MIRA INFORM REPORT

 

 

Report No. :

341153

Report Date :

14.09.2015

 

IDENTIFICATION DETAILS

 

Name :

DAELIM CORPORATION

 

 

Registered Office :

39, Sejong-daero, Jung-gu, Seoul, Korea 04513, 11th Fl., Korea Chamber of Commerce & Industry

 

 

Country :

South Korea

 

 

Financials (as on) :

30.06.2015

 

 

Date of Incorporation :

01.10.1994

 

 

Com. Reg. No.:

110-81-30979

 

 

Legal Form :

Co., Ltd by shares

 

 

Line of Business :

Wholesale of Other Chemical Materials and Chemical Products

 

 

No. of Employees :

263

 

 

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 :

Slow but correct

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

DAELIM CORPORATION

(Korean Company Name : “()대림코퍼레이션”)

Registered Address

39, Sejong-daero, Jung-gu, Seoul, Korea

Building

11th Fl., Korea Chamber of Commerce & Industry

Zip Code

04513

Tel

+82-2-3708-3000

Fax

+82-2-3708-3571

E-mail

daecoweb@daelimcorp.co.kr

Website

www.daelimcorp.co.kr

Trading Address

11th Fl., Korea Chamber of Commerce & Industry, 39, Sejong-daero, Jung-gu, Seoul, Korea

(Old Address System : 11th Fl., Korea Chamber of Commerce & Industry, 45, Namdaemunno 4-ga, Jung-gu, Seoul, Korea)

Tel

+82-2-3708-3114

Fax

+82-2-3708-3571

Other Address-R&D Center

217-3 Sinseong-dong Yusong-gu, Daejeon, Korea

Tel

+82-42-869-7540

Fax

+82-42-869-7545

Other Address-Yeosu Center

1005 Pyeongyeo-Dong ,Yeosu-si, Jeollanam-do, Korea

Tel

+82-61-692-6661

Fax

+82-61-692-6660

Other Address-ChungJu Center

ChungJu Industrial Complex 1135 Youngtan-Dong, ChungjJu-Si, Chungcheongbuk-do Korea

Tel

+82-43-856-1310

Fax

+82-43-856-1311

Other Address-R&D Center

217-3 Sinseong-dong Yusong-gu, Daejeon, Korea

Tel

+82-42-869-7540

Fax

+82-42-869-7545

Other Address-Yeosu Center

1005 Pyeongyeo-Dong ,Yeosu-si, Jeollanam-do, Korea

Tel

+82-61-692-6661

Fax

+82-61-692-6660

Other Address-ChungJu Center

ChungJu Industrial Complex 1135 Youngtan-Dong, ChungjJu-Si, Chungcheongbuk-do Korea

Tel

+82-43-856-1310

Fax

+82-43-856-1311

Type

Export

Industry

Wholesale of Other Chemical Materials and Chemical Products

  Main Business

Monomer, Polymer, Tarpaulin, Aluminum Ingots, Aluminum Scraps, Transport Arrangement Service, Marine Transport, Shipping Agency, K-Resin, Polyamide, Polybutene

  Sub Business

 

Established (mm/dd/yyyy)

10/01/1994

 

Detailed Products

 

Activity

Detailed Products (UNSPSC)

Sell

Phone headsets(43191609)

Sell

Scooters(25101802)

Sell

Power adapters or inverters(39121006)

Sell

Keyboards(43211706)

Sell

Televisions(52161505)

Sell

Plastic sheet(30102515)

Sell

Vehicle handsfree phone set(43191615)

Sell

Pigment paints(31211503)

Sell

Naphtha(15101503)

Sell

Liquified petroleum gas(15111510)

Sell

Heat pumps(40101806)

Sell

Films(13111200)

Sell

High Density Polyethylene HDPE(13102017)

Sell

Low Density Polyethylene LDPE(13102018)

Sell

Pipe(40142100)

Sell

Chemistry reagents or solutions(41116105)

Sell

Aromatic or heterocyclic compounds(12352005)

Sell

Fuel oil(15101700)

Sell

Polystyrene PS(13102026)

Sell

Elastomers(13101700)

Sell

Organic derivatives and substituted compounds(12352100)

Sell

Compounded resin(13111037)

Sell

Petroleum and distillates(15101500)

Sell

Aromatic or heterocyclic compounds(12352005)

 

 

CEO’s

 

Name

Lee Byung-Chan

Address

 

Date of Birth

05/1953

Title

President & CEO

Sex

Male

Nationality

Korean

 

 

Profiles

 

Capital (KRW)

52,639,465,000

Employees

263

Formation

Co., Ltd by shares

A Company of DAELIM BUSINESS GROUP

Bank Details

Woori Bank-Susong Dong Branch

Corporate Registered No.

110111-1081093

Business Registered No.

