MIRA INFORM REPORT

 

 

Report No. :

318870

Report Date :

24.04.2015

 

IDENTIFICATION DETAILS

 

Name :

SAE-A TRADING CO., LTD.

 

 

Registered Office :

429, Yeongdong-daero, Gangnam-gu, Seoul, Korea, 8th Fl., Sae-a Venture Tower, 135-846

 

 

Country :

South Korea

 

 

Financials (as on) :

31.12.2014

 

 

Date of Incorporation :

04.07.1988

 

 

Com. Reg. No.:

114-81-56118

 

 

Legal Form :

Company Limited By Shares

 

 

Line of Business :

Manufacture of Shirts and Sports Garments

 

 

No. of Employees :

898

 

 

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 – December 31, 2014

 

Country Name

Previous Rating

(30.09.2014)

Current Rating

(31.12.2014)

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 economic 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. A system of close government and business ties, including directed credit and import restrictions, initially 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 7% 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 over 6% growth in 2010. The US-Korea Free Trade Agreement was ratified by both governments in 2011 and went into effect in March 2012. Between 2012 and 2014, the economy experienced sluggish growth because of external market slowdowns. The administration in 2015 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 the heavy reliance on exports, which comprise about half of GDP.

 

Source : CIA

 

 


Basic Information

 

Company Name

SAE-A TRADING CO., LTD.

(Korean Company Name : “세아상역()”)

Registered Address

429, Yeongdong-daero, Gangnam-gu, Seoul, Korea

Building

8th Fl., Sae-a Venture Tower

Zip Code

135-846

Tel

+82-2-6252-7000

Fax

+82-2-6252-7002

E-mail

kms@sae-a.com

Website

www.sae-a.com

Trading Address

8th Fl., Sae-a Venture Tower, 429, Yeongdong-daero, Gangnam-gu, Seoul, Korea

(Old Address System : 8th Fl., Sae-a Venture Tower, 946-12, Daechi 3-dong, Gangnam-gu, Seoul, Korea)

Tel

+82-2-6252-7114

Fax

+82-2-6252-7002

Other Address-Branch Office

54, Sapyeong-daero 57-gil, Seocho-gu, Seoul, Korea

Tel

 

Fax

 

Other Address-Branch Office

250, Gyeonggidong-ro, Dongtan-myeon, Hwaseong-si, Gyeonggi-do, Korea

Tel

 

Fax

 

Type

Export

Industry

Manufacture of Shirts and Sports Garments

  Main Business

Knit, Garment, Shirt

  Sub Business

 

Established (mm/dd/yyyy)

07/04/1988

 

 

Detailed Products

 

Activity

Detailed Products (UNSPSC)

Sell

Sweaters(53101700)

 

 

CEO’s

 

Name

Kim Tae-Hyung

Address

Suite 601, 72, Sunnung-ro 190 gil, Gangnam-gu, Seoul, Korea

Date of Birth

03/19/1962

Title

Co-President & CEO

Sex

Male

Nationality

Korean

 

Profiles

 

Capital (KRW)

15,252,564,500

Employees

898

Formation

Co., Ltd by shares

Bank Details

Hana Bank-Gangnam Branch

Korea Exchange Bank-Sunnung Branch

Shinhan Bank-Nonhyun Branch

Woori Bank-Trade Center Branch

Corporate Registered No.

110111-0581565

Business Registered No.

