7th Apr 2010 07:39
Annual Report
I. OUTLINE OF COMPANY
1. Purpose of Company
|
Purpose |
Remark |
|
1) General travel business 2) Airline and ship ticket sales business 3) Souvenir Sales 4) Issuing of Selling Offers 5) Real estate dealing and lease 6) Optional Communication Business 7) Computer programming and supply 8) Mail order 9) Printing and publishing business 10) Issuing of Periodicals 11) The transportation business 12) Institute for traveling specialist 13) Internet (contents and supply, marketing) 14) E-commerce and information processing 15) Advertisement (Internet advertisement) 16) Information and communication 17) Homepage and web-hosting 18) Warehousing 19) All other incidental businesses |
|
2. History of Company
A. Changes after the establishment
|
Oct. 25, 1993 |
Established Kookjin Travel Co., Ltd. (Capital: 350 million won) 55-4 Seosomun-dong, Jung-gu, Seoul |
|
Dec. 01, 1995
|
Set the company policy in 'comprehensive wholesales' and launched 'Hana Tour', independent package brand, and commenced the agency sales |
|
Nov. 28, 2000 |
Listed on KOSDAQ (commenced trading) |
|
Nov. 10, 2006 |
Listed on LSE(London Stock Exchange) |
B. Change of trade name
|
Mar. 6, 1996 |
Changed the name from Kookjin Travel Co., Ltd. to Hana Tour Co., Ltd. * Purpose is to unify the brand name and company image |
C. Change of location for head office
|
Oct. 25, 1993 |
55-4 Seosomun-dong, Jung-gu, Seoul |
|
Mar. 22, 1996 |
10F Inju Building, Tour cost fees-1 Seorin-dong, Jongro-gu, Seoul |
|
Oct. 01, 1997 |
11F Hanmi Building, 1 Gonpyeong-dong, Jongro-gu, Seoul |
|
Jun. 15, 2005 |
1 Gongpyeong-dong, Jongro-gu, Seoul |
D. Merger, spin off (merger), comprehensive stock swap, transfer, important business assignment and others
The company has no fact of merger or business assignment since the company establishment to this date of submitting this report.
3. Total Number of Stocks, Etc.
A. Total number of stocks
(As of December 31, 2009)
(Unit: share)
|
Classification |
Types of stocks |
Remark |
||
|
Common stock |
Total |
|||
|
I. Total number of stocks to be issued |
20,000,000 |
20,000,000 |
|
|
|
II. Total number of stocks issued to this point |
11,616,185 |
11,616,185 |
|
|
|
III. Total number of stocks reduced to this point |
- |
- |
|
|
|
|
1. Capital deduction |
- |
- |
|
|
2. Retirement of earning |
- |
- |
|
|
|
3. Repayment of redeemed stocks |
- |
- |
|
|
|
4. Others |
- |
- |
|
|
|
IV. Total number of stocks issued (II-III) |
11,616,185 |
11,616,185 |
|
|
|
V. Equity stocks |
608,263 |
608,263 |
|
|
|
VI. Number of shares distributed (IV-V) |
11,007,922 |
11,007,922 |
|
|
B. Change of capital
(1) Status of capital increase
(Unit: share, won)
|
Date of stock issuance |
Type of issuance |
Contents of issued stocks |
||||
|
Types |
Quantity |
Par value |
Issuance amount per stock |
Remark |
||
|
Oct. 25, 1993 |
- |
Common stock |
35,000 |
10,000 |
10,000 |
Capital for incorporation |
|
Jun. 12, 1996 |
Capital increase with consideration (shareholder allotment) |
Common stock |
21.500 |
10,000 |
10,000 |
- |
|
Jul. 25, 1997 |
Capital increase with consideration (shareholder allotment) |
Common stock |
35,840 |
10,000 |
10,000 |
- |
|
Oct.01, 1997 |
- |
Common stock |
184,680 |
5,000 |
- |
Face amount division |
|
Dec. 02, 1999 |
Capital increase with consideration (shareholder allotment) |
Common stock |
115,320 |
5,000 |
5,000 |
- |
|
Dec. 23, 1999 |
Capital increase with consideration (shareholder allotment) |
Common stock |
60,000 |
5,000 |
10,000 |
- |
|
May, 05, 2000 |
-
|
Common stock |
3,600,000 |
500 |
- |
Face amount division |
|
Nov. 16, 2000 |
Capital increase with consideration (shareholder allotment) |
