Kia 2002 Annual Report Download - page 33

2002 KIA MO TO RS AN N UAL REPORT
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Financial Statements & Notes
Local currency loans as of December 31, 2002 and 2001 consist of the follow ing:
Foreign currency loans as of December 31, 2002 and 2001 consist of the follow ing:
In accordance w ith the court-approved reorganization plan, the above reorganization claims, w ith the exception of current maturities, w ill be
repaid over seven years beginning 2002 to 2008. The applicable interest rate is variable depending on the 3-year non-guaranteed bond circulating
earnings rate.
NOTES TO NON-CONSOLIDATED FINANCIAL STATEM ENTS DECEM BER 31, 2002 AND 2001
In addition to the pledged assets explained in Note 6 to the financial statements, 88 blank checks, 179 blank promissory notes and 2 promissory notes
totalling 1,820 million ($1,516 thousand) are pledged as collateral for the short-term borrowings and the long-term local currency and foreign curren-
cy loans.
The maturities of long-term debt as of December 31, 2002 are as follow s:
11. COM M ITM ENTS AND CONTINGENCIES
(1) As of December 31, 2002, the outstanding balance of accounts receivable from export sales discounted w ith recourse amounts to 1,068,230
million ($889,895 thousand).
(2) The Company is contingently liable for payment guarantees of indebtedness of 2 million ($2 thousand) to Kisan Corporation as of December
31, 2002.
(3) The Company uses a customer financing system related to a long-term installment sales system and has provided guarantees of 74,682 million
($62,214 thousand) to the banks concerned as of December 31, 2002. These guarantees are all covered by insurance contracts, w hich specifies
a customer and the Company as contractor and beneficiary, respectively.
(4) The Company is a defendant to 2 law suits pertaining to the Company’s denial of creditors’ claim in the in-court reorganization proceedings
amounting to 112,109 million ($93,393 thousand) as of December 31, 2002. In addition, the Company is a defendant in 4 law suits for com
pensation of losses or damages amounting to 6,140 million ($5,115 thousand) as of December 31, 2002. The outcome of those lawsuits is
not currently determinable.
(5) The Company is carrying certain lawsuits pertaining to the disputes w ith the Brazilian Government and the Brazilian shareholders of Asia M otors
Do Brasil S.A. (AM B), w hich w as established as a joint venture by Asia M otors w ith a Brazilian investor, in Brazilian court.
Also, in 2002, the Company brought the case to the International Court of Arbitration to settle the disputes.
The Company, a stockholder of AM B, has already w ritten off its investment of 14,057 million ($11,710 thousand), and the Company estimates
that the above matter does not and w ill not affect the Company’s financial statements at this time.
(6) Effective December 1, 2000, the Company sold its Parts Sales division, w hich had been engaged in selling and distribution of motor parts for
after-sales services, to Hyundai M OBIS. As part of the consideration for the disposal of the division, the Company receives 10 percent of ordinary
income from the former division’s operations during a ten-year period starting in 2001, w hich is payable every year during the said period.
12.CAPITAL STOCK
Capital stock as of December 31, 2002 and 2001 consist of the follow ing:
NOTES TO NON-CONSOLIDATED FINANCIAL STATEM ENTS DECEM BER 31, 2002 AND 2001
2002 2001 2002 2001
Korean won U.S. dollars(Note 2)
(in millions) (in thousands)
Reorganization claims:
Korea Development Bank 134,339 156,726 111,912 130,561
Korea Asset M anagement Corporation. - 77,264 - 64,365
Kyobo Life Insurance Co. 49,636 57,907 41,350 48,240
Chohung Bank - 45,332 - 37,764
Woori Bank - 43,476 - 36,218
SG ABS Ltd. 33,595 39,191 27,987 32,648
Korea Development Leasing Corp. 29,527 34,447 24,598 28,696
Shinhan Bank - 34,086 - 28,396
Hanaro Finance 26,868 31,342 22,383 26,110
Seoul Guarantee Insurance Company 13,849 15,137 11,537 12,610
Others 237,041 407,639 197,466 339,586
524,855 942,547 437,233 785,194
Other loans 20,335 17,928 16,941 14,935
Sub total 545,190 960,475 454,174 800,129
Less: Current maturities (87,784) (135,741) (73,129) (113,080)
457,406 824,734 381,045 687,049
2002 2001 2002 2001
Korean won U.S. dollars(Note 2)
(in millions) (in thousands)
Reorganization claims:
Korea Development Bank 44,655 57,552 37,200 47,944
Bankers Trust Company 39,283 50,629 32,725 42,177
Chohung Bank - 27,093 - 22,570
Woori Bank 14,416 18,022 12,009 15,013
First Citicorp Leasing Inc. 10,781 13,895 8,981 11,575
Korea Non-Bank Lease Financing 10,119 13,042 8,430 10,865
Citibank 7,958 10,256 6,629 8,544
Korea Development Leasing Corp. 4,175 5,381 3,478 4,483
Chohung Capital 3,800 4,898 3,166 4,080
Other 13,424 22,795 11,183 18,989
Sub total 148,611 223,563 123,801 186,240
Less: Current maturities (24,767) (31,938) (20,632) (26,606)
123,844 191,625 103,169 159,634
Debentures Local currency loans Foreign currency loans Total Total
Korean won U.S. dollars(Note 2)
(in millions) (in thousands)
2004 370,040 88,282 24,766 483,088 402,439
2005 180,060 89,493 24,766 294,319 245,184
2006 228,076 88,947 24,730 341,753 284,699
Thereafter - 190,684 49,582 240,266 200,156
778,176 457,406 123,844 1 ,359,426 1,132,478
Authorized Issued Par value
Korean won U.S. dollars(Note 2)
(in millions) (in thousands)
2002 820,000,000 shares 369,730,455 shares 5,000 1,848,652 1,540,030
2001 820,000,000 shares 369,597,455 shares 5,000 1,847,987 1,539,476