SAMSUNG

VALUES AND PHILOSOPHY

The Samsung Philosophy

At Samsung, we follow a simple business philosophy: to devote our talent and

technology to creating superior products and services that contribute to a better

global society.

Every day, our people bring this philosophy to life. Our leaders search for the

brightest talent from around the world, and give them the resources they need to be

the best at what they do. The result is that all of our products—from memory chips

that help businesses store vital knowledge to mobile phones that connect people

across continents— have the power to enrich lives. And that’s what making a

better global society is all about.

Our Values

We believe that living by strong values is the key to good business. At Samsung, a

rigorous code of conduct and these core values are at the heart of every decision

we make.

People

Quite simply, a company is its people. At Samsung, we’re dedicated to giving our

people a wealth of opportunities to reach their full potential.

Excellence

Everything we do at Samsung is driven by an unyielding passion for excellence—

and an unfaltering commitment to develop the best products and services on the

market.

Change

In today’s fast-paced global economy, change is constant and innovation is critical

to a company’s survival. As we have done for 70 years, we set our sights on the

future, anticipating market needs and demands so we can steer our company

toward long-term success.

Integrity

Operating in an ethical way is the foundation of our business. Everything we do is

guided by a moral compass that ensures fairness, respect for all stakeholders and

complete transparency.

Co-prosperity

A business cannot be successful unless it creates prosperity and opportunity for

others. Samsung is dedicated to being a socially and environmentally responsible

corporate citizen in every community where we operate around the globe.

VISION AND MISSION

Our Vision

Samsung is guided by a singular vision: to lead the digital convergence movement.

We believe that through technology innovation today, we will find the solutions we

need to address the challenges of tomorrow. From technology comes opportunity

—for businesses to grow, for citizens in emerging markets to prosper by tapping

into the digital economy, and for people to invent new possibilities.

It’s our aim to develop innovative technologies and efficient processes that create

new markets, enrich people’s lives and continue to make Samsung a trusted market

leader.

Our Mission

Everything we do at Samsung is guided by our mission: to be the best “digital-

εCompany”.

Samsung grew into a global corporation by facing challenges directly. In the years

ahead, our dedicated people will continue to embrace many challenges and come

up with creative ideas to develop products and services that lead in their markets.

Their ingenuity will continue to chart Samsung’s course as a profitable,

responsible global corporation.

HISTORY

1938-1969 Samsung's Beginnings

On March 1, 1938, founding chairman Byung-Chull Lee started a business in

Taegu, Korea, with 30,000 won.

At the start, his business focused primarily on trade export, selling dried Korean

fish, vegetables, and fruit to Manchuria and Beijing. In little more than a decade,

Samsung—which means "three stars" in Korean—would have its own flour mills

and confectionery machines, its own manufacturing and sales operations, and

ultimately evolve to become the modern global corporation that still bears the same

name today.

1938-1969 Samsung's Beginnings

197

0Black-and-white TV (model: P-3202) production started by Samsung-Sanyo

196

9

Samsung-Sanyo Electronics established (renamed Samsung Electro-

Mechanics in March 1975 and merged with Samsung Electronics in March

1977)

196

6Joong-Ang Development established (known today as Samsung Everland)

196

3

DongBang Life Insurance acquired (renamed Samsung Life Insurance in July

1989)

195

8

Ankuk Fire & Marine Insurance acquired (renamed Samsung Fire & Marine

Insurance in October 1993)

195

4Cheil Industries Inc. founded

195

1Samsung Moolsan established (now Samsung Corporation)

193

8Samsung founded in Taegu, Korea

1970-1979 Diversifying in Industries and Electronics

In the 1970s, Samsung laid the strategic foundations for its future growth by

investing in the heavy, chemical, and petrochemical industries.

During this time, the company also took steps to enhance its competitive position

in the world's textile industry, integrating its manufacturing processes from raw

materials to end products. As a result, many new companies were created,

including Samsung Heavy Industries Company in 1974 and Samsung Shipbuilding

and Samsung Precision Company (now Samsung Techwin) in 1977.

Another burst of growth for Samsung came from the burgeoning home electronics

business. Samsung Electronics, already a major manufacturer in the Korean

market, began to export its products for the first time during this period. Samsung

also acquired a 50 percent stake in Korea Semiconductor, further solidifying

Samsung Electronics' position as a leader in semiconductor manufacturing.

1970-1979 Diversifying in Industries and Electronics

1979Began mass production of microwave ovens

19784 millionth black-and-white TV (most in the world) produced

1977

Samsung Precision Co. established (now Samsung Techwin)

Started export of colour televisions

Samsung Fine Chemicals established

Samsung Construction established

19761 millionth black-and-white TV produced

1974

Samsung Heavy Industries incorporated

Samsung Petrochemical established

Began washing machine and refrigerator production

1972Began production of black-and-white televisions for domestic sale

1997-1999 Advancing the Digital Frontier

Despite the 1997 financial crisis that affected nearly all Korean businesses, Samsung was one of few companies that continued growing, thanks to its leadership in digital and network technologies and its steady concentration on electronics, finances and related services.

