iljin materials co ltd (020150.ks)

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ILJIN Building, 50-1 Dohwa-dong, Mapo-gu, Seoul, Korea www.iljinM.co.kr FUTURE ORIGIN from to THE WORLD REINVENTED BY ILJIN MATERIALS ILJIN MATERIALS BROCHURE

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Page 1: Iljin Materials Co Ltd (020150.KS)

ILJIN Building, 50-1 Dohwa-dong, Mapo-gu, Seoul, Korea

www.il j inM.co.kr

FUTURE

ORIGINfrom

to

T H E W O R L D R E I N V E N T E DB Y

I L J I N M AT E R I A L S

ILJIN M

ATERIALS BROCH

URE

Page 2: Iljin Materials Co Ltd (020150.KS)

CONTENTS

0 1 f ro m O R I G I N t o F U T U R E

0 4 Co r p o ra t e O v e r v i e w

0 6 M e ss a g e f ro m I L J I N M a t e r i a l s

1 0 Co r p o ra t e H i s t o r y

1 2 V i s i o n

1 4 B u s i n e ss A rea s

2 6 Pro d u c t L i s t

2 8 R & D

3 0 Aff i l iated Companies

ORIGIN FUTUREfrom to

technolog y captures the futureIljin Material’s state-of-the-art material

0 0 / 0 1

Page 3: Iljin Materials Co Ltd (020150.KS)

Origin Future

0 2 / 0 3

Page 4: Iljin Materials Co Ltd (020150.KS)

CORPORATE OVERVIEW

Elecfoil 전문 생산기업에서

첨단 부품소재 기업으로

새로운 도약을 시작합니다

창립 이후 전자제품의 핵심소재인 Elecfoil 생산에 매진해왔던 일진Materials는

2차전지 산업의 성장과 함께 새로운 전환기를 맞이하였습니다. 2002년 Elecfoil이

2차전지의 5대 소재 중 하나로 채택되면서 Elecfoil제품 내 2차전지 생산비중이

40%까지 늘어나 매출 규모가 크게 확대된 것입니다.

이를 통해 첨단 그린 에너지 부품산업의 성장가능성에 주목한 일진Materials는

특유의 도전정신으로 R&D에 역량을 집중한 결과, LED와 2차전지 분야로 사업

영역을 확장하게 되었습니다.

일진Materials는 앞으로 국내 최고 Elecfoil 생산기업으로서의 입지를 확고히

다지는 한편, 신규 사업의 안정화를 통해 첨단 부품산업의 글로벌 리더로서 면모를

갖출 것입니다.

2015년 매출액 1조 원 달성과 3개의 World Top Product 보유라는 구체적

사업목표 달성을 통해 질적 도약과 외형적 성장을 이루어내는 기업. 일진Materials가

만들어나갈 희망찬 미래입니다.

2010

2015

0 200 400 600 800 1000

World ClassProduct 2

World ClassProduct 5

자원개발

10%

GRAPHS

01 2010 Revenue : 300 Million USD / New Business & Products over 50% / World

Class Products 2 02 2015 Revenue : 1 Billion USD / New Business & Products over 50%

/ World Class Products 5 03 Iljin Materials’ Elecfoil business is solidifying its position

within the market with diverse new product development, and is launching into its second

growth phase with its LED and Energy Business Divisions. 04 10% of Total Revenues for

continued R&D Investment

R&D Investment

R&D Investment 04

R&D Investment : More than 10% of Total Revenue

1995 2000 2005 2010 2015

10%

1 Billion300 Million135 Million120 Million30 Million

Total Revenue

Total Revenue 01 / 02

2015 Target Revenue : 1Billion USD & World Class Product 5

300 Million USD

1 Billion USD

0 4 / 0 5

Business Areas 03

Stable Foundation and Diverse Business Areas

ELECFOIL40%

CONSTRUCTION15%

LED25%

ENERGY10%

RESO-URCE DEVELOP-MENT

10%

CORPORATE OVERVIEW

Since its establishment, Iljin Materials focused on Elecfoil production,

a key component in electronic products. Now it is leaping into the future

by entering the rechargeable battery industry. In 2002, Elecfoil was

selected as one of the five main components in rechargeable battery

production. As a result, elecfoil production for rechargeable batteries

grew to 40%, thus increasing revenues.

Understanding the growth potential of the green energy components

industry, Iljin Materials continued to focus on research and devel-

opment and expanded its business areas to LED and rechargeable

lithium batteries.

Iljin Materials plans to continue to be Korea’s best Elecfoil company as

it grows to be a global leader in new cutting edge material industries.

With specific goals for 2015 to record revenues of one billion USD and

produce five of the world’s top products, we look to the future with opti-

mism and promise.

From a company specializing in Elecfoil to cutting edge materials… Iljin is leaping into the future

Page 5: Iljin Materials Co Ltd (020150.KS)

CEO’S MESSAGE

첨단 부품소재 산업의

글로벌 리더로서 미래의 변화를

능동적으로 이끌어가겠습니다

세계 시장을 이끌어가는 미래소재 기업

1987년 덕산금속으로 출발한 일진Materials는 국내 최초로 전자산업의 필수 소재인 Elecfoil

개발에 성공, 우리나라 전자산업의 안정적 발전에 크게 기여하였습니다.

1996년 일진소재산업으로 사명을 변경한 이래 명실상부한 국내 최고의 부품소재 기업으로

자리잡은 일진Materials는 2010년 LED와 2차전지 등 미래 에너지 사업으로 영역을 확장하며,

일진Materials라는 새로운 이름으로 제2의 도약을 시작하게 되었습니다.

