Hyundai 2009 Annual Report Download

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Table of contents

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    HYUNDAI MOTOR COMPANY I 2009 ANNUAL REPORT TABLE OF CONTENTS 11 I INTRO 12 I FINANCIAL HIGHLIGHTS 14 I MESSAGE FROM THE CEO 18 I TO TRUTH (Business Performance Results & Vision) 28 I TO POWER (Global Management & Marketing) 36 I HYUNDAI WITH THE WORLD 46 I TO FUTURE (Sustainable Management) 56 I ...

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    From TA U 4.6 V8 Engine To The I deal Ca r

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    From The I deal Ca r To Real Happiness

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    From Real Happiness To Humans, Nature, Society

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    ...a small idea of Hyundai Motor Company can change the world in a big way. In this way, we continue to do all we can do to be even better. From TAU 4.6 V8 Engine Hyundai Motor's new technologies To The Ideal Car Creating your dream cars From The Ideal Car Creating your dream cars To Real Happiness...

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    ...I FROM HYUNDAI >> FINANCIAL HIGHLIGHTS CONSOLIDATED PERFORMANCE Korean Won in millions U. S. Dollars in thousands SEGMENT INFORMATION Sales Vehicle Sales Unit ('000) (HMC) 2007 For the Year : Sales Operating Income Net Income ROE At Year End : Total Assets Shareholder's Equity 2005 Credit Rating...

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    ... from major automotive agencies and the media. Last year, Genesis received the "Car of the Year" award in North America, while Hyundai Motor's brand value has been climbing up the global rankings ladder, as measured by the annual BusinessWeek/Interbrand survey. Hyundai's TAU engine has also been...

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    ... production and sales record in our history as well as achieving excellent results in terms of technology, quality and brand equity. First of all, in terms of quantitative results, we continued the positive sales trend while the global automotive market contracted by 7 percent. Total 2009 sales...

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    From Dream, To Truth Our dream of creating high quality vehicles that evoke strong emotions has made a profound impact on the world. Now, our dream of becoming a global automotive leader will soon unfold before us.

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    ...Aggressive Marketing Strategies In 2009, Hyundai Motor Company succeeded in selling 2.4 million vehicles overseas, a meaningful accomplishment considering the global economic crisis. In particular, Elantra, Genesis, Genesis Coupe, Santa Fe, and Veracruz were recognized as the best and safest cars in...

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    ...New York Times), US • 2009 2009 New Car of the Year, Cars.com • • Genesis Coupe 2009 Most Attractive Car, Time, US 2009 Ranked 1st in Total Value Index (TVI), luxury car category, Strategic Vision & Motor Trend, US • 2009 2009 Most Beautiful Car, Consumer Digest, China • Elantra (Avante...

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    ...-management relations Positive Labor- Management Culture 1. Quality control conducted with partner companies 2. Inspecting the development of low-carbon eco-friendly cars, the core of the Hyundai's future growth engine 3. Before Service, a new concept that has brought satisfaction to customers...

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    ... Hyundai Motor India launches next-generation small car i10 i30 selected as Car of the Year in Australia Opening of the Global CSR Website in Korea Hyundai Motor Company receives National Environmental Management Awards President's Prize Launch of Genesis, Genesis Coupe, i30cw Beijing Hyundai Motor...

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    From Passion, To Power Passion gives birth to superior design and quality. With great passion comes great victory. Whether at Hyundai Motor Company or in soccer, Passion is the competitive edge.

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    ...accommodate vehicles traveling at a maximum speed of 250 km/hr. It is used for high-speed driving and durability tests including maximum speed-per-hour tests. Japan R&D Center India Engineering Center HYUNDAI MOTOR COMPANY I 2009 ANNUAL REPORT I 30 HYUNDAI MOTOR COMPANY I 2009 ANNUAL REPORT I 31

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    ... Our global network of stateof-the-art manufacturing plants makes cars that fit the lifestyle of each and every one of our customers. A World-Leading Global Production Network Korea Ulsan I As Hyundai Motor's main production facility, the Ulsan Plant sits on a 5,050,000 m2 site and is equipped with...

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    ...beyond making and selling cars. We want to share our joy and passion with you. Global Sales Network, A Successful Strategy to Meet the Needs of Local Markets Hyundai Motor Company offers a globally competitive and diverse product portfolio through its sales network; 6,000 of dealers and 24 overseas...

