MIRA INFORM REPORT

 

 

Report No. :

330873

Report Date :

09.07.2015

 

IDENTIFICATION DETAILS

 

Name :

DONGJIN SEMICHEM CO., LTD.

 

 

Registered Office :

644, Baekbeom-ro, Seo-gu, Incheon, Korea

 

 

Country :

South Korea

 

 

Financials (as on) :

30.09.2014

 

 

Date of Incorporation :

10.07.1973

 

 

Com. Reg. No.:

137-81-07814

 

 

Legal Form :

Listed Company

 

 

Line of Business :

Manufacture of Diodes, Transistors and Similar Semi-conductor Devices

 

 

No. of Employee :

1,014

 

 

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 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

DONGJIN SEMICHEM CO., LTD.

Registered Address

644, Baekbeom-ro, Seo-gu, Incheon, Korea

(Old Address System : 472-2, Gajwa 3-dong, Seo-gu, Incheon, Korea)

Building

 

Zip Code

404-817

Tel

+82-32-578-5091~4

Fax

+82-32-578-7226

E-mail

jskim@dongjin.com;wgonlee@dongjin.com;jp0528@dongjin.com

Website

www.dongjin.com

Trading Address

23th Fl., KGIT Center, 1601, Sangam-dong, Mapo-gu, Seoul, Korea

Tel

+82-2-6355-6100

Fax

+82-2-325-9459

Other Address-Sihwa Factory

1Ra-101, Sihwa Industrial Complex, 1236, Jeongwang-dong, Siheung-si, Gyeonggi-do, Korea

Tel

+82-31-319-0011~6

Fax

+82-31-319-0017

Other Address-Balan Factory

625-3, Yodang-ri, Yanggam-myeon, Hwaseong-si, Gyeonggi-do, Korea

Tel

+82-31-353-6340

Fax

+82-31-353-6459

Other Address-Busan Branch

4, Donggwang-dong 2-ga, Jung-gu, Busan, Korea

Tel

+82-51-246-8494

Fax

+82-51-255-3978

Other Address-Gumi Branch

1074-8, Wonpyeong-dong, Gumi-si, Gyeongbuk, Korea

Tel

+82-54-457-1864

Fax

+82-54-457-1863

Type

Export

Industry

Manufacture of Diodes, Transistors and Similar Semi-conductor Devices

  Main Business

ArF Photo Resist, Foaming Agents, Photoresist, Epoxy Molding Compound, Caustic Soda

  Sub Business

Manufacture of All Other Chemical Products n.e.c.

Established (mm/dd/yyyy)

07/10/1973

 

 

Detailed Products

 

Activity

Detailed Products (UNSPSC)

Sell

Foaming agents(12161903)

Sell

Optical network or communication filters(43221802)

Sell

Electronic component parts and raw materials and accessories(32131000)

Sell

Coating paints(31211504)

Sell

Abrasives and abrasive media(31191500)

Sell

General purpose cleaners(47131805)

Sell

Miscellaneous finishes(31211700)

Sell

BARC(Bottom Anti-Reflective Coating)

Sell

Stripper

Buy

Ethylene Vinyl Acetate EVA(13102009)

Buy

Ethers or its substitutes(12352112)

Buy

Melamine MF(13101905)

Buy

Amines or imines or its substitutes(12352116)

Buy

Inorganic metal salts(12352302)

Buy

Organic derivatives and substituted compounds(12352100)

Buy

EEP(Ethyl 3-Ethoxy Propionate)

Buy

D-methyl sulfoxide

Buy

Hydrazodicarbonamide

Buy

Diazo chemical

Buy

Ethyl Lactate

Buy

Propylene Glicol mono methyl ether

Buy

Normal buthyl acetate

Buy

GBL(Gamma Buthyl Lactone)

 

 

CEO’s

 

Name

Lee Boo-Sup

Address

 

Date of Birth

11/22/1937

Title

President & CEO

Sex

Male

Nationality

Korean

 

 

Profiles

 

Capital (KRW)

21,019,262,000

Employees

1,014

Formation

Listed Company(KOSDAQ: 005290) as of 12/18/1999

Bank Details

Korea Exchange Bank-Shinchon Branch

Kookmin Bank

Korea Development Bank

Shinhan Bank

Woori Bank

S.C. First Bank of Korea

Corporate Registered No.