114-81-56118

Permit & Licenses

Int’l Trade No.: 934169

Shareholder Position

Name

Shares

%

KIM WOONG-KI & HIS FAMILY(2)

30,505,129

100.00

TOTAL

30,505,129

100.00

Company History

07/04/1988 Incorporated as the present name

09/01/2000 Moved to the present HQ address from 736-15, Banpo-dong, Seocho-gu, Seoul, Korea

03/31/1997 Increased the authorized shares to 120,000 shares from 60,000 shares

04/10/1998 Increased the authorized shares to 500,000 shares from 120,000 shares

04/17/1998 Increased capital to 1,500,000,000 KRW from 1,000,000,000 KRW

12/29/1998 Increased capital to 2,500,000,000 KRW from 1,500,000,000 KRW

03/11/1999 Increased the authorized shares to 1,000,000 shares from 500,000 shares

03/11/1999 Acquired Nawoo Trading Co., Ltd.(110111-1418965)

03/11/1999 Increased capital to 3,000,000,000 KRW from 2,500,000,000 KRW

08/10/1999 Increased capital to 4,000,000,000 KRW from 3,000,000,000 KRW

12/28/2001 Increased capital to 6,000,000,000 KRW from 4,000,000,000 KRW

11/2005 Awarded US$300 Million Export Top Prize

11/2006 Awarded US$500 Million Export Top Prize

04/2007 Acquired NASAN CO., LTD., at 350,400,000,000 KRW

11/2007 Awarded US$600 Million Export Top Prize

11/2009 Awarded US$800 Million Export Top Prize

03/31/2010 Increased the authorized shares to 100,000,000 shares from 1,000,000 shares

03/31/2010 Increased capital to 15,000,000,000 KRW from 6,000,000,000 KRW

05/27/2010 Split off the par value to 500 KRW from 10,000 KRW

12/27/2013 Acquired GLOVIA CO., LTD.(Korea)

12/27/2013 Increased capital to 15,252,564,500 KRW from 15,000,000,000 KRW

 

 


Detailed Information

 

Management

 

Job Description

Title

Name

Sex

Nationality

Inauguration Date

Co-President & CEO

Mr.

Kim Tae-Hyung

Male

Korean

07/10/2008

Co-President & CEO

Mr.

Ha Jung-Soo

Male

Korean

04/01/2015

Director

Mr.

Kim Woong-Ki

Male

Korean

07/27/1995

Director

Mr.

Kim Soo-Nam

Male

Korean

07/27/1995

Auditor

Mr.

Jung Dong-Ha

Male

Korean

04/13/2009

 

 

Financials

 

Year / Unit : KRW

Sales

Assets

Net Income

2014

1,424,910,187,432

758,144,118,709

20,857,299,838

2013

1,325,742,414,933

772,669,129,133

17,660,726,181

2012

1,296,106,444,332

693,961,276,676

36,672,404,794

2011

1,225,777,944,675

599,785,368,727

19,162,266,225

2010

1,093,863,988,790

531,812,272,627

31,956,353,449

2009

1,142,605,631,639

491,845,834,893

29,627,219,037

2008

856,449,940,223

463,864,931,278

36,472,578,699

 

 

Financial Description

 

Authorized Capital(KRW)

50,000,000,000

Paid-Up Capital(KRW)

15,252,564,500

Total Issues Shares

30,505,129

 

Balance Sheet

Unit : Korean Won

As of 12/31/2014

As of 12/31/2013

As of 12/31/2012

Total Assets

758,144,118,709

772,669,129,133

693,961,276,676

Current Assets

461,420,089,261

448,276,229,396

424,147,867,570

-Quick Assets

222,780,045,107

214,184,529,838

213,625,491,574

-Inventories

238,640,044,154

234,091,699,558

210,522,375,996

Fixed Assets

296,724,029,448

324,392,899,737

269,813,409,106

-Investment

199,046,341,322

162,610,282,649

178,458,469,340

-Tangibles

85,022,466,336

155,448,196,975

84,930,602,154

-Intangibles

1,292,506,210

1,657,604,533

1,884,768,397

-Others

11,362,715,580

4,676,815,580

4,539,569,215

Total Liabilities

476,688,210,995

512,423,092,900

441,753,282,839

Current Liabilities

444,864,421,802

427,178,973,780

412,237,371,853

Fixed Liabilities

31,823,789,193

85,244,119,120

29,515,910,986

Capital Stock

15,252,564,500

15,252,564,500

15,000,000,000

Capital Surplus

6,594,077,661

6,594,077,661

-

Profit Surplus

248,954,875,752

228,097,575,914

210,436,849,733

Capital Adjustment

10,654,389,801

10,301,818,158

26,771,144,104

Total Equity

281,455,907,714

260,246,036,233

252,207,993,837

Liab. & Shareholder’s Equity

758,144,118,709

772,669,129,133

693,961,276,676

 