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    Hyundai WiTH THe World

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    ...its unique design. The America Design Center received favorable reviews at the 2009 New York International Auto Show by revealing Nuvis (HCD-XI) for the first time, a concept car that features Blue Drive, Hyundai Motor Company's innovative eco-friendly technology. Hyundai plans to surprise the world...

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    ... Powertrain Center is where the development of engines featured in all Hyundai vehicles takes place, from passenger to commercial cars. By researching and developing environment-friendly exhaust systems and establishing a full lineup of independent engine models, Hyundai Motor Company is developing...

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    ... attention of the world is not over at the blow of a whistle. Even when the game ends, the excitement lasts in our hearts. It's the same with Sonata: it still moves my heart even after I stop driving. HYUNDAI MOTOR COMPANY I 2009 ANNUAL REPORT I 42 HYUNDAI MOTOR COMPANY I 2009 ANNUAL REPORT I 43

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    ... Cup start, the excitement doubles. But did you know that there's more power and passion to driving the Equus this time of the year? I wish World Cup came around every year instead of every four years. HYUNDAI MOTOR COMPANY I 2009 ANNUAL REPORT I 44 HYUNDAI MOTOR COMPANY I 2009 ANNUAL REPORT I 45

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    From Change, To Future Environment and technology are one: the change in Hyundai's thinking creates a greener tomorrow. We are all the global community and the heart of Hyundai beats to create a happier, more sustainable future.

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    ... to the public in 2009 through the Elantra LPi hybrid vehicle that combines eco-friendly performance with practicality. In 2010, Hyundai will launch a mid-size Sonata hybrid vehicle in the North American market. Meanwhile, the Company has increased its R&D resources to commercialize a plug-in hybrid...

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    ... efficient way to use natural energy sources, because the technology is twice as efficient compared to conventional internal combustion engines. Hyundai has continued to invest in R&D to secure both product and price competitiveness for hydrogen fuel cell electric vehicles. It successfully achieved...

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    ...as a global company, Hyundai Motor Company has chosen "Recovery of Nature" as the main theme of its environmental activities, and is actively pursuing various programs to preserve nature. Hyundai Green Zone Korea Taehwa River Ecosystem Restoration Campaign was launched by Hyundai's Ulsan Plant in an...

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    ... citizen that goes beyond the immediate corporate objective of pursuing profits. Hyundai is making efforts towards a better world for all those involved with the company-customers, management and employees, shareholders, partners, local communities-and contributing to the sustainable advancement...

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    ...Special Meeting Board of Directors Special Meeting 3rd Regular Meeting 4th Regular Meeting Ethics Committee Special Meeting * Detailed information is available at the Hyundai Motor Company website (http://pr.hyundai.com/) or on the Data Analysis Retrieval and Transfer System (DART) of the Financial...

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    ... CONSOLIDATED STATEMENTS OF INCOME 68 I CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY 70 I CONSOLIDATED STATEMENTS OF CASH FLOWS 74 I NOTES TO CONSOLIDATED FINANCIAL STATEMENTS 4th Regular Meeting October 22 • • • Approved as drafted HYUNDAI MOTOR COMPANY I 2010 ANNUAL REPORT...

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    ... statements of financial position of Hyundai Motor Company (the "Company") and its subsidiaries as of December 31, 2009 and 2008, and the related consolidated statements of income, changes in shareholders' equity and cash flows for the years then ended, all expressed in Korean Won. These financial...

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    ... STATEMENTS OF FINANCIAL POSITION (CONTINUED) AS OF DECEMBER 31, 2009 AND 2008 Korean Won in millions U. S. Dollars (Note 2) in thousands Korean Won in millions U. S. Dollars (Note 2) in thousands LIABILITIES AND SHAREHOLDERS' EQUITY Current liabilities: Trade notes and accounts payable Short...

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    ... OF INCOME FOR THE YEARS ENDED DECEMBER 31, 2009 AND 2008 HYUNDAI MOTOR COMPANY AND SUBSIDIARIES >> CONSOLIDATED STATEMENTS OF INCOME (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2009 AND 2008 Korean Won in millions, except per share amounts U. S. Dollars (Note 2) in thousands, except per...

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    ... HYUNDAI MOTOR COMPANY AND SUBSIDIARIES >> CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2009 AND 2008 Korean Won in millions U. S. Dollars (Note 2) in thousands Korean Won in millions U. S. Dollars (Note 2) in thousands Capital stock...