일진Materials로 새롭게 도약합니다

‘Materials’란 어떤 것을 만드는 데 바탕이 되는 재료를 뜻하는 말입니다. ‘일진Materials’는

기존 사명이 지녔던 제품명의 한계를 뛰어 넘어, 우리 삶에 꼭 필요한 소재들로 산업의 기본이

되는 다양한 제품을 만드는 Total Material Company로 도약하는 회사의 이미지를 담고

있습니다.

일진Materials는 원재료를 정교하게 가공하여 꼭 필요한 부품소재의 형태로 제공함으로써

다양한 산업영역의 인프라를 구축하며, 첨단 부품소재를 통해 보다 나은 미래를 앞당기고 환경을

보호합니다.

일진(日進)의 능동정신으로 보다 나은 미래를 앞당기겠습니다

항상 보다 나은 내일을 꿈꾸는 일진(日進)의 능동정신을 바탕으로 끊임없이 변화에 도전해온

일진Materials. 일진Materials는 앞으로 Elecfoil사업의 2차 성장, 신규사업의 안정화와

더불어 자원 사업 진출이라는 과감한 도전을 통해 세계 시장을 이끌어가는 미래소재 기업으로

우뚝 설 것입니다.

우리 삶에 꼭 필요한 것들을 만드는 핵심 기술을 지닌 기업, 첨단 기술을 통해 환경보호에 기여하는

기업, 우리가 꿈꿔왔던 미래를 현실로 만들어가는 기업…. 일진Materials는 고객의 신뢰를 바탕으로

인류를 보다 행복하게 만들어주는 존경받는 기업이 되기 위해 앞으로도 노력하겠습니다.

감사합니다.

휴대폰, 컴퓨터, TV 등 일상에서 사용되는 전자제품부터 최첨단의 전기자동차에 이르기까지…. 20세기

산업의 화두였던 회로 소재의 핵심에 일진Materials가 있었듯, 21세기 산업의 화두인 그린 에너지

소재의 핵심에도 일진Materials가 함께 자리할 것입니다.

일진Materials 대표이사

전자산업의 기본 소재인 PCB용 Elecfoil 생산에서 출발한

일진Materials는 첨단 전자부품에서 그린 에너지소재에 이르기까지

상상 속의 미래를 현실로 만들어가고 있습니다.

일진Materials는 앞으로도 일진(日進)의 능동정신을 바탕으로 한

과감한 도전을 통해 세계 시장을 이끌어가는 기업으로 우뚝 설 것입니다.

0 6 / 0 7

MESSAGE FROM ILJIN MATERIALS

GLOBAL LEADER IN FUTURE MATERIALS PRODUCTION

In 1987, Iljin Materials, formerly known as Duksan Metals, was the first in Korea

to successfully develop Elecfoil, a key material in electronics; thus contributing to

the stabilization of the Korean electronics industry. Since changing our name to Iljin

Copper Foil in 1996, we solidified our position as Korea’s top component materials

company. In 2010, as we expanded our business areas to include LED, rechargeable

lithium batteries, and future energy, we stepped forward as Iljin Materials.

ILJIN MATERIALS IS READY FOR NEW CHALLENGES

Our new name, Iljin Materials, is significant in that it overcomes the limitations product

specificity and encompasses all the materials we need in our lives to become a total

materials company.

Iljin Materials precisely processes raw materials into component parts that we all

need to build the infrastructure of our business areas. Through cutting edge component

parts we will pull the future one step closer while protecting the environment.

ILJIN MATERIALS PULLS FORWARD A BETTER FUTURE WITH OUR PROACTIVE MINDSET

Iljin Materials has always proactively sought out a better tomorrow. We will continue

to challenge ourselves in the second growth of the Elecfoil industry and step forward

into the resource development industry to become a world leader in future materials.

We will strive to be the company with core technology needed in our lives and

through cutting edge technology we will contribute to protecting the environment to

become a company that actualizes the future of our dreams. Through the trust and

confidence of our clients, we will continue to strive to be a respected company that

brings joy to mankind.

Thank you.

Truly yours,

Executives and Staff MembersILJIN Materials

From everyday electronics like cellular phones, computers, and television to state-

of-the-art electric vehicles, Iljin Materials was there as the leader in circuit materials, a

crucial part of 20th century industry. Now with the 21st century before us, Iljin Materials

will be there to lead in green energy production.

0 6 / 0 7

As a Global Leader in the Cutting Edge Materials Industry,Iljin Materials will Actively Lead in the Changes of the Future

From Elecfoil, the basic material used in PCBs,

To cutting edge green energy materials,

Iljin is actualizing what was once only in our imaginations

Iljin Materials will continue to push forward to lead the world market

With the Iljin spirit of determination and will meet any challenge

Page 6: Iljin Materials Co Ltd (020150.KS)

ORIGIN FUTUREfrom to

LMOLow Cost Cathode Material for Rechargeable Lithium Batteries with Outstanding Safety and Excellent Rate Capability

ICSGeneral Use Elecfoil for All Electronics

IHTSpecialized High Flexibility, Low Surface profile Elecfoil

INSGeneral Use Next Generation Elecfoil for Various Electronics Products

IUTElecfoil for Ultrafine PCB

LED CHIPFor LCD backlight, Electronic Displays, and Light Source for Lighting

I2KSpecial Elecfoil that Combines I2B Low Profile and IKD Tensile Strength

I2BLow Surface Profile Elecfoil for Anode Current Collector in Rechargeable Lithium Batteries

0 8 / 0 9

IKDSpecialized Elecfoil with Low Profile and High Strength for semiconductor packaging substrate

Our Today is... Your TomorrowIljin Materials… Creating the Future of Your Dreams

Page 7: Iljin Materials Co Ltd (020150.KS)

1 0 / 1 1

1978

1978

1987

1988

1989

1990

1991

1993

1996

1996

1997

1997

1999

2000

2001

2001

2001

2002

2005

2006

2006

2007

2007

2008

2009

2010

2010

2010

2010

2011

2011

Foundation

Started research of Elecfoil technology with Seoul National University

Established Duksan Elecfoil Co., Ltd., Started construction on Iksan Plant 1

First production of Elecfoil in Korea

Started operation of Iksan Elecfoil Plant1

Growth

Established Technology Research Institute

Started operation of Iksan Elecfoil Plant 2

Changed company name to Iljin Elecfoil Co., Ltd.

