2007 Annual Report Hynix 2007 Annual Report 16_17
the for the year 2007, 2007,
Will is strength. But it s also vision. Because... 3 Hynix 2007 Annual Report 16_3
2006 Highlights Financial Highlights (Three-year comparison of selected financial data) FOR THE YEAR OF 2006 2005 2004 7,569 5,753 5,864 1,872 1,430 1,846 2,012 1,817 1,692 3,213 2,559 2,858 3,000 2,500 2,000 1,500 1,000 500 0 2,656 1,743 1,824 1,684 1,578 1,542 1,492 1,511 1,297 1,342 1,284 1,235 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 2004 2005 2006 25% 25% 31% 27% 32% 29% 42% 44% 49% 13,626 10,265 8,255 60 1,957 1,216 927 5,092 4,038 3,795 2,084 1,642 1,831 8,533 6,228 4,460 50 40 30 42 54 39 49 32 49 31 43 40 45 48 31 45 41 35 47 33 60% 65% 85% 1% 7% 20% 20 23 23 17 25 25 21 16 10 0 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 2004 2005 2006 1 2 3 4
2,500 2,000 1,500 1,000 500 0 80 60 40 20 0 1,957 1,466 1,216 1,120 1,130 927 553 674 731 702 484 324 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 2004 2005 2006 74 55 46 20 20 22 17 7 6 7 7 1 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 2004 2005 2006 Top 25 Semiconductor Vendors by Revenue, Worldwide, 2006 (Millions of Dollars) 2006 2005 Company Name 2006 2005 Growth Market Rank Rank Revenue Revenue 2005-2006 Share 2006 1 1 Intel 30,437 34,590-12.0% 11.6% 2 2 Samsung Electronics 20,138 18,347 9.8% 7.7% 3 3 Texas Instruments 11,984 10,119 18.4% 4.6% 4 6 Infineon Technologies 10,533 8,205 28.4% 4.0% 5 5 STMicroelectronics 9,854 8,882 10.9% 3.8% 6 4 Toshiba 9,783 8,984 8.9% 3.7% 7 9 Hynix 8,007 5,723 39.9% 3.0% 8 7 Renesas Technology 7,900 8,101-2.5% 3.0% 9 14 Advanced Micro Devices 7,434 3,995 86.1% 2.8% 10 11 Freescale Semiconductor 6,049 5,599 8.0% 2.3% 11 NM NXP 5,874 0 NM% 2.2% 12 10 NEC Electronics 5,680 5,672 0.1% 2.2% 13 12 Micron Technology 5,027 4,620 8.8% 1.9% 14 17 Qualcomm 4,528 3,457 31.0% 1.7% 15 13 Sony 4,434 4,304 3.0% 1.7% 16 15 Matsushita 3,787 3,779 0.2% 1.4% 17 20 Broadcom 3,668 2,671 37.3% 1.4% 18 16 Sharp 3,567 3,569-0.1% 1.4% 19 19 IBM Microelectronics 3,518 2,855 23.2% 1.3% 20 27 Elpida Memory 3,489 1,784 95.6% 1.3% 21 18 Rohm 2,856 2,919-2.2% 1.1% 22 22 Analog Devices 2,595 2,434 6.6% 1.0% 23 25 Spansion 2,579 2,003 28.8% 1.0% 24 28 Marvell Technology Group 2,566 1,741 47.4% 1.0% 25 21 Fujitsu 2,554 2,587-1.3% 1.0% Top 25 Vendors 156,940 178,841 14.0% 68.1% Other Companies: 83,849 81,349 3.1% 31.9% Total Market: 262,690 238,289 10.24% 100.00% Source:Gartner Dataquest, March 2007 5 6 7 8 Hynix 2007 Annual Report 3 _6
it lets us think deeper,
move faster, Li Sheng YING Operator,HSSL, John W. MICHAEL Section Manager, HSMA
CEO Message CEO Message
and aim higher.
Will is the essence of our success.