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    ... MOTOR COMPANY AND SUBSIDIARIES >> CONSOLIDATED STATEMENTS OF CASH FLOWS FOR THE YEARS ENDED DECEMBER 31, 2009 AND 2008 HYUNDAI MOTOR COMPANY AND SUBSIDIARIES >> CONSOLIDATED STATEMENTS OF CASH FLOWS (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2009 AND 2008 Korean Won in millions U. S. Dollars...

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    ... 2008 HYUNDAI MOTOR COMPANY AND SUBSIDIARIES >> CONSOLIDATED STATEMENTS OF CASH FLOWS (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2009 AND 2008 Korean Won in millions U. S. Dollars (Note 2) in thousands Korean Won in millions U. S. Dollars (Note 2) in thousands 2009 Cash ï¬,ows from investing...

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    ... 48.53% Dymos 99.81% KIA 20% Hyundai WIA 100% KIA 40% & Hyundai WIA 25% KIA 15% Haevichi Country Club Co., Ltd. FOREIGN SUBSIDIARIES: Hyundai Motor America (HMA) Hyundai Capital America (HCA) (Formerly, HMFC) Sales Financing Manufacturing Sales Insurance Marketing Information technology Managing...

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    ... GmbH (KMD) Kia Canada, Inc.(KCI) Kia Motors Polska Sp.z.o.o. (KMP) Kia Japan Co., Ltd. (KJC) Kia Motors Australia Pty. Ltd (KMAU) Kia Motors New Zealand Ltd. (KMNZ) Hyundia WIA Automotive Engine (Shandong) Company (WAE) Hyundai WIA Automotive Parts (WAP) Nature of business Korean Won (*1) in...

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    ... 2008 HYUNDAI MOTOR COMPANY >> NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEARS ENDED DECEMBER 31, 2009 AND 2008 (*1) Local currency in foreign subsidiaries is translated into Korean Won using the Base Rate announced by Seoul Money Brokerage Services, Ltd. at December 31, 2009. (*2) Shares...

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    ... THE YEARS ENDED DECEMBER 31, 2009 AND 2008 HYUNDAI MOTOR COMPANY >> NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEARS ENDED DECEMBER 31, 2009 AND 2008 Investments in Securities Other Than Those Accounted for Using the Equity Method Depreciation is computed using the straight-line method...

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    ...31, 2009 AND 2008 HYUNDAI MOTOR COMPANY >> NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEARS ENDED DECEMBER 31, 2009 AND 2008 reasonably certain, at the inception of the lease, that the option will be exercised; (3) the lease term is for the major part of the economic life of the asset even...

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    ... FINANCIAL STATEMENTS FOR THE YEARS ENDED DECEMBER 31, 2009 AND 2008 Diluted earnings per common share in 2009 and 2008 is computed as follows: Korean Won in millions, except per share amounts U. S. Dollars (Note 2) in thousands, except per share amounts 5. SHORT-TERM INVESTMENT SECURITIES...

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    ... Dollars (Note 2) in thousands (%) Micro Infinity Hyundai WIA Trade Corporation (*2) Hyundai RB Co., Ltd. Clean Air Technology Inc. International Convention Center Jeju Co., Ltd. Companies Hyundai Heavy Industries Co., Ltd. Hyundai Oil Refinery Co., Ltd. Seoul Metro 9th line (*3) Doosan Capital...

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    ... ENDED DECEMBER 31, 2009 AND 2008 HYUNDAI MOTOR COMPANY >> NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEARS ENDED DECEMBER 31, 2009 AND 2008 Equity securities included in long-term investment securities as of December 31, 2008 consist of the following: Korean Won in millions U.S. Dollars...

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    ...U.S. Dollars (Note 2) in thousands Yan Ji Kia Motors A/S (*1) Hyundai Motor Japan R&D Center Inc. (*1) Hyundai Capital Germany GmbH Autoever Systems China Co., Ltd. (*1) Autoever Systems India Pvt. Ltd. (*1) MAINTRANCE (*1) South Link9 2009 Maturity 1 year~5 years 6 years~10 years 2008 Book value...

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    ... method in 2009 are as follows: Korean Won in millions U.S. Dollars (Note 2) in thousands Affiliated company Hyundai Steel Company HMC Investment Securities Co., Ltd. Hyundai MOBIS Korea Aerospace Industries, Ltd. Eukor Car Carriers, Inc. HK Mutual Savings Bank Korea Economy Daily Kia Tigers Co...

