Hyundai 2009 Annual Report Download - page 9

HYUNDAI MOTOR COMPANY I 2009 ANNUAL REPORT I 17
>> MESSAGE FROM THE VICE CHAIRMAN
HYUNDAI MOTOR COMPANY I 2009 ANNUAL REPORT I 16
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
Dear Shareholders,
The year 2009 was a particularly difficult year for the automobile market
due to the downturn in the global economy. However, despite the adverse
conditions, we managed to attain the highest 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 of 3,132,000 units were equivalent to a 20 percent y-o-y increase
of which 701,000 units were domestic sales while exports accounted for
911,000 units exports and overseas production for 1,520,000 units.
We also achieved significant accomplishments from a qualitative point of
view. Our V8 Tau engine was selected as one of the 10 Best Engines by
Detroit-based Ward’s Auto for the second year in a row, a testament to its
superior engineering. Our company also ranked first among non-premium
brands in the J.D. Power and Associates’ Initial Quality Study, demonstrat-
ing our high standard once again and contributing to the further improve-
ment of our brand value.
Hyundai Motor’s record business performance last year, amidst our com-
petitors’ struggles, can be attributed to the steadfast support and loyalty
of our valued customers and esteemed shareholders. I would like to once
again extend my deepest gratitude to all of you.
Difficulties continue to lie ahead in 2010, including the strengthening value
of the Korean won and the decision by major governments to discontinue
car sales tax breaks and other subsidies which had stimulated demand.
However, the demand in global auto markets is expected to recover, and
this is forecast to have a positive effect on overall sales compared to 2009.
Hyundai Motor is expected to maintain its sharp growth in China and India
while demand in the U.S. and Russian markets - where sales were slow this
past year - are expected to turnaround in 2010.
Having achieved such positive results last year despite the unfavorable busi-
ness environment, we plan to sustain the strong momentum in 2010, and
have set a global sales target of 3,460,000 units—an 11 percent increase
compared to last year. To do so, we will be focusing on three areas:
First, we will implement a thorough and vigorous quality management for
the new models to be launched this year, including vehicles produced at our
overseas plants, in an effort to maintain our highest quality standards.
Second, we will improve areas that are in direct contact with our customers,
including sales and car maintenance services, marketing, and product qual-
ity, thereby taking full advantage of opportunities to increase sales in this
difficult business environment.
Third, we will reinforce our core strengths including productivity, profitabil-
ity, employee competency, and focused corporate culture to gain a com-
petitive edge over major automakers and always be one step ahead in this
fiercely competitive market.
Hyundai Motor will concentrate all its resources to achieve its business
goals in 2010 and continue its drive to become a leading global automaker.
Dear esteemed shareholders,
Your valued support and the efforts of everyone at the company have made
it possible for us to overcome the difficulties that prevail in the automobile
industry today.
We once again ask for your unwavering support and encouragement this
coming year. I wish you and your families much happiness and good health.
Thank you.
Sincerely,
May. 2010
President and CEO Steve S. Yang