MIRA INFORM REPORT

 

 

Report No. :

331133

Report Date :

08.07.2015

 

IDENTIFICATION DETAILS

 

Name :

DONG AH CO., LTD.

 

 

Registered Office :

562, Nongong-Ro, Nongong-Eup, Dalseong-Gun, Daegu, Korea 711-855

 

 

Country :

South Korea

 

 

Financials (as on) :

31.12.2014

 

 

Date of Incorporation :

12.10.2010

 

 

Com. Reg. No.:

514-81-74373

 

 

Legal Form :

Co., Ltd by Shares

 

 

Line of Business :

Manufacture of Metal Fasteners and Screw Products.

 

 

No. of Employees :

31

 

 

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 – March 31, 2015

 

Country Name

Previous Rating

(31.12.2014)

Current Rating

(31.03.2015)

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. 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

 

Company Name

DONG AH CO., LTD.

(Ex Company Name : DONG AH BOLT CO., LTD.

Registered Address

562, Nongong-ro, Nongong-eup, Dalseong-gun, Daegu, Korea

Building

 

Zip Code

711-855

Tel

+82-53-614-7000

Fax

+82-53-614-7004

E-mail

dongah@dongahbolt.co.kr

Website

www.dongahbolt.co.kr 

Trading Address

562, Nongong-ro, Nongong-eup, Dalseong-gun, Daegu, Korea

(Old Address System : 29-57, Bonri-ri, Nongong-eup, Dalseong-gun, Daegu, Korea)

Tel

+82-53-614-7000

Fax

+82-53-614-7004

Other Address-Changwon Factory

20, Nammyeon-ro 113beon-gil, Uichang-gu, Changwon-si, Gyeongsangnam-do, Korea

(Old Address System : 91, Daewon-dong, Uichang-gu, Changwon-si, Gyeongsangnam-do, Korea)

Tel

+82-55-273-4581

Fax

+82-55-273-9122

Other Address

Rm.101-1414, 217, Pyeongchon-daero, Dongan-gu, Anyang-si, Gyeonggi-do, Korea

Tel

+82-31-383-4613~4

Fax

 

Type

Export/Import

Industry

Manufacture of Metal Fasteners and Screw Products

  Main Business

Bolt, Nut

  Sub Business

 

Established (mm/dd/yyyy)

10/12/2010

 

 

Detailed Products

 

Activity

Detailed Products (UNSPSC)

Sell

Screws(31161500)

Sell

Bolts(31161600)

Sell

Miscellaneous fasteners(31162400)

 

 

CEO’s

 

Name

Park Choon-Young

Address

Suite 111-1502, 90, Haksannam-ro, Dalseo-gu, Daegu, Korea

Date of Birth

02/26/1961

Title

President & CEO

Sex

Male

Nationality

Korean

 

 

Profiles

 

Capital (KRW)

3,350,700,000

Employees

31

Formation

Co., Ltd by Shares

Bank Details

Daegu Bank

Gyungnam Bank

Korea Exchange Bank

Corporate Registered No.

170111-0413732

Business Registered No.

514-81-74373

Permit & Licenses

Int’l Trade No.: 30702402

Shareholder Position

Name

Shares

%

PARK YOON-JAE

78,873

26.29

PARK YOO-JIN

56,083

18.69

PARK YOO-BIN

56,083

18.69

PARK MIN-JAE

108,961

36.32

TOTAL

300,000

100.00

(*)The list is based as of 12/31/2014.

Company History

12/31/2010 Acquired Bolt Business from DONGAH CONSTRUCTION INDUSTRIAL CO., LTD.(110111-0119762)

10/12/2010 Incorporated as DONG AH BOLT CO., LTD.

07/08/2014 Changed company name to the present name

07/01/2015 Increased capital to 3,350,700,000 KRW from 3,000,000,000 KRW

07/01/2015 Acquired Jinsung Heat Treatment Co., Ltd.

