| 37. | Related Party Transactions |
(a) Significant transactions between the controlling company and related parties for the years ended December 31, 2015, 2016 and 2017 were as follows:
1) For the year ended December 31, 2015
| Sales and others (*1) | Purchase and others (*2) | |||||||||||||||||||||||
| Sales | Others | Purchase of material |
Purchase of fixed assets |
Outsourced processing cost |
Others | |||||||||||||||||||
| (in millions of Won) | ||||||||||||||||||||||||
|
Subsidiaries |
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|
POSCO ENGINEERING & CONSTRUCTION CO., LTD. |
￦ | 4,441 | 145 | 19 | 427,760 | 2,250 | 37,488 | |||||||||||||||||
|
POSCO Processing & Service |
1,074,826 | 24 | 437,626 | — | — | 2,281 | ||||||||||||||||||
|
POSCO COATED & COLOR STEEL Co., Ltd. |
380,626 | — | — | — | 9,359 | 104 | ||||||||||||||||||
|
POSCO ICT (*3) |
1,259 | 7 | — | 210,877 | 29,612 | 182,745 | ||||||||||||||||||
|
eNtoB Corporation |
— | — | 261,989 | 6,501 | 130 | 22,017 | ||||||||||||||||||
|
POSCO CHEMTECH |
436,594 | 30,343 | 519,956 | 9,515 | 297,183 | 1,773 | ||||||||||||||||||
|
POSCO ENERGY CO., LTD. |
188,458 | 1,359 | — | — | — | 6 | ||||||||||||||||||
|
POSCO TMC Co., Ltd. |
263,242 | — | — | — | 1,497 | 1,560 | ||||||||||||||||||
|
POSCO AST |
362,658 | 15 | 4,115 | — | 39,175 | 1,611 | ||||||||||||||||||
|
POSHIMETAL Co., Ltd. |
10,777 | 151 | 145,165 | — | — | 46 | ||||||||||||||||||
|
POSCO DAEWOO Corporation |
3,505,187 | 34,334 | 46,675 | — | — | 480 | ||||||||||||||||||
|
SeAH Changwon Integrated Special Steel (*4) |
2,811 | 176,904 | 8,239 | — | 515 | 75 | ||||||||||||||||||
|
POSCO PLANTEC Co., Ltd. (*4) |
4,280 | 33 | 2,544 | 125,192 | 15,135 | 13,649 | ||||||||||||||||||
|
POSCO Thainox Public Company Limited |
268,576 | 10 | 5,147 | — | — | 34 | ||||||||||||||||||
|
POSCO America Corporation |
624,549 | 6 | — | — | — | 725 | ||||||||||||||||||
|
POSCO Canada Ltd. |
— | — | 111,243 | — | — | — | ||||||||||||||||||
|
POSCO Asia Co., Ltd. |
1,822,932 | 960 | 269,086 | — | 513 | 2,273 | ||||||||||||||||||
|
Qingdao Pohang Stainless Steel Co., Ltd. |
118,845 | — | — | — | — | 220 | ||||||||||||||||||
|
POSCO JAPAN Co., Ltd. |
1,051,910 | 9,383 | 25,957 | 2,278 | 201 | 2,754 | ||||||||||||||||||
|
POSCO MEXICO S.A. DE C.V. |
270,184 | 80 | — | — | — | 11 | ||||||||||||||||||
|
PT. KRAKATAU POSCO |
— | — | 118,888 | — | — | — | ||||||||||||||||||
|
POSCO Maharashtra Steel Private Limited |
421,244 | 752 | — | — | — | 31 | ||||||||||||||||||
|
Others (*5) |
867,334 | 14,474 | 223,393 | 113,769 | 212,539 | 129,506 | ||||||||||||||||||
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| 11,680,733 | 268,980 | 2,180,042 | 895,892 | 608,109 | 399,389 | |||||||||||||||||||
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Associates and joint ventures |
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SeAH Changwon Integrated Special Steel (*4) |
6,042 | — | 3,802 | — | 419 | — | ||||||||||||||||||
|
POSCO PLANTEC Co., Ltd. (*4) |
147 | 14 | 1,017 | 82,338 | 3,513 | 4,676 | ||||||||||||||||||
|
SNNC |
4,673 | 594 | 422,420 | — | — | — | ||||||||||||||||||
|
POSCO-SAMSUNG-Slovakia Processing center |
26,379 | — | — | — | — | — | ||||||||||||||||||
|
Others (*6,7) |
28,841 | 40,600 | 51,855 | — | — | — | ||||||||||||||||||
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| 66,082 | 41,208 | 479,094 | 82,338 | 3,932 | 4,676 | |||||||||||||||||||
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| ￦ | 11,746,815 | 310,188 | 2,659,136 | 978,230 | 612,041 | 404,065 | ||||||||||||||||||
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| (*1) | Sales and others mainly consist of sales of steel products to subsidiaries, associates and joint ventures. |
| (*2) | Purchases and others mainly consist of subsidiaries’ purchases of construction services and purchases of raw materials to manufacture steel products. |
| (*3) | Others (purchase) mainly consist of service fees related to maintenance and repair of ERP System. |
| (*4) | During the year ended December 31, 2015, it was reclassified from a subsidiary to an associate. |
| (*5) | During the year ended December 31, 2015, the Company borrowed USD 17.42 million from POSCO-Uruguay S.A., a subsidiary of the Company, and the entire amount was repaid as of December 31, 2015. |