Common stock |
900,000 |
500 |
2,850 |
- |
|
Aug. 26, 2003 |
Capital increase without consideration |
Common stock |
3,764,034 |
500 |
- |
- |
|
Oct. 27,2004 |
Capital increase with consideration (shareholder allotment) |
Common stock |
76,322 |
500 |
11,850 |
- |
|
Oct. 27,2004 |
Capital increase without consideration |
Common stock |
1,977,029 |
500 |
- |
- |
|
Jan. 25, 2006 |
Exercise stock options |
Common stock |
137,800 |
500 |
6,171 |
- |
|
Nov. 11, 2006 |
Capital increase |
Common stock |
1,161,000 |
500 |
55,711 |
DR |
(2) Status of capital decrease
(Unit: share, won)
|
Date of capital reduction |
Type |
Purpose |
Contents of reduced stocks |
||||
|
Types |
Quantity |
Face value per stock |
Amount of acquisition per stock (for capital decrease for consideration) |
Remark |
|||
|
- |
- |
- |
- |
- |
- |
- |
- |
C. Contents of scheduled change for capital
[No applicable change]
4. Matters on Dividends
A. Matters on dividend for three recent fiscal year
|
Classification |
17th Term |
16th Term |
15th Term |
|
|
Face amount per stock (won) |
500 |
500 |
500 |
|
|
Current net income (million won) |
-4,837 |
5,030 |
26,876 |
|
|
Net income per share (won) |
-447 |
445 |
2,352 |
|
|
Total amount of cash dividend (million won) |
5,404 |
8,386 |
10,215 |
|
|
Total amount of stock dividend (million won) |
- |
- |
- |
|
|
Tendency of stock dividend (%) |
- |
166.7 |
38.0 |
|
|
Yield rate of cash dividend (%) |
Common stock |
1.0 |
3.2 |
1.1 |
|
Preferred stock |
- |
- |
- |
|
|
Yield rate of stock dividend (%) |
Common stock |
- |
- |
- |
|
Preferred stock |
- |
- |
- |
|
|
Cash dividend per share (won) |
Common stock |
500 |
750 |
900 |
|
Preferred stock |
- |
- |
- |
|
|
Stock dividend per share |
Common stock |
- |
- |
- |
|
Preferred stock |
- |
- |
- |
|
5. Status of Employees
(As of December 31, 2009)
(Unit: persons)
|
Classification |
No. of employees |
|||
|
Office |
Operation |
Etc |
Total |
|
|
Men |
382 |
315 |
36 |
733 |
|
Women |
382 |
148 |
124 |
664 |
|
Total |
774 |
463 |
160 |
1,397 |
6. Organization
CHAIRMAN & CEO -> PRESIDENT & CEO -> GLOBAL MANAGEMENT DIVISION GLOBAL STRATEGIC PLANNING DIVISION FINANCE DIVISION
GLOBAL GENERAL SALES DIVISION
AGENCY SALES DIVISION
OVERSEAS BUSINESS SALES DIVISION
II. CONTENTS OF BUSINESS
1. Summary of Business
We are the number one wholesale travel agency in Korea with a 27.1 market share of the tour package business measured in terms of the number of outbound leisure travelers originating from Korea and served by the top 30 travel agencies during 2008 according to the Korea Association of Travel Agents, or KATA. The top 30 travel agencies in Korea collectively had a market share of 60.3%, measured in terms of the number of outbound leisure travelers originating from Korea during 2008.
Our primary business consists of assembling outbound package tour for Korean travelers, which we sell through approximately 5,000 retail travel agencies in Korea.
Our large scale of operations enables us to negotiate favorable rates with airline carriers, hotel operators and local transportation providers. We package air tickets, hotel rooms and land services and sell them to the end-user by distributing the products through our network of retail travel agents. We also sell our products through our website at www.hanatour.com or our call centers, which sales are ultimately handled by the retail travel agents.
"Hanatour" is currently the most widely recognized travel brand name in Korea and according to a survey conducted by the Korea Management Association, we ranked number one in brand recognition in the travel agency category in Korea in the last two years.
