Korean investor Hanil Forging signs land agreement with Hemaraj

Bangkok, 12 January 2007 – Hemaraj Land And Development Plc., Thailand’s leading developer of industrial estates and Hanil Forging (Thailand) Co., Ltd., the leading Korean forging company have signed an agreement to purchase land of 18 Rai at Hemaraj’s Eastern Seaboard Industrial Estate (Rayong) to produce axle shaft and spindle plants.

Mr. David Nardone, President & CEO of Hemaraj Land And Development Plc. said “Foreign investors continue to put their trust in Hemaraj industrial estates, especially automotive parts manufacturers including Hanil Forging Ind. Co., Ltd., from Korea, our 114th automotive customer. Thailand provides a safe open environment, even for 100 % foreign owned manufacturers, to participate in one of the regions most dynamic automotive growth market.”

Mr. Sang-Kyu Lee, CEO of Hanil Forging Ind. Co., Ltd., Korea said, “We are confident to invest in Thailand’s welcoming manufacturing environment, especially at Hemaraj’s Eastern Seaboard Industrial Estate (Rayong). The ESIE location has the ideal land, industrial estate operations, and utility conditions in an integrated automotive environment. Our choice of ESIE allows us to supply our main automotive customer; DANA Spicer (Thailand) Ltd. with supply line and logistic cost advantages in the same industrial estate as well as to export some 70% of our production.

The Hemaraj sales team also has a key role in providing us the necessary information, consultation and collaboration for continuing government support .”

About Hemaraj
Founded in 1988, Hemaraj Land And Development Public Company Limited is Thailand’s leading developer of industrial estates consisting of 6 industrial estates which are Eastern Seaboard Industrial Estate (Rayong), Hemaraj Eastern Seaboard Industrial Estate, Hemaraj Eastern Industrial Estate (Map Ta Phut), Hemaraj Chonburi Industrial Estate, Rayong Industrial Land and S I L Industrial Land (Saraburi). These represent 32,000 rai (13,000 acres) under development, industrial clusters for petrochemical automotive and other industries, approximately 335 customers including over 113 automotive customers, providing direct employment for 50,000 people and a customer investment estimated at USD 11 billion.

About Hanil
Hanil was founded in 1966 as the first mechanized die forging foundry in Korea and was appointed as the localization affiliate for automotive and defense products industry by the Korean Government. With efficient operation, Hanil received many awards. In the 1980s, Hanil received the Bronze Statue of Technology Development. In the 1990s, Hanil obtained ISO9001, QS9000 and received the 100 Excellent Korean Technology of the 20th Century (Unmanned Automated Manufacturing System). In the 2002s, Hanil obtained Quality Certification for the Manufacturing of aircraft parts, ISO 14001 and Defense Quality Assurance, and then designated as the excellent certified company. Currently, Hanil is the manufacturer of the axle shaft and spindle for commercial vehicles in Korea. The company has a long-term supply agreement of spindle with DANA Corporation, an American company. Hanil is also the manufacturer of the body of high-tech guided missiles and precision parts for aircraft with the most advanced automated facilities.