MIRA INFORM REPORT

 

 

Report No. :

341161

Report Date :

15.09.2015

 

IDENTIFICATION DETAILS

 

Name :

SNNC CO., LTD.

 

 

Registered Office :

2148-139, Jecheol-Ro, Gwangyang-Si, Jeollanam-Do, Korea 57812

 

 

Country :

South Korea

 

 

Financials (as on) :

31.12.2014

 

 

Date of Incorporation :

18.05.2006

 

 

Com. Reg. No.:

416-81-52508

 

 

Legal Form :

Co., Ltd by Shares

 

 

Line of Business :

Manufacture of Ferro-Alloys.

 

 

No. of Employees :

291

 

 

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

SNNC CO., LTD.

Registered Address

2148-139, Jecheol-ro, Gwangyang-si, Jeollanam-do, Korea

Building

 

Zip Code

57812

Tel

+82-61-797-9114

Fax

+82-61-797-9191

E-mail

parkhd@snnc.co.kr

Website

www.snnc.co.kr

 

 

Trading Address

2148-139, Jecheol-ro, Gwangyang-si, Jeollanam-do, Korea

(Old Address System : 878, Geumho-dong, Gwangyang-si, Jeollanam-do, Korea)

Tel

+82-61-797-9114

Fax

+82-61-797-9191

 

 

Type

Export/Import

Industry

Manufacture of Ferro-Alloys

  Main Business

Ferronickel

  Sub Business

 

Established (mm/dd/yyyy)

05/18/2006

 

 

Detailed Products

 

Activity

Detailed Products (UNSPSC)

Sell

Ferronickel

 

 

CEO’s

 

Name

Lim Geun-Young

Address

Suite 103-1501, 40, Jindeung-gil, Gwangyang-si, Jeollanam-do, Korea

Date of Birth

03/10/1956

Title

President & CEO

Sex

Male

Nationality

Korean

 

 

Profiles

 

Capital (KRW)

185,000,000,000

Employees

291

Formation

Co., Ltd by Shares

Foreign Direct Investment Corporation

A Company of POSCO Group

Bank Details

Woori Bank

Kookmin Bank

Korea Development Bank

Corporate Registered No.

204611-0023415

Business Registered No.

416-81-52508

Permit & Licenses

N/A

Shareholder Position

Name

Shares

%

SOCIETE MINIERE DU SUD PACIFIQUE(SMSP : FRANCE)

18,870,000

51.00

POSCO(174611-0000741)

18,130,000

49.00

TOTAL

37,000,000

100.00

Company History

05/18/2006 Incorporated as the present name

06/28/2006 Registered as a Foreign Direct Investment Corporation

09/04/2006 Increased the authorized shares to 42,000,000 KRW from 2,400,000 KRW

11/15/2007 Increased capital to 185,000,000,000 KRW from 120,000,000,000 KRW

08/01/2008 Moved to the present HQ address from 700, Geumho-dong, Gwangyang-si, Jeollanam-do, Korea

 

 

 

 

Management

 

Job Description

Title

Name

Sex

Nationality

Inauguration Date

President & CEO

Mr.

Lim Geun-Young

Male

Korean

07/20/2015

Director

Mr.

Choi Tae-Ho

Male

Korean

03/19/2012

Director

Mr.

Andrei Danvengha

Male

French

02/26/2008

Director

Mr.

Marcel Thomas

Male

French

02/26/2008

Director

Mr.

Nocole Christopher Banier

Male

French

07/22/2013

Director

Mr.

Carl Norbert Reon Andrederbi

Male

French

11/07/2014

Director

Mr.

You Byung-Ok

Male

Korean

03/16/2015

Auditor

Mr.

Philip Feriviore

Male

French

09/04/2006

 

 

Financials

 

Year / Unit : KRW

Sales

Assets

Net Income

(*)2014

345,835,827,853

826,597,453,716

41,117,334,337

(*)2013

405,419,144,703

504,351,457,130

8,457,743,143

(*)2012

379,229,976,937

577,273,347,234

16,959,083,765

(*)2011

447,148,450,067

610,058,831,057

81,246,054,902

(*)2010

519,870,543,796

648,530,168,350

149,376,555,802

2009

368,348,636,617

505,055,034,008

85,685,888,345

2008

34,358,401,715

409,132,368,994

-47,958,883,951

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

 

 

Financial Description

 

Authorized Capital(KRW)

210,000,000,000

Paid-Up Capital(KRW)

185,000,000,000

Total Issues Shares

37,000,000

 