| (*6) | During the year ended December 31, 2015, the Company lent USD 60 million to CSP-Compania Siderurgica do Pecem, an associate of the Company, and the entire amount of loan was collected as of December 31, 2015. |
| (*7) | The Company has collected loans of USD 3.85 million from LLP POSUK Titanium, an associate of the Company for the year ended December 31, 2015 |
2) For the year ended December 31, 2016
| Sales and others (*1) | Purchase and others (*2) | |||||||||||||||||||||||
| Sales | Others | Purchase of material |
Purchase of fixed assets |
Outsourced processing cost |
Others | |||||||||||||||||||
| (in millions of Won) | ||||||||||||||||||||||||
|
Subsidiaries |
||||||||||||||||||||||||
|
POSCO ENGINEERING & CONSTRUCTION CO., LTD. |
￦ | 29,511 | 16,661 | 8 | 183,768 | — | 24,511 | |||||||||||||||||
|
POSCO Processing & Service |
1,212,220 | 5,778 | 549,803 | 2,896 | 22,704 | 2,445 | ||||||||||||||||||
|
POSCO COATED & COLOR STEEL Co., Ltd. |
326,078 | 2,560 | — | — | 12,232 | 126 | ||||||||||||||||||
|
POSCO ICT (*3) |
1,224 | 727 | — | 219,301 | 32,456 | 171,107 | ||||||||||||||||||
|
eNtoB Corporation |
— | 5 | 278,016 | 9,836 | 212 | 19,436 | ||||||||||||||||||
|
POSCO CHEMTECH |
319,164 | 33,784 | 502,448 | 14,847 | 290,427 | 5,139 | ||||||||||||||||||
|
POSCO ENERGY CO., LTD. |
187,311 | 1,382 | — | — | — | 7 | ||||||||||||||||||
|
POSCO TMC Co., Ltd. (*4) |
219,489 | — | 2 | — | 863 | 1,177 | ||||||||||||||||||
|
POSCO AST (*4) |
152,098 | 1 | — | — | 19,695 | 922 | ||||||||||||||||||
|
POSCO DAEWOO Corporation |
3,227,716 | 34,341 | 92,203 | — | 343 | — | ||||||||||||||||||
|
POSCO Thainox Public Company Limited |
237,471 | 2,915 | 9,593 | — | 19 | 548 | ||||||||||||||||||
|
POSCO America Corporation |
469,543 | — | 284 | — | — | 1,103 | ||||||||||||||||||
|
POSCO Canada Ltd. |
275 | — | 148,528 | — | — | — | ||||||||||||||||||
|
POSCO Asia Co., Ltd. |
1,758,080 | 1,373 | 403,174 | 247 | 939 | 3,602 | ||||||||||||||||||
|
Qingdao Pohang Stainless Steel Co., Ltd. |
135,405 | — | — | — | — | 525 | ||||||||||||||||||
|
POSCO JAPAN Co., Ltd. |
1,112,489 | 128 | 23,217 | 3,744 | 345 | 3,841 | ||||||||||||||||||
|
POSCO-VIETNAM Co., Ltd. |
226,063 | 445 | — | — | — | — | ||||||||||||||||||
|
POSCO MEXICO S.A. DE C.V. |
274,210 | 462 | — | — | — | — | ||||||||||||||||||
|
POSCO Maharashtra Steel Private Limited |
355,829 | 2,613 | — | — | — | 93 | ||||||||||||||||||
|
POSCO(Suzhou) Automotive Processing Center Co., Ltd. |
149,911 | — | — | — | — | — | ||||||||||||||||||
|
Others |
766,263 | 22,717 | 207,601 | 62,202 | 212,344 | 145,562 | ||||||||||||||||||
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| 11,160,350 | 125,892 | 2,214,877 | 496,841 | 592,579 | 380,144 | |||||||||||||||||||
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Associates and joint ventures |
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SeAH Changwon Integrated Special Steel |
28 | — | 1,095 | — | 627 | — | ||||||||||||||||||
|
POSCO PLANTEC Co., Ltd. |
2,245 | 48 | 3,533 | 244,898 | 16,812 | 8,146 | ||||||||||||||||||
|
SNNC |
6,004 | 1,042 | 487,395 | — | — | 2 | ||||||||||||||||||
|
POSCO-SAMSUNG-Slovakia Processing center |
44,686 | — | — | — | — | — | ||||||||||||||||||
|
KOBRASCO |
— | 29,297 | — | — | — | — | ||||||||||||||||||
|
Others |
26,625 | 13,122 | 175,246 | — | — | — | ||||||||||||||||||
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| 79,588 | 43,509 | 667,269 | 244,898 | 17,439 | 8,148 | |||||||||||||||||||
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| ￦ | 11,239,938 | 169,401 | 2,882,146 | 741,739 | 610,018 | 388,292 | ||||||||||||||||||
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| (*1) | Sales and others mainly consist of sales of steel products to subsidiaries, associates and joint ventures. |
| (*2) | Purchases and others mainly consist of subsidiaries’ purchases of construction services and purchases of raw materials to manufacture steel products. |
| (*3) | Others (purchase) mainly consist of service fees related to maintenance and repair of ERP System. |
| (*4) | During the year ended December 31, 2016, it was merged into POSCO Processing & Service. |
3) For the year ended December 31, 2017
| Sales and others (*1) | Purchase and others (*2) | |||||||||||||||||||||||
| Sales | Others | Purchase of material |
Purchase of fixed assets |