120111-0003848

Business Registered No.

137-81-07814

Permit & Licenses

12/1987 UL

04/1994 KT

08/1998 KT

11/2002 ISO 9001

10/2009 ISO 14001

 

Int’l Trade No.: 740281

Shareholder Position

Name

Shares

%

DONGJIN HOLDINGS CO., LTD.(120111-0052168)

12,292,710

29.24

LEE BOO-SUP

4,200,000

9.99

LEE JOON-HYUCK

368,970

0.88

OTHERS

25,176,844

62.87

TOTAL

42,038,524

100.00

Company History

10/1967 Established as Dongjin Chemical Industry Co.

07/10/1973 Incorporated as Dongjin Chemical Industry Co., Ltd.

08/10/1995 Acquired Kumjin Distribution Co., Ltd.

08/27/1999 Changed company name to the present name

12/18/1999 Listed at KOSDAQ Market

12/2010 Awarded US$ 200 Million Export Top Prize

 

 

 

 

Management

 

Job Description

 

Title

Name

Nationality

Date of Birth

Education

Chairman & CEO

Mr.

Lee Boo-Sup

Korean

1937.11.22

Seoul National University

President & CEO

Mr.

Lee Joon-Hyuck

Korean

1967. 05.26

Seoul National University

President

Mr.

Lee Joon-Kyu

Korean

1964.03

Yonsei University, Korea

Sr. Executive Director

Mr.

Jung Yong-Hak

Korean

1965.03

-

Outside Director

Mr.

Lee Sang-Sub

Korean

1937.01

Yonsei University, Korea

Outside Director

Mr.

Lee Jin-Ho

Korean

1937.05

-

Outside Director

Mr.

Lee Hwa-Young

Korean

1937. 04.21

Seoul National University

Auditor

Mr.

Kim Wan-Jung

Korean

1938. 03.14

Yonsei University

 

 

Financials

 

Year / Unit : KRW

Sales

Assets

Net Income

(*)09/2014

410,229,724,705

565,735,177,431

12,121,574,573

(*)2013

551,737,987,819

533,833,650,194

17,100,321,520

(*)2012

527,305,207,994

515,077,372,402

13,093,238,928

2011

441,224,831,378

464,260,244,933

-5,559,272,930

2010

408,644,566,213

435,975,043,706

13,007,063,195

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

 

Financial Description

 

Authorized Capital(KRW)

50,000,000,000

Paid-Up Capital(KRW)

21,019,262,000

Total Issued Shares

42,038,524

 

