MIRA INFORM REPORT

 

 

Report No. :

354839

Report Date :

19.12.2015

 

IDENTIFICATION DETAILS

 

Name :

SEOUL DAIRY COOPERATIVE

 

 

Registered Office :

71, Jungnangcheon-ro, Jungnang-gu, Seoul

 

 

Country :

Korea (South)

 

 

Financials (as on) :

31.12.2014

 

 

Date of Incorporation :

28.08.1971

 

 

Com. Reg. No.:

216-82-00028

 

 

Legal Form :

Special Organization-Cooperative

 

 

Line of Business :

Manufacture of Fluid Milk and Other Dairy Products.

 

 

No. of Employee :

1,830

 

 

RATING & COMMENTS

 

MIRA’s Rating :

A

 

RATING

STATUS

PROPOSED CREDIT LINE

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

 

Status :

Good

 

 

Payment Behaviour :

Regular

 

 

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, 2015

 

Country Name

Previous Rating

(31.12.2014)

Current Rating

(31.03.2015)

Korea (South)

A1

A1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 


 

KOREA (SOUTH) 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. 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 slow growth due to sluggish domestic consumption and investment. 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. In an effort to address the long term challenges and sustain economic growth, the current government has prioritized structural reforms, deregulation, promotion of entrepreneurship and creative industries, and the competitiveness of small and medium enterprises.

 

Source : CIA

 

Basic Information

 

Basic

 

Company Name

SEOUL DAIRY COOPERATIVE

Registered Address

71, Jungnangcheon-ro, Jungnang-gu, Seoul, Korea

Building

 

Zip Code

131-704

Tel

+82-2-490-8114

Fax

+82-2-490-8019

E-mail

smilk01@seoulmilk.co.kr;ohsebong@seoulmilk.co.kr;ispeedk@seoulmilk.co.kr

Website

www.seoulmilk.co.kr

Trading Address

71, Jungnangcheon-ro, Jungnang-gu, Seoul, Korea

(Old Address System : 137-7, Sangbong 2-dong, Jungnang-gu, Seoul, Korea)

Tel

+82-2-490-8151

Fax

+82-2-490-8019

Other Address-East-South Dairy Farming Assistance Center

173-1, Susan-ri, Seolseong-myeon, Icheon-si, Gyeonggi-do, Korea

Tel

+82-31-643-11713

Fax

+82-31-637-1174

Other Address-Yangju Factory

152, Deokgye-dong, Yangju-si, Gyeonggi-do, Korea

Tel

+82-31-863-1901~3

Fax

 

Other Address-Yongin Factory

355-3, Mabuk-dong, Giheung-gu, Yongin-si, Gyeonggi-do, Korea

Tel

+82-31-283-3031~2

Fax

 

Other Address-Ansan Factory

1059, Singil-dong, Danwon-gu, Ansan-si, Gyeonggi-do, Korea

Tel

+82-31-491-3867~9

Fax

 

Other Address-Geochang Factory

500, Jeongjang-ri, Geochang-eup, Geochang-gun, Gyeongsangnam-do, Korea

Tel

+82-55-940-1234

Fax

 

Other Address-Muk-dong Branch

174-5, Muk-dong, Jungnang-gu, Seoul, Korea

Tel

 

Fax

 

Other Address-Amsa Station Branch

287-10, Cheonho-dong, Gangdong-gu, Seoul, Korea

Tel

 

Fax

 

Other Address-Seokyo Branch

378-2, Mangwon-dong, Mapo-gu, Seoul, Korea

Tel

 

Fax

 

Other Address-Suyu Branch

185-19, Suyu-dong, Gangbuk-gu, Seoul, Korea

Tel

 

Fax

 

Other Address-Achasan Station Branch

54-13, Guui-dong, Gwangjin-gu, Seoul, Korea

Tel

 

Fax

 

Other Address-Boramae Station Branch

401-7, Daebang-dong, Dongjak-gu, Seoul, Korea

Tel

 

Fax

 

Other Address-Eungam-dong Branch

603-77, Eungam-dong, Eunpyeong-gu, Seoul, Korea

Tel

 

Fax

 

Other Address-Gaehwasan Station Branch

534-9, Banghwa-dong, Gangseo-gu, Seoul, Korea

Tel

 

Fax

 

Type

Export

Industry

Manufacture of Fluid Milk and Other Dairy Products

  Main Business

Milk, Cheese, Milk Powder, Fresh Cream, Fermented Milk, Butter, Condensed Milk

  Sub Business

 

Established (mm/dd/yyyy)

08/28/1971

 

 

Detailed Products

 

Activity

Detailed Products (UNSPSC)

Sell

Shelf stable milk or butter products(50131702)

Sell

Milk and butter products(50131700)

Sell

Infant foods(50193001)

Sell

Cheese(50131800)

Sell

Non alcoholic beverages(50202300)

 

 

CEO’s

 

Name

Song Yong-Hern

Address

Suite 106-1203, 82, Donghwa-gil, Bongdam-eup, Hwaseong-si, Gyeonggi-do, Korea

Date of Birth

04/03/1944

Title

President

Nationality

Korean

 

 

Profiles

 

Capital (KRW)

106,437,491,509

Employees

1,830

Formation

Special Organization-Cooperative

Bank Details

Nonghup Bank-Seoul City Branch

Corporate Registered No.

