MIRA INFORM REPORT

 

 

Report Date :

09.09.2014

 

IDENTIFICATION DETAILS

 

Name :

STYROLUTION KOREA LTD.

 

 

Registered Office :

143, Sanggae-ro, Nam-gu, Ulsan, Korea 680-180

 

 

Country :

South Korea

 

 

Financials (as on) :

31.12.2013

 

 

Date of Incorporation :

29.09.2008

 

 

Com. Reg. No.:

610-81-94885

 

 

Legal Form :

Co., Ltd by Shares

 

 

Line of Business :

Manufacture of Synthetic Rubber and Plastics Materials

 

 

No. of Employees

178

 

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

 

Basic

 

Company Name

STYROLUTION KOREA LTD.

(Korean Company Name : “한국스티롤루션())

Registered Address

143, Sanggae-ro, Nam-gu, Ulsan, Korea

(Old Address System : 472-9, Sanggae-dong, Nam-gu, Ulsan, Korea)

Building

 

Zip Code

680-180

Tel

+82-52-279-5800

Fax

+82-52-272-4801

E-mail

incheol.jeong@basf.com

Website

www.styrolution.com

Trading Address

5FL., Landmark Tower, 308, Gangnam-daero, Seocho-gu, Seoul, Korea

Tel

+82-2-6322-7777

Fax

+82-2-3707-7730

Other Address

 

Tel

 

Fax

 

Type

Export/Import

Industry

Manufacture of Synthetic Rubber and Plastics Materials

  Main Business

SM, PS, ABS, SBC, Copolymer

  Sub Business

 

Established (mm/dd/yyyy)

09/29/2008

 

Detailed Products

 

Activity

Detailed Products (UNSPSC)

Sell

Chemicals including Bio Chemicals and Gas Materials(12000000)

Sell

Organic derivatives and substituted compounds(12352100)

 

CEO’s

 

Name

Lee Jong-Hoo

Address

Suite 209-401, 185, Naejeong-ro, Bundang-gu, Seongnam-si, Gyeonggi-do, Korea

Date of Birth

01/23/1963

Title

President & CEO

Sex

Male

Nationality

Korean

 

Profiles

 

Capital (KRW)

63,800,000,000

Employees

178

Formation

Co., Ltd by Shares

Foreign Direct Investment Corporation

Bank Details

HSBC

Corporate Registered No.

230111-0148328

Business Registered No.

610-81-94885

Permit & Licenses

Int’l Trade No.: 30680883

Shareholder Position

Name

Shares

%

STYROLUTION GROUP GMBH

63,800,000

100.00

TOTAL

63,800,000

100.00

Company History

09/29/2008 Incorporated as BASF STYRENICS KOREA LTD.

07/02/2010 Changed company name to the present name

12/01/2010 Increased the authorized shares to 30,050,000 shares from 200,000 shares

12/29/2010 Increased capital to 30,050,000,000 KRW from 50,000,000 KRW

01/01/2011 Acquired KS Business from BASF COMPANY LTD.(110111-0600860)

10/04/2011 Registered as a Foreign Direct Investment Corporation

02/01/2012 Increased the authorized shares to 63,800,000 shares from 30,050,000 shares

02/10/2012 Increased capital to 63,800,000,000 KRW from 30,050,000,000 KRW

04/19/2013 Moved to the trading address from 3F, Korea Chamber of Commerce, 45, Namdaemunno 4(sa)-ga, Jung-gu, Seoul, Korea

 

 

 

 

Detailed Information

 

Management

 

Job Description

Title

Name

Sex

Nationality

Inauguration Date

President & CEO

Mr.

Lee Jong-Hoo

Male

Korean

06/01/2012

Director

Mr.

Jang Hyung-Tae

Male

Korean

10/14/2010

Director

Mr.

Kim Sang-Tae

Male

Korean

10/01/2011

Auditor

Mr.

