A World of Growth and Hope with Every Stitch - 2 0 1 4 - V i s i o n Aiming to become the world’s largest and most influential Fashion manufacturer Innovative design, cutting edge Technology, and best-in-class Workforce. with the most C o n t e n t s 01. For Social Responsibility . Global CSR . Sustainable Management 02. For Better Apparel . History . Record of Growth . Business Strengths . Partnerships . Compliance . Corporate Culture 03. For Building a Stronger Global Business . International Branches . New Challenges There are people in the world who suffer because they do not have adequate clothing to protect them. They live in the same world we live in but desperately need a helping hand. Sae-A Trading continues to strive to take care of those in need.. For Social Responsibility Sae-A’s Outreach Extends All Around the World Building a Future of Hope in Haiti CSR: Corporate Social Responsibility. Sae-A Trading has long rendered support around the globe with a sense of responsibility. A devastating earthquake struck Haiti in January 2010 and Sae-A Trading offered support for Haitians who were in despair. We strive to fundamentally improve life quality of those in need by providing support for employment activities in local communities where our production bases are located, rather than simply supplying clothing and goods. Sae-A provided personal hygiene kits, apparel and vehicles to facilitate relief efforts. Moreover, Sae-A raised over USD 1 million for the establishment and long-term operation of a school. The earthquake may have destroyed the country’s social infrastructure, but a bright future is being created for the Haitian people through the relief and restoration support that Sae-A provides. Sae-A Indonesia employees' children who have outstanding academic records went on a field trip to the plant. The children were served a meal of Korean dishes and awarded scholarships. Sae-A’s Guatemala branch provides support in the form of clothing donations to families of policemen from Policía Nacional Civil de Guatemala who have fallen in the line of duty. Sae-A’s Cambodia branch encourages home visits Sae-A Vietnam branch supported "Ung of local managers in order to facilitate unity and Buou" where patients suffering from terminal harmony between the Korean and local managers. cancer are hospitalized and provided groceries, financial donations and clothes. Sae-A Nicaragua branch co-sponsored a treeplanting campaign by Jose de la Cruz Mena Elementary School along with the Tipitapa City Council. Sponsors Medical Mission to Haiti Provides Factory Visits Empowering Next Generation SAE-A TRADING 08 09 Sustainable Management Sustainable Management for Tomorrow’s Generation Sae-A's environmental management system encompasses environmental management procedures and Sae-A’s corporate social responsibility activity. Our environmental policy includes compliance with internal and external environmental regulations, the establishment of Sae-A's environmental systems and measures for greenhouse gas emission reductions, and communication with internal and external stakeholders. Sae-A thoroughly complies with such environmental measures through management activities and practices sustainable management in order to be a world-class company. Sustainable Production - Eco-friendly production facilities Water cooling system: reducing industrial water and energy, improving indoor air quality Boiler replacement: reducing greenhouse gas emissions by replacing eco-friendlyboilers such as a wood pellet boilers Waste textile incinerator: reducing waste and air emissions Waste heat recycling system: saving energy consumption by recycling waste heat High efficiency lights: saving energy consumption by replacing lights with high efficiency lights such as LED lights Sustainable System Managing environmental regulations and product safety issues Providing environmental education internally and externally Entering into an “Eco-partnership” agreement with collaborators Publishing a SAE-A CSR Report Sae-A is Leaving a Lasting Impression Around the World For Better Apparel ‘Apparel’ is not simply something worn, but it also represents ‘hope’ delivered to people around the world. Sae-A Trading works harder to increase the quality to meet the needs of all who wear our products. 