Balance Sheet

Unit : Korean Won

01/01/2014~09/30/2014

As of 12/31/2013

As of 12/31/2012

Total Assets

565,735,177,431

533,833,650,194

515,077,372,402

Current Assets

166,830,661,326

201,602,070,109

185,324,790,511

Cash & Cash Equivalents

8,300,606,127

8,493,024,982

14,840,010,464

Current Financial Instruments

106,267,193

635,455,602

20,000,000

Trade Receivables & Other Receivables

111,251,267,215

102,529,652,344

99,991,863,784

Inventories

45,158,276,301

42,108,535,451

47,468,764,125

Other Current Assets

2,014,244,490

47,835,401,730

23,004,152,138

Non-Current Assets

398,904,516,105

332,231,580,085

329,752,581,891

Tangibles

275,397,441,443

177,405,119,686

183,700,499,893

Investment_Real Estates

14,867,225,337

14,982,231,495

15,135,573,033

Intangibles

21,404,687,270

21,165,066,807

21,504,182,052

Non-Current Financial Instruments

778,643,252

627,643,252

473,643,252

Marketable Financial Instruments

3,058,764,000

3,058,764,000

3,058,764,000

Investment_Subsidiaries

67,839,136,128

98,116,255,702

87,320,855,702

Investment_Related Companies

0

0

4,083,148,997

Deferred Income Tax Assets

7,025,886,529

7,548,763,428

5,868,028,685

Non-Current Assets to be Sold

0

315,333,171

0

Long-Term Trade Receivables

8,523,445,409

8,288,091,807

6,662,762,070

Other Non-Current Assets

9,286,737

724,310,737

1,945,124,207

Total Liabilities

413,118,347,683

363,410,297,023

362,771,037,936

Current Liabilities

355,595,882,481

289,401,880,823

299,587,928,028

Trade Payables & Other Payables

41,330,535,051

33,086,635,495

35,516,791,456

Short-Term Borrowings

305,267,702,724

248,571,916,490

254,048,255,284

Other Current Financial Debts

4,137,074,230

1,736,017,856

1,671,082,812

Deferred Income Tax Credit

380,778,136

2,076,902,328

2,448,900,534

Other Current Liabilities

4,479,792,340

3,930,408,654

5,902,897,942

Non-Current Liabilities

57,522,465,202

74,008,416,200

63,183,109,908

Long-Term Trade Payables & Other Payables

1,828,379,840

2,884,402,138

3,057,586,087

Long-Term Borrowings

38,882,023,344

53,872,958,352

44,592,337,900

Other Non-Current Financial Debts

593,272,880

888,049,367

2,624,067,223

Provision for Severance & Retirement

9,093,889,138

8,062,306,343

7,055,245,298

Other Non-Current Liabilities

7,124,900,000

8,300,700,000

5,853,873,400

Capital Stock

21,019,262,000

21,019,262,000

21,019,262,000

Capital Surplus

43,909,635,055

71,315,421,611

67,614,455,446

Others

19,457,138,645

19,457,138,645

19,457,138,645

Profit Surplus

68,230,794,048

58,631,530,915

44,215,478,375

Total Equity

152,616,829,748

170,423,353,171

152,306,334,466

Liab. & Shareholder’s Equity

565,735,177,431

533,833,650,194

515,077,372,402

 

Income Statement

Unit : Korean Won

01/01/2014~09/30/2014

As of 12/31/2013

As of 12/31/2012

Sales

410,229,724,705

551,737,987,819

527,305,207,994

Cost of Sold Goods

354,514,112,464

473,117,543,235

457,446,794,658

Gross Profit

55,715,612,241

78,620,444,584

69,858,413,336

Logistics

7,966,490,988

10,982,404,551

10,237,109,495

Selling & Admin. Expenses

18,809,797,359

23,851,616,638

20,608,107,090

R&D

9,572,610,148

14,107,727,288

13,517,607,602

Operating Income

19,366,713,746

29,678,696,107

25,495,589,149

Finance Income

498,318,989

1,158,569,427

1,441,779,878

Finance Expenses

11,167,165,903

15,073,082,220

15,145,245,211

Non-Operating Profits

5,646,646,678

3,313,154,197

3,495,818,758

Income Before Taxes

14,344,513,510

19,077,337,511

15,287,942,574

Income Taxes Expenses

2,222,938,937

1,977,015,991

2,194,703,646

Net Income

12,121,574,573

17,100,321,520

13,093,238,928

 

Cash Flows

Unit : Korean Won

01/01/2014~09/30/2014

As of 12/31/2013

As of 12/31/2012

Operating Activities Cash Flows

20,006,268,244

19,177,400,364

25,834,738,750

Net Income

12,121,574,573

17,100,321,520

13,093,238,928

Adjustment

21,108,891,977

18,852,464,896

25,864,088,872

Interests Received

334,001,868

667,735,260

1,216,514,947

Interests Paid

-10,074,872,706

-13,939,896,952

-15,196,028,849

Income Taxes Received

0

0

403,860,545

Income Taxes Paid

-3,483,327,468

-3,984,068,609

-17,489,315

Dividends Received

0

480,844,249

470,553,622

Cash Flows from Investing

-15,348,560,834

-32,681,197,164

-44,843,973,598

Cash Flows from Financing

-5,173,320,542

7,788,350,247

20,266,433,622

Increase/Decrease in Cash

-192,418,855

-6,346,985,482

654,421,440

Cash at the Beginning of Year

8,493,024,982

14,840,010,464

14,185,589,024

Cash at the End of Year

8,300,606,127

8,493,024,982

14,840,010,464

 

