LG 2000 Annual Report Download - page 34

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Domestic Sales &
Exports
Domestic sales totaled
W4,881 billion in 2000, an
80.5% increase from W2,704
billion in 1999. Exports
amounted to W9,955 billion in
2000, a 26.9% increase from
W7,842 billion in 1999.
Supported by improvements
in the economy, consumer
products such as personal
computers, air conditioners,
and high-value-added home
appliances were sold beyond
e x p e c t a t i o n s .
The Digital Display Company represented the largest share of total LGE sales, although
total sales dropped from 39.9% in 1999 to 30.9% in 2000. This reduction reflects the
comparatively low sales of cathode ray tubes. Sales of cathode ray tubes, comprising the
second largest product of the Digital Display Company's sales, remained at the 1999 sales
level. This sluggishness was primarily due to fierce competition among major
participants. To overcome this situation, LGE established a CRT-manufacturing joint
venture with its major competitor, Phillips Electronics. In comparison with LGE's other
digital companies, a temporary lull in the growth of the Digital Display Company can be
expected due to current development of the future star display products such as OELDs
and PDPs.
Sales of the Digital Appliance Company products were generated largely by air
conditioners and refrigerators, representing 26.2% of total LGE sales in 2000 and 28.8%
in 1999. LGE's refrigerator and air conditioner sales increased 33.4% and 46.1%,
respectively, from 1999.
LG Information & Communications - the Digital Handset Company, the Digital System
Company, and the Digital Network Company - had sales of W1,076 billion or 7.3 % of
LGE’s total sales in 2000. The following contribute to sales of the Digital Handset
Company: long-term sales contracts with Sprint and Verizon, and the launching of WAP
phones into major markets. The Digital System Company and the Digital Network
Company similarly had notable achievements in given heightened market for Internet
c o m m u n i c a t i o n s .
Domestic sales totaled W4,881 billion in 2000, increasing 80.5% from W2,704 billion in
1999. Exports amounted to W9,955 billion in 2000, a 26.9% increase from W7,842
billion in 1999. Supported by improvements in the economy, consumer products such as
personal computers, air conditioners, and high-value-added home appliances were sold
beyond expectations.
1999
2,704
520
1,277
595
-
312
7,842
3,686
1,755
2,357
-
44
10,546
2000
4,881
715
1,771
915
641
839
9,954
3,866
2,111
3,538
435
5
14,836
Domestic Sales & Exports
Domestic Sales
Digital Display
Digital Appliance
Digital Media
Information & Communications
Other
Exports
Digital Display
Digital Appliance
Digital Media
Information & Communications
Other
1998
2,570
368
1,076
568
-
558
7,283
3,448
1,601
1,684
-
550
9,853
In billions of Korean won
73.9%
74.4%
67.1%
Exports
1998 1999 2000
As a percent of sales
34