2. Market Share Rate
The market share rate of the travel business is classified based on persons and the market share rate is calculated by a number of departures. (Crews are excluded from the total departing persons)
This is based on the data announced monthly by Korea Tourism Organization (KNTO) and the passengers reported to Korea Association of Travel Agents (KATA).
|
Year |
2009 |
2008 |
2007 |
|||
|
Persons |
Total departed persons |
Total department persons from Hana Tour |
Total departed persons |
Total department persons from Hana Tour |
Total departed persons |
Total department persons from Hana Tour |
|
8,495,491 |
1,188,219 |
10,973,258 |
1,480,261 |
12,295,079 |
1,684,870 |
|
|
Share rate |
13.99% |
13.49% |
13.70% |
|||
3. Characteristics of the market
The travel business registered in Korea is about 9,000 that takes about 80% of entire tourist companies that employees about 50,000 persons that has taken a very important role as the main vein of tourism industry. However, 80% of entire businesses are small companies with 500 million won or less of capital. In 1982, the travel business was converted into the registration system and completely liberated in 1989, brining explosive increase of small travel companies. WTO expects the world travel industry to grow 4.1% of annual average up to 2020. In Korea, with the 5-working day system and dispersed vacation system, it opens up the advanced country-type vacation time.
4. Contents and prospect of new business and others
The company has no detailed investment plan on new business as of the date of submitting this quarterly report, but it plans to strive for qualitative improvement of overseas business and services through the steady expansion of overseas local corporations.
III. FINANCIAL DATA
Notice to Readers
This report is effective as of February 25, 2008, the auditors' report date. Certain subsequent events or circumstances may have occurred between the auditors' report date and the time the auditors' report is read. Such events or circumstances could significantly affect the accompanying financial statements and may result in modifications to the auditors' report.
HANATOUR SERVICE INC.
NON-CONSOLIDATED BALANCE SHEETS
AS OF DECEMBER 31, 2009 AND 2008
|
|
Korean Won |
|
|
|
2009 |
2008 |
|
|
(In thousands) |
|
|
ASSETS |
|
|
|
|
|
|
|
CURRENT ASSETS: |
|
|
|
Cash and cash equivalents (Notes 16,19) |
￦ 37,516,717 |
￦ 18,719,585 |
|
Short-term financial instruments (Note 3) |
24,332,500 |
41,984,518 |
|
Trade receivables, net of allowance for doubtful accounts of ￦766,917 thousand in 2009 and ￦707,632 thousand in 2008 (Note 15) |
21,618,001 |
13,807,917 |
|
Short-term loans (Notes 4,15) |
2,747,652 |
2,322,803 |
|
Accounts receivable-other, net of allowance for doubtful accounts of ￦53,879 thousand in 2009 and ￦10,976 thousand in 2008 (Note 15) |
10,143,628 |
4,515,080 |
|
Accrued income (Note 15) |
548,914 |
1,308,274 |
|
Advanced payments, net of allowance for doubtful accounts of ￦295,281 thousand in 2009 and ￦106,509 thousand in 2008 (Note 15) |
8,199,642 |
6,201,051 |
|
Prepaid expenses |
652,219 |
652,219 |
|
Deferred income tax assets (Note 13) |
- |
- |
|
Total current assets |
105,184,783 |
90,771,504 |
|
|
|
|
|
NON-CURRENT ASSETS: |
|
|
|
Available for sale securities (Note 5) |
602,368 |
602,368 |
|
Investment securities accounted for using the equity method (Note 6) |
16,505,651 |
21,996,378 |
|
Property and equipment, net of accumulated depreciation of ￦7,493,406 thousand as of December 31, 2008 and ￦6,577,038 thousand as of December 31, 2008 (Notes 7 and 8) |
30,514,503 |
31,125,201 |
|
Intangible assets, net of amortization (Note 9) |
5,738,523 |
6,594,837 |
|
Long-term financial instruments (Note 3) |
2,500 |
2,500 |
|
Guarantee deposits |
3,254,085 |
2,614,461 |
|
Membership |
471,711 |
471,711 |
|
Total non-current assets |
57,089,341 |
63,407,456 |
|
|
|
|
|
Total assets |
￦ 162,274,124 |
￦ 154,178,961 |
(Continued)
HANATOUR SERVICE INC.