Received ISO 9001 •14001 Quality and Environment Certification

Started operation of Iksan Elecfoil Plant 3

Received Korea International Trade Association’s Export Tower Award for

recording US$50 million in exports

Selected as Korea’s Top 100 Technology by the Ministry of Science and Technology

Advancement

Completed construction of Jochiwon Elecfoil Plant

Selected as Leading Company in Component Materials

by the Ministry of Commerce, Industry, and Energy and KOTRA

Mass produced I2B for Rechargeable Lithium Battery

Elecfoil recognized as world-class product by the Korea Productivity Center

IBT recognized as next generation world-class product by the Korea Productivity Center

Grand Prize winner in Top 100 Outstanding Patent Products by the

Korean Intellectual Property Office

Developed IUT Elecfoil

Received Parts and Components Technology Award

Certified as Specialized Parts and Components Company by

Ministry of Commerce, Industry, and Energy

Received Korea International Trade Association’s Export Tower Award for

recording US$200 million in exports

Launch LED and Energy (Rechargeable Battery) Business Divisions

Appointed “Advanced Technology Center” (Ministry of Knowledge Economy)

Completed construction of Jochiwon Energy Plant

Change company name to Iljin Materials Co., Ltd

Received ISO/TS 16949 Certification

Completed construction of Ansan LED Plant

Completed construction of Iksan New Elecfoil Plant

CORPORATE HISTORY

21% Average Annual Revenue Growth Rate Since 2005

Page 8: Iljin Materials Co Ltd (020150.KS)

1 2 / 1 3

VISION & STRATEGY

Iljin Material’s vision is to be a future-oriented company that continues to grow through the melding of technology, resources, and service. In order to realize this vision, all the members of Iljin Materials will be proactive and work with a daring spirit and passion. Our proactivity will translate into the best products and services. In addition to having the world’s best competitiveness in Elecfoil, Iljin Materials is solidifying its position in LED, energy, construction, and resource development business areas as new growth engines. With a strong long-term growth business structure, Iljin Materials strives to become a model market leader in the global econ-omy. Our clients will in turn gain a reliable partner and be satisfied with investments.

The core values of Iljin Materials are: Daring Mindset, Technology Leadership, Respect for Talent, Aim for the Best, and Change and Innovation.

A Daring Mindset means to think creatively and have an optimistic mind to create an ambitious and energetic corporate culture that is unique to Iljin.

Technology Leadership will lead to new technology development that will make our lives more abundant and through continued innovation we will create more value.

Respect for Talent will create an outstanding team of talented individuals that will continue to develop their skills to grow with Iljin.

By Aiming for the Best, Iljin will create an environment where all members can work to their potential so that people, products, and corporate culture all aim to be the world’s best.

Change and Innovation will cultivate an attitude within individuals that will prepare them to accept new methods and principles so that Iljin will continue to be a leading company.

Iljin Materials will implement our core values by committing to cultivating talented individuals, developing new products, and strengthening our competitiveness to solidify our position as a promising company of the future.

CORE

VALUES

VISION

MISSION

Daring Mindset

Technology Leadership

Change and Innovation

Aim for the Best

Respect for Talent

Iljin MaterialsProduces the

Best Products and Services to

Contribute to the Development of

Mankind

A future-oriented company that continues to grow through the melding of technolog y, resources, and service.

Create the best products and services to enhance the world and mankind through proactive thinking

Page 9: Iljin Materials Co Ltd (020150.KS)

BUSINESS AREAS

1 4 / 1 5

From cellular phones, displays, and lighting to automobiles, LED will brighten the future with environment-friendly lights.

LED Business Division

Iljin Materials is leading the development and evolution of cutting edge electronics through new high value-added Elecfoil development.

Elecfoil Business Division

By producing core rechargeable lithium battery materials, we will provide solution for growing energy needs.

Energy Business Division

Iljin expanded into resource development and participated in the Boleo Project in Mexico to realize Korea’s dream of becoming a world leader in resource supply.

Resource Development Business Division

With state-of-the-art factory design and construction know-how, we are expanding our business areas.

Construction Business Division

From cutting edge electronics material to green energ y, Iljin Materials is realizing the future of our dreams

Page 10: Iljin Materials Co Ltd (020150.KS)

WITH THE WORLD’S LARGEST ELECFOIL PRODUCTION CAPACITY, ILJIN’S ELECFOIL BUSINESS DIVISION

LEADS THE GLOBAL MARKET

I2B

IHT

IUT

I2K

IKD

INS

ICS

1 6 / 1 7

Elecfoil is not only used as the fundamental material in PCBs

but is also in the spotlight as the anode current collector of

rechargeable lithium batteries used in almost all rechargeable

lithium batteries for cellular IT products.

I2B enjoys the world’s top market share and will play a key role in

boosting Korea’s technological competitiveness on the world stage.

BUSINESS AREAS

Products - I2B / IHT / IUT / I2K / IKD / INS / ICS

Iljin was the first in Korea to develop and produce Elecfoil needed for PCB (Printed Circuit Board) production. As the first company to accomplish this feat, Iljin is now the world leader in top-quality Elecfoil production operating the world’s largest factory.