Balance Sheet

Unit : Korean Won

As of 12/31/2014

As of 12/31/2013

As of 12/31/2012

Total Assets

826,597,453,716

504,351,457,130

577,273,347,234

Current Assets

161,765,884,198

114,924,663,791

302,310,778,591

Cash & Cash Equivalents

30,537,458,750

31,266,095,040

62,870,697,021

Trade Receivables

7,069,642,789

19,349,540,023

37,188,384,633

Other Finance Assets

5,423,403,067

7,446,412,960

142,908,709,371

Other Current Assets

2,641,135,181

2,362,062,881

967,388,439

Inventories

116,094,244,411

54,500,552,887

58,375,599,127

Non-Current Assets

664,831,569,518

389,426,793,339

274,962,568,643

Tangibles

652,029,540,895

378,391,313,336

270,195,290,685

Intangibles

2,947,435,622

1,201,336,233

1,496,266,055

Deferred Income Tax Assets

3,228,767,676

2,589,504,857

647,357,055

Marketable Financial Instruments

 

 

2,000,000

Other Non-Current Assets

726,902,080

1,894,017,485

52,702,035

Other Non-Current Financial Assets

5,898,923,245

5,350,621,428

2,568,952,813

Total Liabilities

528,246,009,117

235,829,883,090

261,780,528,344

Current Liabilities

120,851,991,372

107,947,297,669

109,989,137,421

Trade Payables

25,764,641,752

19,240,893,511

32,600,921,549

Other Current Financial Debts

55,285,748,609

54,810,158,454

42,378,913,066

Other Current Liabilities

157,931,724

121,261,570

87,888,762

Short-Term Borrowings

30,000,000,000

30,000,000,000

30,000,000,000

Deferred Income Tax Credit

6,823,498,039

2,144,654,773

2,844,320,432

Current Portion of Provisions

2,820,171,248

1,630,329,361

2,077,093,612

Non-Current Liabilities

407,394,017,745

127,882,585,421

151,791,390,923

Long-Term Borrowings

398,000,000,000

120,000,000,000

150,000,000,000

Other Non-Current Financial Debts

6,971,286,342

7,502,275,680

286,918,200

Deferred Income Tax Credit

2,422,731,403

380,309,741

1,504,472,723

Capital Stock

185,000,000,000

185,000,000,000

185,000,000,000

Profit Surplus

113,351,444,599

83,521,574,040

130,492,818,890

Total Equity

298,351,444,599

268,521,574,040

315,492,818,890

Liab. & Shareholder’s Equity

826,597,453,716

504,351,457,130

577,273,347,234

 

Income Statement

Unit : Korean Won

As of 12/31/2014

As of 12/31/2013

As of 12/31/2012

Sales

345,835,827,853

405,419,144,703

379,229,976,937

Cost of Sold Goods

288,383,934,651

377,841,911,645

348,080,459,529

Gross Profit

57,451,893,202

27,577,233,058

31,149,517,408

Logistics

2,915,783,191

3,800,769,877

2,924,792,536

Admin. Expenses

10,582,628,441

9,744,198,852

9,459,876,295

Operating Income

43,953,481,570

14,032,264,329

18,764,848,577

Non-Operating Profits

225,243,498

-2,867,721,723

383,333,037

Non-Operating Income

3,478,716,839

411,275,963

908,682,096

Non-Operating Expenses

3,253,473,341

3,278,997,686

525,349,059

Finance Profits

-1,236,465,419

1,425,311,796

1,110,496,595

Finance Income

2,609,836,724

6,181,309,967

10,710,378,215

Finance Expenses

3,846,302,143

4,755,998,171

9,599,881,620

Income Before Taxes

42,942,259,649

12,589,854,402

20,258,678,209

Income Taxes Expenses

1,824,925,312

4,132,111,259

3,299,594,444

Net Income

41,117,334,337

8,457,743,143

16,959,083,765

 

Cash Flows

Unit : Korean Won

As of 12/31/2014

As of 12/31/2013

As of 12/31/2012

Operating Activities Cash Flows

42,935,763,592

60,115,417,771

25,840,588,309

Cash Flows from Operating

49,498,707,055

66,953,094,682

34,458,947,224

Net Income

41,117,334,337

8,457,743,143

16,959,083,765

Adjustment

31,571,855,829

55,590,165,641

51,496,803,514

Changes in Asset/ & Liability

-23,190,483,111

2,905,185,898

-33,996,940,055

Interests Received

336,348,919

5,706,866,614

8,460,672,590

Interests Paid

-9,362,800,069

-5,429,005,473

-5,859,250,249

Income Taxes

2,463,507,687

-7,115,538,052

-11,219,781,256

Cash Flows from Investing

-311,154,599,001

-5,221,019,752

77,943,150,173

Cash Flows from Financing

267,492,000,000

-86,499,000,000

23,783,155

Increase/Decrease in Cash

-726,835,409

-31,604,601,981

32,343,738,482

Cash at the Beginning of Year

31,266,095,040

62,870,697,021

30,526,958,539

Cash at the End of Year

30,537,458,750

31,266,095,040

62,870,697,021

 

 

Products, Technologies, Services Description

 

Main Products & Services

Ferronickel

Detailed Products Spec.