110-81-30979

Permit & Licenses

Int’l Trade No. : 11190837

Shareholder Position

Name

Shares

%

LEE JOON-YONG

4,490,137

42.65

LEE HAE-WOOK

5,501,679

52.26

ORA RESORT CO., LTD.(220111-0001536)

455,235

4.32

LEE HAE-SEUNG

54,628

0.52

TREASURY STOCK

26,214

0.25

TOTAL

10,527,893

100.00

Company History

10/01/1994 Incorporated as the present name

12/2006 Moved to the present HQ address

11/2008 Acquired DAELIM H&L CO., LTD.(110111-2198631)

07/01/2015 Acquired DAELIM I&S CO., LTD.(110111-1143009)

07/01/2015 Increased capital to 52,639,465,000 KRW from 36,829,810,000 KRW

 

 

 

 

Detailed Information

 

Management

 

Job Description

Title

Name

Nationality

Inauguration Date

Education

President & CEO

Mr.

Lee Byung-Chan

Korean

2015.07.01

Busan National University, Korea

Vice President & CEO

Mr.

Kim Jin-Seo

Korean

2013.03.18

Yonsei University, Korea

Vice President

Mr.

Lee Sang-Ki

Korean

2013.03.18

Seoul National University, Korea

Executive Director

Mr.

Kim Chang-Soo

Korean

2013.03.18

Hankuk University of Foreign Studies, Korea

Auditor

Mr.

Sohn Han-Zip

Korean

2012.01.01

Seoul National University, Korea

 

 

Financials

 

Year / Unit : KRW

Sales

Assets

Net Income

(*)06/2015

1,246,473,645,791

1,855,996,108,003

-37,066,856,378

(*)2014

3,547,175,351,800

1,897,624,601,993

-42,684,412,540

(*)2013

4,132,325,135,452

1,899,069,005,253

55,336,678,693

(*)2012

4,159,332,981,539

2,099,908,753,941

55,836,996,047

(*)2011

4,399,668,808,663

1,841,721,119,517

5,884,509,543

(*)2010

3,399,951,045,633

1,739,824,829,932

-20,916,415,145

2009

2,669,965,345,248

1,739,797,471,760

63,166,570,323

2008

2,697,134,104,636

1,501,257,174,863

 10,713,060,609

2007

2,045,859,654,211

1,296,877,694,259

74,422,054,455

2006

1,637,235,335,856

1,143,217,605,223

45,592,164,793

2005

1,619,135,635,132

974,095,732,301

56,543,975,190

2004

1,818,331,717,057

858,160,730,021

105,548,915,160

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

 

 

Financial Description

 

Authorized Capital(KRW)

100,000,000,000

Paid-Up Capital(KRW)

52,639,465,000

Total Issues Shares

10,527,893

 

Balance Sheet

Unit : Korean Won

01/01/2015~06/30/2015

As of 12/31/2014

As of 12/31/2013

Total Assets

1,855,996,108,003

1,897,624,601,993

1,899,069,005,253

Current Assets

395,838,038,745

427,106,279,546

409,600,105,454

Cash & Cash Equivalents

13,830,731,739

40,811,198,656

52,750,774,752

Trade Receivables & Other Receivables

314,403,936,295

300,241,689,373

316,436,254,356

Derivatives

4,734,219,452

30,776,435,051

4,837,792,671

Inventories

57,252,249,949

29,428,482,172

26,317,141,765

Deferred Income Tax Assets

-

16,705,113,482

-

Other Current Assets

5,616,901,310

9,143,360,812

9,258,141,910

Non-Current Assets

1,460,158,069,258

1,470,518,322,447

1,489,468,899,799

Non-Current Financial Instruments

2,107,500,000

1,207,500,000

7,500,000

Trade Receivables & Other Receivables

1,424,460,806

987,112,708

963,768,637

Marketable Financial Instruments

924,225,540

924,225,540

1,424,225,540

Investment_Related Companies

850,716,395,665

850,716,395,665

781,872,865,665

Investment_Subsidiaries

233,837,300

233,837,300

233,837,300

Tangibles

519,320,198,916

530,414,417,480

616,072,176,516

Intangibles

76,689,102,122

76,719,190,702

76,779,367,862

Other Non-Current Assets

8,742,348,909

9,315,643,052

12,115,158,279

Total Liabilities

1,076,714,039,342

1,068,380,997,963

1,010,089,462,816

Current Liabilities

489,301,082,377

320,333,075,925

481,541,058,301

Trade Payables & Other Payables

227,937,304,451

183,914,737,576

224,592,530,357

Short-Term Borrowings

71,516,363,908

36,362,163,377

64,978,738,474

Derivatives

4,104,139,677

47,139,786,672

4,743,897,798

Finance Lease Debts

6,480,133,600

6,101,192,733

5,458,098,124

Accrued Income Tax

 

