company report eng

Hyundai Life

Hyundai Capital

Hyundai Card

Hyundai Com

mercial

Thinking about numbers

With Numbers

Contents

CEO’s Letter 02

History 06Redefining the financial industry

Location 10Hyundai Card, Life, Capital, and Commercial Korea and in abroad

Directors & Executives 18Innovative leadership in a systematic organization

Financial Highlights 24Financial performance in 2011 and robust financial health in assets

Products 36Well-structured product portfolio

Partnership 44Synergy from successful partnerships

Press Coverage 50Hyundai Card, Life, Capital and Commercial in the media

03CE

O’s Letter

With N

umbers

Hyundai Life

Hyundai Capital

Hyundai Card

Hyundai Com

mercial

“ We are obsessive about number. In order to earn good numbers, we run our company with disciplines.”

CEO’s Letter

At Hyundai Card, Hyundai Life, Hyundai Capital and Hyundai Commercial, we are obsessed with numbers. Numbers are a matter of life and death for any company - especially one in the financial sector. To achieve robust data, we have managed our company according to conservative principles while maintaining an acute sensitivity to the trends that are redefining our industries. Our rock-solid foundation in numbers have enabled us to invite global pop stars, world class orchestras and sports stars, take new steps in design and firmly ground our pioneering culture and work environment in Korea’s black-suited corporate world. In short, Hyundai’s ground-breaking innovation is founded upon our strength in numbers.

2011 was a challenging year. In Korea, disputes about merchant fees heightened while rising household debt resulted in a further loss of confidence in the financial industry. Tension intensified in both the credit card and capital markets as our competitors rearmed. In addition, the auto financing market became more cutthroat as retail and savings banks rushed in.

Looking beyond the turbulence of these crises, we focused on fortifying our fundamentals in financial services. As a result, Hyundai Card, Capital and Commercial earned a record KRW 1.7 trillion in combined operating incomes, up 10% from 2010 when excluding one-off earnings.

Without relying on external financing, Hyundai Card, Capital and Commercial all have sufficient operating capital for the next six months in terms of cash flow and credit lines. In addition, rather than in short-term, high-risk financial services, the majority of our assets lie in credit purchase and auto financing which guarantee long-term, stable revenues. I’m especially proud of how we were able to preserve dynamism in our businesses over the years while maintaining the industry’s lowest delinquency rate.

Hyundai Life

Hyundai Capital

Hyundai Card

Hyundai Com

mercial

CEO’s Letter

At Hyundai Card, Hyundai Life, Hyundai Capital and Hyundai Commercial, we are obsessed with numbers. Numbers are a matter of life and death for any company - especially one in the financial sector. To achieve robust data, we have managed our company according to conservative principles while maintaining an acute sensitivity to the trends that are redefining our industries. Our rock-solid foundation in numbers have enabled us to invite global pop stars, world class orchestras and sports stars, take new steps in design and firmly ground our pioneering culture and work environment in Korea’s black-suited corporate world. In short, Hyundai’s ground-breaking innovation is founded upon our strength in numbers.

2011 was a challenging year. In Korea, disputes about merchant fees heightened while rising household debt resulted in a further loss of confidence in the financial industry. Tension intensified in both the credit card and capital markets as our competitors rearmed. In addition, the auto financing market became more cutthroat as retail and savings banks rushed in.

Looking beyond the turbulence of these crises, we focused on fortifying our fundamentals in financial services. As a result, Hyundai Card, Capital and Commercial earned a record KRW 1.7 trillion in combined operating incomes, up 10% from 2010 when excluding one-off earnings.

Without relying on external financing, Hyundai Card, Capital and Commercial all have sufficient operating capital for the next six months in terms of cash flow and credit lines. In addition, rather than in short-term, high-risk financial services, the majority of our assets lie in credit purchase and auto financing which guarantee long-term, stable revenues. I’m especially proud of how we were able to preserve dynamism in our businesses over the years while maintaining the industry’s lowest delinquency rate.

As a financial company, our overriding concern is managing risk. There can be no loopholes or compromises in this. To sustain momentum, we have devoted our energies towards marketing, but only on the firm foundation provided by thorough risk management. Our goal is not to achieve stability, but sustainable growth. We found that scientific approaches to marketing can revitalize the market and its players and provide new experiences and positive value to consumers while simultaneously contributing to risk management. Marketing that targets specific customers can better accommodate customer needs while preventing costs incurred from defaulting accounts by securing high-value customers.

Our marketing strategies are deeply grounded in scientific research. Instead of relying on assumptions and trailing behind the needs of our customers, we take a preemptive approach. Success stories in marketing include our well-defined credit card portfolio from “M to ZERO” and MY BUSINESS, an integrated service solution providing not only capital, but also operational support to business owners.

The competencies of our group also lie in successful partnerships. In 2004, we established a solid partnership with GE that helped to strengthen our infrastructure by sharing corporate cultures and business know-how. In our overseas business, Hyundai Capital America recorded USD 200 million in net profit and has gradually secured its position as a major auto financing provider for American customers of Hyundai and Kia Motors. In Europe, we joined hands with the Consumer Finance sector of Europe’s largest bank Santander and established a joint company in the UK to expand our presence in the European market.

2012 will present even more difficult challenges. KRW 900 trillion in Korean household debt indicates that the business climate next year will be burdened by heavy regulation. However, as we have in the past, we will commit to our principles and find new growth opportunities by pioneering new markets.

This year, we welcomed a new addition to the Hyundai family: Hyundai Life. Now our retail-financing arm is complete with credit card and consumer finance, commercial financing services, and life insurance. The insurance market will provide endless growth engines and business opportunities. Moreover, we expect visible results in our overseas business initiatives in China and the UK. I’m confident that 2012 will be a year of innovation and new growth for us at Hyundai Card, Hyundai Life, Hyundai Capital and Hyundai Commercial.

Ted Chung

CEO: Hyundai Card; Hyundai Capital; Hyundai Commercial

Chairman of the Board: Hyundai Life

Hyundai Life

Hyundai Capital

Hyundai Card

Hyundai Com

mercial

History “ From Hyundai Auto Finance in 1993 to Hyundai Life in 2012, our history is one of growth.”

07H

istoryW

ith Num

bers

Hyundai Life

Hyundai Capital

Hyundai Card

Hyundai Com

mercial

09H

istoryW

ith Num

bers

1993 20051995

2006 2012

1999

2007

2001 2002 2003 2004

2011

06 |Launched Hyundai

Card Platinum 2 08| Hyundai Commercial

hits KRW 3 trillion in assets

10|Hyundai Card &

Hyundai Capital opened MY BUSINESS portal

11|Hyundai Card &

Hyundai Capital held MY BUSINESS Success Conference

|Hyundai Capital launched secured auto loan

|Hyundai Card launched Android Mobile Card

| Launched Hyundai Card ZERO

2010

03| Hyundai Commercial

was named Power Brand Company in the Lease Financing Category by Seoul Economic Daily

07|Hyundai Capital

launched Direct Loan 09|Hyundai Card &

Hyundai Capital opened corporate blog

11|Hyundai Card

launched Platinum 3 Series

| Hyundai Capital issued JPY 30 billion in Samurai bonds

| S&P upgraded Hyundai Capital’s credit rating to BBB+ (stable)

| Fitch upgraded Hyundai Card’s credit rating to BBB+ (stable)

12 |Hyundai

Commercial’s domestic credit rating upgraded to AA- (stable)

|Hyundai Card’s credit rating upgraded to AA+ by Korea Investor Service

2008

01|Hyundai Capital

secured KRW 1.65 trillion credit line

03|Hyundai Capital

ranked No. 1 in Korean Industrial Brand Power in the Capital Category by Korea Management Association Consulting

11| Hyundai Capital

issued USD 500 million in Yankee bonds

12| Japan’s largest credit

rating company JCR revised Hyundai Capital’s rating outlook to “stable”

| Hyundai Card ranked No. 1 in National Customer Satisfaction Index (NCSI) in the credit card category for fifth consecutive year in a row

| Hyundai Card received Korea’s Best Website Award

|Hyundai Capital launched used car leasing

01 | Hyundai Capital

introduced Plus Membership

|Hyundai Capital issued JPY 47 billion in Samurai bonds

03|Hyundai Capital

received AA1(Positive) rating from RAM

04|Hyundai Capital

issued USD 155 million in syndicated floating rate notes

09|Hyundai Capital

recorded one million used car financing customers

10 |Hyundai Card & Hyundai

Capital received consumer information protection certification (ISO 27001)

12 |Hyundai Capital

successfully raised KRW 185 billion in foreign capital

02| Launched Hyundai

Card the Purple

| Launched Hyundai Card’s service brand PRIVIA

|Hyundai Card was named Most Respected Company in Korea in the Credit Card Category by Korea Management Association Consulting

08|Opened Hyundai

Card-Hyundai Capital Finance Shop

12|Hyundai Card

Received BBB credit rating from S&P


Card DIRECT 05| Established

Hyundai Life

01|Launched Hyundai

Capital’s Pro Volleyball Team Cheonan Hyundai Skywalkers


Card the Black 08| Formation of

strategic alliance between Hyundai Card & GE Capital

09|Launched Hyundai

Capital’s Prime Mortgage Loan

10|Foundation of joint

venture between Hyundai Card and GE Capital

11|Hyundai Card

awarded Korean Finance Innovation Award

12|Launched Hyundai

Capital’s integrated personal financing brand Prime Loan

02 | Hyundai Card

awarded Korea Ethical Management Grand Prix in Cultural Management

03|Hyundai Commercial

established to take over industrial services from Hyundai Capital

04|Hyundai Card issued

USD 400 million in overseas bonds; first of its kind in Korea

06| Hyundai Capital

launched loan waiver program

08 | Hyundai Card

opened offline M-point Shop as the first of its kind in Korea

10|Hyundai Capital

opened used car financing portal Auto Inside

06| Hyundai Capital

launched Mortgage Loan

08| Formation of

strategic alliance between Hyundai Capital & GE Capital

09| Hyundai Card ranked

No. 1 in Service Quality Index by Korea Management Association Consulting

10|Foundation of joint

venture between Hyundai Capital and GE Capital

| Launched Hyundai Capital’s auto-leasing brand KlassAuto

|Launched Hyundai Capital’s installment financing brand Autoplan

|Hyundai Capital named No. 1 in installment financing by Korea Consumer Satisfaction Index (KCSI)

03|Launched Hyundai

Card M 11|Hyundai Capital

selected Best in Customer Service Innovation Category, Customer Satisfaction Management Awards by Korea Management Association Consulting

06|Hyundai Card

introduced Save Point System

10|Hyundai Capital

named No. 1 in Installment Financing by Korean Customer Satisfaction Index (KCSI)

04|Headquarters moved

to Yeouido 07|Hyundai Capital

launched auto leasing services

08| Hyundai Capital

acquired Diners Club, Inc.

