LG 2008 Annual Report Download

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Table of contents

  • Page 1

  • Page 2
    ... OUT THEIR CLAIMS OF CREATING GREATER VALUE. AT LG ELECTRONICS, WE'RE LG ELECTRONICS 61 LOVE & ENVIRONMENT MORE THAN JUST PROMISES. WE ARE COMMITTED TO CREATING PRODUCTS THAT FIT PERFECTLY INTO USERS' LIVES THROUGH THE FUSION OF STYLISH DESIGNS AND SMART TECHNOLOGIES. IN ADDITION, WE CONTINUE TO...

  • Page 3
    ... Bl u-ray hom e t heat er syst em of f ers t ot al cl ari t yi n bot h audi o and vi deo. LG i s si m pl y chi c and i rresi st i bl e. I t ' s exci t i ng,energi zi ng and i nvi gorat i ng.Li f e' s Good w hen you l i ve i tw i t h LG. 0203 LCD TV ( LH90,Cut t i ng-edge LED vi si on) TruM ot...

  • Page 4
    ... an d carin g. Li ke a preci ous gi f t ,a com pani on and a sm i l e, i t cares and i t show s. Li f e' s Good w hen you share i tw i t h LG. 0405 AREN A ( LG-KM 900) I nf i neon S-Gol d3H,HSDPA 7. 2,W EDGE,GPRS,UM TS 2100/ 00,5. 0 M egapi xel ,CM OS AF + VGA,Bl uet oot h 2. 1,Dol by M obi l e

  • Page 5
    ... wi t h LG. LG has unvei l ed a t op-of t he-l i ne st eam l aundry pai rf eat uri ng an i ndust ryf i rst al l ergen-reduci ng cycl e, enhanced perf orm ance,uni que st eam cl ot hi ng care opt i ons and ul t ra-l arge capaci t y wi t h conveni entsquare door. 0607 Uni verse W asher /Dryer Pai...

  • Page 6
    ...ulti m ate sat i sf act i on.Li f e' s Good w hen you feel i t wi t h LG. The F -W 181F A F R is a fully-i ntelli gent ai r condi t i oner t hataut om at ... cl eani ng syst em . 0809 Forever W i ne ( F-W 181FAFR) Sw arovskiM ood Li ght i ng,M agi c Di spl ay,Eco-eye,RobotCl eaner,I nvert er Syst em

  • Page 7
    LG i s sm artand rel i abl e. W e enabl e so you can del i ver.Li f e' s Good ...w hen you succeed w i t h LG. W e m ake a w i de range of LCD m oni t ors, versat i l e com m erci al di spl ays,car i nf ot ai nm ent ... i on,LCD m oni t ors connectup t o 11 users t ot he one com put er vi a USB cabl e

  • Page 8
    INSIGHT& FORECAST A Global Tomorrow, Energy, People, and Technology. These are the pillars on which LG Electronics was founded, with our consumers being the beginning and end of everything we do. Life's Good ...as ever, with LG. Chi c,cari ng,exci t i ng,sophi st i cat ed,l i ght ,com f ort abl e,...

  • Page 9
    ... econom i c envi ronm ent .LG El ect roni cs sharpened i t sf ocus on m ai nt ai ni ng and bui l di ng prof i t abi l i t y, backed by a dedi cat ed st af fw i t ht he t al ent ,com m i t m ent ,and desi re t o serve cust om ers i n every w ay.I nt he pastt w o years,w e' ve had record-breaki ng...

  • Page 10
    ... hel p us expand our val ue chai nf rom hardw are t o sol ut i ons and enabl et he com pany t o bet t er address t he l i f est yl e needs ofbot h currentand f ut ure consum ers. Arm ed w i t h a host of f ut ure-ori ent ed product s and t echnol ogi es,f ut ure-f ocused busi ness st rat egi es,and...

  • Page 11
    ...hrough hi sl eadershi p and expert i se i n consum er i nsi ght s. YOUNGHA LEE PRESIDENT &CEO Home Appliance Company HWANYONG NHO EXECUTIVE VICE PRESIDENT & CEO Air Conditioning Company B.B. HWANG EXECUTIVE VICE PRESIDENT& CEO Business Solutions Company M r.Lee has been recogni zed f or hi s rol...

  • Page 12
    ... VICE PRESIDENT & CHIEF HUMAN RESOURCES OFFICER (CHO) THOMAS LINTON EXECUTIVE VICE PRESIDENT& CHIEF PROCUREMENT OFFICER (CPO) DIDIER CHENNEVEAU EXECUTIVE VICE PRESIDENT& CHIEF SUPPLY CHAIN OFFICER (CSCO) JAMES SHAD EXECUTIVE VICE PRESIDENT& CHIEF GO-TOMARKET OFFICER (CGTMO) M r.St i ckl er has...