Outsourced processing cost |
Others | |||||||||||||||||||
| (in millions of Won) | ||||||||||||||||||||||||
|
Subsidiaries (*3) |
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|
POSCO ENGINEERING & CONSTRUCTION CO., LTD. |
￦ | 3,328 | 71 | — | 151,639 | 32 | 18,352 | |||||||||||||||||
|
POSCO Processing & Service |
298,781 | 1 | 113,628 | 4,595 | 8,309 | 404 | ||||||||||||||||||
|
POSCO COATED & COLOR STEEL Co., Ltd. |
417,369 | 3,533 | — | — | 8,483 | 106 | ||||||||||||||||||
|
POSCO ICT (*4) |
1,697 | 5,097 | — | 315,748 | 29,773 | 183,226 | ||||||||||||||||||
|
eNtoB Corporation |
1 | 30 | 330,921 | 8,215 | 139 | 26,023 | ||||||||||||||||||
|
POSCO CHEMTECH |
359,862 | 33,076 | 479,896 | 23,043 | 296,296 | 6,860 | ||||||||||||||||||
|
POSCO ENERGY CO., LTD. |
179,966 | 1,456 | — | — | — | 2 | ||||||||||||||||||
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POSCO DAEWOO Corporation |
5,214,127 | 35,182 | 550,258 | 221 | 44,108 | 1,948 | ||||||||||||||||||
|
POSCO Thainox Public Company Limited |
218,005 | 9,780 | 10,168 | — | — | — | ||||||||||||||||||
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POSCO America Corporation |
345,225 | — | 90 | — | — | 1,776 | ||||||||||||||||||
|
POSCO Canada Ltd. |
439 | 690 | 278,915 | — | — | — | ||||||||||||||||||
|
POSCO Asia Co., Ltd. |
1,949,354 | 1,454 | 365,025 | 337 | 1,625 | 4,982 | ||||||||||||||||||
|
Qingdao Pohang Stainless Steel Co., Ltd. |
161,803 | — | — | — | — | 176 | ||||||||||||||||||
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POSCO JAPAN Co., Ltd. |
1,436,159 | 20 | 26,256 | 621 | — | 44,829 | ||||||||||||||||||
|
POSCO-VIETNAM Co., Ltd. |
212,883 | — | — | — | — | 7 | ||||||||||||||||||
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POSCO MEXICO S.A. DE C.V. |
276,387 | — | — | — | — | 1,749 | ||||||||||||||||||
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POSCO Maharashtra Steel Private Limited |
467,206 | — | — | — | — | 65 | ||||||||||||||||||
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POSCO(Suzhou) Automotive Processing Center Co., Ltd. |
192,467 | — | — | — | — | — | ||||||||||||||||||
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Others |
932,048 | 10,073 | 262,828 | 25,270 | 240,687 | 118,665 | ||||||||||||||||||
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| 12,667,107 | 100,463 | 2,417,985 | 529,689 | 629,452 | 409,170 | |||||||||||||||||||
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Associates and joint ventures (*3) |
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POSCO PLANTEC Co., Ltd. |
2,947 | 112 | 5,487 | 300,041 | 20,718 | 19,763 | ||||||||||||||||||
|
SNNC |
6,734 | 712 | 554,151 | — | — | 4 | ||||||||||||||||||
|
POSCO-SAMSUNG-Slovakia Processing Center |
52,779 | — | — | — | — | — | ||||||||||||||||||
|
Roy Hill Holdings Pty Ltd |
— | — | 697,096 | — | — | — | ||||||||||||||||||
|
CSP — Compania Siderurgica do Pecem |
7,384 | — | 159,501 | — | — | — | ||||||||||||||||||
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Others |
14,943 | 52,583 | 79,103 | — | — | 3 | ||||||||||||||||||
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| 84,787 | 53,407 | 1,495,338 | 300,041 | 20,718 | 19,770 | |||||||||||||||||||
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| ￦ | 12,751,894 | 153,870 | 3,913,323 | 829,730 | 650,170 | 428,940 | ||||||||||||||||||
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| (*1) | Sales and others mainly consist of sales of steel products to subsidiaries, associates and joint ventures. |
| (*2) | Purchases and others mainly consist of subsidiaries’ purchases of construction services and purchases of raw materials to manufacture steel products. |
| (*3) | As of December 31, 2017, the Company provided guarantees to related parties (Note 38). |
| (*4) | Others (purchase) mainly consist of service fees related to maintenance and repair of ERP System. |
(b) The related account balances of significant transactions between the controlling company and related companies as of December 31, 2016 and 2017 are as follows:
1) December 31, 2016
| Receivables | Payables | |||||||||||||||||||||||||||
| Trade accounts and notes receivable |
Others | Total | Trade accounts and notes payable |
Accounts payable |
Others | Total | ||||||||||||||||||||||