10| Diners Club Card

changed name to Hyundai Card, Inc.

01|Company name

changed to Hyundai Capital Services, Inc.

04|Company name

changed to Hyundai Financial Services, Inc.

12|Founded as Hyundai

Auto Finance, Inc.

2009

Hyundai Life

Hyundai Capital

Hyundai Card

Hyundai Com

mercial

Location

11Location

With N

umbers

“ We started as a company headquartered in Yeouido, Seoul. Now you can find us all around the world.”

Hyundai Life

Hyundai Capital

Hyundai Card

Hyundai Com

mercial

13Location

With N

umbers

The National Assembly Building

National Assembly subway station Exit no. 1

National Assembly subway station Exit no. 2

Headquarters 1

Headquarters 2

Headquarters 3 (under construction)

Headquarters

200mThe National Assembly Building

Yeongdeungpo subway station

Boramae Park

National Assembly subway stationHeadquarters 2

Headquarters 1

Headquarters 3 (under construction)

Hyundai Life

Yeongdeungpo Office

Hyundai Life

Hyundai Capital

Hyundai Card

Hyundai Com

mercial

15Location

With N

umbers

Hongik University Office: Hyundai CardHyundai CapitalHyundai Commercial

Yangjae Offcie: Hyundai CardHyundai Capital

Suwon Office: Hyundai CardHyundai CapitalHyundai Commercial

Daejeon Office: Hyundai CardHyundai CapitalHyundai Commercial

Gwangju Office: Hyundai CardHyundai Capital

Daegu Office: Hyundai CardHyundai CapitalHyundai Commercial

Busan Office: Hyundai CardHyundai Capital

Ulsan Office: Hyundai CardHyundai CapitalHyundai Commercial

Yeongdeungpo Office: Hyundai CardHyundai Capital

Hannamdong Office: Hyundai Card

Seoul Auto Gallery: Hyundai Capital

Headquaters:Hyundai CardHyundai CapitalHyundai Commercial

Headquaters:Hyundai Life

Seoul Offices Regional Offices

Hyundai Life

Hyundai Capital

Hyundai Card

Hyundai Com

mercial

17Location

With N

umbers

Hyundai Capital provides financial consulting services for Hyundai and Kia Motors in Brazil

Hyundai Motor Brazil Montadora A-LTDA Av. Ibiraquera 2120, 3 Andor Bairro Indianopolis, CEP 04028-001 Sao Paulo, Brazil

HCA Atlanta Operating Center

7775 The Bluffs Suite A Austell, GA 30168, U.S.AHCA Dallas Operating Center

6100 W Plano Pkwy, Plano, TX , U.S.A

Hyundai Capital provides financial consulting services for Hyundai and Kia Motors in Australia

350 Parramatta Road Homebush NSW 2140, Sydney, Australia

Hyundai Capital America

3161 Michelson Drive, Irvine CA, 92612, U.S.A

HCA Irvine Operating Center

210 Commerce Irvine, CA 92602, U.S.A

Hyundai Capital, Hyundai Card& Hyundai Commercial Headquarters

3, Llisadangdae-ro, Yeongdeungpo-gu Seoul, Korea, 150-706

Hyundai Capital Beijing Representative Office

16F Guan Cheng Tower, Taiyanggongzhong Road, Chaoyang District, Beijing, China (100028)

Hyundai Capital New Delhi Representative Office

6th floor, Corporate One, Plot No. 5, Non-Hierarchical Commercial Centre,Jasolar, New Delhi 100 076, India

Hyundai Capital Germany GmbH

Theodor HeussAllee 11, 60486 Frankfrut am Main, Germany

Hyundai Capital Europe GmbH

Theodor HeussAllee 11, 60486 Frankfrut am Main, Germany

Hyundai Capital Russia LLC

Testovskaya 10, North Tower 15F, 123317, Moscow, Russia

Hyundai Capital UK Ltd.

3 Princess Way, Redhill, RH1 1SR, United Kingdom

Global Offices

Hyundai Life

Hyundai Capital

Hyundai Card

Hyundai Com

mercial

Directors & Executives

19D

irectors & E

xecutivesW

ith Num

bers

“ Hyundai Card, Life, Capital and Commercial are winning success and building a leading corporate culture with their systematic organization.”

Hyundai Capital

Hyundai Life

Hyundai Card

Ted ChungPresident

Hyun-Seok ShinDirector

Yoo-No HwangDirector

Yong-Bae LeeDirector

Ciaran BarrDirector

Chan-Woo JeongOutstanding Director, Audit Committee Member

Sang-Yong LeeOutstanding Director, Audit Committee Member

Sung-Tai HongOutstanding Director, Audit Committee Member

Xavier DurandOutstanding Director

Robert MorimotoOutstanding Director

Bhupesh GuptaOutstanding Director

Ted ChungChairman of the Board

Jin-Hwan ChoiPresident

Myung-Sik ChangDirector, Audit Committee Member

Byung-Chul ChoiDirector

Kyung-Yup KimOutstanding Director

Kwang-Woo ParkOutstanding Director

Ui-Myung ParkOutstanding Director

Sung-Pyo HongOutstanding Director

Ted ChungPresident

Byeong-Hee KimDirector

Won-Hee LeeDirector

Ju-Hyuk LeeDirector

Jwa-Jin ChoDirector

Directors Executives Directors DirectorsExecutives Executives

Hyundai Commercial

Directors Executives

Ted Chung CEO

Sung-Moon KimAuditor

Byeong-Hee Kim Executive Vice President | Vice President

Jwa-Jin ChoExecutive Vice President | Strategic Planning Division

Byung-Doo KimExecutive Vice President | Risk Management Division

Gun-Woo Kim Senior Vice President | IT Department

Ick-Jin Park Senior Vice President | Strategic Planning Division

Jeong-Hak Son Senior Vice President | Investment Financing Department

Kwan-Sun Ahn Vice President | Strategic Planning Department

Myong-Su Lee Vice President | Business Innovation Department

Byung-Sik Jang Vice President | Risk Management Department 1

Yeon-Woong Baek Vice President | Collections Department

Hwan-Jun Yang Vice President | IT Innovation Department

Byeong-Ku Jeon Vice President | Corporate Management Department

Kyu-Sik KimVice President | Business Legal Affairs Department

Kil-Ho JunVice President | Industrial Financing Department

Ki-Hwa Jang Vice President | Corporate Finance Department

Ted ChungPresident

Hyun-Seok ShinDirector

Won-Hee LeeDirector

Yong-Bae LeeDirector

Ciaran BarrDirector

Bernard van BunnikDirector

Matthew Richard SusserDirector

Woon-Chul JungAuditor

Ted ChungCEO

Ciaran BarrDeputy CEO | Financial Business Representative

Hyun-Seok ShinSenior Executive Vice President | Auto Business Division

Yoo-No HwangSenior Executive Vice President | Corporate Services Division

Won-Jong SangAdvisor

Woon-Chul JungAuditor

Byeong-Doo KimExecutive Vice President | Risk Management Division

Ju-Hyuk LeeExecutive Vice President | Financial Business Representative

Keun-Bae JungExecutive Vice President | Auto Business Division

Jwa-Jin ChoExecutive Vice President | Strategy Planning Division

Gun-Woo KimSenior Vice President | IT Division

Jung-In KimSenior Vice President | Operation Division

Jin-Tae KimSenior Vice President | Brand Division

Ted ChungCEO

Ciaran BarrDeputy CEO | Financial Business Representative

Hyun-Seok ShinSenior Executive Vice President | Auto Business Division

Yoo-No HwangSenior Executive Vice President | Corporate Services Division

Jung-Hoe KimAdvisor

Byeong-Doo KimExecutive Vice President | Risk Division

Suk-Joon WonExecutive Vice President | Marketing Division

Ju-Hyuk LeeExecutive Vice President | Financial Business Representative

Jin-Moon JungExecutive Vice President | Card Sales Division

Jwa-Jin ChoExecutive Vice President | Strategy Planning Division

Gun-Woo KimSenior Vice President | IT Division

Jung-In KimSenior Vice President | Operation Division

Jin-Tae KimSenior Vice President | Brand Division

Jin-Hwan Choi CEO

Myung-Sik Chang Auditor

Ho-Sung Suh Executive Vice President | Asset Management Division

Beom-Jin Kim Senior Vice President | Managing Division

Woo-Jin Lee Senior Vice President | Operation Division

Dae-Kyung Kim Senior Vice President | Sales Division

Chang-Geun Yang Vice President | IT Department

Joong-Il Kim Vice President | Asset Management Department

Jin-Bong Han Vice President | Corporate Service Department

Ick-Jin ParkSenior Vice President | Strategy Planning Division

Sang-Hyuk SuhSenior Vice President | Overseas Business Department

Eun-Gu JangSenior Vice President | Corporate Business Division

Sung-Won JinSenior Vice President | Cross-sell Business Department

Heather ValterisVice president | Finance Management Representative

Niclas NeglenVice President | Finance Representative

Gwi-Ho KangVice President | Auto Finance Department 2

In-Hwan KwakVice President | Collections Department

Dae-Kyoon KwonVice President | Corporate Services Division

Gyu-Sik KimVice President | Business Legal Affairs Department

Deok-Hwan KimVice President | Finance Planning Department

Sang-Woo KimVice President | Underwriting Department

Sung-Moon KimVice President | Audit Department

Soo-Kyung KimVice President | Corporate Management Department

Yoon-Tae KimVice President | Finance Division

In-Ju KimVice President | Yeongnam South Auto

Hyun-Joo KimVice President | Risk Representative

Hong-Kyun KimVice President | Beijing Representative Office

Soo-Jeong BaekVice President | Brand Department 1

Ick-Jin ParkSenior Vice President | Strategy Planning Division

Eun-Gu JangSenior Vice President | Corporate Business Division

Sung-Won JinSenior Vice President | Cross-sell Business Department

Dae-Kyoon KwonVice President | Corporate Services Division

Seong-Uk KwonVice President | Fee Business Department (Fee Biz)