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    ... Hyundai WIA Magna Power Train Co., Ltd. KEFICO Vietnam Company Limited Hyundai Motor Hungary Autoever Systems America, Inc. KEFICO Automotive Systems (Beijing) Co., Ltd. Beijing Lear Dymos Automotive Systems Co., Ltd. Yan Ji Kia Motors A/S Hyundai Motor Japan R&D Center Inc. Hyundai Capital Germany...

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    ...(6) The market price of listed equity securities as of December 31, 2009 is as follows: Korean Won in millions U. S. Dollars (Note 2) in thousands Affiliated company Hyundai MOBIS Hyundai Steel Company HMC Investment Securities Co., Ltd. Price per share ￦ 171,000 86,500 21,700 Number of shares...

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    ... 31, 2009 AND 2008 HYUNDAI MOTOR COMPANY >> NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEARS ENDED DECEMBER 31, 2009 AND 2008 8. LEASED ASSETS: The Company and its subsidiaries have entered into lease agreements for certain machinery. The capital lease obligations are included in long-term...

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    ...YEARS ENDED DECEMBER 31, 2009 AND 2008 HYUNDAI MOTOR COMPANY >> NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEARS ENDED DECEMBER 31, 2009 AND 2008 10. INSURANCE: As of December 31, 2009, certain property, plant and equipment, inventories, cash and cash equivalents and securities are insured...

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    ... financial statements, are Hyundai Capital Services Inc., Hyundai Card Co., Ltd., Hyundai Commercial Inc., HMC Investment Securities Co., Ltd. (excluded in 2009), Hyundai Capital America (HCA) and Hyundai Auto Canada Captive Insurance Incorporation (HACCI) in 2009 and 2008. 14. SHORT-TERM...

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    ... HYUNDAI MOTOR COMPANY >> NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEARS ENDED DECEMBER 31, 2009 AND 2008 Debentures as of December 31, 2009 and 2008 consist of the following: Annual interest rate (%) Korean Won in millions U. S. Dollars (Note 2) in thousands The maturity of long-term...

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    ... 31, 2009 AND 2008 HYUNDAI MOTOR COMPANY >> NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEARS ENDED DECEMBER 31, 2009 AND 2008 17. ACCRUED WARRANTIES: The changes in accrued warranties in current and long-term liabilities in 2009 and 2008 are as follows: Korean Won in millions U. S. Dollars...

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    ..., 2009 AND 2008 HYUNDAI MOTOR COMPANY >> NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEARS ENDED DECEMBER 31, 2009 AND 2008 The components of accumulated temporary differences and deferred tax assets (liabilities) as of December 31, 2008 are as follows: Korean Won in millions U. S. Dollars...

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    ... companies and are eliminated in the consolidated financial statements. Unrealized profits and losses related to sales of inventories and property, plant and equipment in 2009 are as follows: Korean Won in millions U.S. Dollars (Note 2) in thousands Hyundai Commercial Inc. Autoever Systems Corp...

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    ... FINANCIAL STATEMENTS FOR THE YEARS ENDED DECEMBER 31, 2009 AND 2008 Korean Won in millions U.S. Dollars (Note 2) in thousands 2009 Company's income Hyundai Motor America Hyundai Auto Canada Corp. Hyundai Motor Company Australia Hyundai Motor India Hyundai Motor Group (China) Ltd. Hyundai...

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    ... Manufacturing America Autoever Systems Europe GmbH Hyundai Motor Manufacturing Alabama, LLC Hyundai Card Co., Ltd. Kia Motors Corporation Hyundai Commercial Inc. Kia Motors Corporation Hyundai Capital Service Inc. HYUNDAI MOTOR COMPANY I 2010 ANNUAL REPORT I 114 HYUNDAI MOTOR COMPANY I 2010...

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    ... Card Co., Ltd. Hyundai HYSCO Kia Motors Corporation Autoever Systems Corp. Kia Motors Corporation Hyundai America Technical Center Inc. Hyundai Motor Manufacturing Alabama, LLC Hyundai Capital America Hyundai WIA Corporation Kia Motors Corporation Hyundai Wia Automotive Engine (Shandong) Company...