| (in millions of Won) | ||||||||||||||||||||||||||||
|
Subsidiaries |
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|
POSCO ENGINEERING & CONSTRUCTION CO., LTD. |
￦ | 3 | 3,359 | 3,362 | — | 9,825 | 515 | 10,340 | ||||||||||||||||||||
|
POSCO Processing & Service |
207,744 | 178 | 207,922 | 1,085 | 5,367 | 5,184 | 11,636 | |||||||||||||||||||||
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POSCO COATED & COLOR STEEL Co., Ltd. |
48,716 | 324 | 49,040 | — | 5 | 1,600 | 1,605 | |||||||||||||||||||||
|
POSCO ICT |
— | 128 | 128 | 1,062 | 89,382 | 6,074 | 96,518 | |||||||||||||||||||||
|
eNtoB Corporation |
— | — | — | 9,948 | 29,310 | 15 | 39,273 | |||||||||||||||||||||
|
POSCO CHEMTECH |
27,253 | 3,868 | 31,121 | 54,702 | 11,870 | 19,282 | 85,854 | |||||||||||||||||||||
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POSCO ENERGY CO., LTD. |
18,701 | 2,012 | 20,713 | — | — | 1,425 | 1,425 | |||||||||||||||||||||
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POSCO DAEWOO Corporation |
182,700 | 11,184 | 193,884 | 460 | 183 | 49 | 692 | |||||||||||||||||||||
|
POSCO Thainox Public Company Limited |
62,034 | 8 | 62,042 | — | 224 | — | 224 | |||||||||||||||||||||
|
POSCO America Corporation |
10,008 | — | 10,008 | — | — | — | — | |||||||||||||||||||||
|
POSCO Asia Co., Ltd. |
375,823 | 458 | 376,281 | 25,101 | — | — | 25,101 | |||||||||||||||||||||
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Qingdao Pohang Stainless Steel Co., Ltd. |
25,386 | — | 25,386 | — | 5 | — | 5 | |||||||||||||||||||||
|
POSCO MEXICO S.A. DE C.V. |
114,166 | 1,024 | 115,190 | — | — | — | — | |||||||||||||||||||||
|
POSCO Maharashtra Steel Private Limited |
208,737 | 9,923 | 218,660 | — | — | — | — | |||||||||||||||||||||
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Others |
333,031 | 64,526 | 397,557 | 17,374 | 46,455 | 26,974 | 90,803 | |||||||||||||||||||||
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| 1,614,302 | 96,992 | 1,711,294 | 109,732 | 192,626 | 61,118 | 363,476 | ||||||||||||||||||||||
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Associates and joint ventures |
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POSCO PLANTEC Co., Ltd. |
30 | 9 | 39 | 2,125 | 39,647 | — | 41,772 | |||||||||||||||||||||
|
SNNC |
223 | 26 | 249 | 40,201 | — | — | 40,201 | |||||||||||||||||||||
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Others |
800 | 1 | 801 | 991 | 17,685 | — | 18,676 | |||||||||||||||||||||
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| 1,053 | 36 | 1,089 | 43,317 | 57,332 | — | 100,649 | ||||||||||||||||||||||
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| ￦ | 1,615,355 | 97,028 | 1,712,383 | 153,049 | 249,958 | 61,118 | 464,125 | |||||||||||||||||||||
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2) December 31, 2017
| Receivables | Payables | |||||||||||||||||||||||||||
| Trade accounts and notes receivable |
Others | Total | Trade accounts and notes payable |
Accounts payable |
Others | Total | ||||||||||||||||||||||
| (in millions of Won) | ||||||||||||||||||||||||||||
|
Subsidiaries |
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|
POSCO ENGINEERING & CONSTRUCTION CO., LTD. |
￦ | 2 | 2,908 | 2,910 | — | 21,965 | 674 | 22,639 | ||||||||||||||||||||
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POSCO COATED & COLOR STEEL Co., Ltd. |
58,184 | 324 | 58,508 | — | 5 | 504 | 509 | |||||||||||||||||||||
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POSCO ICT |
55 | 217 | 272 | 1,458 | 72,586 | 27,009 | 101,053 | |||||||||||||||||||||
|
eNtoB Corporation |
— | — | — | 12,252 | 31,899 | 20 | 44,171 | |||||||||||||||||||||
|
POSCO CHEMTECH |
61,810 | 3,589 | 65,399 | 51,774 | 20,313 | 17,568 | 89,655 | |||||||||||||||||||||
|
POSCO ENERGY CO., LTD. |
33,239 | 1,673 | 34,912 | — | — | 1,425 | 1,425 | |||||||||||||||||||||
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POSCO DAEWOO Corporation |
483,915 | 12,739 | 496,654 | 10,213 | 2,145 | 5,794 | 18,152 | |||||||||||||||||||||
|
POSCO Thainox Public Company Limited |
57,826 | — | 57,826 | 1,204 | — | — | 1,204 | |||||||||||||||||||||
|
POSCO America Corporation |
5,365 | — | 5,365 | — | — | — | — | |||||||||||||||||||||
|
POSCO Asia Co., Ltd. |
404,857 | 541 | 405,398 | 9,811 | 24 | — | 9,835 | |||||||||||||||||||||
|
Qingdao Pohang Stainless Steel Co., Ltd. |