Gyu-Sik KimVice President | Business Legal Affairs Department

Deok-Hwan KimVice President | Finance Planning Department

Sang-Woo KimVice President | Underwriting Department

Sung-Moon KimVice President | Audit Department

Yoon-Tae KimVice President | Finance Division

Chang-Han KimVice President | Jungbu Card Regional Headquarters

Soo-Jeong BaekVice President | Brand Department 1

Yeon-Woong BaekVice President | Collections Department

Dae-Geum Kang Vice President | Customer Support Department

Sean Park Vice President | TM Sales Department

Bo-Yoon Kang Vice President | Product R&D Department

Young-Wan Ko Vice President | Audit Department

Seung-Ryoung Kang Vice President | Seoul Headquarter

Myuoung-Joo Kang Vice President | DongBu Headquarter

Yeon-Woong BaekVice President | Collections Department

Kwan-Sun AhnVice President | Strategic Planning Department

Hwan-Jun YangVice President | IT Innovation Department

Joon OhVice President | Design Department

Hwan-Bin YongVice President | Finance Sales Department

Gyo-Chang LeeVice President | CS Department

Myong-Su LeeVice President | Business Innovation Department

Byung-Hui LeeVice President | Auto Finance Department 3

Yoon-Seok LeeVice President | Corporate Services Department

Joon-Suk LeeVice President | SME Business Department

Dai-Gyu LimVice President | Jungbu Auto Regional Headquarters

Byung-Sik JangVice President | Risk Management Department 1

Sung-Weon ChoiVice President | HR Department

Kwan-Sun AhnVice President | Strategic Planning Department

Hwan-Jun YangVice President | IT Innovation Department

Joon OhVice President | Design Department

Hwan-Bin YongVice President | Finance Sales Department

Gyo-Chang LeeVice President | CS Department

Myong-Su LeeVice President | Business Innovation Department

Mee-Yong LeeVice President | CLM Department

Yoon-Seok LeeVice President | Corporate Services Department

Joon-Suk LeeVice President | SME Business Department

Byung-Sik JangVice President | Risk Management Department 1

Sung-Weon ChoiVice President | HR Department

Yong-Teak HwangVice President | Marketing Department

Hyundai Life

Hyundai Capital

Hyundai Card

Hyundai Com

mercial

Financial Highlights

25Financial H

ighlightsW

ith Num

bers

“ Hyundai Card, Life, Capital and Commercial are stronger when facing the challenges. This is proven by the financial results.”

Hyundai Life

Hyundai Capital

Hyundai Card

Hyundai Com

mercial

These words of wisdom are grounded in a company that understands when it is time for growth and when it is time for security. Hyundai Card, Life, Capital, and Commercial have become icons of innovation and creativity in our industries. However, when it comes to risk management, we adhere to principles that are the most conservative among financial companies. Risk management must be run strictly by the book and allow zero margin for error. Effective risk management requires ongoing, consistent monitoring, not just in times of crisis. When a company initiates risk management only when crises emerge, such efforts will be insufficient in saving companies from harm.

At Hyundai Card, Life, Capital, and Commercial, we have a comprehensive risk management processes and systems. Compromising our CEO and executives from GE, Hyundai Card, Hyundai Capital, the risk management committee pulls the plug on unprofitable products that incite overzealous marketing.

From capital sourcing to credit and default rate management, we are thorough across all financial indicators in that we are able to operate our companies without external funding for the next six months. In addition, we are prepared to respond to any forthcoming financial crises with diversified sources of long-term borrowing, asset liability management, triple safety mechanisms to minimize risk exposure, and ethical sales practices against dumping.

The impending business climate is projected to be highly challenging with market decline, increasing household debt, and other potential crisis factors. In crisis preparation, we will invest more resources in further developing our risk management processes and execute close monitoring to respond to market shifts with speed and flexibility.

At Hyundai Card, Hyundai Life, Hyundai Capital, and Hyundai Commercial, our strategy for rapid growth is to focus on finance. We refer to our core competency as “financial engineering.” As a financial company, it is critical to secure stable, long-term profit to earn the trust of our customers and achieve sustainable growth.

In 2011, we achieved financial growth from the previous year while maintaining the best level of financial health in our industry with over KRW 1.1 trillion in operating profit. 2011 surpassed 2010 in terms of performance and set a model example for successfully achieving both growth and stability.

Backed by a robust financial performance and market share, Hyundai Capital is emerging as the market leader in new car installment plans and used car leases. Hyundai Card is solidifying its No. 2 position in the credit card market, boasting soundness in assets and strong loyalty among card members. In addition, Hyundai Commercial is dominating the industrial financing market as No. 1. In 2012, Green Cross Life Insurance was newly launched as Hyundai Life, generating high expectations for growth moving forward.

Our stable growth in profits was the result of our focus on fundamentals. Strong fundamentals allow for a much wider score of possibilities for future growth. If businesses pursue excessive expansion and obsess over short-term gains, they will soon crumble.

“ Finance is an art of discipline. A financial company must have self-restraint and know when to stop or else it will reach a cliff rather than a downhill slope. Finance is also an art of stop-loss.”

Finance is an art of discipline.

27Financial H

ighlightsW

ith Num

bers

Hyundai Life

Hyundai Capital

Hyundai Card

Hyundai Com

mercial

2011 Hyundai Card

Operating Income

Unit: In billions of KRW

2011 Hyundai Card

Assets Unit: In billions

of KRW

324

10,852

371

10,446

286

7,291

258

5,671

73

4,645

2011

2011

2010

2010

2009

2009

2008

2008

2007

2007

Operating Revenue

Operating Income

Net Income

Assets

Shareholders' Equity

2011

2,409

324

239

10,852

1,997

2009

1,841

286

213

7,291

1,483

2010

2,337

371

278

10,446

1,767

2008

1,594

258

202

5,671

1,234

2007

1,121

73

234

4,645

1,123


FinancialHighlights

Assets

Cash and Bank Deposits

Investment Financial Assets

Card Assets

Loans

Property and Equipment

Other Financial Assets

Other Non-Financial Assets

Liabilities

Borrowings

Retirement Benefit

Other Financial Liabilities

Other Non-Financial Liabilities


Share Capital

Capital Surplus

Retained Earnings

Reserves

Non-controlling Interest

2011 (17th)

10,851,933,716

863,054,403

1,766,970

9,374,266,682

469,647

187,398,080

144,007,180

280,970,754

8,855,250,685

7,071,760,496

17,774,550

1,291,498,924

474,216,715

1,996,683,031

802,326,430

57,704,444

1,148,396,656

(11,764,319)

19,820

2010 (16th)

10,446,113,805

820,178,772

1,776,386

9,005,768,456

992,292

152,515,808

124,568,967

340,313,124

8,679,464,372

7,176,172,090

9,608,547

1,033,192,395

460,491,340

1,766,649,433

802,326,430

57,704,444

909,749,074

(3,150,335)

19,820

Unit: In thousands of KRW

Hyundai Card


Operating Revenue

Operating Expenses

Operating Income

Income before Income Tax

Income Tax Expense

Income for the Period

Other Comprehensive Income for the Period

Total Comprehensive Income for the Period

2011 (17th)

2,409,378,515

2,085,761,177

323,617,338

323,617,338

84,969,756

238,647,582

(8,613,984)

230,033,598

2010 (16th)

2,336,851,431

1,966,009,794

370,841,637

370,841,637

92,778,914

278,062,723

(40,673,472)

237,389,251

Consolidated Statements of Financial

Position

Consolidated Statements of

Comprehensive Income

29Financial H

ighlightsW

ith Num

bers

Hyundai Life

Hyundai Capital

Hyundai Card

Hyundai Com

mercial

5

3,438

5

2,988

17

2,499

-7

2,080

6

1,822

2011

2011

2010

2010

2009

2009

2008

2008

2007

2007

Operating Revenue

Operating Income

Net Income

Assets


2011

1,151

5

4

3,438

166

2009

890

17

15

2,499

146

2010

1,012

5

5

2,988

144

2008

741

-7

-11

2,080

103

2007

633

6

5

1,822

133


Assets

Cash and Deposit

Financial Assets at Fair Value through Profit or Loss

Available-for-sale Securities

Held-to-maturity Securities

Assets of Derivative Securities for Risk Aversion

Loans Receivable

Non-Financial Assets

Seperated Account Assets

Liabilities

Insurance Contract Liabilities

Investment Contract Liabilities

Policyholders Equity Adjustment

Liabilities at Fair Value through Profit or Loss

Assets of Derivative Securities for Risk Aversion

Borrowings

Other Financial Liabilities

Non-Financial Liabilities

Seperated Account Liabilities


Common Stock

Capital Surplus

Accumulated Other Comprehensive Income

and Expenses

Retained Earnings

2011 (9th)

3,438,235,364

740,354,840

71,736,496

1,212,990,576

0

0

1,056,009,222

235,844,305

121,299,926

3,272,196,600

3,048,185,256

0

14,815,892

0

0

35,000,000

20,462,366

30,485,226

123,247,860

166,038,764

98,273,150

44,573,571

4,756,965

18,435,078

2010 (8th)

2,987,729,641

124,259,620

84,321,799

618,815,681

999,203,131

0

788,319,712

243,624,283

129,185,414

2,843,504,324

2,585,722,351

0

7,335,289

17,756,297

40,261

35,000,000

33,690,050

28,076,720

135,883,356

144,225,317

98,273,150

44,573,571

289,731

1,088,866


Hyundai Life


Operating Revenue

Operating Expenses

Operating Income

Income before Income Tax

Income Tax Expense

Net Income

Other Comprehensive Income for the Period

Total Comprehensive Income for the Period

2011 (9th)

1,150,617,423

1,145,934,436

4,682,987

4,682,987

215,752

4,467,235

17,346,213

21,813,448

2010 (8th)

1,011,532,218

1,006,130,732

5,401,487

5,401,487

213,634

5,187,853

(2,700,217)

2,487,636

2011 Hyundai Life

Operating Income


2011 Hyundai Life


of KRW

FinancialHighlights


Position



31Financial H

ighlightsW

ith Num

bers

Hyundai Life

Hyundai Capital

Hyundai Card

Hyundai Com

mercial

659

21,919

630

20,749

541

15,854

505

16,068

476

13,771

2011

2011

2010

2010

2009

2009

2008

2008

2007

2007

Operating Revenue

Operating Income

Net Income

Assets


2011

3,331

659

507

21,919

2,656

2009

2,989

541

411

15,854

2,156

2010

3,274

630

489

20,749

2,237

2008

4,330

505

377

16,068

1,650

2007

2,245

476

333

13,771

1,414


Hyundai Capital


Operating Revenue

Operating Expenses

Operating Income

Non-operating Income

Non-operating Expenses

Income before Income Taxes

Income Tax Expense

Net Income

Other Comprehensive Income, Net of Income Taxes

Total Comprehensive Income

2011 (19th)

3,331,478,739

2,672,055,986

659,422,753

3,968,443

0

663,391,196

155,987,584

507,403,612

16,531,004

523,934,616

2010 (18th)

3,274,235,376

2,644,489,382

629,745,994

9,663,274

197,390

639,211,877

150,226,317

488,985,561

(61,901,469)