Samsung responded to the crisis by reducing the number of its affiliated companies to 45 (according to the Monopoly Regulation and Fair Trade Act), decreasing personnel by almost 50,000, selling 10 business units and improving the soundness of its financial structure, lowering its 365 percent debt ratio in 1997 to 148 percent by late 1999.

1997-1999 Advancing the Digital Frontier

1999

Samsung Aerospace (known today as Samsung Techwin), Daewoo Heavy Industries, and Hyundai Space and Aircraft formed a single business entity, Korea Aerospace Industries

First in the world to mass-produce and offer a full line up of digital TVs Developed the world's first 3D TFT-LCD Monitor Developed wireless Internet phone (Smartphone), a small, multi-function phone

1998

Achieved top share of world’s TFT-LCD market Mass production of world's first digital TV begun Began mass production of the world’s first digital TV Development of completely flat-screen TV completed Served as Olympic Partner at Nagano Winter Olympics World's first 128M SDRAM introduced Developed world's first 128MB Synchronous DRAM and 128MB Flash memory

1997

Became a Worldwide Olympic Partner (TOP) in the wireless communications category Signed contract to become an Olympic Partner in wireless equipment category for Nagano

Winter Olympics Developed world's lightest PCS (105g) Developed world's largest TFT-LCD (30) Development of world's first 30" TFT-LCD completed Announced 2nd phase of New Management

2000-Present Pioneering the Digital Age

The digital age has brought revolutionary change – and opportunity – to global

business, and Samsung has responded with advanced techno-logies, competitive

products, and constant innovation.

At Samsung, we see every challenge as an opportunity and believe we are perfectly

positioned as one of the world's recognized leaders in the digital technology

industry.

Our commitment to being the world's best has won us the No.1 global market share

for 13 of our products, including semiconductors, TFT-LCDs, monitors and

CDMA mobile phones. Looking forward, we're making historic advances in

research and development of our overall semiconductor line, including flash

memory and non-memory, custom semiconductors, DRAM and SRAM, as well as

producing best-in-class LCDs, mobile phones, digital appliances, and more.

2000-Present Pioneering the Digital Age

200

8

Named Yoon-Woo Lee as a Vice Chairman & CEO of Samsung Electronics

Launched OMNIA phone 

Completed establishing TV manufactory in Russia Kaluga

Became the official sponsor of 2010 Guangzhou Asian Game

Developed the world's first 2Gb 50 NANO

Samsung takes No. 1 spot in U.S. cellphone market

Opened Global Brand PR Centre ‘Samsung D'light'

No.1 worldwide market share position for TVs achieved for the 9th quarter in

a row

200

7

No.1 worldwide market share position for TVs achieved for the seventh

quarter in a row

Developed the world's first 30nm-class 64Gb NAND Flash™ memory

BlackJack bestowed the Best Smart Phone award at CTIA in the U.S.