31,693 | — | 31,693 | — | — | — | — | |||||||||||||||||||||
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POSCO MEXICO S.A. DE C.V. |
55,695 | 530 | 56,225 | — | — | — | — | |||||||||||||||||||||
|
POSCO Maharashtra Steel Private Limited |
392,630 | 5,733 | 398,363 | — | — | — | — | |||||||||||||||||||||
|
Others |
384,385 | 49,403 | 433,788 | 15,038 | 59,575 | 31,118 | 105,731 | |||||||||||||||||||||
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| 1,969,656 | 77,657 | 2,047,313 | 101,750 | 208,512 | 84,112 | 394,374 | ||||||||||||||||||||||
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Associates and joint ventures |
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|
POSCO PLANTEC Co., Ltd. |
1,946 | 9 | 1,955 | 3,842 | 15,723 | — | 19,565 | |||||||||||||||||||||
|
SNNC |
648 | 61 | 709 | 49,506 | 3 | — | 49,509 | |||||||||||||||||||||
|
Others |
8,350 | 904 | 9,254 | 824 | — | — | 824 | |||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
| 10,944 | 974 | 11,918 | 54,172 | 15,726 | — | 69,898 | ||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
| ￦ | 1,980,600 | 78,631 | 2,059,231 | 155,922 | 224,238 | 84,112 | 464,272 | |||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
(c) Significant transactions between the Company, excluding the controlling company, and related companies for the years ended December 31, 2015, 2016 and 2017 were as follows:
1) December 31, 2015
| Sales and others | Purchase and others | |||||||||||||||
| Sales | Others | Purchase of material |
Others | |||||||||||||
| (in millions of Won) | ||||||||||||||||
|
Associates and joint ventures |
||||||||||||||||
|
SeAH Changwon integrated Special Steel |
￦ | 32,802 | — | 49,862 | 1,977 | |||||||||||
|
POSCO PLANTEC Co., Ltd. |
10,543 | — | 5,953 | 6,386 | ||||||||||||
|
New Songdo International City Development, LLC |
420,094 | — | — | 667 | ||||||||||||
|
SNNC |
32,160 | 44 | 6,518 | 53,260 | ||||||||||||
|
Posco e&c Songdo International Building |
6,278 | — | — | 25,197 | ||||||||||||
|
VSC POSCO Steel Corporation |
37,416 | — | 2,395 | 3 | ||||||||||||
|
USS-POSCO Industries |
353,626 | — | 1,109 | — | ||||||||||||
|
CSP — Compania Siderurgica do Pecem |
845,979 | — | — | — | ||||||||||||
|
Zhongyue POSCO (Qinhuangdao) Tinplate Industrial Co., Ltd |
68,300 | 111 | 70,236 | — | ||||||||||||
|
BX STEEL POSCO Cold Rolled Sheet Co., Ltd. |
3 | — | 23,320 | — | ||||||||||||
|
POS-SEAHSTEELWIRE(TIANJIN)CO.,Ltd |
9,668 | — | — | — | ||||||||||||
|
POSCO SeAH Steel Wire(Nantong) Co., Ltd. |
30,310 | — | 4 | — | ||||||||||||
|
Zhangjiagang Pohang Refractories Co., Ltd. |
970 | 1,248 | 17,484 | 2,023 | ||||||||||||
|
Sebang Steel |
— | — | 29,007 | — | ||||||||||||
|
SHANGHAI WAIGAOQIAO FREE TRADE ZONE LANSHENG DAEWOO IN’L TRADING CO., LTD. |
214,521 | — | 3,960 | 3,190 | ||||||||||||
|
DMSA/AMSA |
800 | 9,322 | 241,074 | — | ||||||||||||
|
South-East Asia Gas Pipeline Company Ltd. |
— | 47,556 | — | — | ||||||||||||
|
Others |
415,217 | 17,793 | 18,518 | 2,683 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| ￦ | 2,478,687 | 76,074 | 469,440 | 95,386 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
2) December 31, 2016
| Sales and others | Purchase and others | |||||||||||||||
| Sales | Others | Purchase of material |
Others | |||||||||||||
| (in millions of Won) | ||||||||||||||||
|
Associates and joint ventures |
||||||||||||||||
|
SeAH Changwon integrated Special Steel |
￦ | 16,294 | — | 22,029 | — | |||||||||||
|
POSCO PLANTEC Co., Ltd. |
21,659 | 5 | 3,335 | 5,912 | ||||||||||||
|
New Songdo International City Development, LLC |
226,042 | — | — | 14 | ||||||||||||
|
SNNC |
29,330 | — | 21,479 | 9,494 | ||||||||||||
|
Posco e&c Songdo International Building |
4,245 | — | — | 16,219 | ||||||||||||
|
Chun-cheon Energy Co., Ltd |
288,307 | — | — | — | ||||||||||||
|
Noeul Green Energy |
107,268 | — | — | — | ||||||||||||
|
Incheon-Gimpo Expressway Co., Ltd. |
102,183 | — | — | — | ||||||||||||
|
VSC POSCO Steel Corporation |
43,650 | 47 | 479 | — | ||||||||||||
|
USS-POSCO Industries |
287,072 | — | 1,195 | — | ||||||||||||
|
CSP — Compania Siderurgica do Pecem |
157,814 | — | — | — | ||||||||||||
|
Zhongyue POSCO (Qinhuangdao) Tinplate Industrial Co., Ltd |
61,844 | — | 57,179 | — | ||||||||||||
|
LLP POSUK Titanium |
— | — | 14,575 | — | ||||||||||||