A printed circuit board is an electronics component in which Elecfoil attached and etched on an insulated polymer constitutes a microcircuit that mounts active and passive elements.

Elecfoil is a thin copper foil that makes up these PCBs. It is produced by melting copper wire that is extracted from CuSO4 and made to order for clients. It is a core component in almost all electronic products such as televisions, computers, and cellular phones.

In line with the rapidly changing IT industry, Iljin Materials focused on the multi-functioning and smaller design of electronics products, and developed a high value- added high-functioning special Elecfoil early on to become the world’s second largest Elecfoil producer.

Elecfoil is also used for cathode collectors in rechargeable lithium batteries for almost all cellular IT products such as cellular phones, laptop computers, digital cameras, and camcorders.

With the rapid growth of cellular IT products, electric vehicles, functional robots, and the environment-friendly energy industry, we expect the rechargeable lithium battery market to take-off. Especially in the case of Elecfoil, it has already surpassed the small batteries and has expanded into larger product areas such automobiles and energy storage.

I2B, the Elecfoil for rechargeable lithium batteries produced by Iljin Materials, currently has the world’s top market share, and Iljin invested more than 100 billion won in expansion efforts to meet the ever increasing demand thus creating a launch pad for a second take-off.

We will contribute to Korea’s industry securing world-class technological competitiveness by maximizing synergy with the Energy Business Division to produce high capacity, high output rechargeable lithium batteries to meet market needs.

Elecfoil Business Division

Iljin Materials is leading the development and Evolution of cutting edge electronics through New high value-added elecfoil development

Page 11: Iljin Materials Co Ltd (020150.KS)

ECO-FRIENDLY LIGHTS & DISPLAY WITH STATE-OF-THE-ART LED CHIPS, ILJIN MATERIALS STRIVES TO BE THE GLOBAL TOP 3 IN THE LED MARKET BY 2015

LED CHIP

BUSINESS AREAS

From cellular phones, displays, and lighting to Automobiles, LED will brighten the future with Environment-friendly lights

The application of LEDs is so diverse that it is said to be

a new revolution within the optical technology industry.

Iljin Material’s LED Business Division will produce the best LED chip

to become one of the world’s top 3 LED producers;

in turn becoming a new growth engine for Iljin Group.

Products - InGaN LED Chip

LED (Light Emitting Diode) is an electro-optic semiconductor device that junctions p-type semiconductors to n-type semiconductors whose majority carriers are electrons and holes, respectively. As electricity is applied on the device, it uses the characteristics of the compound semiconductor to produce light at the desired wavelength efficiently.

LEDs have high light-conversion efficiency, so they have very low energy consumption. Also as a small light source, LEDs make it possible to make things smaller, flatter, and lighter. They do not discharge mercury or gases, and are semi-durable making them environmentally-friendly.

With global warming threatening the environment, the LED industry is at the center of low carbon emitting green energy growth. LEDs, mainly used in lighting have a longer lifespan than incandescent light and are energy efficient. Therefore, it is gaining attention as an alternative light source that reduces carbon emission.

Starting in 2012, many countries will phase out the use of incandescent lights followed by fluorescent lights. By 2015, it is expected that LEDs will take up 30% of all lighting. The effects of this expansion will not only affect the LED industry but all industries.

The application of LEDs is so diverse that it is said to be a small revolution within the optical technology industry. LEDs are used not only as lighting but also as the flash in cellular phones, the Back Light Unit (BLU) in flat screen televisions, in cars, and agriculture. Therefore, the average global LED market size annual growth rate is expected to be 20%.

Iljin Materials launched our LED Business Division in 2011 with the completion of our Ansan plant, and we are focusing on research and development to produce the best LED chip. From sapphire wafers produced by Iljin’s Display Business Division, to LED packages produced by Iljin Semiconductors and module lighting produced by Lumirich, Iljin Materials was the first in the world to complete vertical integration of LED production.

The current size of the lighting market in Korea is an impressive 10 trillion won with potential to grow. The LED Business Division will use our outstanding technological know-how to become one of the world’s top 3 LED producers; in turn becoming a new growth engine for Iljin Materials.

LED Business Division

1 8 / 1 9

Iljin Group Vertical Integration

ILJINDisplay

ILJINMaterials

ILJINSemiconductor

Lumirich

• Ingot

• Sapphire Wafer

• Epi Production • Chip Production

• Package

• Lighting

Page 12: Iljin Materials Co Ltd (020150.KS)

THE ENERGY BUSINESS DIVISION PROMISES A BETTER FUTURE WITH EXPERTISE IN ENERGY TECHNOLOGY

BUSINESS AREAS

By producing core rechargeable Lithium batter y materials, we will provide Solutions for growing energ y needs

Iljin Material’s Energy Business Division’s LMO (LiMn2O4) is getting a lot of attention

in the rechargeable lithium battery market for its safety and cost-competitiveness.

Therefore, the Energy Business Division plans to create synergy with Elecfoil for

anode current collectors to expand and grow in the energy storage

industry with electric vehicles, solar energy, and wind energy.”

Products - LMO (Lithium Manganese Oxide)

The Energy Business Division, which produces the cathode active materials in

rechargeable lithium batteries, began 2010 filled with optimism. Rechargeable

lithium batteries are semi-durable in that they may be charged and reused.

Rechargeable battery production technology is a core technology of the future along

with solar and wind energy to protect the environment and decrease energy use.

The cathode is the positive end of rechargeable lithium batteries and takes up the

largest portion of the component at 30-40% of the battery itself. Therefore, it is a

high value-added product.

There are five different types of cathodes which are separated depending on the use

of the rechargeable lithium battery. LCO, LNO and NCM have high discharge capac-

ity and high density. Therefore, they are used in small IT product batteries. LMO and

LFP have outstanding safety so they are used in high power application and mid- to

large-sized rechargeable lithium batteries.