Attained No.1 worldwide market share position for LCD for the sixth year in

a row

200

6

Developed the world's first real double-sided LCD

Developed the worlds' first 50nm 1G DRAM

Unveiled 10M pixel camera phone

Launched "Stealth Vacuum," a vacuum cleaner with the world's lowest level

of noises

Launched the worlds' first Blu-Ray Disc Player

Developed 1.72"Super-Reflective LCD Screen

200

5

Developed the largest Flexible LCD Panel

Ranked 27th in "the World's Most Admired Company" of Fortune

Became the official sponsor of Chelsea, the renowned English soccer club

Released the world's first 7 mega pixel camera phone

Developed the world's first OLED for 40" TV

Became the official sponsor of Chelsea, the renowned English soccer club

Developed the first-ever speech recognition phone

200

4

Produced the first wrinkle-free steam washer

Sold more than 20 million cellular phones in the U.S

Developed the world's first 60-nano 8GB NAND Flash memory chip

Ranked top in mobile phone sales in Russia

Released new PDP TV featuring the highest contrast ratio in the world

Developed a 3rd Generation Optical Blu-Ray Disc Recorder

Developed cellular phone chip for satellite DMB system

Released 46" LCD TV for the first time in the world

200

3

Samsung brand value ranked 25th in the world by Interbrand

Ranked 5th on the "Most Admired Electronics Company" list released by the

Fortune Magazine

Released the first HD DVD combo

200

2

Development of the 54"TFT-LCD, the largest digital TV monitor in the world

Launches PDP-TV, the slimmest in the world

Launch of colour mobile phones in which the new concept UFB-LCD is

introduced

Launched new high-definition TFT-LCD colour cellular phone

200

1

Ranked No. 1 of world's Top 100 IT Companies by BusinessWeek

Unveils 16 Chord Progression Melody Phone

Begins Mass Production of 512Mb Flash Memory Device

Unveils Industry's First Ultra-Slim Handset

Develops World's first 40 inch TFT-LCD

200

0

Unveils TFT-LCD with Record-breaking Definition

Launches PDA phone

Samsung Olympic Games Phone selected as the official mobile phone of the

Sydney 2000 Olympic Games

TV Phone and Watch Phone Make Guinness Book of World Records

Unveils the Worlds Fastest Graphics Memory Chip

Samsung Electronics and Yahoo! Form Strategic Alliance

Develops Unique All-in-one DVD Player

Developed world's first 512Mb DRAM

Developed world's first 512Mb DRAM

MANAGEMENT

Yoon-Woo Lee was named Vice Chairman and Chief Executive Officer of

Samsung Electronics in May 2008. He was also appointed in January 2009 as the

Head of Device Solutions, which includes the company's Semiconductor and LCD

component divisions.

An engineer and 40-year veteran of Samsung, Mr. Lee's leadership and in-depth

technology expertise have helped build Samsung into the world's largest

electronics company. He is widely credited with growing Samsung's

Semiconductor Business into one of the most successful in the industry, and

implementing policies and training programs that have earned Samsung the

reputation of being the best company in Korea at which to work.

First joining Samsung in 1968, Mr. Lee became Managing Director of Giheung's

main semiconductor plant operations in 1987, and was appointed as President of

Samsung's Semiconductor Business in 1996. Demonstrating his business acumen

in a dynamic and fast-paced semiconductor industry, he successfully implemented

diversification strategies that allowed the Semiconductor Business to navigate

through cyclical market downturns while increasing market share, year after year.

In 2004, Mr. Lee was promoted to Vice Chairman in charge of Global

Collaboration, and also was appointed Head of the Samsung Advanced Institute of

Technology. In 2005, he became Chief Technology Officer, responsible for

planning mid- and long-term strategies for promoting new business development

based on leading-edge technologies.

Mr. Lee serves in numerous industry leadership positions including Chairman of

the Korean Engineers' Club and Vice Chairman of Korea Business Council for

Sustainable Development. In 2005, he was honoured by the Korea Management

Institute as CEO of the Year. Mr. Lee holds a bachelor's degree in Electrical

Engineering from Seoul National University.

Mr. Jung Soo Shin is the President and CEO of Samsung South West Asia

Operations and President & CEO of Samsung India Electronics Ltd.

Prior to assuming his current position, Mr. Shin has served as Head of Marketing

for the Digital Appliances Business, Samsung Electronics. In his current role as

President & CEO of Samsung South West Asia Regional HQ, Mr Shin will

oversee the operations of all existing Samsung subsidiaries in India, namely

Samsung India Electronics Pvt. Ltd. (SIEL), Samsung India Software Operations

(SISO), Samsung’s R & D Centre, based in Bangalore as well as the Company's

operations in the SAARC Region .

Mr Shin has around 25 years of work experience at Samsung Electronics. During

this period, he has handled Samsung's global operations for 19 years, being based

in the Company's overseas subsidiaries. He has worked as Head of Strategy

Marketing, Digital Appliances Business and Head of Global Strategy as Corporate

Staff, based in South Korea. He has been the President of Samsung’s Digital

Consumer Electronics Business in America as well as MD of Samsung subsidiary

in Australia. He has been the President of Samsung’s BENELUX (Belgium,

Netherlands and Luxemburg) operations and managed the Company's business in

Germany as well. In the early part of his career with Samsung Electronics, he has

been responsible for Samsung's export business.

FINANCIAL PROFILE

Samsung Profile 2008

Wherever you are... in the hustle of the streets or the comfort of the

home...Samsung is part of the fabric of your life. As a global leader we are at the

forefront of change, anticipating today what our customers around the world will

want tomorrow.

2007 Financial Overview (WON/DOLLARS/EUROS)

2007 Financial Overview

AMOUNTS IN BILLIONS WONDOLLAR

SEUROS

Net Sales* 161,847.4 174.2 127.2

Total Assets 284,165.5 302.9 205.7

Total Liabilities 180,833.2 192.7 130.9

Total Stockholder's

Equity103,332.3 110.1 74.8

Net Income* 12,873.7 13.9 10.1

[Amounts in billions]

*  Won/U.S. dollar yearly average exchange rate: 929.20/1, Won/Euro: 1,272.72/1

Won/U.S. dollar as of the end of December 31, 2007: 938.20/1, Won/Euro: 1,381.26/1

Financial data includes Samsung affiliates ending their fiscal year at the end of March 2008,

such as Samsung Life Insurance, Samsung Fire & Marine Insurance,

Samsung Securities, Samsung Investment Trust Management.