|
BX STEEL POSCO Cold Rolled Sheet Co., Ltd. |
— | — | 24,365 | — | ||||||||||||
|
POS-SEAHSTEELWIRE(TIANJIN)CO.,Ltd |
15,759 | — | — | — | ||||||||||||
|
PT. Batutua Tembaga Raya |
— | — | 13,079 | — | ||||||||||||
|
POSCO SeAH Steel Wire(Nantong) Co., Ltd. |
31,711 | — | 65 | — | ||||||||||||
|
Zhangjiagang Pohang Refractories Co., Ltd. |
250 | 14 | 364 | 2,472 | ||||||||||||
|
Sebang Steel |
— | — | 26,276 | — | ||||||||||||
|
SHANGHAI WAIGAOQIAO FREE TRADE ZONE LANSHENG DAEWOO IN’L TRADING CO., LTD. |
157,886 | — | 3,535 | — | ||||||||||||
|
DMSA/AMSA |
— | — | 72,582 | — | ||||||||||||
|
South-East Asia Gas Pipeline Company Ltd. |
— | 87,973 | — | — | ||||||||||||
|
Others |
195,139 | 11,184 | 16,664 | 1,801 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| ￦ | 1,746,453 | 99,223 | 277,201 | 35,912 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
3) December 31, 2017
| Sales and others | Purchase and others | |||||||||||||||
| Sales | Others | Purchase of material |
Others | |||||||||||||
| (in millions of Won) | ||||||||||||||||
|
Associates and joint ventures |
||||||||||||||||
|
POSCO PLANTEC Co., Ltd. |
￦ | 19,513 | — | 98 | 8,113 | |||||||||||
|
New Songdo International City Development, LLC |
223,567 | 13,207 | — | 49 | ||||||||||||
|
SNNC |
26,288 | — | 3,578 | 17,985 | ||||||||||||
|
Chun-cheon Energy Co., Ltd |
42,147 | — | — | — | ||||||||||||
|
Noeul Green Energy |
11,863 | — | — | 2,178 | ||||||||||||
|
VSC POSCO Steel Corporation |
19,404 | — | 188 | — | ||||||||||||
|
USS-POSCO Industries |
26,899 | 107 | 2,222 | — | ||||||||||||
|
CSP — Compania Siderurgica do Pecem |
241,299 | — | 101,018 | 21,154 | ||||||||||||
|
Zhongyue POSCO (Qinhuangdao) Tinplate Industrial Co., Ltd |
38,484 | — | 47,241 | — | ||||||||||||
|
LLP POSUK Titanium |
— | — | 3,972 | — | ||||||||||||
|
BX STEEL POSCO Cold Rolled Sheet Co., Ltd. |
4 | — | 20,145 | — | ||||||||||||
|
POS-SEAHSTEELWIRE(TIANJIN)CO.,Ltd |
20,004 | — | — | — | ||||||||||||
|
PT. Batutua Tembaga Raya |
— | — | 21,024 | — | ||||||||||||
|
POSCO SeAH Steel Wire(Nantong) Co., Ltd. |
34,088 | — | 192 | — | ||||||||||||
|
Zhangjiagang Pohang Refractories Co., Ltd. |
— | — | 87 | 1,632 | ||||||||||||
|
Sebang Steel |
441 | — | 23,778 | — | ||||||||||||
|
SHANGHAI WAIGAOQIAO FREE TRADE ZONE LANSHENG DAEWOO IN’L TRADING CO., LTD. |
43,764 | — | — | — | ||||||||||||
|
DMSA/AMSA |
— | 99 | 47,092 | — | ||||||||||||
|
South-East Asia Gas Pipeline Company Ltd. |
— | 62,423 | — | — | ||||||||||||
|
Others |
272,107 | 43,126 | 19,520 | 19,483 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| ￦ | 1,019,872 | 118,962 | 290,155 | 70,594 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
(d) The related account balances of significant transactions between the Company, excluding the controlling company, and related companies as of December 31, 2016 and December 31, 2017 are as follows:
1) December 31, 2016
| Receivables (*1) | Payables | |||||||||||||||||||||||||||
| Trade accounts and notes receivable |
Loan | Others | Total | Trade accounts and notes payable |
Others | Total | ||||||||||||||||||||||
| (in millions of Won) | ||||||||||||||||||||||||||||
|
Associates and joint ventures |
||||||||||||||||||||||||||||
|
POSCO PLANTEC Co., Ltd. |
￦ | 4,709 | — | 6 | 4,715 | 2,718 | 8,521 | 11,239 | ||||||||||||||||||||
|
New Songdo International City Development, LLC |
255,822 | — | 5,725 | 261,547 | — | — | — | |||||||||||||||||||||
|
Chun-cheon Energy Co., Ltd |
12,142 | — | — | 12,142 | — | 3,171 | 3,171 | |||||||||||||||||||||
|
VSC POSCO Steel Corporation |
5,265 | — | — | 5,265 | — | — | — | |||||||||||||||||||||
|
USS-POSCO Industries |
583 | — | — | 583 | 75 | — | 75 | |||||||||||||||||||||
|
Nickel Mining Company SAS |
133 | 60,425 | 116 | 60,674 | — | — | — | |||||||||||||||||||||
|
AN KHANH NEW CITY DEVELOPMENT J.V CO., LTD. |
62,814 | 60,425 | 1,643 | 124,882 | — | 875 | 875 | |||||||||||||||||||||
|
CSP — Compania Siderurgica do Pecem |
224,760 | — | 149,700 | 374,460 | — | 109,272 | 109,272 | |||||||||||||||||||||
|
Zhongyue POSCO (Qinhuangdao) Tinplate Industrial Co., Ltd |
3,279 | 6,647 | 6 | 9,932 | 1,365 | — | 1,365 | |||||||||||||||||||||
|
PT. Batutua Tembaga Raya |
— | 38,120 | — | 38,120 | 2,293 | — | 2,293 | |||||||||||||||||||||
|
POSCO SeAH Steel Wire(Nantong) Co., Ltd. |