 

 

 

 

Management

 

Job Description

 

Title

Name

Sex

Nationality

Inauguration Date

President & CEO

Mr.

Park Choon-Young

Male

Korean

03/28/2014

Director

Mr.

Hwang Hyo-Young

Male

Korean

01/01/2011

Director

Mr.

Hwang Hong-Young

Male

Korean

03/28/2014

Outside Director

M/S.

Lee Yeon-Hwa

Female

Korean

04/27/2012

Auditor

Mr.

Jung Sang-Hwa

Male

Korean

03/13/2013

 

 

Financials

 

Year / Unit : KRW

Sales

Assets

Net Income

2014

50,809,835,136

61,358,230,238

7,054,817,161

2013

47,228,469,139

58,418,933,337

8,405,400,738

2012

49,763,956,602

56,844,623,486

6,049,578,543

2011

49,624,388,258

57,028,138,136

4,825,166,171

2010

-

45,256,050,204

-388,147,538

 

 

Financial Description

 

Authorized Capital(KRW)

12,000,000,000

Paid-Up Capital(KRW)

3,350,700,000

Total Issued Shares

335,070

 

 

Balance Sheet

Unit : Korean Won

As of 12/31/2014

As of 12/31/2013

As of 12/31/2012

Total Assets

61,358,230,238

58,418,933,337

56,844,623,486

Current Assets

25,274,307,470

22,780,988,090

21,652,087,490

-Quick Assets

17,058,989,822

14,304,165,416

15,750,733,500

-Inventories

8,215,317,648

8,476,822,674

5,901,353,990

Fixed Assets

36,083,922,768

35,637,945,247

35,192,535,996

-Investment

2,500,000

132,500,000

2,500,000

-Tangibles

35,876,212,768

35,325,235,247

35,009,745,996

-Intangibles

 

 

 

-Others

205,210,000

180,210,000

180,290,000

Total Liabilities

37,251,415,163

41,366,935,423

47,358,026,310

Current Liabilities

18,632,815,163

17,408,782,763

13,122,461,220

Fixed Liabilities

18,618,600,000

23,958,152,660

34,235,565,090

Capital Stock

3,000,000,000

3,000,000,000

3,000,000,000

Capital Surplus

 

 

 

Profit Surplus

21,106,815,075

14,051,997,914

6,486,597,176

Capital Adjustment

 

 

 

Total Equity

24,106,815,075

17,051,997,914

9,486,597,176

Liab. & Shareholder’s Equity

61,358,230,238

58,418,933,337

56,844,623,486

 

Current Liabilities

18,632,815,163

17,408,782,763

13,122,461,220

Trade Payables

4,542,013,974

2,154,160,806

1,976,561,566

Account Payables

1,280,672,410

1,333,843,313

562,838,621

Withholdings

70,412,390

21,778,710

30,047,920

VAT Withhold

172,002,007

27,987,849

294,172,129

Advance Receipts

44,844,927

31,180,057

14,004,688

Short-Term Borrowings

5,000,000,000

5,000,000,000

8,800,000,000

Accrued Expenses

225,470,343

205,195,987

159,836,296

Current Portion of Long-Term Debts

5,400,000,000

5,900,000,000

250,000,000

Guarantee Deposit Withhold

115,000,000

55,000,000

55,000,000

Deferred Income Tax

733,508,312

1,330,745,241

980,000,000

Short-Term Borrowings to Shareholders/ Executives/ Employees

1,048,890,800

1,348,890,800

-

Fixed Liabilities

18,618,600,000

23,958,152,660

34,235,565,090

Long-Term Borrowings

16,200,000,000

21,850,000,000

27,750,000,000

Leasehold Deposit Received

2,000,000,000

2,000,000,000

2,000,000,000

Provision for Severance & Retirement

418,600,000

108,152,660

135,565,090

Long-Term Borrowings to Shareholders/ Executives/ Employees

 

 

4,350,000,000

 

 