  • Page 13
    ...WITH BETTER INSIGHTS INTO OUR CONSUMERS. THESE BECOME SOME OF OUR MOST VALUABLE ASSETS, ENABLING US TO CREATE POWERFUL PRODUCTS THAT RESPOND TO THE DIVERSIFYING NEEDS OF OUR CONSUMERS AND ACHIEVE GLOBAL MARKET LEADERSHIP. LIFE'S GOOD ...AS EVER, WITH LG. STYLISH DESIGN & SMART S TECHNOLOGY T TE ECH...

  • Page 14
    ... the world's most advanced, intuitive, and convenient products with superior technology and designs, delivering value to its users. LG' s product s com e equi pped w i t h val ue, prom i ses,benef i t s,and personal i t y. LG i s a brand t hat i s del i ght f ul l y sm art and posi t i oned f or...

  • Page 15
    S D STYLISH DESIGN Crafting future-oriented technologies for a world of timeand space-bending communications applications, we deliver eco-friendly lifestyles with contemporary concepts and sophisticated materials. AtLG,w e are dedi cat ed t o del i veri ng t he f i nestdesi gns and t he l at estt ...

  • Page 16
    ... and m ake t he sophi st i cat ed t ast es ofi t s consum ers st and out .The com pany has al so gone t o great l engt hs t o produce eco-f ri endl y product st hat address t oday' s envi ronm ent aland energy concerns.W e w i l lcont i nue t oi nvesti nt hese and ot her busi ness sol ut i ons and...

  • Page 17
    LG i sf ocusi ng on t he devel opm entof"sm art "t echnol ogi es t hatprovi de a m ore i nt erest i ng yetsi m pl er l i f ef or consum ers by provi di ng t hem w i t h easy-t ouse product st hatcan be accessed atany t i m e and i n any pl ace.Thi s consum er-ori ent ed pri nci pl e becam e our m ...

  • Page 18
    ... l i t i es t hrough a process ofsel ect i ng and f ocusi ng on key busi ness grow t h areas.These act i vi t i es are part i cul arl yf ocused on t he creat i on of consum er val ue t hrough t echnol ogy di f f erent i at i on.W e are dedi cat ed t o provi di ng genui ne sat i sf act i on t o our...

  • Page 19
    ... ard cf i st i Aw que art s uni s , n m ' i l s s by LG atio t i de ed nov nsi m ent n i I ...ed 2, 0 at n i e h um l ot l D -i anks t h tLE ,t s e nn i nce hi st er e d' exp orl i g w n ew The tvi bes (LH TV D LC ery + ) 95 Plas ma TV ( + LG PS80) ' s uns new P urp S80 iF D assed Fulplasm a TV...

  • Page 20
    ... VD pla 09 yer c red an be s do etup t D hori esi zont gn ally, Aw verti ard cally 20 or be 09 m ou nt ed f l ush on a wa l l .I t sH DM Ip ort al l ow ...s f or f ul lH D res ol ut i on of up t o1 080 p,w hi l ei t sU SB po rta l l ow s use...

  • Page 21
    Touch Watch Phone (LG-GD910) d' sf i rstTouch W at ch Phone w i t h 3G Vi deo Tel ephony ( VT) + The w orl red dot Design Award 2009 servi ce and GSM Quad band N et w ork capabi l i t i es,t hi s chi c and w earabl e phone sport s such cut t i ng-edge f eat ures as a f ul l -t ouch screen i nt erf ...

  • Page 22
    Four-Door Bottom Freezer Thi s 4-door,i ce and w at er di spensi ng,French door ref ri gerat or provi des conveni entorgani zat i on and easy access,w i t ht wo f reezer draw ers.Feat ures i ncl ude t he t al l estw at er di spenser avai l abl e,enabl i ng l arger cont ai ners t o be f i l l ed w i ...

  • Page 23
    ... per i ng su i orat p r o nc i oner i t di r con i a l a i dent esi ng,r 9 -savi r 0 e 0 w ,po ard 2 ency ci w i f f A e n h g ig s hi Thi t Des y. t oci el and v w o l f r nd ai or w i sf rol t n o c y l cal i t om a t atau h t n o i unct f Eye" "Eco n a nd on,a i at l al nst yi s a e ers, t l i f

  • Page 24
    ... fco o ec t l y p e i t ul vari m e d ng i i ag a w g y n l a e sp nd i sa n d on tca i t ca s,i i e pl l ap ang g n e i t s ra i rt a ve ep ad e s r o hre f t al de rom 9 si sf i r o ge 00 t a 2 ni o m i s M ) -View three ard V w w A 14 iple ho 47 4V Trty to s ons M i i 1 ( 47 bil at iew The M the...