Iljin Energy Business Division’s LMO (LiMn2O4) is especially getting a lot of attention

in the rechargeable lithium battery market, due to its higher rate capability, safety,

and cost effectiveness than LCO, LNO, and NCM which have dominated the high

capacity portable rechargeable battery market.

Until 2009, the main demand for LMO was for rechargeable lithium batteries in

electric power tools, and LMO produced by dry process met these demands.

However, the HEV market prefers the LMO with a more uniform particle shape which

can be produced by wet process. Therefore, the LMO market for HEV will focus on

suppliers who have the technology to produce high density LMO by wet process.

The Energy Business Division will produce next generation high-voltage electrode

materials, 300mAh/g or higher electrode materials, and new products in order to

solidify its position as the leader in the electrode material area.

Energy Business Division

”LMO

2 0 / 2 1

Page 13: Iljin Materials Co Ltd (020150.KS)

BUSINESS AREAS

Iljin expanded into resource development and participated In the Boleo Project in Mexico to realize Korea’s dream of Becoming a world leader in resource supply

Iljin Materials advanced into new business areas related to existing business areas

for sustainable growth and development. In doing so, Iljin strengthened itself

internally while expanding externally by entering into resource development. The

first project of the Resource Development Business Division was the Boleo Project in

the city of Santa Rosalia, Baja California Sur, Mexico. It is in a favorable location since

it approximately 900km southeast of Tijuana, which is connected to U.S. highways.

The Boleo copper mine is a complex ore mine with cobalt, zinc, and manganese

with approximately 270 million tons of measured and indicated resources including

75 million tons of proven and probable reserves, and has a minimum scheduled

mine life of 25 years. Therefore, the Boleo copper mine is a very promising

project with the potential to expand business areas through the development of new

mining technology.

One-hundred percent ownership of the Boleo project is held in a subsidiary named

Mineray Metalurgica del Boleo SA de CV(“MMB”), which is owned by a South

Korean consortium consisting of : Iljin Materials, KORES and other major companies,

and Baja Mining in Canada. Construction is set to start in 2011 with mining to begin

in 2013. As a result, copper will be mined annually with cobalt, zinc, manganese and

other metals.

As the first Korean resource development project in Mexico with major government-

run banks – the Export-Import Bank of the United States, Export Development of

Canada, and the Korea Development Bank – and a group of commercial banks –

Barclays Capital, Standard Bank Plc, Standard Chartered Bank, UniCredit Bank AG,

and WestLB AG – financing this project, it is considered a success story.

Iljin Materials plans to continue to actively participate in promising resource

development projects to secure a stable supply of resources for the future.

Resource Development Business Division

2 2 / 2 3

ILJIN MATERIALS ACQUIRED THE LARGEST COPPER MINE IN MEXICO IN 2008

Iljin Materials expanded into the resource development business in

order to secure a stable resource supply.

Copper mining in Boleo, Mexico was our first project in this endeavor.

We plan to actively participate in promising resource

development projects in the future.

Page 14: Iljin Materials Co Ltd (020150.KS)

CONSTRUCTION BUSINESS DIVISION’S RANKS IN TOP 50 IN CONSTRUCITON ABILITY BY KOREA’S

PUBLIC PROCUREMENT OFFICE

BUSINESS AREAS

With state-of-the-art factor y design and Construction expertise, We are expanding our business areas

Iljin Materials launched our Construction Business Division in 2008 when we

acquired Samyoung Construction, a company with 50 years of experience in

the construction industry that successfully completed government and military

projects.

Through a variety of construction projects, Iljin Materials successfully

designed and built the LED FAB, display, semiconductor, and electric

plants among other plants construction. Through these projects, Iljin

Materials’ Construction Business Division is now at the forefront of cutting

edge construction technology.

Iljin Materials’ Construction Business Division is ready to expand into the world

construction market in the areas of industrial plant construction, plant engineering,

and renewable energy with expertise in cutting edge construction technology and

professionalism.

Iljin Materials’ Construction Business Division is committed to utilizing environ-

ment friendly construction technology to provide the best construction master-

pieces to enhance people’s lives.

Construction Business Division

2 4 / 2 5

With expertise in not only public works and architecture projects but also

in industrial plant construction of affiliate companies, plant engineering

and renewable energy, Iljin Materials’ Construction Business Division is ready

to expand into the world construction market

with cutting edge construction knowhow.

Page 15: Iljin Materials Co Ltd (020150.KS)

2 6 / 2 7

PRODUCT LIST

From an Elecfoil company to state-of-the-art materials providerIljin Materials is launching into the future

As the current collector for recharge-

able lithium batteries, a paste is applied

on top of the I2B to create the anode to

the rechargeable battery. This special-

ized Elecfoil’s shiny and matte side has

similar and very low surface profile, and

is used for the anode current collector in

rechargeable lithium batteries for cellular

phones, camcorders, and laptop comput-

ers. I2B is available in a variety of thick-

ness to meet product needs (6, 8, 10, and

20㎛) – less than 10㎛ for higher energy

density or thicker to increase charge and

discharge speed.

Layers of nitride semiconductor are

grown on top of the sapphire wafer

with Metal Organic Chemical Vapor

Deposition (MOCVD), and then cus-

tomized according to the application

of the chip. Iljin Materials’ InGaN LED

chip is proud to have Korea’s best effi-

ciency and reliability. It is mainly used

in LCD backlight source, display light

source in electronics, and lighting.

Used as the backlight source in cellu-

lar phones, laptop computers, tablet

PCs, and LED televisions, it has a rap-

id response time with low energy con-

sumption. It is ideal for small product

designs and has excellent color repro-

ducibility.

