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April 25, 2008

Samsung and Sony Agreed on Establishing Additional 8th Generation Line at S-LCD

Samsung Electronic Co., Ltd.
Sony Corporation


Seoul, Korea/Tokyo, Japan, April 25, 2008 - Samsung Electronics Co., Ltd. ("Samsung") and Sony Corporation ("Sony") today announced that they have signed a contract to establish an additional 8th generation amorphous TFT-LCD manufacturing line ("8-2 line") at their joint venture, S-LCD Corporation ("S-LCD").
S-LCD, established in April 2004, started its 7th generation line operation in April 2005 and its first 8th generation line operation in August 2007 to manufacture and supply TFT-LCD panels to Samsung and Sony. To meet the increase of the world demand for LCD televisions, Samsung and Sony agreed to expand the capacity of the 8th generation line. Total investment for the 8-2 line will be approximately 1.8 trillion KRW (approximately $1.9 billion/200 billion JPY) and will be invested by S-LCD.
The 8-2 line is to be built in the Tangjeong Complex, and production is targeted to start in the second quarter of 2009. The production capacity of the new line is expected to be initially 60,000 sheets per month (substrate glass input basis). The size of substrate glass from this line will be 2,200 x 2,500mm.
By adding the 8-2 line, together with the current 8th and 7th generation lines in Tangjeong, S-LCD is expected to be a stable and efficient supplier to Samsung and Sony of large screen LCD panels.
[S-LCD Production Line Status] (as of April 25, 2008)
  7th Generation Line    
  Startup:   April 2005
  Current capacity:  

100,000 sheets / month(*)

  Motherglass size:   1,870 x 2,200 mm
       
  First 8th Generation Line    
  Startup:   August 2007
  Current capacity:   50,000 sheets / month(*)
  Motherglass size:   2,200 x 2,500 mm
       
<Additional 8th Generation Line>
  Startup:   2nd Quarter 2009
  Initial capacity:   60,000 sheets / month(*)
  Motherglass size:   2,200 x 2,500 mm

(*) substrate glass input basis

About Samsung Electronics

Samsung Electronics Co., Ltd. is a global leader in semiconductor, telecommunication, digital media and digital convergence technologies with 2007 consolidated sales of US$103.4 billion. Employing approximately 150,000 people in 134 offices in 62 countries, the company consists of five main business units: Digital Media Business, LCD Business, Semiconductor Business, Telecommunication Business and Digital Appliance Business. Recognized as one of the fastest growing global brands, Samsung Electronics is a leading producer of digital TVs, memory chips, mobile phones and TFT-LCDs. For more information, please visit www.samsung.com.

About Sony Corporation

Sony Corporation is a leading manufacturer of audio, video, game, communications, key device and information technology products for the consumer and professional markets. With its music, pictures, computer entertainment and on-line businesses, Sony is uniquely positioned to be the leading electronics and entertainment company in the world. Sony recorded consolidated annual sales of approximately $70 billion for the fiscal year ended March 31, 2007. Sony Global Web Site: http://www.sony.net/

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