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    ... Motors Corporation Hyundai WIA Corporation Kia Motors Corporation Hyundai America Technical Center Inc. Hyundai Information Service North America Hyundai Motor America Hyundai Capital America Hyundai Motor Europe GmbH Hyundai Motor (UK) Ltd. Hyundai Motor Company Italy Hyundai Motor Manufacturing...

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    ... America Corp. Autoever Systems Corp. Kia Motors Corporation Hyundai Card Co., Ltd. Hyundai Capital Service Inc. Hyundai Rotem Company Kia Motors Manufacturing Georgia, Inc. Hyundai WIA Corporation Hyundai HYSCO Hyundai Information Service North America HYUNDAI MOTOR COMPANY I 2010 ANNUAL REPORT...

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    ... Hyundai Card Co., Ltd. Hyundai HYSCO Kia Motors Corporation Kia Motors Corporation Hyundai America Technical Center Inc. Hyundai Motor Manufacturing Alabama, LLC Hyundai Capital America Innocean Worldwide Americas, LLC (Formerly, World Marketing Group LLC) Hyundai Information Service North America...

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    .... Kia Motors Slovakia S.r.o. Hyundai Motor Manufacturing Alabama, LLC Kia Motors Corporation Kia Motors Europe GmbH Kia Motors Corporation Hyundai Mobis Asset Management Co., Ltd. Glovis Co., Ltd. Donghui Auto Co., Ltd. Eukor Car Carriers Inc. Hyundai Motor America Hyundai Auto Canada Corp. 298...

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    ... in 2009 and 2008 are as follows: Korean Won in millions U.S. Dollars (Note 2) in thousands Companies Hyundai Motor Company Related party Hyundai Mobis Asset Management Co., Ltd. Glovis Co., Ltd. Beijing Hyundai Motor Company Hyundai Steel Company Eukor Car Carriers Inc. HMC Investment Securities...

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    ... America Corp. Hyundai-Kia Machine Europe GmbH Hyundai Wia Automotive Engine (Shandong) Company Hyundai WIA Motors Dies (Shandong) Company Consolidated Subsidiaries Dymos Inc. KEFICO Corporation Company providing guarantee of indebtedness Seoul Guarantee Insurance Company Korea Exchange Bank...

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    ...28, 2010 Hana Bank Kookmin Bank USD USD EUR JPY Woori Bank Machinery Financial Cooperative and others Autoever Systems Corp. Shinhan Bank Korea Exchange Bank Seoul Guarantee Insurance Company M & Soft Co., Ltd. Seoul Guarantee Insurance Company USD KRW USD USD KRW KRW (12) Hyundai Card Co., Ltd...

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    .... SEGMENT INFORMATION: LIABILITIES (1) Consolidated financial statements by industry The consolidated statements of financial position as of December 31, 2009 and 2008, consolidated statements of income for the years then ended, by industry under which the Company and its subsidiaries' business are...

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    ... its subsidiaries for the year ended and as of December 31, 2008 are located, are as follows: Korean Won in millions Domestic Total sales Inter-company sales Net sales Operating income Total assets ￦ 67,925,912 (25,432,889) 42,493,023 3,474,314 ￦ 82,782,195 North America ￦ 20,736,976 (4,651...

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    ... Motor America (HMA) Hyundai California Design Center Hyundai Translead (HT) Hyundai Motor Japan (HMJ) Hyundai Motor Japan R&D Center Taiwan CKD assembly facility Hyundai de Mexico (HYMEX) Central & South America Regional Headquarters Hyundai Motor Manufacturing Alabama (HMMA) Hyundai Auto Canada...

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    INTRO I FINANCIAL HIGHLIGHTS I MESSAGE FROM THE CEO I TO TRUTH I TO POWER I HYUNDAI WITH THE WORLD I TO FUTURE I HYUNDAI WITH HONESTY I SUPPLEMENT I FROM HYUNDAI >> FULL LINE-UP Equus (Centennial) Genesis Genesis Coupe Azera (Grandeur) Sonata Elantra (Avante) i30 i30cw i20 i10 Accent ...

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    Sincerely yours...From Hyundai

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    ... time with Hyundai Motor Company, that's all we need. As long as our customers, our communities, and the nature keep smiling, we will neither grow tired nor stop our efforts to make good cars and make the world happier. Hyundai Motor Company Phone : (82-2) 3464-2246 Fax : (82-2) 3464-3467 Website...

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