Therefore, it is rapidly replacing CCFL.

Iljin Materials’ LED chip has a high

light output with low voltage, and

outstanding reliability to provide high

competitiveness.

Lithium manganese oxide is very safe and

has a high rate capability. The most cost-

effective cathode material for recharge-

able lithium batteries, it is used by more

than half of the electric vehicle manufac-

turers as a battery source. Its manufactur-

ing method is separated into wet process

and dry process depending on the shape

of particle and the difference of density.

A LMO product manufactured by wet

process, its spherically uniform parti-

cles, outstanding discharge capacity and

power density make it ideal for use in re-

chargeable lithium batteries for electric

vehicles.

A LMO product manufactured by dry pro-

cess, it has granule-shaped particles. The

discharge capacity and power density are

excellent compared to the price. It is

widely used for rechargeable lithium bat-

teries in electric automobiles and power

tools.

As the first type of application of LED,

this light source is used in a variety of

electronic goods such as status lamps

for electronic products and light-

ing for keypads and flash on cellular

phones making products more user-

friendly.

Special Elecfoil for Flexible Printed Cir-

cuit Board (FPCB) and Flexible Copper

Clad Laminate (FCCL) used in cellular

phones, LCDs and other liquid panels.

Its high elongation, flexibility, and low

profile characteristics make it possible to

be used in flexible PCB. It is available in

12, 18, and 35㎛ thickness.

I2K combines the low profile feature of I2B

and the strength of IKD to create a func-

tional Elecfoil. It is used in the anode for

rechargeable lithium batteries, electric

vehicles, hybrid electric vehicles, and

energy storage systems. It is made even

thinner to increase the energy density of

rechargeable lithium batteries. The even

surface and similarity between the shiny and

matte sides allow it to be even stronger.

ELECFOIL BUSINESS DIVISION LED BUSINESS DIVISION ENERGY BUSINESS DIVISION

I2B (ELECFOIL FOR RECHARGE-ABLE ANODE CURRENT COLLEC-TOR)

InGaN LED CHIP

LIGHT SOURCE FOR LCD BACKLIGHT

LMO(LITHIUM MANGANESE OXIDE)

IMO-S

IMO-G

LIGHT SOURCE FOR ELECTRONICS DISPLAYS

An environment-friendly light source,

it does not have any heavy metals and

needs low electric power.

Therefore, it is expected to be used in

more products in the future. Currently

it is used in lighting buildings, special

lighting, portable lighting, automobile

headlights, electric fields, street lights,

landscape lighting, fishing lamps, and

lighting on farms. Iljin Materials’ prod-

ucts has a high efficacy rate at high op-

erating current making it an ideal light

source.

LIGHT SOURCE FOR LIGHTING APPLICATIONS

IHT (HIGHLY FLEXIBLE LOW PROFILE ELECFOIL FOR FPCB)

I2K (HIGH CAPACITY, HIGH OUTPUT ELECFOIL FOR ANODE CURRENT COLLECTOR IN RECHARGEABLE BATTERIES)

IUT is an ultrathin Elecfoil especially de-

signed for PCBs used in computer CPUs

and other complex memory devices that

are high density, high integration, high

layering and have microcircuits. IUT is

used in semiconductor packaging (Flip

Chip, CSP) and High Density Intercon-

nect (HDI) circuit boards. Since its thick-

ness is less than 3㎛, it is attached to a

carrier Elecfoil thicker than 18㎛ to make

handling easier.

IUT (ULTRATHIN ELECFOIL WITHCARRIERS)

A specialized low profile, high strength

Elecfoil used on circuit boards in semi-

conductor packaging,t is thin but is able

to withstand thermal fatigue. IKD is avail-

able in 9, 12, and 18㎛.

IKD (LOW PROFILE & HIG STREN-GTH ELECFOIL FOR PACKAGING SUBSTRATE)

As a main component in Printed Circuit

Board (PCB) and Copper Clad Laminate

(CCL) production, ICS is a general pur-

pose Elecfoil. It is used in a majority of

the electronic products we use today

such as televisions, refrigerators, washing

machines, and computers. It is available

in 12, 18, 35, 70, and 105㎛ thickness.

ICS (ELECFOIL FOR PCB)

INS is a next generation of general use

Elecfoil. It has a lower and more even sur-

face to enhance adhesion to the resin. It

is possible to use in environment-friendly

halogen-free circuit boards.

INS (ELECFOIL FOR MID-RANGE)

Page 16: Iljin Materials Co Ltd (020150.KS)

0 2 / 0 3

R&D Results & Current Status

Striving to create a better future, Iljin today is the result of bold R&D investments

RESEARCH & DEVELOPMENT

The first in Korea to develop Elecfoil, copper clad steel cable, fittings for distribution, industrial

diamonds, the world’s first single panel LCD for projectors, and five wavelength white LED….

Bold technology development is Iljin Group’s fundamental mindset.

In 1968 when Korea depended solely on importing high value-added products, Iljin

focused on developing these products in order to overcome Korea’s struggling economy,

which at the time did not have a strong profit structure. Since then, Iljin has led Korea’s

materials industry.

Iljin successfully overcame the entry to market barriers and was one of the first companies in Korea

to donate a joint research institute to Seoul National University, thus giving back to society.

Iljin Materials began joint research efforts with Seoul National University in 1978, and by 1987, was

able to begin mass production of Elecfoil for PCBs. In the decades since then, Iljin Materials con-

ducted more than 20,000 experiments and made bold investments to become the world’s leading

companies with proprietary technology development in Elecfoil.

In addition, Iljin Materials expanded its business into the areas of LED and electrode materials for

Li-ion battery by continuing its efforts in R&D.