1986 Founding of Sae-A Trading Co. 1995 Establishment of Winners Co.Ltd in Saipan 1998 Establishment of Sae-A International S.A. in Guatemala as a subsidiary 1999 Establishment of Sae-A Trading America Corp. as New York subsidiary Receiving the ‘Gold Tower’ award on ‘the 23rd Korean Textile Day’ 2000 Establishment of Sae-A Tecnotex S.A. in Nicaragua/ Receiving the $100 Million Export Tower award on the Day of Trade & Tin Tower Order of Industrial Service Merit 2002 Formation of Qingdao Winners Co.Ltd in China 2004 Start of operations of PT Winners Int’l (Indonesia) 2005 Operation of Eins Vina Ltd., a subsidiary in Vietnam 2006 Receiving the $500 Million Export Tower Award on the Day of Trade Operation of PT Eins Trend (Indonesia subsidiary) 2007 Launch of Korean apparel company, Tate Successful M&A of Korean apparel company, IN THE F (formerly called Nasan) and its incorporation as an affiliate 2008 Completion of the construction of IN THE F plant in the Gaeseong Industrial Complex 2009 Completion of construction of Glovia, Sae-A’s graphic-print clothing production plant in Guatemala Sae-A receives the ‘Gold Tower’ award on ‘the 23rd Korean Textile Day’ 2010 Establishment of Winners Vina, Co.Ltd in Hanoi, Vietnam Receiving ranking as one of Fortune Korea’s 2010 Great Work Place Award 2011 Signing a framework agreement on investment in Haiti Participation in CGI Haiti Investment Workshop Ground-Breaking Ceremony for S&H Global, S.A. in Haiti Receiving $1 billion Export Tower Award on the Day of Trade 2012 Start of operation of Winners Vina, Co.Ltd in Hanoi, Vietnam Start of operation of PT. Win Textile in Indonesia Earning LEED certification in PT. Win Textile Start of operation of S&H Global, S.A. in Haiti Ground-breaking Ceremony for S&H School 2013 Start of operation of Eins Cambodia Co., Ltd. SAE-A TRADING 12 13 Record of Growth Sae-A’s Growth Throughout the Years Since its establishment in 1986, Sae-A Trading has become a major global representative of the Korean garment export industry. Annual Sales History 0.48 9.44 21 126 495 640 740 800 890 960 1,155 1,240 1986 1990 1995 2000 2005 2006 2007 2008 2009 2010 2011 2012 1,380 1,560 2013 2014 With a spirit for challenge and ceaseless efforts, Sae-A has achieved an explosive annual increase in sales. In December 2011, the company became the first domestic apparel export company to ever receive the US$1 billion Export Tower award at the 48th Korean Trade Day in Korea. However, despite these accomplishments, Sae-A continuously strives to move forward. (USD MILLION) SAE-A TRADING 14 15 Business Strengths Exploring the Field of Design : Thinking Beyond Production In order to break away from the limitations of OEM (Original Equipment Manufacturing) business, Sae-A Trading established its own design team in 2001, the first in the industry. This permitted the company to fully institute ODM (Original Development Manufacturing) to provide specialized design and research services to better serve our customers Product Development & Design Seasonal Garment, Graphic, Wash and Fabric trend research in US, Europe, and Japan Developments based on global trends and customers’ concepts Customized services based on customers’ needs New York & Los Angeles Branch Offices Fabric library & showroom Customized trend and market research for our customers Close communication with product development & design department of head office for trends and fabric R&D Technical Design Sample pattern & fit review Authorized self fit approval for various customers Dedicated TD specialist designated to meet the specification of each customer SAE-A TRADING 18 19 Compliance Promoting “well-being” of workers With the establishment of the industry’s first-ever compliance team, we are able to support every member of Sae-A family working around the world. Compliance with labor law based on international standards By observing labor laws based on international standards and upholding human rights, we strive to create a pleasant environment where employees can work with greater satisfaction. It is our belief that Sae-A Trading’s competitive edge is found in its utmost consideration of all its employees around the world. Pleasant working environment Protection of human rights of every employee at our overseas branch Recipient of Fortune Korea’s 2010 GWP (Great Work Place) Award Made Fortune Korea’s list again the following year as one of 2011’s “100 Best Companies to Work for” SAE-A TRADING 20 21 “Various Club Activities” “Sports Day” “Rewarding Long-serving Employees” Corporate Culture Sae-A is Deeply Invested in Employee Satisfaction Worldwide Employees interact and communicate through a wide range of activities, in addition to various clubs and a mentoring system. Comprehensive understanding and strong confidence among employees created through open communication make a happy organizational climate. Employee satisfaction is Sae-A Trading’s strongest competitive advantage, and it is major factor in its winning a GWP (Great Work Place) award for two consecutive years. Sae-A Trading’s global network has unlimited potential. The production facilities to be built in Indonesia, Vietnam, Cambodia, and Haiti will emerge as its major drivers of growth. Sae-A faces exciting new challenges for growth-driven developments in the industry. For Building a Stronger Global Business Bentonville OFFICE 1000 Mc Clain Road, Bentonville, AR 72712 Headquarter Cambodia Sae-A Building 429, Yeongdong-Daero, Gangnam-Gu, Seoul, Korea Eins Cambodia I, II Location: Phum Trapiang Chrey, Sangkat Kakab, Khan Dangkor, Phnom