9,292 | 8,460 | 43 | 17,795 | 40 | — | 40 | |||||||||||||||||||||
|
SHANGHAI WAIGAOQIAO FREE TRADE ZONE LANSHENG DAEWOO IN’L TRADING CO.,LTD. |
100,367 | — | — | 100,367 | — | — | — | |||||||||||||||||||||
|
DMSA/AMSA |
— | 90,638 | — | 90,638 | — | — | — | |||||||||||||||||||||
|
South-East Asia Gas Pipeline Company Ltd. |
— | 276,605 | 48 | 276,653 | — | — | — | |||||||||||||||||||||
|
Others |
184,402 | 142,812 | 6,593 | 333,807 | 4,615 | 750 | 5,365 | |||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
| ￦ | 863,568 | 684,132 | 163,880 | 1,711,580 | 11,106 | 122,589 | 133,695 | |||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
| (*1) | As of December 31, 2016, the Company recognizes bad debt allowance for receivables amounting to ￦48,891 million. |
2) December 31, 2017
| Receivables (*1) | Payables | |||||||||||||||||||||||||||
| Trade accounts and notes receivable |
Loan | Others | Total | Trade accounts and notes payable |
Others | Total | ||||||||||||||||||||||
| (in millions of Won) | ||||||||||||||||||||||||||||
|
Associates and joint ventures |
||||||||||||||||||||||||||||
|
POSCO PLANTEC Co., Ltd. |
￦ | 2,287 | — | 5 | 2,292 | 3,442 | 5,595 | 9,037 | ||||||||||||||||||||
|
New Songdo International City Development, LLC |
484,038 | 282,775 | 1,696 | 768,509 | — | 7,146 | 7,146 | |||||||||||||||||||||
|
Chun-cheon Energy Co., Ltd |
— | — | 21 | 21 | — | 9,617 | 9,617 | |||||||||||||||||||||
|
VSC POSCO Steel Corporation |
16 | — | — | 16 | 17 | — | 17 | |||||||||||||||||||||
|
USS-POSCO Industries |
— | — | 4 | 4 | — | — | — | |||||||||||||||||||||
|
Nickel Mining Company SAS |
— | 59,668 | 118 | 59,786 | — | — | — | |||||||||||||||||||||
|
CSP — Compania Siderurgica do Pecem |
380,180 | — | 13,443 | 393,623 | — | 29,700 | 29,700 | |||||||||||||||||||||
|
Zhongyue POSCO (Qinhuangdao) Tinplate Industrial Co., Ltd |
2,108 | 5,357 | 6 | 7,471 | 2,449 | — | 2,449 | |||||||||||||||||||||
|
PT. Batutua Tembaga Raya |
24 | 29,048 | — | 29,072 | — | — | — | |||||||||||||||||||||
|
POSCO SeAH Steel Wire(Nantong) Co., Ltd. |
8,067 | 5,357 | 32 | 13,456 | 107 | — | 107 | |||||||||||||||||||||
|
SHANGHAI WAIGAOQIAO FREE TRADE ZONE LANSHENG DAEWOO IN’L TRADING CO.,LTD. |
715 | — | — | 715 | — | 526 | 526 | |||||||||||||||||||||
|
DMSA/AMSA |
— | 69,713 | 4,443 | 74,156 | — | — | — | |||||||||||||||||||||
|
South-East Asia Gas Pipeline Company Ltd. |
— | 229,880 | — | 229,880 | — | — | — | |||||||||||||||||||||
|
Others |
134,397 | 134,506 | 6,885 | 275,788 | 1,856 | 2,005 | 3,861 | |||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
| ￦ | 1,011,832 | 816,304 | 26,653 | 1,854,789 | 7,871 | 54,589 | 62,460 | |||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
| (*1) | As of December 31, 2017, the Company recognizes bad debt allowance for receivables amounting to ￦4,217 million. |
(e) Significant financial transactions between the Company, excluding the controlling company, and related companies for the years ended December 31, 2016 and 2017 were as follows:
1) December 31, 2016
| Beginning | Lend | Collect | Others (*3) | Ending | ||||||||||||||||
| (in millions of Won) | ||||||||||||||||||||
|
Associates and joint ventures |
||||||||||||||||||||
|
METAPOLIS Co.,Ltd. |
￦ | 26,000 | — | (12,730 | ) | — | 13,270 | |||||||||||||
|
Posco e&c Songdo International Building (*1) |
— | 298,865 | — | (298,865 | ) | — | ||||||||||||||
|
DMSA/AMSA (*2) |
99,854 | 11,774 | — | (20,990 | ) | 90,638 | ||||||||||||||
|
South-East Asia Gas Pipeline Company Ltd. |
283,954 | 27,087 | (43,080 | ) | 8,644 | 276,605 | ||||||||||||||
|
PT. Batutua Tembaga Raya |
36,830 | — | — | 1,290 | 38,120 | |||||||||||||||
|
PT. Tanggamus Electric Power |
2,359 | 1,174 | — | 73 | 3,606 | |||||||||||||||
|
PT. Wampu Electric Power |
4,454 | 1,169 | — | 138 | 5,761 | |||||||||||||||
|
PT. POSMI Steel Indonesia |
4,688 | — | — | 146 | 4,834 | |||||||||||||||
|
Nickel Mining Company SAS |
17,580 | 40,594 | — | 2,251 | 60,425 | |||||||||||||||
|
POSK(Pinghu) Steel Processing Center Co., Ltd. |
5,743 | 5,683 | (11,366 | ) | (60 | ) | — | |||||||||||||
|
AN KHANH NEW CITY DEVELOPMENT J.V CO., LTD. |
58,600 | — | — | 1,825 | 60,425 | |||||||||||||||
|
Zhongyue POSCO (Qinhuangdao) Tinplate Industrial Co., Ltd |
10,782 | — | (4,471 | ) | 336 | 6,647 | ||||||||||||||
|
KRAKATAU POS-CHEM DONG-SUH CHEMICAL |