 

Products, Technologies, Services Description

 

Main Products & Services

PHOTORESISTS

BARCS

THINNERS

STRIPPERS

DEVELOPERS

CMP SLURRIES

 

Brand Name: DPR, DNR, UNICELL

 

 

Trade Partners & Competitors

 

Suppliers

ATAKA-SOLVENT

MIWON COMMERCIAL CO.,LTD.(130111-0007707)-PAC

DIC KOR-RESIN

SOPO

Customers

SAMSUNG ELECTRONICS CO,.LTD.(130111-0006246)

SAMSUNG CORPORATION(110111-0002975)

LG.PHILIPS LCD CO., LTD.(110111-0393134)

HYNIX SEMICONDUCTOR INC(134411-0001387)

Competitors

TOK-JAPAN

SUMITOMO-JAPAN

CLARIANT-SWISS

SHINETSU-JAPAN

SHIPLEY-USA

JSR-JAPAN

FUJI FILM-JAPAN

 

Related Parties (Subsidiaries, Joint-Venture & Affiliates)

 

Affiliates

DONGJIN DISPLAY MATERIALS CO., LTD.(135511-0190848)

(100.00% held by the subject company)

 

SINAM REFINED FUEL CO., LTD.(164911-0009012)

(69.63% held by the subject company)

 

EOLDOSI DONGJIN SEMICHEM ELECTRONIC MATERIALS CO., LTD.

90, BUILDING 1, NO 13, TIANJIAO-RD, DONGSHENG DISTRICT, ORDOS, INNER MONGOLIA, CHINA

 

 

Subsidiary

TAIWAN DONGJIN HWASUNG CO., LTD.

(89.38% held by the subject company)

NO.21 HSIENGONG NORTH 1ST RD, CHANGBIN IND. COMPLEX, CHANG HUAHSIEN, TAIWAN R.O.C

 

BEIJING DONGJIN SEMICHEM CO., LTD.

(100.0% held by the subject company)

NO 10, XINGYEJIE, BDA, BEIJING , CHINA, 100176

 

DONGJIN ELECTRONIC MATERIALS CO., LTD.

(100.0% held by the subject company)

BINHAI INDUSTRY AREA QIDONG ECONOMIC DEVELOPMENT ZOON QIDONG CITY JIANGSU, CHINA

 

DONGJIN SEMICHEM(SEOAN) CO., LTD.

(100.0% held by the subject company)

ROOM 2013, BLOCK B, GREENLAND SOHO LEAGUE, JINYE ROAD, HI-TECH DEVELOPMENT ZONE, XIAN CITY, SHAANXI , CHINA

 

JUNGGYUNG DONGJIN SEMICHEM ELECTRONIC MATERIALS CO., LTD.(CHINA)

(100.0% held by the subject company)

 

DONGJIN USA INC

(100.00% held by the subject company)

 

Sales by Region (Activity & Markets)

 

The Subject exports to Taiwan, Germany, Japan and USA.

 

 

Court Action

 

Case No.

Court

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

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

Cause

Amount (KRW)

Status

2012DA84004

 

The Subject Company

Kim Sang-Moon

-

643,465,400

Proceeding

2012NA104382

 

The Subject Company

Kim Sang-Moon

Claim for Compensation from Damages

1,044,834,284

Proceeding

 

 

News Clipping

 

---

 

 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.63.57

UK Pound

1

Rs.98.22

Euro

1

Rs.69.93

 

 

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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