NON-CONSOLIDATED BALANCE SHEETS (CONTINUED)
AS OF DECEMBER 31, 2009 AND 2008
|
|
Korean Won |
|
|
LIABILITIES AND SHAREHOLDERS' EQUITY |
2009 |
2008 |
|
|
(In thousands) |
|
|
CURRENT LIABILITIES: |
|
|
|
Accounts payable-other (Notes 15 and 16) |
￦ 27,444,785 |
￦ 31,784,886 |
|
Advanced receipts (Note 15) |
6,534,701 |
4,684,165 |
|
Accrued expenses (Note 15) |
2,093,588 |
1,219,493 |
|
Withholdings |
461,850 |
318,358 |
|
VAT withholdings |
1,317,501 |
1,227,046 |
|
Income tax payable |
1,303,549 |
- |
|
Deposits received for overseas traveling (Note 15) |
27,586,114 |
21,076,607 |
|
Rental deposits received (Notes 7 and 15) |
2,818,990 |
1,988,339 |
|
Operating deposits received from agents |
180,200 |
177,780 |
|
Provision for mileage |
448,759 |
279,437 |
|
Deferred income tax liabilities (Note 13) |
753,426 |
355,244 |
|
Total current liabilities |
71,246,002 |
63,799,300 |
|
|
|
|
|
LONG-TERM LIABILITIES: |
|
|
|
Deferred income tax liabilities (Note 13) |
101,056 |
959,092 |
|
Total long-term liabilities |
101,056 |
959,092 |
|
Total liabilities |
71,347,057 |
64,758,392 |
|
|
|
|
|
SHAREHOLDERS' EQUITY (Notes 10 and 11): |
|
|
|
Capital stock |
5,808,093 |
5,808,093 |
|
Capital surplus |
72,191,034 |
60,688,560 |
|
Capital adjustments |
(9,741,720) |
(23,892,142) |
|
Accumulated other comprehensive income |
2,161,597 |
1,903,558 |
|
Retained earnings |
20,508,063 |
44,912,502 |
|
Total shareholders' equity |
90,927,067 |
89,420,569 |
|
Total liabilities and shareholders' equity |
￦ 162,274,124 |
￦ 154,178,961 |
See accompanying notes to non-consolidated financial statements.
HANATOUR SERVICE INC.
NON-CONSOLIDATED STATEMENTS OF INCOME
FOR THE YEARS ENDED DECEMBER 31, 2009 AND 2008
|
|
Korean Won |
|
|
|
2009 |
2008 |
|
|
(In thousands, except per share amounts) |
|
|
|
|
|
|
SALES (Note 15) |
|
|
|
Overseas traveling intermediation income |
￦ 83,628,936 |
￦ 122,788,569 |
|
Air tickets intermediation income |
30,241,908 |
39,587,472 |
|
Other income |
10,028,611 |
10,402,679 |
|
|
123,899,456 |
172,778,721 |
|
|
|
|
|
OPERATING EXPENSES (Notes 15 and 21) |
123,474,417 |
162,989,704 |
|
|
|
|
|
OPERATING INCOME |
425,038 |
9,789,016 |
|
|
|
|
|
NON-OPERATING INCOME (EXPENSES): |
|
|
|
Interest income (Note 15) |
2,875,541 |
4,946,583 |
|
Foreign currency exchange gain(loss), net |
(162,902) |
(5,319,742) |
|
Foreign currency translation gain(loss), net |
91,506 |
(410,189) |
|
Reversal of allowance for bad debts |
- |
- |
|
Loss on valuation of investment securities accounted for using the equity method, net (Note 6) |
(6,433,114) |
(1,033,833) |
|
Gain on disposal of investment securities accounted for using the equity method, net (Note 6) |
(18,919) |
20,837 |
|
Gain on disposal of property and equipment, net |
132 |
1,097 |
|
Transfer to reserve for provision for guarantee |
(398,182) |
(355,244) |
|
Other bad debt expenses |
(222,382) |
(261,956) |
|
Donation |
(188,766) |
(238,560) |
|
Others, net |
1,040,248 |
1,033,429 |
|
|
(3,416,840) |
(1,617,579) |
|
|
|
|
|
INCOME BEFORE INCOME TAX |
(2,991,801) |
8,171,438 |
|
|
|
|
|
INCOME TAX EXPENSE (Note 13) |
1,845,220 |
3,141,181 |
|
|
|
|
|
NET INCOME |
￦ (4,837,022) |
￦ 5,030,257 |
|
|
|
|
|
BASIC NET INCOME PER SHARE (Note 14) |
￦ (447) |
￦ 433 |
|
DILUTED NET INCOME PER SHARE (Note 14) |
￦ (447) |
￦ 433 |
See accompanying notes to non-consolidated financial statements.
HANATOUR SERVICE INC.