— | 6,959 | — | 292 | 7,251 | |||||||||||||||
|
Hamparan Mulya |
3,516 | — | — | 110 | 3,626 | |||||||||||||||
|
POS-SEAHSTEELWIRE(TIANJIN)CO.,Ltd |
5,274 | — | — | 164 | 5,438 | |||||||||||||||
|
POSCO SeAH Steel Wire(Nantong) Co., Ltd. |
11,720 | — | (3,480 | ) | 220 | 8,460 | ||||||||||||||
|
POS-SeAH Steel Wire (Thailand) Co., Ltd. |
— | 6,959 | — | 292 | 7,251 | |||||||||||||||
|
AMCI (WA) PTY LTD |
85,168 | 4,665 | — | 1,942 | 91,775 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
| ￦ | 656,522 | 404,929 | (75,127 | ) | (302,192 | ) | 684,132 | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
| (*1) | During the year ended December 31, 2016, it was classified as a subsidiary from an associate. |
| (*2) | During the year ended December 31, 2016, loans amounting to ￦24,624 million have been converted to shares of DMSA/AMSA, and its amount is included in others. |
| (*3) | Includes adjustments of foreign currency translation differences and others. |
2) December 31, 2017
| Beginning | Lend | Collect | Others (*4) | Ending | ||||||||||||||||
| (in millions of Won) | ||||||||||||||||||||
|
Associates and joint ventures |
||||||||||||||||||||
|
METAPOLIS Co.,Ltd. (*1) |
￦ | 13,270 | — | — | (13,270 | ) | — | |||||||||||||
|
New Songdo International City Development, LLC |
— | 484,644 | (201,869 | ) | — | 282,775 | ||||||||||||||
|
GALE International Korea, LLC |
— | 2,000 | — | — | 2,000 | |||||||||||||||
|
DMSA/AMSA (*2) |
90,638 | 2,956 | — | (23,881 | ) | 69,713 | ||||||||||||||
|
South-East Asia Gas Pipeline Company Ltd. |
276,605 | 28,967 | (46,252 | ) | (29,440 | ) | 229,880 | |||||||||||||
|
PT. Batutua Tembaga Raya |
38,120 | — | — | (9,072 | ) | 29,048 | ||||||||||||||
|
PT. Tanggamus Electric Power |
3,606 | — | — | (409 | ) | 3,197 | ||||||||||||||
|
PT. Wampu Electric Power |
5,761 | — | — | (654 | ) | 5,107 | ||||||||||||||
|
PT. POSMI Steel Indonesia |
4,834 | — | — | (548 | ) | 4,286 | ||||||||||||||
|
Nickel Mining Company SAS |
60,425 | — | — | (757 | ) | 59,668 | ||||||||||||||
|
AN KHANH NEW CITY DEVELOPMENT J.V CO., LTD. (*1) |
60,425 | — | — | (60,425 | ) | — | ||||||||||||||
|
Zhongyue POSCO (Qinhuangdao) Tinplate Industrial Co., Ltd |
6,647 | — | (577 | ) | (713 | ) | 5,357 | |||||||||||||
|
KRAKATAU POS-CHEM DONG-SUH CHEMICAL |
7,251 | — | — | (823 | ) | 6,428 | ||||||||||||||
|
Hamparan Mulya |
3,626 | — | (3,626 | ) | — | — | ||||||||||||||
|
POS-SEAHSTEELWIRE(TIANJIN)CO.,Ltd |
5,438 | — | (5,438 | ) | — | — | ||||||||||||||
|
POSCO SeAH Steel Wire(Nantong) Co., Ltd. |
8,460 | — | (2,262 | ) | (841 | ) | 5,357 | |||||||||||||
|
POS-SeAH Steel Wire (Thailand) Co., Ltd. |
7,251 | — | (1,142 | ) | 319 | 6,428 | ||||||||||||||
|
AMCI (WA) PTY LTD |
91,775 | 4,327 | — | (4,041 | ) | 92,061 | ||||||||||||||
|
POS-AUSTEM YANTAI AUTOMOTIVE CO.,LTD (*3) |
— | — | — | 5,357 | 5,357 | |||||||||||||||
|
POS-AUSTEM WUHAN AUTOMOTIVE CO.,LTD (*3) |
— | — | — | 8,571 | 8,571 | |||||||||||||||
|
SAMHWAN VINA CO., LTD (*3) |
— | — | — | 1,071 | 1,071 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
| ￦ | 684,132 | 522,894 | (261,166 | ) | (129,556 | ) | 816,304 | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
| (*1) | During the year ended December 31, 2017, it was excluded from associates. |
| (*2) | During the year ended December 31, 2017, loans amounting to ￦13,712 million have been converted to shares of DMSA/AMSA, and its amount is included in others. |
| (*3) | During the year ended December 31, 2017, it was newly classified to associates and joint ventures. |
| (*4) | Includes adjustments of foreign currency translation differences and others. |
(f) For the years ended December 31, 2015, 2016 and 2017, details of compensation to key management officers were as follows:
| 2015 | 2016 | 2017 | ||||||||||
| (in millions of Won) | ||||||||||||
|
Short-term benefits |
￦ | 111,278 | 90,916 | 112,688 | ||||||||
|
Long-term benefits |
19,513 | 17,905 | 8,632 | |||||||||
|
Retirement benefits |
21,850 | 17,870 | 20,422 | |||||||||
|
|
|
|
|
|
|
|||||||
| ￦ | 152,641 | 126,691 | 141,742 | |||||||||
|
|
|
|
|
|
|
|||||||
Key management officers include directors (including non-standing directors), executive officials and fellow officials who have significant influences and responsibilities in the Company’s business and operations.