427,084,092

Assets

Cash and Deposits

Securities

Loans Receivable

Installment Financial Assets

Lease Receivables

Leased Assets


Other Assets

Liabilities

Borrowings

Other Liabilities


Common Stock

Capital Surplus

Accumulated Other Comprehensive Income

and Expenses

Retained Earnings


2011 (19th)

21,918,909,868

1,455,442,105

70,219,821

10,848,062,443

5,021,193,711

2,278,593,960

1,123,078,387

265,432,868

856,886,572

19,262,420,761

17,772,367,761

1,490,053,000

2,656,489,107

496,537,175

407,539,067

(50,840,571)

1,803,144,426

109,010

2010 (18th)

20,748,601,993

1,224,891,146

69,059,856

10,218,437,556

5,056,781,720

1,778,437,624

1,286,036,744

242,369,629

872,587,718

18,511,754,875

17,043,685,527

1,468,069,349

2,236,847,118

496,537,175

407,539,067

(67,371,575)

1,400,013,621

128,830


2011 Hyundai Capital

Operating Income


2011 Hyundai Capital


of KRW

FinancialHighlights


Position



33Financial H

ighlightsW

ith Num

bers

Hyundai Life

Hyundai Capital

Hyundai Card

Hyundai Com

mercial

86

3,467

57

2,720

28

1,629

14

1,127

10

861

2011

2011

2010

2010

2009

2009

2008

2008

2007

2007

Assets

Cash and Deposits

Securities

Loans Receivable

Installment Financial Assets

Lease Receivables


Other Assets

Liabilities

Borrowings

Other Liabilities


Common Stock

Capital Surplus

Accumulated Other Comprehensive

Income and Expenses

Retained Earnings


2011 (5th)

3,466,721,212

276,018,119

174,388,198

2,391,270,400

468,115,734

84,053,398

2,908,667

69,966,697

3,117,364,395

3,022,623,350

94,741,045

349,356,817

125,000,000

74,608,060

3,262,306

146,466,632

19,820

2010 (4th)

2,719,698,430

99,949,903

150,818,918

1,777,627,055

565,051,542

40,950,641

2,516,343

82,784,027

2,539,080,674

2,478,641,754

60,438,920

180,617,756

100,000,000

0

(862,281)

81,470,128

9,910


Hyundai Commercial

Operating Revenue

Operating Income

Net Income

Assets


2011

324

86

73

3,467

349

2009

163

28

28

1,629

109

2010

236

57

57

2,720

181

2008

136

14

14

1,127

74

2007

58

10

8

861

70



Operating Revenue

Operating Expenses

Operating Income

Non-operating Income

Non-operating Expenses

Income before Income Taxes

Income Tax Expense

Net Income

Other Comprehensive Income, Net of Income Taxes

Total Comprehensive Income

2011 (5th)

324,364,278

237,983,469

86,380,809

13,220,846

0

99,601,655

26,241,601

73,360,054

4,124,587

77,484,641

2010 (4th)

235,759,298

178,293,377

57,465,921

15,754,203

0

73,220,124

15,950,861

57,269,263

1,069,115

58,338,378

2011 Hyundai

Commercial Operating

Income Unit: In billions

of KRW

2011 Hyundai

Commercial Assets


FinancialHighlights


Position



35Financial H

ighlightsW

ith Num

bers

Hyundai Life

Hyundai Capital

Hyundai Card

Hyundai Com

mercial

Products Hyundai CardFrom Hyundai Card ZERO to the BlackThe first comprehensive brand portfolio in the credit card industry

Hyundai LifeA provider of reliable insurance products and services that customers can choose with confidence

Hyundai CapitalA leader in Korea’s consumer finance with a differentiated product line-up

Hyundai CommercialA reliable financial partner with optimized corporate finance products for corporate clients striving for success

37P

roductsW

ith Num

bers

Hyundai Life

Hyundai Capital

Hyundai Card

Hyundai Com

mercial

We have created many “first” products and services. These are the results of our persistent efforts to become market pioneers.

Our principle to maintain the top spot in the finance industry clearly differentiates Hyundai Capital from latecomers to the market. Hyundai Capital does not regard financial services as simply loans. At Hyundai Capital, our approach was to conceptualize financial products - such as car installment plans and leases - as brands. By branding intangible services, Hyundai Capital has earned the confidence of customers. In turn, our trust in our customers is also a point of differentiation. Hyundai Capital runs a Plus Membership system with various services such as providing consolation funds in cases of car accidents as well as installment waivers. In addition, Hyundai Capital refuses to remain content with its No.1 position and strives to provide new services to customers by developing innovative financial products such as used car installment plans and MY BUSINESS to support individual business owners.

Hyundai Commercial presents a new paradigm in corporate finance. With an optimal business line in corporate finance to satisfy the diverse needs of corporate clients, Hyundai Commercial has solidified its position as a market leader in commercial vehicle financing. Instead of convoluted insurance products, Hyundai Life offers insurance plans and services that are easily accessible to allow our customers to choose with confidence. Our scientific approach to product development and marketing does not rely merely on intuition, experience or market research. By closely observing our markets, Hyundai Card, Life, Capital, and Commercial are bringing changes to the market and to the rules of the game.

At Hyundai Card, Hyundai Life, Hyundai Capital, and Hyundai Commercial, it is our constant endeavor to redefine the financial industry; we believe a financial company can add value by offering new experiences to its customers. By newly defining goals for our industry, we were able to pursue more imaginative thinking and create infinite possibilities. Our products have become more detailed and refined, and our data-based approach to marketing has challenged industry standards.

Starting again from the ground up, we abandoned conventional assumptions about financial products and re-evaluated which kinds of products would be truly useful to our customers. Many of our products have been firsts in the industry, firsts in Korea and even firsts in the world. We did not create these precedents in order to show off; they reflect how the markets failed to prove products that fully met the needs of customers and how we succeeded in pioneering these markets with perseverance.

By launching Hyundai Card M, Hyundai Card brought a paradigm change in the credit card market, moving from a reliance on corporate branding to branding through individual products. With the launch of the Black, Hyundai Card introduced the concept of VVIP to Korea. Our “firsts” are the result of thinking first and foremost about our customers from the birth of Platinum 3 Series after close analysis of card member spending patterns to Hyundai Card DIRECT, a financial product with direct access. With our focus on customer needs, our product planning and launch preparation processes have been considered just as pioneering and innovative as our successful products in the market. In addition, we have a comprehensive product portfolio ranging from M to ZERO. Our brand strategy is the only approach in the industry offering a card portfolio that maximizes benefits by developing card products through card member segmentation.

39P

roductsW

ith Num

bers

Commercial Vehicle and Construction

Equipment Installment Plans

Corporate Loans Real Estate Financing

Private Equity Investment

Fixed Income Investment

Corporate Leasing Factoring Specialized HMC Group Products

Used Commercial Vehicle and Construction

Equipment Loans

Machine Equipment Leasing/Installment

Plans

Financial Services

Industrial Finance

Corporate Finance

Investment Finance

No. 1 in domestic commercial vehicle and construction equipment installment plans. The official installment plan for Hyundai and Kia Motors and Hyundai Heavy Industries

Loans for funds with credit rating/assets as collateral

Large-scale corporate loans for real estate development with future profits as collateral

Efficient method for securing working capital and capital for equipment & facility investment or corporate acquisition

Solution for financial needs for all stages of growth through systematic risk analysis

Financial product for facilities and equipment for start-up businesses and expansion

Trade bills or accounts receivables discounts

Customized corporate finance products for subcontractors of Hyundai Motor Group

Installment plan for corporate clients purchasing used commercial vehicles and construction equipment or in need of operating capital

Lease/installment plan for corporate clients in need of capital to purchase machine equipment

Specialized services for Hyundai Commercial clients

Hyundai Commercial

A Diners Privilege Service Card with access to all Diners Air Lounges around the world

A debit card for reasonable credit spending

A specialized service debit card for economic spending

Diners

C Point

C Discount

A premium card for business owners with powerful rewards and practical benefits

With multi-point benefits and platinum services, a platinum card for practical business owners

With upgraded benefits of the M and Korea’s best discounts in cars and gas, a premium card for business owners

A multi-point card for business owners with countless benefits from auto to cars, dining, air, and shopping

An auto lifestyle card for business owners with discounts for all gas stations and LPG charging stations

A debit card for business owners for reasonable credit spending

the Red

M2

M3

M

O

C Point

A new concept discount card with no conditions or limits

A cash-back card for anytime point accumulation and balance reduction

ZERO

DIRECT

The first ever VVIP card made exclusively for Korea’s top 0.05%

The most recognized VIP card for Korea’s top 5%

A premium card with powerful rewards and practical benefits

the Black

the Purple

the Red

Premium

With upgraded M benefits, Korea’s best discounts in cars and gas

With upgraded H benefits, Korea’s best discounts in family life

With upgraded R benefits, Korea’s best discounts in shopping

With upgraded T benefits, Korea’s best discounts in air and travel

With multi-point benefits and platinum services, a platinum card for practical users

A platinum card exclusively for women with M point benefits

A platinum card with Asiana Air mileage accumulation and platinum services

M3

H3

R3

T3

M2

M2 Lady

A2

A platinum card with Korean Air Mileage accumulation and platinum servicesK2

Platinum

A multi-point card with countless benefits from auto to cars, dining, air, and shopping

A card exclusively for women with discounts on shopping, beauty, and childcare on top of the benefits of M such as cars, gas and dining

A card with discounts for convenience stores, taxis and online shopping on top of discount chains and gas stations

A family lifestyle card with discounts for the entire family from academies, cell phone use, hospital and pharmacies

An auto lifestyle card with discounts for all gas stations and LPG charging stations

A card for shoppers with 10% of purchases accumulated in points for gift cards

A card for travelers with air mileage accumulation and travel benefits

M

M Lady

V

H

O

R

T

Alphabet

My BusINEss

Diners/Check

For card members with Platinum 2 or above, Hyundai Card’s Privilege Service with 10-20% on-site discount for over 700 luxury merchants such as hotels, top restaurants, cafes, beauty clinics, and spas

Hyundai Card’s exclusive service for cultural experiences and a luxury lifestyles

Hyundai Card Club Service

Hyundai Card PRIVIA

service

Basic

Hyundai Card

Auto Installment Plans

Used Car Loan

Direct Used Car Loan

Car Leasing

Long-Term Rental Car

Corporate Leasing and Rental Cars

Mortgage Loans

Bi-yearly Rental Loans

Auto Collateral Loans

PLUS+ Membership

Auto Inside

MY BUSINESS

Finance Shop

Auto Financing

Customer services

secured Loans

Credit Loans

Customized auto plan with terms chosen by customers

A reliable plan to finance used cars

An economical plan to purchase used cars with 5% discount in interest after DIRECT consultation

