FACT SHEET - Hanser Tagungenfiles.hanser-tagungen.de/docs/20131014085813_Songwon Fact Sheet.pdf · Songwon Industrial Co., Ltd. headquartered in Ulsan, Korea was founded in December

from a vision of success to a major regional polymer additives supplier

to a key global specialty chemicals player

19650 5

1975

15

198030

1985

60

1990

90

1995

200

2000

250

2005

400

2008

480

2010

540

2011 2012

Mill

ion

US$

637 2012Expansion of OPS Hindered Amine Light Stabilizers

20111076 plant MaeamExpansion of TPU productionAcquisition Additives Technology Greiz GmbHThioester AO's

2006-2010Maeam plantIsobutylene back integrationIsobutylene expansionSpecialty AO's UV Stabilizers

1965-2005Alkyl Phenol and Alkyl Cresol back integrationPhenolic, Phosphite & Specialty AO'sMetal soapsLiquid PhosphitesBi-Functional MonomersPlasticizers and SAPPVC Stabilizers and Tin Intermediates

FACT SHEET2013

THE SECOND LARGEST MANUFACTURER OF POLYMER STABILIZERS IN THE WORLD

Songwon Industrial Co., Ltd. headquartered in Ulsan, Korea was founded in December 1965. Over the years it developed a global presence and today the Songwon Industrial Group comprises:

• 17 companies including 2 joint ventures and 1 representative offi ce, located in 9 different countries on 3 continents.

• 6 manufacturing facilities of which 3 are located in Korea, 1 in Germany, 1 in USA, 1 in China and in addition a manufacturing JV plant in China.

• A worldwide network of sales offi ces, distributors, customer service and logistic hubs and warehouses.

Our commitment is to continue to deliver better quality, better service andbetter value – anticipating the needs and desires of our customers.

The cornerstones of our strategy to achieve this are:

• Attract the best talents and create a workplace enabling highest commitment and performance of our employees.

• Reduce production costs through process improvements, economy of scale and back-integration. Songwon is the only producer of plastic antioxidants fully back integrated into alkylphenols and further integrated into isobutylene production at the Maeam plant in Korea, based on Songwon’s new and patented technology.

• Focus on operational excellence and innovative technologies that will enable us to develop new products that fulfi ll the needs of our customers.

• Develop a geographical coverage and level of service that anticipates our customers’ logistic and quality requirements, as well as providingbest-in-class documentation and regulatory support.

• Continue to emphasize the importance of Environmental, Health & Safety, and Sustainability across all of our business activities and invest in order to outperform industry standards.

Songwon International-Americas Inc.(Houston, Texas)

SWIA-US

Songwon Industrial Co., Ltd.

(Ulsan, Korea)SW-CO

100%100%100%100%60%

100%

100%

100% 49%

100%

50%

60%

40%

100% 100%

Songwon Industrial Co. Ltd. Representative

Office Bahrain(Manama,

Kingdom of Bahrain)

Songwon China Ltd.(Hong Kong, PRC)

SWC-CN

Songwon International-Japan K.K.

(Tokyo, Japan)SWJ-JP

Chemservice Asia(Seoul Korea)

CSA-CO

Songwon International AG

(Frauenfeld, Switzerland) SWI-CH

Songwon Holdings AG

(Frauenfeld, Switzerland) SWH-CH

Songwon Chemicals Co. Ltd.

(Shanghai, PRC)SWCC-CN

30%

Songwon Baifu Chemicals (Tangshan)

Co., Ltd.(Tangshan, PRC)

SWBC-CN

Songwon Additive Technologies - Americas Inc.(Houston, USA)SWATA - US

Songwon-ATG GmbH(Kerpen, Germany)

SWATG-DE

Songwon AdditiveTechnologies - Middle East FZESWATM-UAE

Polysys Additive Technologies -

Middle East LLC(Abu Dhabi, UAE)

PATME-UAE

Songwon Trading Co. Ltd.