The key in Elecfoil manufacturing technology lies in making it thin and even. The thickness is in units of micrometers (㎛) or 1/1000 of 1 mm. Elecfoil thickness generally ranges from 12㎛~70㎛, but with the demand of IT products that need thinner Elecfoil, Iljin developed Ultra Thin Elecfoil with a thickness of 1㎛, 3㎛, and 5㎛.

Iljin Materials was the world’s second manufacturer to successfully commercialize Elecfoil for rechargeable lithium ion batteries demonstrating its global technological strength, and its own Elecfoil was selected as a “World Class Product” by Korea’s Ministry of Knowledge Economy.

Iljin Materials’ Technology Research Institute was established in 1991 and is composed of four institutes. They focus on Elecfoil technology and develop components and materials industry seed items for new business possibilities.

Iljin Materials will continue to strengthen our technological competitiveness and guide future businesses. By establishing our own research system, we will strive to create a new R&D model to venture into new areas.

Major Patent Status

Conducting more than 20,000 experiments in the past few decades, Iljin Materials continues to lead the world with proprietary technology development in Elecfoil.

Iljin Materials develops more than 90% of its production in-house, and reinvests more than 10% of revenues into research and development.

To meet the demand of thinner lighter IT products, Iljin developed Ultra Thin Elecfoil with a thickness of 1㎛, 3㎛, and 5㎛.

2 8 / 2 9

20,000 10 1 TIMES PERCENT (%) MICRON (㎛)

•Elecfoil for printed circuit and manufacturing method

•Black surface-treated Elecfoil for EMI shield manufacturing method

•Surface-treated Elecfoil for PCB with fine- circuit pattern and surface-treated Elecfoil manufacturing method

•S n-B plating solution and plating method

•Lead-free Solder Alloy

•Ultrathin Elecfoil for carriers manufacturing method and printed wire board

•Silane compound manufacturing method and Elecfoil surface coating composite

•Nitrogen oxide gas sensor with long-term stable signal

•Electrode for solar batteries and manufacturing method

•Signal control module for nitrogen oxide gas sensor

•Biodegradable stent and manufacturing method

•Electrolyte for electrolytic Elecfoil for rechargeable battery and manufacturing method for electrolytic Elecfoil

•Insulated film manufacturing method for semiconductor device

•Nitrogen oxide light emitting device manufacturing method

•Light emitting diode by plasma electrical discharging method

•Manufacturing method for single crystal PCB and its light emitting device

* Total 357 cases as of 2011

1990

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1993

1995

1996

1997

1999

2000

2001

2002

2004

2005

2005

2006

2007

2007

2008

2009

2010

2010

Received Dasan Technology Award (Korea Economic Daily)

Received KT certification for new technology

Received Technology Patent Award

Received Admiralty Award (Technology Division)

Received ISO 9001•ISO 14001 Quality and Environment Certification

Received Outstanding Quality (EM) mark for machinery, parts, and components

Selected as Korea’s Top 100 Technology of the 20th Century

Produced I2B for rechargeable lithium batteries

Elecfoil certified as a “World Class Product” by Korea’s Ministry of Knowledge Economy

Developed ultrathin IUT

IBT certified as one of the world’s next generation top products

Received Korea’s Top 100 Patent Product Award

Received Parts and Components Technology Industry Award

Certified as specialized parts and components company

IKD for Semiconductor PKG

I2K for high volume, high power, Li-ion battery

Appointed “Advanced Technology Center” (Ministry of Knowledge Economy)

ISO/TS 16949 Certified

Page 17: Iljin Materials Co Ltd (020150.KS)

3 0 / 3 1

AFFILIATED COMPANIES

Iljin’s diverse industries will pave the way as Korea expands into the global market

•• Grit Diamond Products

ELECTRIC & TELECOMMUNICATIONS

ILJIN ELECTRIC The World’s Leading Heavy Electric Company Providing Total Solutions

Established in 1968 as the parent company of Iljin Group, Iljin Electric started in the non-steel metal industry and grew to

be one of Korea’s leading electric power, telecommunications, and materials companies. It mainly produces transformers,

switches, automatic electric power systems, electric power cables, optical and telecommunications cables, copper wire,

electric material and diesel particulate filters. Iljin Electric became a global leading company in the growing communica-

tions industry through continued development and stable power supplying.

Location : Seoul, Suwon, Incheon, and Ansan

Main Products : HV Switches, Transformers, Motors, Pumps, Power Cables, Optical and Telecommunications Cables, SCR (copper wire), and Diesel Particulate Filters (DPF)

ILJIN STEEL Global Leader in High Value-added Specialty Tube Manufacturing

Established in 1982, Iljin Steel was the first company in Korea to successfully develop bobbins for synthetic fiber, and

has since led the industry as a technology-centered company. Producing key components needed in various indus-

tries such as carbon and alloy steel seamless tubes, precision steel tubes, aluminum clad steel wire, precision tube

forming products, and stainless steel tubes in Korea, Iljin Steel is a leading company in the specialty tube manufacturing

industry.

Location : Suwon, Anyang, and Jeonju

Main Products : Seamless Tube, Precision Cold Drawn (PCD) Steel Tubes, PCD Shapes, and PCD Stainless Steel Tubes

ELECTRONIC & IT

ILJIN DISPLAY Global Leader in Components for Display and LED

Since acquiring A Touch, a company that specialized in touch screens, in 2008, Iljin Display has successfully mass produced

and supplied a variety of applications in touch panels. Iljin Display is also enhancing its competitiveness by developing

and mass producing sapphire wafers, a key component in LED production.