A comfortable lease plan with excellent management of cars

An economical and convenient plan to rent a car to suit your needs

An auto plan that takes into account time and cost cutting

A mortgage loan with a maximum limit of 85% of real estate prices

A rental loan providing up to 80% in held rental deposits

A fast, convenient loan with auto collateral

Customer finance protection service free of charge for Hyundai Capital Customers

A one-stop used car portal with used car listings, accident reports, pricing and auto financing information

Finance + Knowledge service for business owners

A customer space with easy access to Hyundai Card and Hyundai Capital’s financial services

A DIRECT credit loan without complicated paperwork or in-person consultations

A convenient credit loan with in-person consultations

Direct Loans

Prime Loan

Hyundai Capital

Life insurance plans for families to maintain financial stability in the case of death/accident

Health insurance plans to secure payment for treatment in the case of accident/illness

Pension plans to better prepare for economic stability and savings for the future

Investment plans for future savings

Insurance plans for children in case of accident/illness or for education/weddings

Insurance plans for corporations to provide workers’ welfare

Life Insurance (Universal)

Life Insurance (Dual)

Life Insurance (Silver)

Variable Life Insurance (Universal)

Term Insurance

Term Insurance (Income guaranteed)

Health Insurance

Cancer Insurance

Long-Term Care Policy

Critical Illness Insurance (Universal)

Variable Critical Illness Insurance (Universal)

Annuity Insurance

Variable Annuity Insurance

Pension Savings Insurance

Savings Insurance

Savings Insurance (Dual)

Variable Savings Insurance (Universal)

Child Health Insurance

Child Savings Insurance

Group Accident Insurance

Retirement Pension Insurance

Life/Term Insurance

Group/Corporate Insurance

Health/CI Insurance

Annuity Insurance

savings Insurance

Child Insurance

Hyundai Life

Hyundai Life

Hyundai Capital

Hyundai Card

Hyundai Com

mercial

Partnership “ By joining hands with the world’s best, we have developed our global capabilities to reach out to the world. ”

45P

artnershipW

ith Num

bers

Hyundai Life

Hyundai Capital

Hyundai Card

Hyundai Com

mercial

The partnerships entered into by Hyundai Card, Capital and Commercial are not limited to financial companies. We introduced magazines such as Martha Stewart Living and Monocle to Korean readers and continue to spread awareness about Korean cuisine and restaurants around the world through Zagat, the Bible of restaurant guides.

What kind of benefits would a partnership with a non-financial company bring? At Hyundai Card, Life, Capital and Commercial, we do not stop at providing financial services. Lifestyle is also a part of a larger category of financial services. Hyundai Card, Life, Capital and Commercial will never cease to think about bringing differentiated the experiences of sophisticated lifestyles to our customers.

Hyundai Capital and Hyundai Card successfully established strategic partnerships with global financial powerhouse GE Capital, a milestone towards entering the global market. Through joint ventures with GE, Hyundai Capital and Hyundai Card have gained a new competitive edge. Above all, GE brought our attention to the importance of compliance and corporate culture, especially in light of our efforts to overcome crisis and start anew. GE recognizes Hyundai Capital and Hyundai Card as its most successful joint venture partners. Beyond a simple business partnership, Hyundai Capital, Hyundai Card, and GE share a strong bond as role models for one another.

In addition to their long-term partnership with GE, Hyundai Capital and Hyundai Card also strengthened their alliance with Europe’s largest bank, Santander’s Consumer Finance. In 2009, starting in Germany, Hyundai Capital expanded throughout the European market with local ventures to handle auto-financing for Hyundai and Kia Motors by taking full advantage of Santander’s shared know-how. In 2011, Hyundai Card also joined hands with Santander by sharing marketing practices.

We extend our reach to overseas through working with leading partners

47P

artnershipW

ith Num

bers

Hyundai Life

Hyundai Capital

Hyundai Card

Hyundai Com

mercial

49P

artnershipW

ith Num

bers

Business Partnership : GE, SANTANdERBrand Partnership : MONOCLE, MoMA, MARTHA STEWART, TASCHEN, ZAGAT

2006.11 Opened exclusive online store MoMA

Korea after partnership with Hyundai Card (www.momaonlinestore.co.kr)

2008.11 Sponsored MoMA’s exhibition “Design:

Humble Masterpieces” in Korea

2009.02 Organised < Destination: Seoul>

with MoMA Retail to help domestic up-and-coming industrial designers to submit works to the international markets

2009.11 Sponsored <Bauhaus 1919-1933:

Workshops for Modernity> Exhibition in New York

2010.08 Launched three year partnership with

MoMA Internship program for Korean applicants: Opportunity to send nine interns each year

2010.09 Sponsored “Yeonghwa: Korean Film

Today” Film Festival in New York

2010.10 Sponsored <Abstract Expressionist New

York> Exhibition in New York

2010.10 <Hyundai Card Super Talk 01- Innovation

in Art> Lecture by Director of the MoMA Glenn Lowry and Chief Curator of Architecture and Design Barry Bergdoll

2011.07 Sponsored MoMA “Talk to Me” Exhibition

in New York

2011.11Hyundai Card-MoMA Curator Visit to Korea Program, Lecture by Paola Antonelli, Senior Curator, Department of Architecture and Design

2006.03 Introduced to the Korean market through exclusive partnership with Hyundai Card

2010.02 Published <Zagat Seoul Restaurants 2010>

2011.02Published <Zagat Seoul Restaurants 2011>

2012.02Published <Zagat Seoul Restaurants 2012>

2009.12 Exclusive publication of <Martha Stewart Living> in Korean

2011.06<Hyundai Card Super Talk 03 – Change Your Life> Lecture by Martha Stewart

2009.06Began domestic sales of Monocle through exclusive partnership with Hyundai Card

2010.04 Sponsored <Seoul: Monocle City Survey>

2011.04<Hyundai Card Super Talk 02 – Breaking the Trend, Making the Trend> - Lecture by Monocle Editor-in-chief Tyler Brûlé

2009.09

Establishment of Hyundai Capital Germany GmbH: joint venture between Hyundai Capital and Santander Consumer Finance

2010.05 Establishment of Hyundai Capital

Europe GmbH

2011.05 Establishment of partnership

between Hyundai Card and Santander

2011.12

Ceremony for the establishment of Hyundai Capital U.K. Ltd: joint venture between Hyundai Capital and Santander Consumer Finance

2004.08Strategic partnership between Hyundai Capital and GE Capital

2004.10Establishment of joint venture between Hyundai Capital and GE Capital

2005.08Strategic partnership between Hyundai Card and GE Capital

2005.10Establishment of joint venture by Hyundai Card and GE Capital

2006 GE Capital provided USD 600 million back-up credit line to Hyundai Capital

2007GE Capital provided USD 900 million in direct funding to Hyundai Capital

2009GE Capital increased its back-up credit line from USD 600 million to USD 1 bil (Total investment as of 4Q11: KRW 2.8 trillion)

2010 GE Capital provided USD 200 million back-up credit line (Total investment as of 4Q 11: KRW 741.2 billion) to Hyundai Card

2012 GE Capital extended its credit line to Hyundai Capital

2010.02Opening of <TASCHEN Online Book Store> after exclusive partnership with Hyundai Card

2010.08Opening of <TASCHEN Pop-up Store>

Hyundai Life

Hyundai Capital

Hyundai Card

Hyundai Com

mercial

Press Coverage

51P

ress CoverageW

ith Num

bers

“ Media articles on Hyundai Card, Life, Capital and Commercial. ”

53

12.15 / 2011

DATE

Joongang Ilbo

MEDIA

Hyundai Capital joins Hyundai Motor’s aggressive expansion in the u.K.Hyundai Capital established an auto financing joint venture with Santander in the U.K.

Hyundai Capital established Hyundai Capital U.K, with Europe’s largest bank, Santander, to provide auto financing for Hyundai and Kia Motors. Hyundai Motor Group and Santander are also expanding their partnership into several European markets.

The partnership aims to provide advanced auto financing for customers utilizing Santander’s strong network and know-how in Europe. Hyundai Capital’s support will contribute to Hyundai Motor Group’s continuing growth in the region.

55

12 / 2011

DATE

Forbes Korea

MEDIA

Install science and marketing into cards through alphabets, numbers and colorsHyundai Card’s innovative brand strategy

With ‘out of box’ thinking, Hyundai Card has become an icon of innovation in Korea. It completed a systematic product portfolio by building the three pillars of alphabets, numbers and colors. It created various cards which offer different benefits, lifestyles and

social status to its customers. The company doesn’t believe in customer surveys. Hyundai creates products which go beyond customers’ expectations and needs. Its brand image is an MIT guy in a Prada suit.

57

11.04 / 2011

DATE

Dong-a Ilbo

MEDIA

06.24 / 2011

DATE

Chosun Ilbo

MEDIA

Help small business create a smash success through comprehensive marketing support Hyundai Card & Hyundai Capital’s “My Business” service for small business

Unconventional thinking during the crisis opened foreign investors’ walletsHyundai Capital and Hyundai Card’s overseas bond issuance success story

As part of “My Business”, a comprehensive credit card and consumer finance service designed for small business, Hyundai Card & Hyundai Capital provide a popular report to their customers. By collaborating with a telecommunications provider

and governmental statistics agency, the companies offer in-depth market analysis on neighborhoods to small business owners. It gives smart tips to target customers and offers effective marketing tools.

When Hyundai Capital tried to hire a lead manager to issue its first bond in Japan in 2004, only one out of 10 banks returned the RFP because they didn’t think Hyundai Capital could raise money in Japan. Through steady IR activities which focus on a small number of large pension funds and by emphasizing supports from strong

shareholders, Hyundai and GE, the company has built a reputation overseas. With its diversified funding portfolio by product, maturity and region, the company has successfully issued bonds not only in Japan but also in Switzerland, Malaysia, and the U.S.