  • Page 25
    BUSINESS& WORLD LIFE'S GOOD WHEN YOU ARE WITH LG. PREMIUM, REFINEMENT, AND INNOVATION WE INVITE YOU TO ADD THESE DIMENSIONS TO YOUR LIFE. WE ARE COMMITTED TO OFFERING THE WORLD'S MOST ADVANCED, INTUITIVE, AND CONVENIENT PRODUCTS WITH SUPERIOR TECHNOLOGY AND DESIGNS. CRAFTING FUTURE-ORIENTED DESIGNS ...

  • Page 26
    ... BS HA AC HE MC It is now comprised of five business units - Home Entertainment, Mobile Communications, Home Appliance, Air Conditioning, and Business Solutions. Such reorganization is aimed at capturing even more of the ever-growing commercial market, expanding our value chain from hardware...

  • Page 27
    ... perf orm ance.LG' s 2009 l i neup ranges f rom st yl i sh yethi gh-pow ered hom e ci nem a syst em s t om i cros f or sm artuses ofsm al lspaces. HOM E VI DEO Our di gi t al vi deo product si ncl ude a prem i um hi gh-def i ni t i on di sc pl ayer,a DVD recorder w i t h H DD,DVD pl ayers,port...

  • Page 28
    ... 1.AREN A ( LG-KM 900) 2.LG-GM 730 3.Vi ew t y Sm art( LG-GC900) 4.LG-GD900 Cryst al 5.Cooki e( LG-KP500) 6.Touch W at ch Phone ( LG-GD910) 7.PRADA Phone By LG ( LG-KF900) ,PRADA Li nk ( LG-LBA-T950) 8.Versa ( LG-VX9600) 9.Sm artand St yl i sh N et book ( LG-X120) 1 2 4 5 MC MOBILE COMMUNICATIONS...

  • Page 29
    ... i ce m aker on t he f reezer door. 1 LG Home Appliance Company upgrades consumers' lifestyle with innovative technology and trendsetting designs while providing "green" solutions that can save energy and keep the home healthy and clean. Holding true to LG's commitment to a cleaner planet, we take...

  • Page 30
    ... but i on,t hey are st af f ed by peopl ef rom each regi on w ho have an i nt i m at e know l edge oft hei r hom e m arketenvi ronm ent . COM M ERCI AL AI R CON DI TI ON ERS ( CAC) Si nce 2008,w e have been di versi f yi ng i nt ot he energy sol ut i ons busi ness.I nt he area of...

  • Page 31
    ... cust om ers dem and. LG has i ncorporat ed sm art t echnol ogi es i nt o al li t s di gi t alproduct s,w hi ch i ncl ude survei l l ance cam eras,vi deo recorders,securi t y m oni t ors,and accessori es. One exam pl e of LG' si nnovat i on i st he LC903 Securi t y Cam era,w hi ch uses LG' s pat ent...

  • Page 32
    LOVE& ENVIRONMENT We dream of a clean planet preserved for future generations, and a company that builds prosperity via innovation. We are exploring new ways to build a better world for all. Life's Good ...as ever, with LG. VALUE? COMMITMENT? BENEFITS? PERSONALITY? REST ASSURED THAT EVERYTHING WE ...

  • Page 33
    LG's business philosophy retains the basic spirits of corporate sustainability management. "Promise 3" refers to our commitment to people, the planet, and prosperity. This embodies our dream for a world of happiness for our stakeholders, communities, and society, a clean planet preserved for future ...

  • Page 34
    ...a cl eaner envi ronm ent ( i n 1994) ,LG El ect roni cs al ready has a decade-l ong t rack record of envi ronm ent al st ew ardshi p.Our ef f ort st o provi de green product si ncl ude resources reduct i on ( by reduci ng t he w ei ght and vol um e of product s and usi ng recycl ed/ bi o m at eri al...

  • Page 35
    ... PARTN ERSHI P Cri cket i st he m ost popul ar sport i nt he UK,Aust ral i a,I ndi a,Sout h Af ri ca,and m any ot her Com m onw eal t h count ri es.M any peopl e enj oy pl ayi ng cri cket ,regardl ess of race,age,or soci al cl ass. I n 2002,LG i nked an agreem ent w i t ht he I nt ernat...

  • Page 36
    ... f or chi l dren suf f eri ng f rom t erm i naldi seases.I n 2009, w e expanded our i nt ernat i onalsupport act i vi t i es t hrough t he W orl d Food Program m e ( W FP)i n Kenya and Et hi opi a by provi di ng f ree m eal s at school s and m edi calservi ce support t o hospi t al s.By t eachi...