Income Statement

Unit : Korean Won

As of 12/31/2014

As of 12/31/2013

As of 12/31/2012

Sales

50,809,835,136

47,228,469,139

49,763,956,602

Cost of Sold Goods

38,200,464,014

33,936,795,803

38,718,436,735

Gross Profit

12,609,371,122

13,291,673,336

11,045,519,867

Selling & Admin. Expenses

3,426,739,320

2,701,962,586

2,763,786,472

Operating Income

9,182,631,802

10,589,710,750

8,281,733,395

Non-Operating Income

1,112,495,981

1,425,124,287

1,431,075,155

Non-Operating Expenses

1,606,837,762

1,670,619,046

2,178,956,050

Income Before Taxes

8,688,290,021

10,344,215,991

7,533,852,500

Income Taxes Expenses

1,633,472,860

1,938,815,253

1,484,273,957

Net Income

7,054,817,161

8,405,400,738

6,049,578,543

 

 

Cash Flows

Unit : Korean Won

As of 12/31/2014

As of 12/31/2013

As of 12/31/2012

Cash Flows from Operating

9,724,747,123

7,285,526,951

7,328,724,020

-Net Income

7,054,817,161

8,405,400,738

6,049,578,543

-Exp. without Cash Outflow

2,182,682,171

1,584,654,384

1,734,460,143

-Revenue without Cash Inflows

-8,797,862

-9,638,592

-6,790,361

-Changes in Asset/ & Liability

496,045,653

-2,694,889,579

-448,524,305

Cash Flows from Investing

-1,945,425,397

-652,930,630

-1,861,272,140

-Cash Inflow from Investing

4,500,000

620,738,335

-

-Cash Outflows for Investing

-1,949,925,397

-1,273,668,965

-1,861,272,140

Cash Flows from Financing

-6,390,000,000

-7,891,109,200

-5,330,000,000

-Cash Inflows from Financing

60,000,000

4,000,000,000

1,800,000,000

-Cash Outflows from Financing

-6,450,000,000

-11,891,109,200

-7,130,000,000

Increase/Decrease in Cash

1,389,321,726

-1,258,512,879

137,451,880

Cash at the Beginning of Year

2,241,591,281

3,500,104,160

3,362,652,280

Cash at the End of Year

3,630,913,007

2,241,591,281

3,500,104,160

 

 

Products, Technologies, Services Description

 

Main Products & Services

Bolt, Nut

Detailed Products Spec.

 

Technologies Acquired

 

 

 

Trade Partners & Competitors

 

Competitors

WANNABE M CO., LTD.

448, SONGJEONG-DONG, GWANGJU-SI, GYEONGGI-DO, KOREA

TEL:+82-31-765-8797  FAX:+82-31-765-8798

 

HANIL STS CORP.

21, ONGJEONG-RI, TONGJIN-EUP, GIMPO-SI, GYEONGGI-DO, KOREA

TEL:+82-31-997-3111  FAX:+82-31-997-3112

 

DONG HWA STANLESS STEEL CO., LTD.

1509-4, DADAE 1-DONG, SAHA-GU, BUSAN, KOREA

TEL:+82-51-266-5846  FAX:+82-51-263-1403

 

 

Related Parties (Subsidiaries, Joint-Venture & Affiliates)

 

Affiliates

JINSUNG C&I CO., LTD.(174111-0002309)

JINSUNG CO., LTD.(170111-0355637)

Cooperative Enterprise

-Insured Company

LIG INSURANCE CO., LTD.(110111-0017859)

AIG KOREA INC.(110111-472501)

 

 

Sales by Region (Activity & Markets)

 

Not Available.

 

 

Court Action

 

No.

 

 

News Clipping

 

----------

 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.63.37

UK Pound

1

Rs.98.86

Euro

1

Rs.69.97

 

INFORMATION DETAILS

 

Analysis Done by :

KAS

 

 

Report Prepared by :

NIT

 

 

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.