59

05.23 / 2011

DATE

The Korea Herald

MEDIA

04.27 / 2009

DATE

Business Week

MEDIA

61

09 / 2010

DATE

Finance Asia

MEDIA

Thinking beyond numbers

Without Numbers

CEO’s Letter 02

PRIDE - Corporate Culture 06The force behind corporate growth

EXPRESSION - Branding & Marketing 28Innovative thinking and methods to express us

EMPOWERMENT - Corporate Social Responsibility 56CSR through talent donation

Press Coverage 78Hyundai Card, Life, Capital, and Commercial in the media

Contents

03W

ithout Num

bers

CEO’s Letter

Numbers tell a clear story about a company. All figures such as market share, operating income, and rankings are conclusive. At first glance, a company will be evaluated according to such numeric indicators. At our companies, the top priority has been achieving robust numbers. As a result, in the space of ten years, our companies, previously fraught by a deficit of KRW 800 billion, transformed into healthy companies with KRW 1 trillion in operating income. However, it is important to emphasize that our improvement in financial health is not only quantitative, but also qualitative. We at Hyundai Card, Hyundai Life, Hyundai Capital and Hyundai Commercial, do not settle solely for achievements in numbers. Numbers are results, not goals. Our goal is not to achieve KRW 1 trillion in operating income. Our goal - our obsession - is to redefine the financial industry. If we had simply reduced costs by investing less in our employees and brands to increase profits and focused exclusively on businesses with high profit ratios, our numbers would not have been worthy of attention. We, at Hyundai, strive to achieve more than numbers. In order to redefine an industry that depends on numbers, we pursue qualitative differentiation. Our obsession over differentiation and producing something out of the ordinary is hard-wired into our corporate culture, bringing forth world-class cultural events such as Super Concert and Super Match. That is not the kind of feat possible in a company that focuses solely on financial figures. In 2011, Hyundai’s creative thinking thrived beyond numbers. Super Concert traveled to Busan in Korea’s southeast to extend the cultural benefits typically exclusive to metropolitan areas to regional districts. In addition to Super Concert, we launched our Culture Project to introduce new artists and performance genres and meet a wider range of cultural needs of our card members.

Numbers tell a clear story about a company. All figures such as market share, operating income, and rankings are conclusive. At first glance, a company will be evaluated according to such numeric indicators. At our companies, the top priority has been achieving robust numbers. As a result, in the space of ten years, our companies, previously fraught by a deficit of KRW 800 billion, transformed into healthy companies with KRW 1 trillion in operating income. However, it is important to emphasize that our improvement in financial health is not only quantitative, but also qualitative. We at Hyundai Card, Hyundai Life, Hyundai Capital and Hyundai Commercial, do not settle solely for achievements in numbers. Numbers are results, not goals. Our goal is not to achieve KRW 1 trillion in operating income. Our goal - our obsession - is to redefine the financial industry. If we had simply reduced costs by investing less in our employees and brands to increase profits and focused exclusively on businesses with high profit ratios, our numbers would not have been worthy of attention. We, at Hyundai, strive to achieve more than numbers. In order to redefine an industry that depends on numbers, we pursue qualitative differentiation. Our obsession over differentiation and producing something out of the ordinary is hard-wired into our corporate culture, bringing forth world-class cultural events such as Super Concert and Super Match. That is not the kind of feat possible in a company that focuses solely on financial figures. In 2011, Hyundai’s creative thinking thrived beyond numbers. Super Concert traveled to Busan in Korea’s southeast to extend the cultural benefits typically exclusive to metropolitan areas to regional districts. In addition to Super Concert, we launched our Culture Project to introduce new artists and performance genres and meet a wider range of cultural needs of our card members.

Our brand strategy also evolved. With the launch of Hyundai Card ZERO, we perfected our brand portfolio. Within our brand portfolio, every Hyundai credit card is categorized according to three elements or axes: a letter of the alphabet, a number, and a color. The letter on the card specifies the type of benefits. The number points to the size of the benefits. Lastly, the color of the card designates the level of prestige among our premium cards. The comprehensiveness of our portfolio was a groundbreaking brand strategy in Korea’s finance industry and is also studied by global players. At Hyundai, we strongly believe that good corporate citizens make a good company. We are deeply committed to corporate action and thinking about which core values are the most meaningful to those in need. Our mission in corporate social responsibility (CSR) can be expressed by the following proverb: "Give a man a fish and you feed him for a day. Teach a man to fish and you will feed him for a lifetime." We designed the Dream Project to help foster self-sufficiency among small business owners by redesigning their stores and marketing tools and have launched five stores through the project so far. In cultural philanthropy, we organize performances for students and graduates of Korea National University of Arts to donate their musical talent and play for child cancer patients. In addition, the Dream Education Program helps underprivileged youth learn new skills, get jobs and take their first steps as members of society. As such, Hyundai’s efforts in CSR cannot be assessed in terms of figures. Our innovative communication strategies also reflect thinking that extends beyond numbers. With access to diverse channels of information, consumers can no longer be won over by conventional ad campaigns that introduce new products. From business philosophies to employee traits and even fashion styles, consumers today are more interested in the inner workings of companies. At Hyundai, we strive to communicate our unique corporate identity of efficiency, simplicity and intuition by utilizing every channel available to us. Not only do products and services serve as means to reach consumers. Every aspect of our work environment - books, blogs, SNS, music, designs, our offices, our stationery and our work processes – are channels for communication, or rather, as we call at it Hyundai, “Expression.”

Above all, we are empowered by our corporate culture to think beyond numbers. Hyundai’s culture reflects our employees’ daily commitment to “redefining the financial industry.” Creating a workspace and mindspace that encourages employees to discover new things and innovate is central to achieving the numbers we want and challenging industry dogmas.It takes more than training for corporate culture to take root within a company. Employees must feel and experience it at every moment during their work day. At a time when we suffered operating losses, our approach was to foster corporate culture and awareness among employees through small, incremental changes in our work environment such as upgrading office facilities. It became evident that practicality prevails over deference in terms of effectiveness and that science and culture can create infinite synergies. Our aim to achieve beyond numbers encouraged diversity and liberal thinking on top of a strong sense of commitment to our principles. Hyundai’s ultimate goal is not to grow in size and profits, but to change the rules of the market and develop into a financial company that provides value to our customers and their communities. This goal drives us to think beyond the present. Our desire for innovation and creativity places our focus on the future. All of us - at Hyundai Card, Life, Capital and Commercial - are excited by thinking that surpasses numbers. It is what gets us one step further each day.

CEO’s Letter

Ted Chung

CEO: Hyundai Card; Hyundai Capital; Hyundai Commercial

Chairman of the Board: Hyundai Life

07W

ithout Num

bers

The key to our success is our creative, ground-breaking corporate culture.

There are many ways to measure a company’s competitiveness. Quantitative data, such as the numbers of employees, performance standards, and market share, are pretty self-evident. When it comes to figures, there is no question that Hyundai Card, Hyundai Life, Hyundai Capital and Hyundai Commercial are highly competitive companies. However, our true competitiveness lies in our corporate culture.

For us, corporate culture is not something that can be orchestrated overnight by companies to draw attention. We have long believed that corporate culture is the driving force behind success even from the very beginning when our companies suffered shared deficit of KRW 80 billion ten years ago. Since then, we have spared no expense in fostering awareness among employees about the importance of corporate culture and bringing change to the way we work.

Corporate culture is not merely a slogan. We conceptualize corporate culture as something reflected in the values of our company and how we confront our work on a daily basis. It takes more than shouting “innovation” and “creativity” to develop products and services that are truly innovative and creative. The first step is to set up a work environment and an organizational culture that allows for innovative and creative thinking.

Our office environment at Hyundai Card, Life, Capital and Commercial is a direct example of our corporate culture. We have come across so many people who are amazed by and envious of our offices not simply because our interior design is modern and sleek, but because they can sense a strategic and consistent design concept permeating the space the moment they enter. With our eyes on strategy and consistency, we have striven convey our corporate culture in the most visual and intuitive way to ensure our employees feel and live it throughout their day.

Above all, the reason we value corporate culture at Hyundai Card, Life, Capital and Commercial is pride. Our ultimate goal is to become a company that our employees can be truly proud of, and we aim to accomplish this through corporate culture. Without pride, there can be no passion, without passion, there can be no development. Hyundai Card, Life, Capital and Commercial will continue to invest wholeheartedly in corporate culture for the pride of our employees. We are confident that the synergies among our passionate employees provides the strongest formula for success.

Corporate Culture

Hyundai Life

Hyundai Capital

Hyundai Card

Hyundai Com

mercial

09W

ithout Num

bers

Convention Hall

Corporate Culture

Townhall Meeting

11W

ithout Num

bers

Hyundai Life

Hyundai Capital

Hyundai Card

Hyundai Com

mercial

Corporate Culture13

Without N

umbersFocus Meeting

Pride is our source of passion at Hyundai Card, Life, Capital and Commercial

Employees with pride are guided by a strong sense of moral duty. At Hyundai Card, Life, Capital and Commercial, our moral duty is defined by the Zero Tolerance Policy (Z.T.P) that includes Client Information Protection, Transparency in Vendor Relations, Sexual Harassment Prevention, and Cartel Prevention. Regardless of seniority and title, any employee who fails to abide by these core policies must leave the company. The strongest force behind Z.T.P is the motivation of our employees who strive to build a company of exceptional corporate governance, trust, and transparency.

Nothing about our corporate culture at Hyundai Card, Life, Capital and Commercial is habitual or rigid. For instance, we discourage habit formation in the meeting room; for every meeting, each employee sit where they want. Furthermore, to foster a free environment for discussion, our CEO sits on the side rather than in the middle. Employees are also discouraged from taking notes verbatim, especially when taking direction from their bosses. Bringing change to the smallest details and breaking habits can result in new ways of thinking that can redefine corporate culture. We have also brought change in how we evaluate performance by replacing the Key Performance Index (KPI), widely used in our industry for a lack of a better alternative. Instead, we have adopted a qualitative performance standard, paving the way for innovation and creativity.

At Hyundai Card, Life, Capital and Commercial, we were able to accomplish much in a short period of time. This is the result of our strategy to devote more resources to a single employee and his or her passion rather than producing a good TV ad. Our most valuable asset is our employees. Only with passion can employees produce solid numbers and success stories. Hyundai Card, Life, Capital and Commercial will remain focused on fostering a corporate culture of innovation and creativity to become a leading financial company trusted and respected by our employees and our loyal customers.