 

7,170,129,690

Current Portion of Long-Term Debts

173,704,017,280

43,156,963,309

170,689,778,682

Other Current Liabilities

5,559,123,461

3,658,232,258

3,907,885,176

Non-Current Liabilities

587,412,956,965

748,047,922,038

528,548,404,515

Debentures

213,282,916,630

242,453,840,810

71,659,000,000

Long-Term Borrowings

218,528,378,055

336,563,795,435

275,492,312,675

Finance Lease Debts

5,683,254,018

8,764,440,268

14,271,927,316

Provision for Severance & Retirement

952,975,269

416,584,226

129,414,748

Deferred Income Tax Credit

148,965,432,993

159,849,261,299

166,995,749,776

Capital Stock

36,829,810,000

36,829,810,000

36,829,810,000

Capital Surplus

183,857,726,870

183,857,726,870

183,857,726,870

Profit Surplus

557,612,276,520

607,569,566,398

667,305,754,115

Others

982,255,271

986,500,762

986,251,452

Total Equity

779,282,068,661

829,243,604,030

888,979,542,437

Liab. & Shareholder’s Equity

1,855,996,108,003

1,897,624,601,993

1,899,069,005,253

 

Income Statement

Unit : Korean Won

01/01/2015~06/30/2015

As of 12/31/2014

As of 12/31/2013

Sales

1,246,473,645,791

3,547,175,351,800

4,132,325,135,452

Cost of Sold Goods

1,187,411,006,702

3,446,248,012,372

3,976,384,345,243

Gross Profit

59,062,639,089

100,927,339,428

155,940,790,209

Selling & Admin. Expenses

30,009,003,370

63,575,902,453

65,624,615,468

Operating Income

29,053,635,719

37,351,436,975

90,316,174,741

Other Operating Income

49,027,935,531

136,814,418,842

107,134,559,139

Other Operating Expenses

111,114,383,924

173,535,568,827

110,082,340,003

Finance Income

9,009,883,926

9,858,517,365

14,749,239,947

Finance Expenses

25,691,400,280

42,613,012,629

27,502,363,825

Income Before Taxes

-49,714,329,028

-32,124,208,274

74,615,269,999

Income Taxes Expenses

-12,647,472,650

10,560,204,266

19,278,591,306

Net Income

-37,066,856,378

-42,684,412,540

55,336,678,693

 

Cash Flows

Unit : Korean Won

01/01/2015~06/30/2015

As of 12/31/2014

As of 12/31/2013

Operating Activities Cash Flows

-9,293,914,962

7,482,861,636

88,824,097,982

Cash Flows from Operating

-17,821,276,311

73,092,638,407

124,622,565,355

Net Income

-37,066,856,378

-42,684,412,540

55,336,678,693

Adjustment

26,769,812,736

140,210,841,889

72,654,068,135

Changes in Asset/ & Liability

-7,524,232,669

-24,433,790,942

-3,368,181,473

Interests Received

210,446,909

930,653,652

365,227,668

Interests Paid

-11,095,268,747

-25,716,360,708

-19,609,170,228

Dividends Received

943,425,361

757,866,200

3,784,331,000

Income Taxes

18,468,757,826

-41,581,935,915

-20,338,855,813

Cash Flows from Investing

-15,180,550,157

-64,569,362,390

-67,161,230,951

Cash Flows from Financing

-2,506,001,798

45,146,924,658

5,991,038,788

Increase/Decrease in Cash

-26,980,466,917

-11,939,576,096

27,653,905,819

Cash at the Beginning of Year

40,811,198,656

52,750,774,752

25,096,868,933

Cash at the End of Year

13,830,731,739

40,811,198,656

52,750,774,752

 

Products, Technologies, Services Description

 

Main Products & Services

Sales and Agency Business of Petrochemical, Business of Ship Sales and Chartered Ship

 

Petrochemical Business

Shipping Business

Detailed Products Spec.

 

Technologies Acquired

 

 

 

Trade Partners & Competitors

 

Suppliers

 

Customers

YEOCHUN NCC CO., LTD.(110111-1839096)

LG CHEM LTD.(110111-2207995)

HONAM PETRO CHEMICAL CORPORATION(110111-0193196)

 

MITSUI & CO., LTD.

CARGILL INTERNATIONAL TRADING PTE LTD

DAELIM YIBIANSHI(SHANGHAI)TRADING CO.,LTD.

GLENCORE SINGAPORE

TRAMMOCHEM ASIA PTE LTD

MARUBENI CORPORATION

Competitors

COGNIS KOREA LTD.

5TH FL., GANGNAM METRO BLDG., 1339-9, SEOCHO 2-DONG, SEOCHO-GU, SEOUL, KOREA

TEL:+82-2-3489-7600  FAX:+82-2-584-7603

 

NAMDUCK MOOLSAN CO., LTD.