114171-0001290

Business Registered No.

216-82-00028

Permit & Licenses

Int’l Trade No.: 11006130

Shareholder Position

1,801 Membership

21,271,134 Accounts

Paid Up Capital : 106,355,670,000 KRW

Company History

08/28/1971 Incorporated as the present name

01/11/2007 Increased capital to 92,120,475,000 KRW(18,424,095 Accounts) from 75,470,990,000 KRW(15,094,198 Accounts)

12/31/2007 Increased capital to 98,910,305,000 KRW(19,782,061 Accounts) from 92,120,475,000 KRW(18,424,095 Accounts)

12/31/2008 Increased capital to 108,094,315,000 KRW from 98,910,305,000 KRW(19,782,061 Accounts)

 

 

 

The Subject covers the areas of Seoul City, Incheon City, Gyeonggi Province, Gangwon Province(Cheolwon), Chungnam Province(Cheonan City) and Chungbuk Province(Jincheon & Eumsung).

 

 

Detailed Information

 

Management

 

Job Description

Name

Nationality

Date of Birth

Inauguration Date

President

Song Yong-Hern

Korean

04/03/1944

05/05/2011

Director

Bae In-Ho

Korean

06/21/1946

02/28/2006

Director

Lee Dong-Young

Korean

08/14/1953

08/14/2008

Director

Lee Sang-Hern

Korean

04/29/1952

08/14/2008

Director

Kwon Min-Hwan

Korean

02/12/1955

04/09/2010

Director

Seo Ho-Won

Korean

05/10/1956

04/09/2010

Director

Jung Keon-Hwa

Korean

11/15/1959

04/09/2010

Director

Ji Hong-Keun

Korean

08/23/1962

04/09/2010

Director

Choi Sun-Yong

Korean

03/21/1963

04/09/2010

Director

Lee Jae-Yong

Korean

03/16/1948

11/07/2013

Director

Lee Geon-Sub

Korean

06/18.1953

04/09/2014

Director

Lee Jong-Chan

Korean

09/10/1954

04/09/2014

Auditor

Min Byung-Mok

Korean

01/12/1959

04/16/2015

Auditor

Park Min-Kil

Korean

11/24/1962

04/09/2010

Supervisor

Choi Byung-Kwan

Korean

12/25/1957

06/21/2011

Supervisor

Kim Byung-Soo

Korean

05/26/1958

01/09/2015

Supervisor

Song Joon-Hak

Korean

12/01/1966

01/09/2015

Supervisor

Choi Kil-Hoi

Korean

12/08/1966

01/09/2015

Supervisor

Oh Sang-Mok

Korean

04/13/1959

01/09/2015

Supervisor

Choi Chul-Soo

Korean

04/15/1957

07/03/2012

Supervisor

Jung Jae-Ho

Korean

11/07/1958

07/01/2012

Agent

Baik Seung-Cheon

Korean

12/25/1957

01/01/2013

 

 

Financials

 

Year / Unit : KRW

Sales

Assets

Net Income

2014

1,745,303,960,950

1,556,697,496,885

19,722,562,217

2013

1,677,491,125,944

1,440,940,961,502

32,573,100,722

2012

1,638,047,000,000

1,395,789,000,000

19,831,000,000

2011

1,461,175,000,000

1,365,844,000,000

27,842,000,000

2010

1,488,962,206,989

1,325,419,353,902

36,708,893,175

2009

1,483,901,817,143

1,117,748,084,536

29,748,213,131

2008

1,264,215,000,000

1,049,392,000,000

(-)8,615,000,000

2007

1,100,301,000,000

907,841,000,000

197,000,000

2006

1,054,449,000,000

870,128,000,000

2,942,000,000

2005

1,017,328,000,000

777,869,000,000

4,249,000,000

2004

966,710,000,000

695,636,000,000

3,291,000,000

2003

916,478,000,000

619,634,000,000

1,821,000,000

 

 

Financial Description

 

Authorized Capital(KRW)

Not Applicable to the Cooperative Organization

Paid-Up Capital(KRW)

106,437,491,509

Total Issues Shares

Not Applicable to the Cooperative Organization

 

 

BALANCE SHEET

 