 

Technologies Acquired

 

 

 

Trade Partners & Competitors

 

Suppliers

NMC(NICKEL MINING COMPANY SAS : NEW CALEDONIA)

COAL & ALLIED OPERATIONS PTY LTD.(AUSTRALIA)

Customers

POSCO(174611-0000741)

Competitors

RISTEC-BIZ CO., LTD.

SAN 32, YOJA-DONG, NAM-GU, POHANG-SI, GYEONGSANGBUK-DO, KOREA

TEL:+82-54-279-6436  FAX:+82-54-279-6440

 

MECHEM KOREA CO., LTD.

9TH FL., ILJIN BLDG., 50-1, DOHWA-DONG, MAPO-GU, SEOUL, KOREA

TEL:+82-2-323-5193  FAX:+82-2-323-5195

 

KTC KOREA CO., LTD.

567-49, YEONNAM-DONG, MAPO-GU, SEOUL, KOREA

TEL:+82-2-3144-5052  FAX:+82-2-3141-5846

 

 

Related Parties (Subsidiaries, Joint-Venture & Affiliates)

 

Affiliates

POSCO(174611-0000741)

DAEWOO INTERNATIONAL CORPORATION(110111-2137358)

POSCO COATED & COLOR STEEL CO., LTD.(174611-0006492)

POSCO ENGINEERING & CONSTRUCTION CO., LTD.(174611-0002979)

POSDATA CO., LTD.(110111-0658637)

POSCO REFRACTORIES & ENVIRONMENT CO., LTD.(174611-0001947)

SAMJUNG PACKING AND ALUMINUM CO., LTD.(174611-0000866)

POS-A.C. CO., LTD.(174611-0003448)

POSCO ENGINEERING & CONSTRUCTION CO., LTD.(174611-0002979)

POSCO RESEARCH INSTITUTE(110111-1042350)

POSCON(174611-0002242)

POSTEEL(110111-0344591)

POSCO SPECIALTY STEEL CO., LTD. (194211-0025248)

POSCO MACHINERY CO., LTD.(206411-0010175)

POSMEC(POSCO MACHINERY & ENGINEERING CO., LTD.)(174611-0012176)

POSCO TERMINAL CO., LTD.(204611-0017575)

POSTECH VENTURE CAPITAL COOPERATION (174611-0029080)

POSMATE CO., LTD.(110111-0739841)

POSCO POWER CORPORATION(110111-1829576)

PHP CO., LTD.(120111-0421545)

POSBRO(110111-3528986)

POSCORE CO., LTD.(134811-0003343)

RIZTECH BIZ CO., LTD.

POSWITH CO., LTD.(171711-0075927)

P&R CO., LTD.

BASYS INDUSTRY CO. LTD.(110111-0954647)

SUWON GREEN ENVIRONMENT CORPORATION(134811-0133794)

UI TRANS CO., LTD.(110111-3792309)

DAKOS(131110-0246297)

MAPO HIBROAD PARKING CO., LTD.(110111-4250140)

PURE GIMPO CO., LTD.(110111-4290394)

PLANT EST CO., LTD.(171711-0087592)

UNIVERSAL STUDIOS RESORT DEVELOPMENT CORPORATION(134811-0167222)

METAPOLIS CO., LTD.(134811-0094475)

SEOUNG GWANG CO., LTD.(120111-0222844)

CHEONGNA IBT CO., LTD.(120111-0454520)

POHANG FEUL CELL CO., LTD.(171711-0076256)

MEGA ASSET CO., LTD.(161511-0097480)

DAEWOO ENGINEERING COMPANY CO., LTD.(110111-0203268)

 

 

Corporate Ownership

SOCIETE MINIERE DU SUD PACIFIQUE(SMSP : FRANCE)

Major Shareholders

SOCIETE MINIERE DU SUD PACIFIQUE(SMSP : FRANCE)

POSCO(174611-0000741)

Cooperative Enterprise

-Insured Company

DONGBU INSURANCE CO.,LTD.(10111-0095285)

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

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

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

 

 

Sales by Region (Activity & Markets)

 

The Subject deals with the companies in Australia and New Caledonia.

 

 

Court Action

 

No.

 

 

News Clipping

 

----------

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.66.37

UK Pound

1

Rs.102.54

Euro

1

Rs.75.32

 

INFORMATION DETAILS

 

Analysis Done by :

RAS

 

 

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.