(Shanghai, PRC)SWCT-CN

Songwon International-India Pvt. Ltd.(Mumbai, India)

SWII-IN

Songwon Additive Technologies AG

(Frauenfeld, Switzerland) SWAT-CH

Legend

Sales & DistributionHoldingService CompanyManufacturing

SONGWON INDUSTRIAL GROUP

A HISTORY OF GROWTH

In 46 years Songwon has emerged from being the only producer of polymer additives in Korea to a key global specialty chemicals player.

Songwon Industrial Group

PolymerStabilizers

Plastics

Alkylphenolsand

Alkylcresols

Intermediates(Polymer

Stabilizers, Biphenolvarious

Chemicals)

PVCStabilizers

Plastics

Plasticizers

Plastics,Base for

Lube and Greases

TinIntermediates

PVC Stabilizers,Catalysts,Coatings

SAP/Flocculants

Diapers, Personal Care

and Waste Water

PU

Plastics, Synthetic Leather,

Adhesives,Coatings

Biphenol

Plastics(Liquid Crystal

Polymers)

Headquarters/Affiliates

Ulsan, KoreaFrauenfeld, Switzerland Mumbai, IndiaManama, Kingdom of BahrainShanghai, ChinaTokyo, JapanHouston, USA

Manufacturing

Ulsan, KoreaMaeam, KoreaSuwon, KoreaGreiz, Germany Shanghai, ChinaTangshan, China Houston, USA

Applications

Ulsan, KoreaBrussels, Belgium

Technical service

Ulsan, KoreaFrauenfeld, SwitzerlandManama, Kingdom of BahrainMumbai, IndiaHouston, USA

R&D

Ulsan, Korea

Sales / Distribution

Seoul / Busan, Korea Frauenfeld, Switzerland Mumbai, India Manama, Kingdom of Bahrain Shanghai, China Tokyo, Japan Houston, USA Akron, USABangkok, Thailand Barcelona, Spain Bogor, Indonesia Bogotá, Colombia Brussels, Belgium Bucharest, RomaniaBudapest, Hungary Buenos Aires, Argentina Cairo, Egypt Caracas, Venezuela Cheshire, United KingdomDubai, UAE Hamburg, GermanyHelsingborg, SwedenHo Chi Min City, Vietnam Istanbul, Turkey

Jakarta, IndonesiaJohannesburg, South AfricaKuala Lumpur, MalaysiaLima, PeruMelbourne, AustraliaMexico City, MexicoMilano, Italy Moscow, RussiaNorwalk, USAParis, FrancePrague, Czech RepublicQuito, EcuadorRotterdam, Netherlands Santiago, ChileSao Paulo, BrazilSanto Domingo, Dominican RepublicSingapore, Republic of SingaporeSofia, BulgariaTeheran, IranTel Aviv, IsraelToronto, CanadaWarsaw, PolandVienna, AustriaZagreb, Croatia

Logistic Hubs

Ulsan, KoreaAbu Dhabi, UAEAntwerp, BelgiumMumbai, India Shanghai, China Tokyo, Japan Houston, USAAkron, USAColumbus, USANewark, USAEdmonton, CanadaMississauga, Canada Sao Paulo, Brazil

Bangkok, Thailand Barcelona, Spain Bogor, Indonesia Bogotá, ColombiaBucharest, Romania

Buenos Aires, ArgentinaCaracas, Venezuela Cheshire, United KingdomHamburg, GermanyHelsingborg, SwedenHo Chi Min City, Vietnam Istanbul, TurkeyJohannesburg, South AfricaKuala Lumpur, MalaysiaLima, PeruMelbourne, AustraliaMexico City, MexicoMilano, Italy Moscow, RussiaPrague, Czech RepublicQuito, Ecuador Santiago, ChileSanto Domingo, Dominican Republic Singapore, Republic of Singapore