Location : Pyeongtaek and Eumseong Main Products : Sapphire Wafers and Touch Panels

ILJIN SEMICONDUCTOR World Leader in LED Solutions

With the goal to be the world leader in LED solutions, Iljin Semiconductor is developing the endless potential of LED-related

business areas with a strong foundation in cutting edge technology. Our main products are 5-wavelength LED for lighting,

side view LED for cellular phones and small-sized BLU, power LED for lighting, and LED packages for middle to large-sized

BLU. Iljin Semiconductor is committed to providing differentiated solutions and will lead in the rapidly changing LED market.

Location : Songdo Main Products : Side View LED, Top View LED, Power LED, LED Package

CONSTRUCTION & MEDICAL

ILJIN UNISCO Enhancing City Aesthetics with Economical Curtain Wall

As the leading company in this field, ILJIN Unisco has continuously brought technical innovation to facade works in

building construction. With technical strength and management skills Iljin Unisco has become one of the major players

both domestically and overseas.

ALPINION MEDICAL SYSTEM Core Values, Core Technologies

Established in 2007 as a state-of-the-art medical equipment company, Alpinion Medical Systems researched and

developed ultrasound machines and medical transducers. It was also assigned to research and develop ultrasound

treatment machines by the Korean government.

ETEX A Bio-Venture Company Leading the Development of the Medical Industry

I l j in acquired ETEX, a bio-venture company that researches and develops bone substitutes, in 1990.

ETEX was the first to in the world to use Amorphous Calcium Phosphate (ACP) technology to develop a

carrier product for drug delivery and BSM (Bone Substitute Material), a revolutionary accomplishment

in biotechnology.

Location : Seoul and Icheon Main Products : Curtain wall, Window & Doors, Corrugation Panel

Location : Seoul Main Products : Ultrasound Machines and Medical Transducers

ILJIN ENTERPRISES Maximizing Corporate Competitiveness for the Future

Iljin Enterprises provides IT planning and consulting with system integration to enhance competitiveness. Iljin Enterprises

manages creative projects such as ERP, MES, and PLM.

Location : Seoul Main Products : System Integration (SI)

• Building Aluminum Curtain Wall

• Ultrasonography Device for Diagnosis

• JTV

•• Incheon International Airport High Voltage Electric Cable

• Touch Panel

PARTS & COMPONENTS

Location : Seoul and Eumseong

Main Products : Industrial Diamonds and CBN, Polycrystalline Products (PCD/PCBN), Tungsten Carbide and Diamond Wire

ILJIN DIAMOND Global Leader of Tool Materials

In 1987, Iljin Diamond was the first in Korea to develop industrial diamonds used in cutting, grinding and polishing of vari-

ous materials. Since then, Iljin Diamond has grown to be one of the world’s top 3 diamond makers. To cope with fierce

market competition Iljin Diamond expanded its international sales network and continues to grow as a leading company

of tool materials with new business units in polycrystalline products and tungsten carbide for the precision industry.

Location : Boston, Massachusetts, USA Main Products : Bone Graft Product, Carrier Product for Drug Delivery Location

BROADCASTING, FINANCE & ETC.

JTV Communicating with the World as a Global Media

By providing a variety of cultural programs, JTV contributes to the development of regional culture. With sister

stations in China and Japan, and by participating in joint productions, JTV is growing to be a global media

company.

Location : Jeonju Main Programs : JTV NEWS & NEWS, TODAY7, LOVE FOR YOU

I-TEK INVESTMENT A Daring and Revolutionizing Venture Capital

From investing in venture companies to corporate restructuring, I-TEK Investments provides comprehensive services to

solve financial issues small and medium-size companies face today.

Location : Seoul Business Areas : Investment Consulting

ILJIN MOTORS Leader in the Korea’s Luxury Automobile Industry

As an official dealer of world-class luxury automobiles, Iljin Motors is solidifying its position as a leading distributor

through honest and transparent management.

Location : Seoul Business Areas : Automobile Sales, Parts and Services

INITUS Korea’s First Green IT Company Using RFID/USN Technology

Initus is proud to work with Korea’s top experts and technology. It is a leading RFID total solution provider in transporta-

tion, goods, distribution, and security using green IT technology.

Location : Seoul Main Products : RFID Total Solution, USN TOTAL SOLUTION

Page 18: Iljin Materials Co Ltd (020150.KS)

from ORIGIN to FUTURE

Seoul Office10F Iljin Building, 50-1 Dohwa-dong, Mapo-guSeoul, KoreaTel: 82-2-707-9060 Fax: 82-2-707-9294

Elecfoil Business Division (Iksan Plant)827 Palbong-dong, Iksan-siJeollabuk-do, KoreaTel: 82-63-835-3616 Fax: 82-63-835-3620

Elecfoil Business Division (Jochiwon Plant)Block 4 Wolsan Industrial Complex, Wolsan-ri Nam-myun, Yeongi-gunChungcheongnam-do, Korea

Tel: 82-41-860-5500 Fax: 82-41-860-5501

LED Business Division (Ansan Plant)718-3 Wonsi-dong Dawon-gu, Ansan-siGyeonggi-do, KoreaTel: 82-31-599-6900 Fax: 82-31-599-6910

Energy Business Division (Jochiwon Plant)Block 4 Wolsan Industrial Complex, Wolsan-ri Nam-myun, Yeongi-gunChungcheongnam-do, KoreaTel: 82-41-860-5617 Fax: 82-41-860-5611

Construction Business Division (Samyoung Construction Co., Ltd.)6F Forest Plaza, 1066-5 Neung-dong, Hwasung-siGyeonggi-do, Korea

Te: 82-31-8015-3261 Fax: 82-31-8015-3266

Resource Development Business Division10F Iljin Building, 50-1 Dohwa-dong, Mapo-guSeoul, KoreaTel: 82-2-707-9156 Fax: 82-2-707-9294

Global Leader in Cutting Edge Materials,Iljin Materials’ Bold Endeavors will Open the Future