Current Liabilities

444,864,421,802

427,178,973,780

412,237,371,853

Trade Payables

99,816,041,307

97,032,753,099

104,337,809,097

Short-Term Borrowings

16,516,479,800

11,792,154,690

 

Trade Finance

109,491,100,000

103,790,300,000

119,344,800,000

Usance Borrowings

121,682,303,526

106,785,183,224

119,770,901,989

Borrowings

72,222,080,000

92,519,776,663

51,189,172,440

Current Portion of Long-Term Debts

5,954,366,400

2,000,000,000

3,391,100,000

Advance Receipts

127,819,969

3,819,536,329

128,950,354

Accrued Expenses

2,862,729,402

2,174,249,653

6,516,867,455

Withholdings

3,833,689,591

2,909,518,378

305,348,694

VAT Withhold

61,055,287

154,514,997

37,820,975

Derivatives

16,284,940

184,720,194

-

Accrued Income Tax

12,280,471,580

3,714,682,730

7,214,600,849

Current Portion of Deferred Income Tax Credit

-

301,583,823

-

Fixed Liabilities

31,823,789,193

85,244,119,120

29,515,910,986

Long-Term Borrowings

16,029,633,600

57,953,000,000

13,920,000,000

Provision for Severance & Retirement

26,388,611,340

20,165,202,690

16,335,041,041

Leasehold Deposit Received

528,634,080

11,311,322,380

2,130,205,780

Non-Current Portion of Deferred Income Tax Credit

15,251,590,543

15,454,505,776

13,333,078,229

 

Income Statement

Unit : Korean Won

As of 12/31/2014

As of 12/31/2013

As of 12/31/2012

Sales

1,424,910,187,432

1,325,742,414,933

1,296,106,444,332

Cost of Sold Goods

1,185,664,031,287

1,130,400,339,864

1,103,553,043,643

Gross Profit

239,246,156,145

195,342,075,069

192,553,400,689

Selling & Admin. Expenses

158,441,975,299

135,876,683,891

127,865,289,426

Operating Income

80,804,180,846

59,465,391,178

64,688,111,263

Non-Operating Income

41,389,048,788

46,801,677,355

46,257,041,946

Non-Operating Expenses

86,585,255,438

71,926,889,719

54,314,191,967

Income Before Taxes

35,607,974,196

34,340,178,814

56,630,961,242

Income Taxes Expenses

14,750,674,358

16,679,452,633

19,958,556,448

Net Income

20,857,299,838

17,660,726,181

36,672,404,794

 

Cash Flows

Unit : Korean Won

As of 12/31/2014

As of 12/31/2013

As of 12/31/2012

Cash Flows from Operating

3,601,048,343

21,867,853,841

-33,831,046,510

-Net Income

20,857,299,838

17,660,726,181

36,672,404,794

-Exp. without Cash Outflow

57,206,631,326

43,596,016,572

36,586,073,393

-Revenue without Cash Inflows

-10,952,507,151

-16,911,131,422

-24,037,788,849

-Changes in Asset/ & Liability

-63,510,375,670

-22,477,757,490

-83,051,735,848

Cash Flows from Investing

-802,415,328

-20,975,657,124

-34,636,124,192

-Cash Inflow from Investing

24,652,236,693

15,443,363,968

38,383,244,762

-Cash Outflows for Investing

-25,454,652,021

-36,419,021,092

-73,019,368,954

Cash Flows from Financing

549,174,645

4,847,777,155

60,560,188,078

-Cash Inflows from Financing

677,681,644,521

656,767,845,849

633,964,510,133

-Cash Outflows from Financing

-677,132,469,876

-651,920,068,694

-573,404,322,055

Increase/Decrease in Cash

3,347,807,660

5,739,973,872

-7,906,982,624

Cash at the Beginning of Year

24,163,980,025

18,424,006,153

26,330,988,777

Cash at the End of Year

27,511,787,685

24,163,980,025

18,424,006,153

 