Jit Teng Tan

Male

Malaysian

10/01/2011

 

Financials

 

Year / Unit : KRW

Sales

Assets

Net Income

2013

1,145,118,268,629

244,914,691,081

9,400,399,639

2012

1,066,426,648,086

249,953,696,655

-471,913,786

2011

1,160,344,177,953

285,327,618,004

6,110,509,115

2010

-

29,887,212,789

-153,377,700

 

Financial Description

 

Authorized Capital(KRW)

63,800,000,000

Paid-Up Capital(KRW)

63,800,000,000

Total Issues Shares

63,800,000

 


 

Balance Sheet

Unit : Korean Won

As of 12/31/2013

As of 12/31/2012

As of 12/31/2011

Total Assets

244,914,691,081

249,953,696,655

285,327,618,004

Current Assets

175,528,235,289

174,494,794,671

201,237,106,232

-Quick Assets

118,978,788,259

97,012,246,256

145,877,584,080

-Inventories

56,549,447,030

77,482,548,415

55,359,522,152

Fixed Assets

69,386,455,792

75,458,901,984

84,090,511,772

-Investment

5,295,220,900

5,332,827,180

5,464,282,689

-Tangibles

63,217,223,473

69,473,866,025

77,379,263,051

-Intangibles

4,287,148

4,108,537

7,481,210

-Others

869,724,271

648,100,242

1,239,484,822

Total Liabilities

166,218,556,124

180,671,221,337

249,221,048,900

Current Liabilities

166,218,362,460

159,245,812,387

248,606,812,320

Fixed Liabilities

193,664

21,425,408,950

614,236,580

Capital Stock

63,800,000,000

63,800,000,000

30,050,000,000

Capital Surplus

 

 

 

Profit Surplus

14,868,054,957

5,467,655,318

5,939,569,104

Capital Adjustment

28,080,000

14,820,000

117,000,000

Total Equity

78,696,134,957

69,282,475,318

36,106,569,104

Liab. & Shareholder’s Equity

244,914,691,081

249,953,696,655

285,327,618,004

 

Current Liabilities

166,218,362,460

159,245,812,387

248,606,812,320

Trade Payables

154,953,068,192

121,043,511,891

133,402,282,205

Short-Term Borrowings

-

25,805,741,762

102,085,252,055

Advance Receipts

1,377,236,880

276,565,221

1,892,272,857

Withholdings

180,304,613

294,247,101

373,236,331

Accrued Expenses

6,654,534,546

10,718,534,310

8,888,331,843

Accrued Income Taxes

2,109,870,150

37,608,353

-

Derivatives

438,765,247

645,219,190

634,466,082

Other Provisions

504,582,832

424,384,559

1,330,970,947

Fixed Liabilities

193,664

21,425,408,950

614,236,580

Long-Term Borrowings

-

21,422,000,000

-

Provision for Severance & Retirement

6,288,391,100

5,708,696,950

4,635,866,600

Deferred Income Tax Credit

188,200

3,408,950

33,000,000

Other Non-Current Liabilities

 

 

581,236,580

 

Income Statement

Unit : Korean Won

As of 12/31/2013

As of 12/31/2012

As of 12/31/2011

Sales

1,145,118,268,629

1,066,426,648,086

1,160,344,177,953

Cost of Sold Goods

1,077,578,398,430

1,007,161,118,096

1,083,647,783,909

Gross Profit

67,539,870,199

59,265,529,990

76,696,394,044

Selling & Admin. Expenses

53,172,286,877

56,124,758,646

65,043,776,563

Operating Income

14,367,583,322

3,140,771,344

11,652,617,481

Non-Operating Income

25,627,399,715

26,486,701,010

43,613,972,811

Non-Operating Expenses

27,984,399,799

30,523,406,323

47,914,538,902

Income Before Taxes

12,010,583,238

-895,933,969

7,352,051,390

Income Taxes Expenses

2,610,183,599

-424,020,183

1,241,542,275

Net Income

9,400,399,639

-471,913,786

6,110,509,115

 