Hyundai Life

Hyundai Capital

Hyundai Card

Hyundai Com

mercial

Corporate Culture

Idea TableFocus Meeting

15W

ithout Num

bers

Hyundai Life

Hyundai Capital

Hyundai Card

Hyundai Com

mercial

PRIDE

Corporate Culture > Where We Work

Hyundai Card, Life, Capital and Commercial Workspace

Large Meeting Room The heated discussions and ideas that pour out of our meetings are the engines that drive Hyundai Card, Life, Capital and Commercial into the future

017 Large Meeting Room

018 Phone Booth | Café M | Design Lab | Auditorium | The Wailing Wall | HCA Offices in Irvine.

020 Idea Table | Idea Table at Ulsan | The Box | Print & Wash

022 Media Zone | Library

Where We Work

024 Market Place | Leadership Forum

026 MyD Card | Office Stationery

027 PRIDE Book

How We Work

17

Phone Booth A phone booth for personal calls with soundproof walls to ensure privacy and respect

Auditorium With 108 seats, the auditorium is a multi-purpose space for performances, meetings, and lectures

The Wailing Wall The Wailing Wall broadcasts real-time customer complaints for our employees to lend an open ear to the voice of our customers

Café M A café for employees and visitors filled with chairs and other design items by Danish designer Verner Panton

Design Lab Where imagination becomes reality. Our design philosophy reflects our conscientious efforts to express our core values in the most straightforward way

Hyundai Capital America Offices in Irvine, CA Overseas offices also reflect our universal design values on top of local design features. At the Irvine office, the workspace and interior are modularized with colorful, high partitions

19

The Idea Table In an open space with high ceilings, the Idea Table draws out creative thinking. Always at hand are rolls of paper and writing utensils to jot down ideas as they materialize

The Box The Box offers a healthy salad bar during lunchtime and transforms into a wine bar at night. With a self-explanatory name, The Box boasts a modern, chic interior design of rectangular glass walls on all four sides

The Idea Table at Ulsan Our local offices and headquarters share the same design identity and details. All offices have ivory white Idea Tables to spread out rolls of paper and red cabinets to store colorful writing. The ceiling décor of hanging books and light bulbs stimulates our imagination

Print & Wash Print & Wash offers color printing and book binding with a single click. At Print & Wash, employees can also get their dry cleaning done without having to worrying about whether their local dry cleaners will be open

21

Library This library holds more than ten thousand books and other information resources in addition to domestic and foreign newspapers and periodicals. Employees can make purchase requests, which are all processed and fulfilled. All resources can be searched via catalog and are available for delivery

The Media ZoneA space for storytelling: transformation and innovation

23

Leadership ForumA forum to present and share best practices within the company as model cases of innovation. All best practices presented during the forum are distributed throughout the company and applied in each department

Market PlaceEvery second Thursday of the month, executives from all departments come together in the convention hall with their laptops and paperwork to freely discuss various business plans with one another

25

Corporate Culture > How We Work

MyD | Office Stationery

Corporate Culture > How We Work

PRIDE Book

PRIDE, The 50 Ways of Hyundai Card. A book about the corporate culture of Hyundai Card, Capital, and Commercial and our way of getting things done. Under three themes work ethics, work style and business manners - the book explains 50 ways we work

Design motive inspired by traditional identity medallions from the Joseon period

Our desk is our brand. All office stationery is created exclusively by Hyundai’s very own designers for uniformity in look & feel

27

29

Hyundai Life

Hyundai Capital

Hyundai Card

Hyundai Com

mercial

Without N

umbers

Branding &

Marketing

31W

ithout Num

bersit card

We think about marketing and branding for all facets of consumer experience.

At Hyundai Card, Hyundai Life, Hyundai Capital and Hyundai Commercial, we have accomplished what no other financial company has been able to, or even been thought to be able to achieve. With events like Super Concert and partnerships with world-class brands, our innovative and unique marketing strategy has been hailed as a powerhouse of marketing and branding.

Our success in marketing strategies is rooted in our ability to understand rapid changes in consumer needs and pioneer the financial industry. Consumers are no longer concerned with individual products. They are interested in corporate strategy and vision. In the past, companies were lauded as leaders in marketing with a single, successful ad campaign. Nowadays, successful marketing requires stories that penetrate through the heart of products and meld with corporate vision and strategy.

Developed under the philosophy, “The best we can offer our members is exceptional experiences,” our marketing strategy is to narrate our story behind individual products, services like PRIVIA, MoMA and MY BUSINESS, and initiatives such as the Super Series. These stories stimulate the curiosity and interests of our consumers. Our identity is exemplified through our ground-breaking approach to marketing and branding; this is how we are different and how we must differ from other companies. In addition to marketing/branding, consumers wish to learn the story behind our corporate vision, encompassing our products and services, our CI and even our offices. With the development of direct, multidirectional channels such as the Internet and SNS, it is impossible to keep our stories within the boundaries of our company. Amid these environmental changes, Hyundai Card, Life, Capital and Commercial aim to redefine corporate communication strategies under the term, “Expression.”

Hyundai Life

Hyundai Capital

Hyundai Card

Hyundai Com

mercial

it card

Branding &

Marketing

Hyundai Life

Hyundai Capital

Hyundai Card

Hyundai Com

mercial

33W

ithout Num

bers

Super Match 12Dance Sports

Branding &

Marketing

35W

ithout Num

bers

We build our brand through “Expression” with consistency and harmony.

At Hyundai Card, Life, Capital, and Commercial, our “Expression” starts small. Developed exclusively by our designers, our very own typography Youandi is used consistently throughout our corporate material. Comprised of our CI and BI, the use of our corporate logo is strictly regulated by rules for precision in measurement, spacing and angle. Our font and logo are applied throughout our card products, card bills, flyers and the walls of our offices only after a rigorous inspection process.

Expression” does not stop there; “Expression” encompasses SNS communication channels such as Twitter and Facebook and projects like the PRIDE Book containing our corporate culture and our member newsletter, The Modern Times. Hyundai Card’s services and events are also a core part of “Expression.”

Our loyal members live the Hyundai Card experience through events such as Super Concert and Super Match; Seoul’s best restaurants recommended by Zagat; and global trends are introduced by Monocle. These experiences are not episodic cultural marketing initiatives. These long-term campaigns capture our corporate identity beyond the visual, stimulating the ears, the taste buds and the physicality of our members.

As such, we have strategized to communicate our corporate identity by targeting all areas of Expression” with consistency. Our distinct corporate identity, “Distilled Functionality” as we call it, sets us apart from our competition. What we mean by “distilled” is that we strive for clarity, leaving only what is essential.

In the future, our members will encounter more and more of Hyundai Card, Life, Capital and Commercial in unexpected ways wherever they turn. This does not mean that more effort will be required on the part of our members to understand our corporate identity. On the contrary, our “Expression” will become even more precise and definite, and easier to identify and experience. We will never settle until our philosophy and corporate identity embrace all facets of life and culture.

“

“

Hyundai Life

Hyundai Capital

Hyundai Card

Hyundai Com

mercial

Super Talk 04Insight In, Creative Out

Branding &

Marketing

Super Match 12Dance Sports

37W

ithout Num

bers

Hyundai Life

Hyundai Capital

Hyundai Card

Hyundai Com

mercial

Branding & Marketing > Products

Hyundai Card Product Portfolio

039 Hyundai Card Product Portfolio

040 Premium Cards: The Liquidmetal Series

042 it card

044 it card Pop-up Store

Products

046 Super Series & Culture Project

Events

048 House of the Purple

050 Air Lounge

Places

052 Modern Times

054 GS Ice Cup

055 it water

Experience

EXPRESSION

Our card portfolio has three pillars: alphabet for different kinds of benefits; numbers for different levels of benefits; colors for different status of premium cards

39

Hyundai Card the Red

Hyundai Card the Purple

Hyundai Card the Black

Hyundai Card’s premium card line up is categorized by color: the Black launched in 2005 as Korea’s first VVIP card, the Purple and the Red. These premium cards are made with Liquidmetal - the strongest among existent alloys - to signify permanence and prestige

Premium Card Liquidmetal


41


it card

Copper Brown Alexandria Green

Champagne Pink

Polaris Silver

Imperial Yellow

Paris Blue

43

Hyundai Card launched it card for card members who wish to express their unique identity and style by creating their very own card plate design. Card members can choose from two plate materials, Hyper Duralumin and Liquidmetal, and from six different colors among Champagne Pink, Copper Brown, Alexandria Green, Polaris Silver, Imperial Yellow and Paris Blue

Located on Garosu Street in Southern Seoul’s Sinsa district, the it card Pop-up Store welcomes visitors to see it card samples and submit card applications in person. In addition to the it card, it card Pop-up Store offers an exhibition of color photographs depicting Hyundai Card’s brand identity as manifested in its wide range of products and services


it card Pop-up Store

45

2011.01.11Sting

2011.05.25Maroon 5

2012.02.21Royal Concertgebouw & Chung, Myung-Hun

2012.06.27Lady Gaga

2005.09.19Maria Sharapova vs Venus Williams

2006.09.16Super Stars on Ice

2006.11.21Roger Federer vs Rafael Nadal

2007.11.20Roger Federer vs Pete Sampras

2008.07.19Super Stars on Ice

2009.07.31Super Class on Ice

2009.12.11Snow Board City Jump

2010.06.05Medalist On Ice

2010.10.02Novak Djokovic vs Andy Roddick

2011.11.26Dance Sports

Super Match

2010.01.18Green Day

2010.02.06Whitney Houston

2010.05.02Andrea Bocelli

2010.07.03Usher

2010.10.25Itzhak Perlman

2010.08.10Stevie Wonder

2007.01.26Il Divo

2007.11.9Beyonce

2008.11.15Billy Joel

2009.01.13Plácido Domingo

2009.08.19Craig David

2009.09.29Zubin Mehta & Sumi Jo

Super Concert

2010.10.19Innovation in Art

2011.04.12Breaking the Trend,Making the Trend

2011.06.14Change Your LifeMartha Stewart

2011.10.12Insight In, Creative Out

Super Talk

Branding & Marketing > Events

Super Series & Culture Project

47

Branding & Marketing > Places

House of the Purple

Meticulously curated with tasteful, one-of-a-kind décor pieces and lush furnishings, the House of Purple is a modern lounge space created exclusively for the use of the Purple card members. Members can enjoy a quick bite or drink and curl up in a cozy corner to engage in conversation about culture or the arts

49

Branding & Marketing > Places

Air Lounge

The Hyundai Card Air Lounge at Incheon Airport is a members-only air lounge for travelers to recharge before their flight and take advantage of Hyundai’s wide range of customized services for every kind of traveler. Designed as a modernist space with a functional layout, the Air Lounge was selected as a winner of the Institute Honor Award for Interior Architecture by the American Institute of Architects

51

Branding & Marketing > Experience

The Modern Times

The Modern Times is a quarterly publication - the first of its kind in the financial industry - made for Hyundai Card members in a newspaper format with trend-focused content. Offering the latest news on lifestyle trends, The Modern Times is a must-read for Hyundai Card’s professional readership

53


GS Ice Cup


it water

Created as a joint project with a major convenience store company GS25, GS Ice Cup is a thirst-quenching, summer beverage for urbanites on-the-go. Available for purchase with M-points, GS Ice Cup is a visually-innovative product with a modern design and catchy name

A bottled water to express Hyundai Card’s brand in a new and fresh way. Customers can experience Hyundai Card’s distilled identity by drinking ‘it water’ which is designed based on minimalism

55

57

Hyundai Life

Hyundai Capital

Hyundai Card

Hyundai Com

mercial

Without N

umbers

Dream store no. 3Bean Love, tofu store

Corporate Social R

esponsibility59

Without N

umbers

At Hyundai Card, Life, Capital, and Commercial, we consider corporate social responsibilityas an opportunity beyond donating and volunteering to do what we can do best.