 

Products, Technologies, Services Description

 

Main Products & Services

Knit, Garment, Shirt

Detailed Products Spec.

 

Technologies Acquired

 

 

 

Trade Partners & Competitors

 

Suppliers

 

Customers

TARGET

WAL-MART

ABERCROMBIE & FITCH

GAP INC.

AEROPOSTALE

Competitors

YAKJIN TRADING CORPORATION

5TH FL., YEONG BLDG., 166-9, GARAK-DONG, SONGPA-GU, SEOUL, KOREA

TEL:+82-2-430-1101  FAX:+82-2-449-4500

 

PAN-PACIFIC CO., LTD.

726, WONSI-DONG, DANWON-GU, ANSAN-SI, GYEONGGI-DO, KOREA

TEL:+82-2-850-9000  FAX:+82-2-830-1011

 

SAMIL KNIT CO., LTD.

190-99, SANGJISEOK-RI, GYOHA-MYEON, PAJU-SI, GYEONGGI-DO, KOREA

TEL:+82-2-3451-6724  FAX:+82-2-598-7422

 

Related Parties (Subsidiaries, Joint-Venture & Affiliates)

 

Affiliates

EINS TREND INC.(110111-3126136)

Joint Venture

 

Subsidiary

SAE-A INTERNATIONAL

(100.0% held by the subject company)

 

WINNERS CORP.

(100.0% held by the subject company)

 

SAE-A TECNOTEX

(100.0% held by the subject company)

 

PT.WINNERS INTERNATIONAL

(100.0% held by the subject company)

 

EINS VINA

(100.0% held by the subject company)

 

SAE-A AMERICA

(80.0% held by the subject company)

 

SAE-A PUEBLA

(100.0% held by the subject company)

 

PT.EINS TREND

(100.0% held by the subject company)

 

EINS S.A

(100.0% held by the subject company)

 

IN THE F CO., LTD.(EX. NASAN CO., LTD. 110111-0279996)

(69.0% held by the subject company)

 

IN THE F GAESUNG CO., LTD.(NORTH KOREA)

(100.0% held by the subject company)

 

SENIKA

(100.0% held by the subject company)

 

SJS TOMORROW

(99.0% held by the subject company)

 

PT.WIN TEXTILE

(70.0% held by the subject company)

 

KJ VINA

EINS(CAMBODIA) CO.,LTD

S&H GLOBAL

GLOVIA

CENTEXSA,S.A

SAE-A SPINNING, S.R.L.

Corporate Ownership

 

Major Shareholders

 

Cooperative Enterprise

-Insured Company

MERITZ FIRE & MARINE INSURANCE CO., LTD.(110111-0013328)

 

Sales by Region (Activity & Markets)

 

Sales/ Unit : KRW

2014

2013

2012

Export

1,418,852,985,721

1,324,114,540,327

1,290,906,846,244

Domestic

6,057,201,711

1,627,874,606

5,199,598,088

Total

1,424,910,187,432

1,325,742,414,933

1,296,106,444,332

The Subject exports to USA.

 

 

Court Action

 

No.

 

 

News Clipping

 

-----

 

 

 

 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.63.19

UK Pound

1

Rs.94.94

Euro

1

Rs.67.66

 

 

INFORMATION DETAILS

 

Analysis Done by :

SUB

 

 

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%)

 

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.