Unit : Korean Won

As of 12/31/2014

As of 12/31/2013

As of 12/31/2012

Total Assets

1,556,697,496,885

1,440,940,961,502

1,395,789,000,000

Current Assets

269,796,751,206

253,085,246,774

243,323,000,000

Deposits

164,501,006,592

199,488,328,887

 

Other Current Assets

836,685,826,365

728,514,205,552

 

Non-Current Assets

285,713,912,722

259,853,180,289

 

Investment

25,714,221,443

24,481,215,105

22,583,000,000

Tangibles

244,807,437,346

222,150,028,599

208,489,000,000

Intangibles

2,765,451,709

2,515,432,929

2,440,000,000

Other Non-Current Assets

12,426,802,224

10,706,503,656

9,838,000,000

Total Liabilities

1,272,244,666,407

1,155,338,300,810

1,126,171,000,000

Current Liabilities

160,570,434,052

169,488,127,224

149,595,000,000

Deposits

1,003,613,586,440

904,123,908,032

 

Short-Term Borrowings

40,902,216,073

7,786,204,040

 

Non-Current Liabilities

67,158,429,842

73,940,061,514

76,231,000,000

Capital Stock

106,437,491,509

107,371,513,509

109,582,000,000

Capital Surplus

88,574,886,972

88,574,886,972

88,575,000,000

Capital Adjustment

-45,190,000

-115,745,000

-363,000,000

Profit Surplus

89,485,641,997

89,772,005,211

71,823,000,000

Total Equity

284,452,830,478

285,602,660,692

269,618,000,000

Liab. & Shareholder’s Equity

1,556,697,496,885

1,440,940,961,502

1,395,789,000,000

 

 

INCOME STATEMENT

 

Unit : Korean Won

As of 12/31/2014

As of 12/31/2013

As of 12/31/2012

Revenues

1,745,303,960,950

1,677,491,125,944

1,638,047,000,000

Operating Expenses

1,458,671,875,629

1,380,305,147,851

1,362,395,000,000

Selling & Admin. Expenses

220,698,314,232

215,198,512,906

203,185,000,000

Operating Income

65,933,771,089

81,987,465,187

72,467,000,000

Other Income

1,117,311,680

2,271,431,060

 

Other Expenses

53,913,347,249

51,799,463,917

 

Non-Operating Income

11,854,513,321

6,759,882,920

6,084,000,000

Non-Operating Expenses

2,694,951,621

2,688,178,968

3,623,000,000

Income Before Taxes

22,297,297,220

36,531,136,282

26,818,000,000

Income Taxes Expenses

2,574,735,003

3,958,035,560

6,987,000,000

Income from Continuous Business

19,722,562,217

32,573,100,722

 

Net Income

19,722,562,217

32,573,100,722

19,831,000,000

 

 

Products, Technologies, Services Description

 

Main Products & Services

Milk, Milk Beverage, Soy Bean Milk, Milk Powder, Cheese, Mineral Water

 

The Subject provides the below services for the associated members.

Education Business

Purchasing Business

Selling Business

Proceeding Business

Credit Business

Detailed Products Spec.

--

Technologies Acquired

--

 

 

Trade Partners & Competitors

 

Suppliers

--

Customers

--

Competitors

NAMYANG DAIRY PRODUCTS CO., LTD.

4TH FL., DAE-IL BLDG., 18, NAMDAEMUNNO 1-GA, JUNG-GU, SEOUL, KOREA

TEL:+82-2-734-1305  FAX:+82-2-733-1399

 

SEO KANG DAIRY & FOOD CO., LTD.

421, WOLSEONG-RI, SANAM-MYEON, SACHEON-SI, GYEONGSANGNAM-DO, KOREA

TEL:+82-55-852-5511  FAX:+82-55-852-5515

 

MAEIL DAIRY INDUSTRY LTD.

SAMHWAN BLDG., 98-5, UNNI-DONG, JONGNO-GU, SEOUL, KOREA

TEL:+82-2-2127-2114  FAX:+82-2-3675-0501

 

 

Related Parties (Subsidiaries, Joint-Venture & Affiliates)

 

Affiliates

 

Overseas Office

 

Liaison Office

 

Overseas Branch

 

Joint Venture

 

Subsidiary

 

Corporate Ownership

 

Major Shareholders

 

Cooperative Enterprise

-Internet Shopping Mall Operating

DONGNAM FOOD CO., LTD.(110111-1662215)

 

 

Sales by Region (Activity & Markets)

 

The Subject exports to Mongolia, Vietnam, China and USA.

 

 

Court Action

 

Not Available.

 

 

News Clipping

 

-----

 

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.66.42

UK Pound

1

Rs.99.17

Euro

1

Rs.72.14

KRW

1

Rs.0.056

Note : Above are approximate rates obtained from sources believed to be correct

 

 

INFORMATION DETAILS

 

Analysis Done by :

DIV

 

 

Report Prepared by :

ANK

 


 

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.