NON-CONSOLIDATED STATEMENTS OF APPROPRIATIONS OF RETAINED EARNINGS
FOR THE YEARS ENDED DECEMBER 31, 2009 AND 2008
|
|
Korean Won |
|
|
|
2009 |
2008 |
|
|
(In thousands) |
|
|
RETAINED EARNING BEFORE APPROPRIATIONS: |
|
|
|
Unapproprited retained earnings carried over from prior years |
￦ 24,144,603 |
￦ 42,217,759 |
|
Interim cash dividends (Note 12) |
(2,701,981) |
(5,670,888) |
|
Legal reserve for interim cash dividends |
- |
(567,089) |
|
Net income |
(4,837,022) |
5,030,257 |
|
|
16,605,601 |
41,010,040 |
|
|
|
|
|
TRANSFER FROM RESERVES: |
- |
- |
|
|
|
|
|
APPROPRIATIONS: |
|
|
|
Legal reserve for cash dividends |
|
|
|
Loss on disposal of treasury stock |
- |
14,150,592 |
|
Cash dividends (Note 12) |
2,701,981 |
2,714,845 |
|
|
2,701,981 |
16,865,437 |
|
|
|
|
|
UNAPPROPRIATED RETAINED EARNINGS TO BE CARRIED FORWARD TO SUBSEQUENT YEAR |
￦ 13,903,620 |
￦ 24,144,603 |
See accompanying notes to non-consolidated financial statements.
HANATOUR SERVICE INC.
NON-CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLEDRS' EQUITY
FOR THE YEAR ENDED DECEMBER 31, 2009 AND 2008
|
|
Korean Won |
|||||
|
|
Capital stock |
Capital surplus |
Capital adjustments |
Accumulated other comprehensive income |
Retained earnings |
Total amount |
|
|
(In thousands) |
|||||
|
January 1, 2008 |
￦5,808,093 |
￦60,688,560 |
￦ (30,404,399) |
￦ (72,704) |
￦63,382,018 |
￦99,401,567 |
|
Payment of cash dividend |
|
|
|
|
(5,608,093) |
(5,608,093) |
|
Amortization of loss on disposal of treasury stock |
|
|
12,220,793 |
|
(12,220,793) |
- |
|
Balance after appropriation |
|
|
|
|
45,553,132 |
93,793,475 |
|
Payment of Interim cash dividend |
|
|
|
|
(5,670,888) |
(5,670,888) |
|
Net income |
|
|
|
|
5,030,257 |
5,030,257 |
|
Acquisition of treasury stock |
|
|
(26,916,847) |
|
|
(26,916,847) |
|
Disposal of treasury stock |
|
|
31,524,734 |
|
|
31,524,734 |
|
Exercise of stock option rights |
|
|
(2,911,086) |
|
|
(2,911,086) |
|
Loss on disposal of treasury stock |
|
|
(14,150,592) |
|
|
(14,150,592) |
|
Stock compensation expense |
|
|
6,745,255 |
|
|
6,745,255 |
|
Changes in gain on valuation of investment securities |
|
|
|
(2,161,165) |
|
(2,161,165) |
|
Changes in loss on valuation of investment securities |
|
|
|
(184,903) |
|
184,903) |
|
December 31, 2008 |
￦ 5,808,093 |
￦ 60,688,560 |
￦ (23,892,142) |
￦ 1,903,558 |
￦44,912,502 |
￦ 89,420,569 |
|
January 1, 2009 |
￦5,808,093 |
￦60,688,560 |
￦ (23,892,142) |
￦ 1,903,558 |
￦44,912,502 |
￦89,420,569 |
|
Payment of cash dividend |
|
|
|
|
(2,714,845) |
(2,714,845) |
|
Amortization of loss on disposal of treasury stock |
|
|
14,150,592 |
|
(14,150,592) |
- |
|
Balance after appropriation |
|
|
|
|
28,047,065 |
86,705,724 |
|
Payment of Interim cash dividend |
|
|
|
|
(2,701,981) |
(2,701,981) |
|
Net income |
|
|
|
|
(4,837,022) |
(4,837,022) |
|
Acquisition of treasury stock |
|
|
(1,486,163) |
|
|
(1,486,163) |
|
Disposal of treasury stock |
|
|
6,531,600 |
|
|
6,531,600 |
|
Exercise of stock option rights |
|
9,356,728 |
(9,356,728) |
|
|
- |
|
Loss on disposal of treasury stock |
|
2,145,746 |
|
|
|
2,145,746 |
|
Stock compensation expense |
|
|
4,311,121 |
|
|
4,311,121 |
|
Changes in gain on valuation of investment securities |
|
|
|
222,619 |
|
222,619 |
|
Changes in loss on valuation of investment securities |
|
|
|
35,420 |
|
35,420 |
|
December 31, 2009 |
￦ 5,808,093 |
￦ 72,191,034 |
￦ (9,741,720) |
￦ 2,161,597 |
￦20,508,063 |
￦90,927,067 |
See accompanying notes to non-consolidated financial statements.
HANATOUR SERVICE INC.