Hyundai Card, Hyundai Life, Hyundai Capital and Hyundai Commercial have the largest and the only full-sized department dedicated to corporate social responsibility (CSR). Emerging as a leader in CSR, we approach CSR in a systematic way through innovative and creative initiatives, breaking the mold and writing new rules. Instead of conducting conventional, episodic events, we pursue CSR by finding areas in which we can optimize our strengths and abilities and truly commit to our initiatives. We focus on four main areas – Culture and Arts; Children and Youth Care; Neighborhood Business Support; and Innovative Contributions – under the principles of charity, freedom, and self-sufficiency. We strongly believe that culture and music can give hope to anyone even in the most dire circumstances. Through Art Stage, we visit child cancer wards and children’s welfare centers nationwide with Korea National University of the Arts. We put on music performances for patients and their families and provide cultural opportunities such as music recitals, theater visits, and traditional Korean arts performances for underprivileged children. In addition, Fun-filled Classroom is an art care program aiming to provide emotional support for child cancer patients enrolled in hospital schools and encouraging participants to pursue artistic talent.

One of our core goals is to help children and youth – the leaders of our future – overcome the limitations of their circumstances. Exciting Experiences is a program for children from underprivileged or dysfunctional families to experience a wide range of cultural events led by employee volunteers who help as teachers. Through SNU-Hyundai Card Mentor School, students from SNU donate their time and knowledge to tutoring middle and high school students from disadvantaged backgrounds, while we provide scholarship support in return.

Hyundai Life

Hyundai Capital

Hyundai Card

Hyundai Com

mercial

Dream Shop No.5 Dr. Bubble

Corporate Social R

esponsibilityW

ithout Num

bersDream store no. 3Bean Love, tofu store

61

Hyundai Life

Hyundai Capital

Hyundai Card

Hyundai Com

mercial

Instead of giving fish, we teach fishing to foster self-sufficiency.

In CSR, the most valuable role for financial companies is to help those in financial trouble to become self-sufficient and participate in the economy. While financial support may help many in finding opportunities towards financial independence, we strongly believe that teaching participants how to fish is more effective than simply giving fish. "Dream Project" and "Dream Education" are two core initiatives that represent this philosophy in CSR. "Dream" is a project with many success stories of neighborhood business owners in various business fields. "Dream Education" trains underprivileged youth in professional skills to encourage self-sufficiency. The Hyundai Motor Microcredit Foundation’s Learning Center also provides training and consulting to aspiring entrepreneurs and neighborhood business owners aiming to improve their businesses.

At Hyundai Card, Life, Capital and Commercial, we shun monetary donations in the form of envelopes and commemorative photos and volunteering without fun or meaning. We encourage our employees to design events that are truly fun for them in hopes that they will be able to commit wholeheartedly. For company-wide donation drives, we actively utilize storytelling to foster active participation and bring in families to enjoy the volunteering process while learning from such experiences. In addition, we donated our design capabilities to initiatives like Seoul Station Art Shelter, and Korea National Ballet's Limousine Bus to communicate meaningful messages in an emotional way. We were honored to be named Korea’s Leader in CSR as part of the 2011 Management Grand Awards by the Korean Management Association Consulting and recognized for our consistent CSR initiatives under our four main themes. At Hyundai Card, Life, Capital and Commercial, we will continue to challenge the corporate CSR paradigm by committing to our CSR goals with innovation and heart.

Corporate Social R

esponsibility63

Without N

umbersExciting Experiences

Hyundai Life

Hyundai Capital

Hyundai Card

Hyundai Com

mercial

Art StageExciting Experiences

Corporate Social R

esponsibility65

Hyundai Life

Hyundai Capital

Hyundai Card

Hyundai Com

mercial

Without N

umbers

EMPOWERMENT

072 Media Art Bus Shelter

074 Korea National Ballet – Limousine Bus Donation

Talent Donation

076 Seoul National University (SNU)-Hyundai Card Mentor School, Dream Education, Art Care, Give Book Campaign

Volunteering

067 Dream Store No. 1





Self-support

Corporate Social Responsibility > Self-support

Dream” is an ongoing project conducted by Hyundai Card and Hyundai Capital through the Hyundai Motor Microcredit Foundation's Learning Center. The project aims to help neighborhood business owners run successful, long-term businesses through sharing know-how and aiding in remodeling their business models and establishments. We

provide overall design support and consulting for all aspects of business including spatial planning for individual stores, branding, packaging, and marketing. Our efforts and achievements in Dream Project were recognized by the International Design Excellence Awards, one of the top three design award programs in the world.

“I learned that placing red fruit next to yellow fruit would help sell more fruit. I had no idea that a small change in design could influence

sales in such a big way. Our sales certainly improved.”

Before

After

Dream Shop No.1 Sunlight Orchard, a fruit store

67


Dream Shop No.2 Long Legged Mister, snack bar

Before

After


Dream Shop No.3 Bean Love, tofu store

“My views on running a business changed completely. Before, I thought the business was slow because there were no students.

‘Dream’ gave me hope and a vision for the future.”

“I came here with a dream of uncertainty and started out as a street vendor. I worked very hard, but was faced with many challenges

because I was a North Korean defector. It was my dream to have a store of my own, and ‘Dream’ made that dream comes true.”

Before

After

69

Corporate Social Responsibility > Self-support Corporate Social Responsibility > Self-support

Dream Shop No. 4 Sasha Hair, hair salon Dream Shop No.5 Dr. Bubble

“I had regulars and worked without a single day off for three years in my shop, but it was very difficult to bring in new customers.

Through the ‘Dream’ project, I relearned hairdressing and received business training for a fresh start for my hair salon.”

“Our business was in trouble. We were ready to give up before being selected for ‘Dream’. We know this is an opportunity

of a lifetime, and we are confident that we will succeed.”

Before

After

Before

After

71

A bus shelter donated to the city of Seoul and installed at the bus transfer center at Seoul Station to expand our talent donation in the field of public design. We transformed a bus transfer center into a site of public art through innovation in locative media

Corporate Social Responsibility > Talent Donation

Media Art Bus Shelter

73

Corporate Social Responsibility > Talent Donation

Korea National Ballet

Limousine buses with Hyundai Card-designed exteriors donated by Hyundai Card and Hyundai Capital to help Korea National Ballet bring their “Traveling Ballet” to members of our community with limited access to ballet

75

Corporate Social Responsibility > Volunteering

Volunteering

Dream Education Professional training for underprivileged youth, North Korean defectors, and child cancer survivors struggling for employment without access to educational opportunities. Planned by Hyundai Card and Hyundai Capital and conducted by Hyundai Motor Microcredit Foundation’s Learning Center

Give Book Campaign Donation of mini libraries with quality reading material for children of regional welfare centers with limited access to books

Art Care A program for student patients of National Cancer Center School to take part in arts education for psychological and emotional support and stress relief in conjunction with the Korean Association for Child Leukemia and Cancer

SNU - Hyundai Card Mentor SchoolSNU students donate their time and knowledge for middle and high school students and, in return, Hyundai Card offers academic scholarships to SNU volunteers who tutor key subjects and take part in cultural experiences with their students in a mentors

77

Press Coverage “Media articles on Hyundai Card, Life, Capital and Commercial”

Media A

rticles79

Hyundai Life

Hyundai Capital

Hyundai Card

Hyundai Com

mercial

Without N

umbers

01.28 / 2012

DATE

Maeil Business Newspaper

MEDIA

“Put your identity” as a branding strategy for the age which values sincerity By personalizing the brand, Hyundai Card talks to customers through means beyond commercials

Companies can no longer rely on commercials to talk to their customers. There are many different ways for customers to experience the brand and Hyundai Card is pioneering new ways to express brand. From the way Hyundai headquarters is designed to the look of monthly card bills to the musical

performances it organizes, people feels a very consistent brand with distilled functionality. Hyundai Card’s identity is also reflected in its employees who pursue fast decision making and efficient meetings.

81

“When you get tired of the word ‘design’ the concept of ‘un-design’ will prevail” Ted Chung shares how he makes new rules in financial companies

Hyundai Capital & Hyundai Card CEO Ted Chung is one of most popular executives on Twitter with over 56,000 followers. In his tweets, he shares forward looking corporate culture of Hyundai. The company has installed a ‘Wailing Wall’ at the staff restaurant

to display real time feeds of customer complaints. He also shares his thoughts on branding and design, which played an important role in making Hyundai Card Korea’s fastest growing credit card company and a culture icon.

01 / 2011

DATE

Dong-A Business Review

MEDIA

83

01 / 2011

DATE

Dong-A Business Review

MEDIA

Not enough plates to serve food when my formerly deserted restaurant reopenedDream Project supports the self-employed by combining business and design

With Hyundai Microcredit Foundation, Hyundai Capital does more than providing cheap loans. Hyundai Capital and Hyundai Card support small business by sharing their expertise in marketing and design through "Dream Project". The project has helped a

snack bar, a fruit store and a tofu store to renew their stores and menus, which dramatically increased their sales. The project was internationally recognized by winning the service design category by IDEA.

07.07 / 2011

DATE

Chosun Ilbo

MEDIA

85

10.02 / 2010

DATE

Chosun Ilbo

MEDIA

Discover innovative DNA and spread it out Yearly best practice meeting at Hyundai Card and Hyundai Capital

Best practice benchmarking is praised as one of keys of successful management. GE started sharing best practice internally, and Hyundai Capital and Hyundai card, also adopted the practice in 2006. The companies say handling out an award and

reward money for best practices doesn’t mean much. Instead, the companies push for heated discussion from participants to question the value of best practice in order to spark innovative energy through the sharing session

87

08.02 / 2010

DATE

Weekly Chosun

MEDIA

What’s so different at Hyundai Card? Government agencies, companies, universities, and even competitor KB card to visit Hyundai Card

Hyundai Card’s unique design and marketing are often cited as the force behind its success, Hyundai Card emphasizes that it was it people and innovative culture that put the company ahead of the competition. For instance, the career market, an online job posting

system, enables staff to go work for the department of their choice, and everyone is strongly encouraged to express different views regardless of their ranks. The company also openly solicits complaints from customers.

89

08.02 / 2010

DATE

Weekly Chosun

MEDIA

91

07 / 2009

DATE

Monocle

MEDIA

93

07 / 2009

DATE

Monocle

MEDIA

95

10.25 / 2008

DATE

International Herald Tribune

MEDIA

97

company report eng

Economy & Finance

tae kimvice president

su leevice president

kyoon kwonvice president

jeong baekvice president

kimsenior vice president

woong baekvice president

suk leevice president

gs ice cup