RM. 1014, YEOUIDO DEPT. STORE, 36-2, YEOUIDO-DONG, YEONGDEUNGPO-GU, SEOUL, KOREA

TEL:+82-2-3774-0900  FAX:+82-2-3774-0901

 

KOWON CO., LTD.

7TH FL., GOWON BLDG., 20-19, YANGJAE 1-DONG, SEOCHO-GU, SEOUL, KOREA

TEL:+82-2-578-6181  FAX:+82-2-578-6692

 

Related Parties (Subsidiaries, Joint-Venture & Affiliates)

 

Affiliates-Domestic

DAELIM INDUSTRIAL CO., LTD.(110111-0084915)

KOREA DEVELOPMENT CORPORATION(110111-0052037)

SAMHO CO., LTD.(180111-0434372)

WEB-TECH CORP.(110111-1799406)

ORA RESORT CO., LTD.(220111-0001536)

DAELIM MOTOR CO., LTD.(110111-0227359)

DAELIM CONCRETE PROCUCTS CO., LTD.(110111-0061228)

ECO SULIHALL CO., LTD.(115611-0045657)

MANWOLSAN TUNNEL CO., LTD.(120111-0144444)

YOUNGCHEON SANGJU HIGHWAY CO., LTD.(110111-3581520)

SUDOKWON SEOBU HIGHWAY CO., LTD.(135111-0082770)

GIMHAE DONGSEO TUNNEL CO., LTD.(195511-0106752)

SONGDO POWER CO., LTD.(110111-3936189)

GREEN TECHNOLOGY DEVELOPMENT CO., LTD.(284411-0050771)

 

DAELIM ENERGY CO., LTD.(284411-0075258)

(30.00% held by the subject company)

Affiliates-Overseas

DAELIM PHILIPPINES, INC(PHILIPPINES)

INTEGRATED ENGINEERING LTD.(MALAYSIA)

PT. DAELIM UTAMA CONSTRUCTION(INDONESIA)

DAELIM MALAYSIA, SDN. BHD.(MALAYSIA)

DAELIM SAUDI ARABIA CO.,LTD(SAUDI ARABIA)

DAELIM(SHANGHAI) INTERNATIONAL TRADING CO., LTD.(CHINA)

DAELIM VIETNAM LTD.(VIETNAM)

DAELIM(NAMKYUNG) CONSTRUCTION CO., LTD.(CHINA)

 

HHVC SHIPPING PTE.LTD.(SINGAPORE)

(50.0% held by the subject company)

 

WBLC SHIPPING PTE.LTD.(SINGAPORE)

(50.0% held by the subject company)

Overseas Office

DAELIM CORP. SHANGHAI OFFICE

1708 TOWER B CITY CENTER OF SHANGHAI NO.100 ZUNYI RD., SHANGHAI,200051

TEL:+86-21-6237-0099  FAX:+86-21-6237-0019

 

DAELIM CORP. GUANGZHOU OFFICE

RM 2112, CITIC PLAZA, TIANHE NORTH RD(E),GUANGZHOU, P.R.C

TEL:+86-20-3877-3455  FAX:+86-20-3877-3805

 

DAELIM CORP. HOCHIMINH OFFICE

8F OSIC BUILDING 8 NGUYEN HUE STREET, DISTRICT 1, HOCHIMINH CITY, VIETNAM

TEL:+84-8-822-8683  FAX:+84-8-822-8685

 

DAELIM CORP. SINGAPORE BRANCH

ADDRESS : 10 HOE CHIANG ROAD #04-07 KEPPEL TOWERS SINGAPORE 089315

TEL:+65-6327-9330  FAX:+65-6327-9350

Liaison Office

 

Overseas Branch

 

Joint Venture

 

Subsidiary

DAELIM VIETNAM LTD.

(100.0% held by the subject company)

 

DAELIM YIBIANSHI(SHANGHAI) TRADING CO., LTD.

(100.0% held by the subject company)

Corporate Ownership

 

Major Shareholders

 

Cooperative Enterprise

-Insured Company

SAMSUNG FIRE & MARINE INSURANCE CO., LTD(110111-0005078)

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

 

 

Sales by Region (Activity & Markets)

 

Sales/ Unit :Mil KRW

06/2015

2014

2013

Export

665,826

1,636,446

 

Domestic

580,648

1,910,729

 

Total

1,246,474

3,547,175

 

The Subject deals with the companies in Singapore, China, and Vietnam.

 

 

Court Action

 

No.

 

 

News Clipping

 

-------

 

 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.66.39

UK Pound

1

Rs.102.59

Euro

1

Rs.74.90

 

 

INFORMATION DETAILS

 

Analysis Done by :

KAR

 

 

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.