NON-CONSOLIDATED STATEMENTS OF CASH FLOWS
FOR THE YEARS ENDED DECEMBER 31, 2009 AND 2008
|
|
Korean Won |
|
|
|
2009 |
2008 |
|
|
(In thousands) |
|
|
CASH FLOWS FROM OPERATING ACTIVITIES: |
|
|
|
Net income |
￦ (4,837,022) |
￦ 5,030,257 |
|
Adjustments to reconcile net income to net cash provided by operating activities: |
|
|
|
Provision for severance benefits |
3,247,290 |
3,295,083 |
|
Stock compensation expense |
4,311,121 |
6,745,255 |
|
Bad debt expense |
587,967 |
184,998 |
|
Depreciation |
1,066,923 |
1,511,860 |
|
Amortization of intangible assets |
1,775,848 |
1,418,491 |
|
Mileage compensation expense |
254,097 |
299,552 |
|
Foreign currency translation loss(gain), net |
(94,398) |
393,089 |
|
Reversal of allowance for bad debts |
- |
- |
|
Gain on disposal of property and equipment, net |
132 |
(1,097) |
|
Loss on disposal of investments |
- |
- |
|
Loss on valuation of investment securities accounted for using the equity method, net |
7,078,394 |
3,890,834 |
|
Gain(Loss) on disposal of investment securities accounted for using the equity method, net |
18,919 |
(20,837) |
|
Transfer to reserve for provision for guarantee |
398,182 |
355,244 |
|
Other bad debts expense |
222,382 |
261,956 |
|
Donations |
1,306 |
16,600 |
|
|
|
|
|
Changes in operating assets and liabilities: |
|
|
|
Increase in trade receivables |
(7,997,796) |
5,805,337 |
|
Decrease (Increase) in accounts receivable-other |
3,624,556 |
(2,952,740) |
|
Decrease (Increase) in advanced payments |
(1,998,591) |
3,488,497 |
|
Increase in accrued income |
759,360 |
125,965 |
|
Decrease (Increase) in prepaid expenses |
(353,022) |
457,687 |
|
Increase in prepaid income tax |
700,484 |
(700,484) |
|
Decrease in trade payables |
(4,249,166) |
(5,707,561) |
|
Decrease (Increase) in deferred income tax assets |
973,743 |
(1,646,645) |
|
Increase(decrease) in accounts payable-other |
(385,549) |
(3,747,166) |
|
Increase in advanced receipts |
1,850,536 |
1,389,884 |
|
Increase(decrease) in withholdings |
143,492 |
19,601 |
|
Increase(decrease) in VAT withholdings |
90,455 |
(956,660) |
|
Increase (Decrease) in accrued expenses |
821,523 |
(1,078,986) |
|
Increase in income tax payable |
1,055,451 |
1,803,992 |
|
Increase in deposits received for overseas traveling |
6,509,507 |
(7,595,493) |
|
Increase (Decrease) in operating deposits received from agents |
2,420 |
(31,400) |
|
Decrease in provision for mileage |
(84,775) |
(30,371) |
|
Payment of severance benefits |
(3,194,718) |
(3,256,983) |
|
Increase (Decrease) in deferred income tax liabilities |
(858,037) |
(141,408) |
|
|
11,440,755 |
8,626,349 |
(Continued)
HANATOUR SERVICE INC.
NON-CONSOLIDATED STATEMENTS OF CASH FLOWS (CONTINUED)
FOR THE YEARS ENDED DECEMBER 31, 2009 AND 2008
|
|
Korean Won |
|
|
|
2009 |
2008 |
|
|
(In thousands) |
|
|
CASH FLOWS FROM INVESTING ACTIVITIES: |
|
|
|
Acquisition of short-term financial instruments, net |
￦ 17,652,018 |
￦ 5,597,926 |
|
Extension of short-term loans, net |
421,244 |
(1,308,145) |
|
Disposal (Acquisition) of available-for-sale securities, net |
- |
- |
|
Disposal of investment securities accounted for using the equity method |
12,879 |
287,962 |
|
Proceeds from disposal of property and equipment |
2,273 |
4,500 |
|
Refund of guarantee deposits, net |
(639,624) |
679,343 |
|
Acquisition of investment securities accounted for using the equity method |
(1,798,382) |
(8,953,149) |
|
Acquisitions of property and equipment |
(459,672) |
(449,270) |
|
Acquisition of intangible assets |
(919,534) |
(2,158,200) |
|
|
13,428,715 |
(6,299,033) |
|
|
|
|
|
CASH FLOWS FROM FINANCING ACTIVITIES: |
|
|
|
Increase (Decrease) in rental deposits, net |
830,651 |
(1,567,549) |
|
Issuance of stock |
- |
- |
|
Exercise of stock option rights |
- |
9,095,590 |
|
Acquisition of treasury stock |
(1,486,163) |
(26,916,847) |
|
Payment of dividends |
(5,416,825) |
(11,278,980) |
|
Capital stock issue cost |
- |
- |
|
|
(6,072,337) |
(30,667,787) |
|
|
|
|
|
NET INCREASE(DECREASE) IN CASH AND CASH EQUIVALENTS |
18,797,133 |
(28,340,470) |
|
|
|
|
|
CASH AND CASH EQUIVALENTS, AT BEGINNING OF YEAR |
18,719,585 |
47,060,055 |
|
|
|
|
|
CASH AND CASH EQUIVALENTS, AT END OF YEAR |
￦ 37,516,717 |
￦ 18,719,585 |
See accompanying notes to non-consolidated financial statements.