Penh, Cambodia Tel. 822-6252-7000 www.sae-a.com Vietnam Eins Vina I, II, III / KJ Vina I, II Location : 7a thong Nhat Road, Song Than Industrial Zone ll, Binh Duong Province Winners Vina I, II, III Location : Xom 6, Xa Nga My, Huyen Nga Son, Tinh Thanh Hoa, Vietnam Indonesia Global Network Beginning with the establishment of a plant in Saipan in 1995, Sae-A Trading has successfully made inroads into many countries around the world. It now has 22 subsidiaries in nine countries including Korea and the United States,and operates 34 production plants in Guatemala, Nicaragua, Indonesia, Vietnam and Cambodia. Sae-A is made up of over 35,000 associates in the nine countries we operate in. Central America Asia Guatemala Nicaragua Haiti Costa Rica Indonesia Vietnam Cambodia Guatemala Sae-A Texpia I, II, III / Winners, S.A. / Centexsa / Glovia Location:1(Primera) Avenida La Brigada 13-30, Zonal 7 Costa Rica International Branches New York Los Angeles Bentonville TEL. 212-868-2234 Sae-A Spinning, S.R.L. PT Eins Trend I, II, III, V/Winners II,III Location: Purwakarta / KBN. US Branches 1407 Broadway #3507 New York, NY 10018 USA Los Angeles 2207 W 190th St. Torrance, CA 90504 USA Haiti S&H Global I, II, III Location: Parc Industriel De Caracol, Route De Caracol No.14 Nicaragua Tecnotex l, ll / Eins S.A. l, ll Location : Zona Franca Senika, Tipitapa, Managua SAE-A TRADING 24 25 Branch office(New York) LA OFFICE SAE-A TRADING 26 27 Indonesia PT Eins Trend I, II, III, V 80 knit / 16 woven production lines PT Winners ll 10 knit production lines PT Starpia l, ll 22 knit production lines Vietnam Winners Vina l, ll 32 woven production lines Main Items : Jackets, Dresses, Robes, Infant wear Nicaragua Tecnotex I,II / Eins S.A I,II Established : May 2000 (operation start date 2004) 108 Knit production lines Main Items : Basic Crews, Pants Guatemala Sae-A Texpia I,II,III / Winners / Centexsa / Glovia(Printing) Established : July 1998 66 knit production lines Total 4 sewing factories & 1 printing facility Main Items : Crews, Polos, Pants, Graphic tees KJ Vina l, ll 24 knit production lines SAE-A TRADING 28 29 Eins Vina I,II,III 80 knit production lines Washing plant Sae-A’s New Challenges Sae-A Trading is poised to establish and expand production bases that will serve as new key drivers of growth in Indonesia, Vietnam, Cambodia, and Haiti. Since January 2012, bulk fabric production at Wintex Fabric Mill, in which USD 200 million has been invested, began. This production allows for full vertical production capabilities in Indonesia. New Challenges Introducing Sae-A Trading’s new investment initiatives for continued business growth. Wintex Vertical Mill: Sae-A PT. Win Textile Winners Vina Co,Ltd In Vietnam Location: Thanh Hoa Total 32 woven lines Additional 16 woven lines by October 2014 Main Items - Shorts, Pants, Jackets, Vests Monthly Capacity (2013): 1,625 tons/month Daily Capacity : 60,000KG(Dyeing ) / 55,000KG(Finishing) Products 1st Stage 2nd Stage Cotton/Cotton Synthetics Jersey, Interlock, Rib, Pointelle Print/Synthetic 3rd Stage 4th Stage Yarn-dye, All-over print & woven (TBD) Thanh Hoa, Vietnam Eins (Cambodia) Co., Ltd in Cambodia Location : Phnom Penh Sae-A ownership from September 2012 Capacity - Eins 1: Total 16 knit lines - Eins 2: Total 16 knit lines Main Items - Fashion Basic Tees/ Camis /Hoodies, Polos, Activewear Wintex Vertical Mill in Purwakarta, Indonesia Eins Cambodia Co., Ltd in Phnom Penh, Cambodia SAE-A TRADING 32 33 Location: 40 minutes from PT Eins Trend Bulk Fabric Production: January 2012 Certifications - Intertek MQP Evaluation - 1st CAP Member (NATIFIC) in Indonesia - GOTS (GLOBAL ORGANIC TEXTILE STANDARD) - OE (ORGANIC EXCHANGE) STANDARD CERTIFIED Caracol Industrial Park in Haiti SAE-A TRADING 34 35 Location: Cap-Haitian (Northern Haiti) Operation Date: September 2012 Capacity - Factory 1 : 24 sewing lines - Factory 2 : 24 sewing lines - Factory 3 : 28 sewing lines - Factory 4 : 28 sewing lines to start operation by Q1 2015 Investment Plan Schedule Facility Stage 1 2012 2013 Stage 2 2014 2015 2016 2017 Sewing Embroidery Washing Printing Knitting/ Dyeing Warehouse S&H Global S.A. in Haiti S&H Global officially opened with ceremony entitled ‘A New Day in Haiti’ attended by 500 guests S&H School SAE-A TRADING 36 37 Spinning Mill Location : Zona Industrial, Cartago, Costa Rica Equipment / Machinery Installation from Nov. 2014 to Fev. 2015 Pilot Production to begin early 2015 1st Phase Production from Jan-Mar, 2015 with capacity of 34,272 spindles. Annual production capacity estimated at 19,565,825 lbs. (355 days) 2nd phase timing and capacity to be determined upon assessment of 1st phase production. Knitting & Dyeing Location : Guatemala CAFTA Duty-Free Benefits Duty-free applied to Sae-A CA Production Countries. A Company Inspiring Positivity With Good Deeds Around the World A World of Growth and Hope with Every Stitch
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