0095285)

 

 

Sales by Region (Activity & Markets)

 

Sales/ Unit :Mil KRW

09/2012

03/2011

03/2010

Export

6,119

9,449

12,205

Domestic

26,844

53,986

52,808

Total

32,963

63,435

65,013

The Subject exports to Hong Kong, Netherland, U.S.A., Japan and Italy.

 

 

Court Action

 

Case No.

Court

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

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

Cause

Amount (KRW)

Status

 

Seoul Central District Court

YOUNG HWA INDUSTRIAL CO., LTD.(110111-0015754) & The Subject Company

Doam Nokcheon Golf Center Co., Ltd. & Others(3)

Compensation for Damage

468,125,000

Proceeding

 


News Clipping

 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.61.16

UK Pound

1

Rs.98.62

Euro

1

Rs.77.67

 

 

INFORMATION DETAILS

 

Analysis Done by :

SUM

 

 

Report Prepared by :

TPT

 


 

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.