Manufacturing


Applications


Technical service


R&D

Ulsan, Korea




Logistic Hubs






Manufacturing


Applications


Technical service


R&D

Ulsan, Korea




Logistic Hubs






Manufacturing


Applications


Technical service


R&D

Ulsan, Korea




Logistic Hubs




SONGWON GROUP FACT SHEET

Korean Manufacturing facilitiesUlsan, Maeam and Suwon

Songwon International AG Frauenfeld, Switzerland

OPS Manufacturing facilityGreiz, Germany Capacity expansion July 2012

OPS Manufacturing facilityKizad, Abu Dhabi

OPS Manufacturing facilityHouston, USAOn-stream since May 2013

PLANNED2014

SONGWON PRODUCTS

POLYMER STABILIZERS

Classifi cation Grade

Phenolic Antioxidants SONGNOX® 1010, 1024, 1035, 1076, 1098, 1135, 1290, 1330, 1790, 2450, 3114, 4425

Phosphite Antioxidants SONGNOX® 1680, 6260, 6280, TPP, TDP, DPDP, EHDPP, DHOP

Thioester Antioxidants SONGNOX® 4120, DSTDP, DLTDP, DTDTP, DMTDP

Hindered Aminic Light Stabilizers SABO®STAB 62, 65, 70, 78, 91, 91-50PP, 94, 119

UV Absorbers SONGSORB® 1000, 1084, 2340, 2908, 3200, 3260, 3270, 3280, 3290, 3600, 7120, 8100

SABO®STAB 312

Binary Blends SONGNOX® 1010 Blends, 1076 Blends, 1680 Blends, 1024 Blends, 1098 Blends, 3114 Blends, 6260 Blends, Other Blends

OPS Customer Specifi c formulations

New Stabilizer Solutions SONGXTEND™ 1101, 1102, 2121, 2122, 2123SABO®STAB UV210, UV228 50PP

ALKYL PHENOLS & CRESOLS


Di-Alkyl Phenol SONGNOX® 2,6-DTBP, 2,4-DTBP

Alkyl Cresol SONGNOX® 2M6B, 4M6B, 3M6B

BI-FUNCTIONAL MONOMERS


Bi-functional Monomers TMBP, Bisphenol-F, TPE

PVC STABILIZERS


Organo-Tin Stabilizers SONGSTAB™ TM-300P, TM-600P, TM-661P, BT-107N, TM-506, TL-100, TL-600, OT-700R, OT-713R, TM-700R, TM-710C, TL-700, TM-700, MT-800, MT-820S

Full Range of PVC Stabilizer System

• Metal Soaps• Organo-Tin Stabilizers: Butyl, Octyl and Methyl• Mixed Metal Stabilizers in Liquid and Powder• Plasticizers, Auxiliaries and Lubricants• Custom Formulation

PLASTICIZERS


Polyester Type SONGCIZER™ P-1500, P-2600, P-2700, P-2800, P-3000

Specialty Plasticizers SONGCIZER™ DOA, TOTM

ORGANO-TIN INTERMEDIATES


Organo-Tin Intemediates SONGCAT™ DBTO, DOTO, MBTC, DMTC, DBTC, DOTC, BT-60, OT-60, TBT, TOT

Alkyl Chloride SONGCAT™ Bu-Cl, Oct-Cl

SONGWON - A COMMITMENT TO THE POLYMER INDUSTRY

Songwon operates a wide range of businesses mainly serving the polymer industry and is a supplier of choice for polymer stabilizers, offering one of the broadest ranges of products and physicals forms. Songwon has introduced over 30 new products in the last 5 years.

ONE PACK SYSTEMS (OPS)

In 2011 Songwon acquired Additives Technology Greiz GmbH (ATG), based in Germany. ATG is one of Europe’s largest manufacturers of One Pack Systems (OPS). Access to the OPS technology enables Songwon to extend to a fast gro-wing part of the polymer stabilizers market and at the same time to expand its customer base. Following the acquisition of ATG and its successful integration in Songwon’s processes, a capacity expansion in Greiz was implemented which came on stream in July 2012, making this facility one of the biggest plants for OPS in the world. In addition Songwon established Songwon Additive Tech-nologies AG, a partnership with two prominent Middle Eastern Groups, Pan Gulf Holdings of Bahrain and Polysys Industries of Abu Dhabi. The partnership is the vehicle for the global OPS expansion activities and is the parent of ATG. The fi rst plant in the United States came on stream in May 2013 and will be fol-lowed by a production facility in the Middle East scheduled for 2014.