Ⅳ. MANAGEMENT
The directors are elected at a shareholder's meeting by a majority vote of the shareholders present or represented, so long as such number represents at least one quarter of all issued and outstanding shares with voting rights.
|
Name |
Position |
Date elected as a director or executive officer |
|
SangHwan Park |
Chairman, Chief Executive Officer and Director |
October 25, 1993(Officer and Director) |
|
HeeSeok Kweon |
President, Chief Executive Officer and Director |
January 1, 2005(Officer) December 23, 1995(Director) |
|
HuynSyuk Choi |
Chief Operating Officer, Senior Vice President and Director |
January 1, 2005(Officer) October 25, 1993(Director) |
|
JangSuk Han |
Outside Director |
March 25, 2005 |
|
JeongWoo Byun |
Outside Director |
March 23, 2006 |
|
KiHong Park |
Outside Director |
March 20, 2007 |
Ⅴ. List of major shareholders
|
Shareholder |
Number of shares |
Percentage |
|
Sanghwan Park |
960,000 |
8.26% |
|
HeeSeok Kweon |
724,000 |
6.23% |
|
HyunSeok Choi |
468,000 |
4.03% |
Ⅵ. Status of Affiliated Companies and Others
HanaTour Service Co., Ltd.
|
Namgang Travel Co., Ltd. (100%) |
|
Hana Tour Hawaii Inc. (50%) |
|
Hana Tourist Co;,Ltd. (30.23%) |
|
Hana Korea Tour Inc.(50%) |
|
Jeju Hana Tour Co., Ltd. (77.35%) |
|
Hana Tour America Inc. (50%) |
|
Hana Youth Co., Ltd. (100%) |
|
Hana Tour Europe SRL (50%) |
|
Hanauhak INC.(51%) |
|
Hana Tour USA Inc. (100%) |
|
Hana Tour International Co., Ltd. (100%) |
|
Hana Tour Europe Limited (70%) |
|
Tour Marketing Korea Co., Ltd. (70%) |
|
Hana Tour PTE Ltd. (100%) |
|
OK Tour Co., Ltd. (39%) |
|
Hana Tour Japan (70%) |
|
Webtour.Co,.Ltd.(83.81%) |
|
Hanatour Czech (100%) |
|
Korea Travel Service INC (60%) |
|
Hanatour France (100%) |
|
HANAGOLF INC (19%) |
|
HANAFIL GOLF & TOUR (6.8%) |
|
HANA T&MEDIA Co,Ltd (51%). |
|
HANATOUR CHINA (100%) |
|
Hani Travel co., Ltd. (19.08%) |
|
HANATOUR PTY LTD (100%) |
|
CJ Worldis INC (50%) |
|
UI Coach ((100%) |
|
Hana Business Travel (100%) |
|
Hanatour Hong Kong Co., Ltd (100%) |
|
Seoul Tourism Organization (2.89%) |
|
|
|
|
|
|
Ⅶ. Investment stocks
|
|
Ownership Ratio (%) |
No. of Shares |
|
Namkang Travel Service Inc. |
100 |
15,000 |
|
Hana Business Travel |
100 |
15,000 |
|
Hanatourist Service Inc. |
30.23 |
906,981 |
|
Hanatour USA Inc. |
100 |
225,000 |
|
Tour Marketing Korea Co.,Ltd |
70 |
140,000 |
|
Hanatour Hawaii Inc. |
50 |
40,000 |
|
Hanatour America |
50 |
20,000 |
|
Hanatour Europe S.R.L |
50 |
40,000 |
|
Hana Korea Tour Inc. |
50 |
40,000 |
|
Jeju Hanatour Service Inc. |
77.35 |
26,300 |
|
Hanayouth Service Inc. |
100 |
30,000 |
|
HANA GL INC |
19 |
228,000 |
|
Hanatour International Service Inc. |
100 |
320,000 |
|
OK Tour Service Inc. |
39 |
3,666,000 |
|
Hana T & Media Co., Ltd |
51 |
510,000 |
|
Hanauhak INC |
51 |
714,000 |
|
Web tour |
83.81 |
838,085 |
|
Hanatour Europe Limited |
70 |
4,200 |
|
Korea Travel Sevice INC |
60 |
60,000 |
|
Hanatour Pte Ltd. |
100 |
1,812,000 |
|
Hanatour Japan Ltd. |
70 |
1,400 |
|
HANATOUR CZECH |
100 |
1,616,000 |
|
HANATOUR FRANCE |
100 |
60,000 |
|
CJ Worldis INC |
50 |
8,000,001 |
|
HANAFIL GOLF & TOUR |
6.8 |
17,000 |
|
Seoul Tourism Organization |
2.89 |
120,000 |
|
Hani Travel co., Ltd |
19.08 |
97,300 |
|
HANATOUR Hong Kong Co., Ltd |
100 |
2,000 |
|
HANATOUR CHINA |
100 |
- |
|
HANATOUR PTY LTD |
100 |
600,000 |
|
UI Coach |
100 |
- |
Independent Accountant's Review Report
Internal Accounting Control System ("IACS")
English Translation of a Report Originally Issued in Korea
To the Representative Directors of
HANATOUR Service Inc.:
We have reviewed the accompanying Report on the Management's Assessment of IACS (the "Management's Report") of HANATOUR Service Inc. (the "Company") as of December 31, 2009. The Management's Report, and the design and operation of IACS are the responsibility of the Company's management. Our responsibility is to review the Management's Report and issue a review report based on our procedures. The Company's management stated in the accompanying Management's Report that "based on the assessment of the IACS as of December 31, 2009, the Company's IACS has been appropriately designed and is operating effectively as of December 31, 2009, in all material respects, in accordance with the IACS Framework established by the Korea Listed Companies Association."
We conducted our review in accordance with the IACS Review Standards established by the Korean Institute of Certified Public Accountants. Those standards require that we plan and perform a review, objective of which is to obtain a lower level of assurance than an audit, of the Management's Report in all material respects. A review includes obtaining an understanding of a company's IACS and making inquiries regarding the Management's Report and, when deemed necessary, performing a limited inspection of underlying documents and other limited procedures.
A company's IACS represents internal accounting policies and a system to manage and operate such policies to provide reasonable assurance regarding the reliability of financial statements prepared, in accordance with accounting principles generally accepted in the Republic of Korea, for the purpose of preparing and disclosing reliable accounting information. Because of its inherent limitations, IACS may not prevent or detect a material misstatement of the financial statements. Also, projections of any evaluation of effectiveness of IACS to future periods are subject to the risk that controls may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate.
Based on our review, nothing has come to our attention that causes us to believe that the Management's Report referred to above is not fairly stated, in all material respects, in accordance with the IACS Framework established by the Korea Listed Companies Association.
Our review is based on the Company's IACS as of December 31, 2009, and we did not review its IACS subsequent to December 31, 2009. This report has been prepared pursuant to the Acts on External Audit for Stock Companies in the Republic of Korea and may not be appropriate for other purposes or for other users.
March 10, 2010
Report on the Assessment of Internal Accounting Control System ("IACS")
To the Board of Directors and Auditor of
HANATOUR Service Inc.:
I, as the Internal Accounting Control Officer ("IACO") of HANATOUR Service Inc. ("the Company"), assessed the status of the design and operation of the Company's IACS for the year ended December 31, 2009.
The Company's management including IACO is responsible for designing and operating IACS. I, as the IACO, assessed whether the IACS has been appropriately designed and is effectively operating to prevent and detect any error or fraud which may cause any misstatement of the financial statements, for the purpose of preparing and disclosing reliable financial statements reporting. I, as the IACO, applied the IACS Framework established by the Korea Listed Companies Association for the assessment of design and operation of the IACS.
Based on the assessment of the IACS, the Company's IACS has been appropriately designed and is operating effectively as of December 31, 2009, in all material respects, in accordance with the IACS Framework.
Feb 05, 2010
|
|
|
Kweon, Hee Seok, , Internal Accounting Control Officer |
|
|
|
Park, Sang Hwan, Chief Executive Officer or President |
|
|
Related Shares:
Hanatour Regs