  • Page 37
    ... gn Cent er Corporat e Audi t Team OREA 13% M C 32% SALES BY COMPANY HA 17% CHI N A & ASI A PACI FI C 16 % SALES BY REGION MI DDLE EAST & AFRI CA 8% N ORTH AM ERI CA 30 % Europe CI S Chi na N ort h Am eri ca Korea Asi a Sout h & Cent ralAm eri ca AC 9% BS 9% EUROPE 18% Mi ddl e East& Af ri...

  • Page 38
    ... AN RESOURCES OFFI CER ( CHO) CHI EF M ARKETI NG OFFI CER ( CM O) CHI HW ANYONG NHO EXECUTI VE VI CE PRESI DEN T & CEO / AI R CONDI TI ONI NG COM PAN Y B. B.HW ANG EXECUTI VE VI CE PRESI DEN T & CEO / BUSI NESS SOLUTI ON S COM PAN Y DI DI ER CHENNEVEAU EXECUTI VE VI CE PRESI DEN T / CHI EF SUPPLY...

  • Page 39
    ... T Europe B. V LG El ect roni cs Deut schl and Gm bH LG El ect roni cs I t al i a S. P. A. LG El ect roni cs M agyar KFT LG El ect roni cs Pol ska Sp.z. o. o LG El ect roni cs N ordi c AB LG El ect roni cs Hel l as S. A. LG El ect roni cs Aust ri a Gm bH LG El ect roni cs Rom ani...

  • Page 40
    ...,CCD TV MI CROW AVE OVEN,AI R CONDI TI ONER,M GT,VACUUM CLEANER,COM PRESSOR M OBI LE PHONE PC,TELEM ATI CS PDP M ODULE DVDRECORDABLE,VI DEO CASSETTE TAPE,USB,HDD,PRI SM SHEET M OBI LE PHONE TV,W ASHI NG M ACHI NE TV,AUDI O,REFRI GERATOR,W ASHI NG M ACHI NE SOUTH & CEN TRAL AM ERI CA EUROPE BRAZI...

  • Page 41
    ... ar i es,t he i nvest m ent si n whi ch ar er ef l ect ed i nt he accom panyi ng nonconsol i dat ed ...er f r om t hose general l y accept ed and appl i ed i n ot her count r i es.Accordi ngl y,t hi s report and t he accom panyi ng f i nanci alst at em ent s are f or use by t hose w ho are i nf or m ed...

  • Page 42
    ...FXUUHQWDVVHWV                       2008 2007 ( i nm i l l i ons ofKorean w on) Li abi l i t i es and Sharehol ders'Equi ...   7, 209, 515 14, 336, 618 Capi t aladj ust m ent Accum ul at ed ot her com prehensi ve i ncom e Ret ai ned earni ngs 8081

  • Page 43
    ... ngs bef ore appropri at i ons Unappropri at ed ret ai ned earni ngs carri ed over f rom pri or year   &XPXODWLYHHIIHFWRIFKDQJHLQDFFRXQWLQJSULQFLSOH 7UDQVIHUWRRWKHUFRPSUHKHQVLYHLQFRPH N eti ncom e 2008 2007  Transf er f rom di scret i onary reserve Appropri at i ons...

  • Page 44
    ...rom operat i ng act i vi t i es N eti ncom e Adj ust m ent st o reconci l e neti ncom e t o netcash provi ded by operat i ng act i vi t i es  2008 2007     %DODQFHDW-DQXDU\ Cum ul at i ve ef...RIGHEHQWXUHV 5HYHUVDORIEDGGHEWH[SHQVH Ot hers 5HVWDWHG...

  • Page 45
    ...UHFHLYHG  Ot hers 2008 2007 ( i nm i l l i ons ofKorean w on) Cash f l ow s f rom i nvest i ng act i vi t i es 2008 2007 'LVSRVDORI... 3URFHHGVIURPEXVLQHVVWUDQVIHU Ot hers N etcash used i ni nvest i ng act i vi t i es Cash f l ow s f rom f i nanci ng act i vi t i es...

  • Page 46
    ... TO THE DIVERSIFYING NEEDS OF OUR CONSUMERS AND ACHIEVE GLOBAL MARKET LEADERSHIP. WE ARE POSITIONED FOR PERFECT HARMONY OF SMART TECHNOLOGIES AND STYLISH DESIGNS THAT FITS YOUR LIFE. OUR ULTIMATE GOAL IS TO ADD TO THE VALUES OF OUR EMPLOYEES, CUSTOMERS, SHAREHOLDERS - AND YOU. WE WILL ALWAYS REMAIN...

  • Page 47