GLOBAL CUSTOMER SERVICE AND LOGISTICS

Songwon serves the major polymer producers and compounders from regional headquarters in Ulsan (Korea), Frauenfeld (Switzerland), Houston (USA), Shanghai (China), Tokyo (Japan), Mumbai (India) and Manama (Bahrain).

Our Supply Chain Model is designed to meet regional requirements and deliver excellent customer service through strategic regional distribution with Songwon support in downstream markets:

• Asia: Songwon Warehouses in Ulsan (Korea), Japan and China, with stocking distributors in all major Asian countries.

• EMEA: Songwon Warehouses in Antwerp (Belgium), India and Bahrain with stocking distributors in all major European Countries, Russia, Turkey and South Africa.

• Americas: Songwon Warehouses in US, Canada, and Brazil with stocking distributors in North, Central and South America.

SONGWON GROUP FACT SHEET

BEST-IN-CLASS TECHNICAL SERVICE

Songwon’s Technical Support is based on a Center of Excellence Model. The qualifi ed Technical Service teams in the fi eld interface with customers and provide fi rst line of support. Analytical and application expertise and capability in our central lab in Korea supports regional technical service facilities and customers. The New Product Introduction group has a proud record of successful new product delivery and is the interface between Songwon’s development activities and its customers. All these functions are supported by the Songwon R&D Center in Korea combined with a global network of R&D capabilities focusing on product and process development.

REACH AND REGULATORY AFFAIRS

Songwon is fully committed to REACH and Regulatory Affairs. Songwon provides extensive information on the REACH process and is 100% compliant with the product registration process on or before the given deadlines.

In 2010 Songwon established Chemservice Asia Co. Ltd., a JV company of Chemservice SA and Songwon Industrial Co., Ltd. The company combines global regulatory affairs expertise together with EH&S skills and chemical process competence to support the chemical and polymer related industry in the Asian region.

Songwon provides all relevant documentation including MSDS, Labels and RDS and ensures the compliance of its products with all existing global as well as emerging regional chemical regulations.

SONGWON SHARES INFORMATION

Songwon Industrial Co., Ltd. is listed on the Korean Stock Exchange (KRX) in Seoul and is a constituent of the KOSPI 200.

Songwon share

Valor 722523

Stock Market KRX Seoul

VISION

Songwon - Salient in Additives - achieve sustainable and profi table growth by understanding, anticipating, and satisfying the needs and desires of all our customers.

MISSION

• People: Build a great place to work, inspiring our people to excel in a culture of creativity, collaboration and consistency.

• Products: Provide a portfolio of quality products, anticipating and satisfying the needs of our customers with the innovative application of sustainable chemistry.

• Partners: Create mutual, enduring value by constructing a winning network of customers and suppliers.

• Performance: Fulfi ll our responsibilities while maximizing long-term return to shareholders.

• Productivity: Develop and nurture a lean, highly effective and fast moving organization.

MID TERM GOALS

Our key objective is to continue building a global business, reaching a turnover of 900 Million US$ by 2015, with a solid and sustainable profi t and a sound balance sheet structure.

To do this Songwon needs to react to global megatrends in line with its customer base. Polymer stabilizers will continue to play a key role; the reference market, polymers, and in particular Polyolefi ns, are expected to continue to grow at an AAGR of 5%, making this one of the few business opportunities which is growing above global GDP. This is driven by the population growth and improved quality of life which drives increase in wealth and results in signifi cant mid-market development in high growth economies. To meet the signifi cant increase in demand Songwon focuses on the constant delivery of innovative technology to provide customers with affordable, high quality products that are economically sustainable.

To achieve this our approach is, and will be for the foreseeable future, to identify opportunities that will expand the product portfolio, or geographical coverage in line with growth in developing countries and shift in regional demands, or alternatively, will bring new key technologies to Songwon.