Cash Flows

Unit : Korean Won

As of 12/31/2013

As of 12/31/2012

As of 12/31/2011

Cash Flows from Operating

53,580,993,030

17,317,851,619

46,586,232,367

-Net Income

9,400,399,639

-471,913,786

6,110,509,115

-Exp. without Cash Outflow

13,763,532,519

19,476,383,677

32,892,099,467

-Revenue without Cash Inflows

-997,694,487

-4,475,228,250

-1,188,628,660

-Changes in Asset/ & Liability

31,414,755,359

2,788,609,978

8,772,252,445

Cash Flows from Investing

-6,193,572,965

-9,186,154,436

-7,437,266,247

-Cash Inflow from Investing

407,463,000

41,722,370

113,679,360

-Cash Outflows for Investing

-6,601,035,965

-9,227,876,806

-7,550,945,607

Cash Flows from Financing

-47,227,741,762

-19,006,096,974

-46,530,118,693

-Cash Inflows from Financing

-

611,794,769,116

100,023,305,154

-Cash Outflows from Financing

-47,227,741,762

-630,800,866,090

-146,553,423,847

Increase/Decrease in Cash

159,678,303

-10,874,399,791

-7,381,152,573

Cash at the Beginning of Year

10,015,375,262

20,889,775,053

28,270,927,626

Cash at the End of Year

10,175,053,565

10,015,375,262

20,889,775,053

 

Products, Technologies, Services Description

 

Main Products & Services

SM, PS, ABS, SBC

Detailed Products Spec.

 

Technologies Acquired

 

 

Trade Partners & Competitors

 

Suppliers

 

Customers

 

Competitors

SAMSUNG TOTAL PETROCHEMICALS CO., LTD.

411-1, DOKGOT-RI, DAESAN-EUP, SEOSAN-SI, CHUNGCHEONGNAM-DO, KOREA

TEL:+82-41-660-6114 FAX:+82-41-681-4812

 

HONAM PETROCHEMICAL CORPORATION

11TH FL., LOTTE GWANAK TOWER, 395-67, SINDAEBANG 2-DONG, DONGJAK-GU, SEOUL, KOREA

TEL:+82-2-829-4114 FAX:+82-2-843-1010

 

SAM NAM PETROCHEMICAL CO., LTD.

4TH FL., SAMYANG CO. BLDG., 263, YEONJI-DONG, JONGNO-GU, SEOUL, KOREA

TEL:+82-2-740-7450~1 FAX:+82-2-745-4225

 

Related Parties (Subsidiaries, Joint-Venture & Affiliates)

 

Affiliates

BASF COMPANY LTD.(110111-0600860)

CIBA SPECIALTY CHEMICALS KOREA LTD.(110111-0714406)

DAIHAN SWISS CHEMICAL CORP.(110111-0307325)

BASF AKTIENGESELLSCHAFT

BASF SOUTH EAST ASIA PTE. LTD.

STYROLUTION POLYMERS

Overseas Office

 

Liaison Office

 

Overseas Branch

 

Joint Venture

 

Subsidiary

 

Corporate Ownership

STYROLUTION HOLDING GMBH

STYROLUTION GROUP GMBH

Major Shareholders

STYROLUTION GROUP GMBH

Cooperative Enterprise

-Technical Support & Engineering Supply Agreement with

STYROLUTION GMBH

 

-Insured Company

HYUNDAI MARINE & FIRE INSURANCE CO., LTD.(110111-0035893)

 

Sales by Region (Activity & Markets)

 

Sales/ Unit :Mil KRW

2013

2012

2011

Export

 

 

 

Domestic

 

 

 

Total

 

 

 

The Subject deals with the companies in Germany.

 

 

Court Action

 

No.

 

 

News Clipping

 

--

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.60.26

UK Pound

1

Rs.97.51

Euro

1

Rs.77.94

 

INFORMATION DETAILS

 

Analysis Done by :

SUM

 

 

Report Prepared by :

NIS

 

               

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.