Through the acquisition of ATG, Songwon has gained access to the OPS technology. This technology will be leveraged to expand Songwon’s product offering and geographical presence: a new OPS manufacturing on stream in the United States in May 2013, followed in 2014 by the start-up of OPS production in the Middle East, one of the fastest growing markets for Polyolefi ns and already a ma-jor market for OPS. In China, Songwon Baifu Chemical Co., Ltd., will add thioester antioxidant manufacturing capacity and this will bring a new technology in a new location to the Songwon portfolio.

The increasing need for energy effi ciency and for low carbon emissions and renewable energy, but also scarcity of natural resources will drive innovation. Sustainability and safety are embedded into our innovation programs and operational effectiveness. As we grow globally we recognize that achieving the company’s goals and aspirations will demand products and processes that have less and less impact on the Earth’s resources and our goal is to implement this ethic at all points throughout the value chain.

KEY FINANCIAL DATA

2012Million KRW

2011Million KRW

Sales of goods 679,637 628,972

Gross profi t 131,999 92,119

Gross profi t margin (%) 19.4% 14.6%

Operating profi t 57,652 22,772

Profi t for the year 20,459 10,033

Basic earnings per share (KRW) 858 418

Operating cash fl ow 93,999 19,725

Total assets 862,123 870,166

Total equity 286,716 275,019

Equity ratio (%) 33.3% 31.6%

Head counts 576 529

www.songwon.com

SALIENTFrom the Latin Verb ‘salire’ to leap or leaping. As an adjective, meaning the most noticeable, prominent or important.

SALIENT SONGWON, LEAPING AHEAD IN THE WORLD OF POLYMERS; A PROMINENT GLOBAL SUPPLIER OF CHEMICAL ADDITIVES.

Songwon Industrial Co., Ltd.737-2, Yochon-DongNam-Gu 680-090UlsanKoreaPhone: +82 522 739 841E-mail: [email protected]

Songwon Holdings AGWalzmühlestrasse 48CH-8500 FrauenfeldSwitzerland

Songwon International AGWalzmühlestrasse 48CH-8500 FrauenfeldSwitzerland

Songwon International-Americas, Inc.1311 W Parkwood Ave FriendswoodTexas 77546USAToll Free: +1 877 SONGWONDirect: +1 281 648 1585E-mail: [email protected]

Songwon International - India Pvt. Ltd.701 - Purva PlazaShimpoli RoadBorivali (West)Mumbai 400092IndiaPhone: +91 22 28997419 +91 22 28991029E-mail: [email protected]

Songwon International - Japan K.K.Nishi-Shinbashi 1chome Kawate building 8F,room 801 Nishi-Shinbashi 1-5-8, Minato-ku, 105-0003 TokyoJapanPhone: +81 3 6268 8721E-mail: [email protected]

Songwon China Ltd.Rooms 2202-03, 22/F, Wing On House71 Des Voeux Road, CentralHong KongChina

Songwon Trading Co. Ltd.3rd Floor, Unit 2, 159 Tianzhou RoadShanghai 200233ChinaPhone: +86 21 5445 2218E-mail: [email protected]

Songwon Chemicals Co. Ltd.No. 680 Shenfu Road, Jiuting, Songjiang DistrictShanghai 201615China

Songwon Baifu Chemicals (Tangshan) Co. Ltd.Tangshan Nanpu Development ZoneSouth to Ronghua RoadTangshanChina

Chemservice Asia Co. Ltd.Songwon Building, 59-4, Banpo 4-DongSeocho-gu 137-044SeoulKorea

Songwon Additive Technologies AGWalzmühlestrasse 48CH-8500 FrauenfeldSwitzerland

Songwon-ATG GmbHHeinrich-Hertz-Strasse 10DE-50170 KerpenGermany

Songwon Additive Technologies - Americas Inc.1311 W Parkwood AveFriendswood, TX 77546USA

for more information, please contact: Songwon International AGWalzmühlestrasse 48CH-8500 FrauenfeldSwitzerland Phone: +41 52 635 00 00E-mail: [email protected]

Documents

FACT SHEET - Hanser Tagungenfiles.hanser-tagungen.de/docs/20131014085813_Songwon Fact Sheet.pdf · Songwon Industrial Co., Ltd. headquartered in Ulsan, Korea was founded in December