At At Hynix, CEO Message 16 Board of Directors 20 Will to Lead 21 Global Network 32 Will to Grow 33 Financials 42 Milestones 61
CEO Message
Dear shareholders, Hynix 2007 Annual Report 16_17
CEO Message
Hynix 2007 Annual Report 18_19
CEO Global Message Operations CEO Message CEO Message Board of Directors
will to lead 2006 Performance 22 Process Innovation 24 Research & Development 26 Industry Outlook 28 Vision & Strategy 30
2006 Performance Major Accolades nd. 06 05 05 06 05 06 05 06 05 06 05 06 Source : isuppli,
rd. 06 05 06 05 06 05 06 05 06 05 06 Source : isuppli, 05 Hynix 2007 Annual Report 22_23
Process Innovation Innovation
Real Time Interactive Parallel Hynix 2007 Annual Report 24_25
Research & Development Global Competencies World s st.
Hynix 2007 Annual Report 26_27
Industry Outlook Trends 7,000 500 6,000 400 5,000 4,000 300 200 3,000 100 2,000 0 1,000-100 0-200 78 86 96 01 06 09
% % Hynix 2007 Annual Report 28_29
Vision and Strategy Blueprint
Hynix 2007 Annual Report 30_31
Global Network HSI (Hynix Semiconductor Inc.) Tel. 82-31-630-4114, Fax. 82-31-630-4103 HSJ (Hynix Semiconductor Japan Inc.) 23F, Shiroyama Trust Tower, 4-3-1 Toranomon, Minato-ku, Tokyo, Japan Tel. 81-3-6403-5500, Fax. 81-3-6403-5590 Tel. 82-2-3459-5114 Fax. 82-2-3459-3647 Tel. 82-43-270-3114 Fax. 82-43-270-2145 HSA (Hynix Semiconductor America Inc.) 3101 North First Street, San Jose, CA 95134, U.S.A. Tel. 1-408-232-8000, Fax. 1-408-232-8103 HSMA (Hynix Semiconductor Manufacturing America Inc.) 1830 Willow Creek Circle, Eugene, OR 97402, U.S.A. Tel. 1-541-338-5000, Fax. 1-541-338-5200 HSU (Hynix Semiconductor U.K. Ltd.) 241 Brooklands Road, Weybridge, Surrey KT13 0RH, U.K. Tel. 44-1932-827-700, Fax. 44-1932-827-745~7 HSD (Hynix Semiconductor Deutschland GmbH) Am Prime Parc 13 Kelsterbacher Str. 16 D-65479, Raunheim, Germany Tel. 49-6142-921-100, Fax. 49-6142-921-290 HST (Hynix Semiconductor Taiwan Inc.) Sung Lian Building, 8F., No.161, Section 2, Min Sheng East Road, Taipei, Taiwan, R.O.C. Tel. 886-2-2500-8300, Fax. 886-2-2518-3404 HSS (Hynix Semiconductor Asia Pte. Ltd.) 7 Temasek Boulevard, #42-02, Suntec City Tower 1, Singapore 038987 Tel. 65-6338-5966, Fax. 65-6336-5911/5922 HSIS (Hynix Semiconductor Indian Subcontinent Private Ltd.) # 518 B-Wing Carlton Towers #01 Airport Road, Bangalore 560 008, India Tel. 91-80-4126-5271~3, Fax. 91-80-4126-5274 HSH (Hynix Semiconductor Hong Kong Ltd.) Suite 2401, 24F., Central Plaza, 18 Harbour Road Wanchai, Hong Kongs Tel. 852-2971-1600, Fax. 852-2971-1622 HSCS (Hynix Semiconductor (Shanghai) Co., Ltd.) Room 1407, Shanghai International Trade Center, No. 2201, Yan An Xi Road, 200336, Shanghai, China Tel. 86-21-6275-5522, Fax. 86-21-6209-2686 HSSL (Hynix-ST Semiconductor Ltd.) Lot K7, Wuxi Export Processing Zone in Wuxi New District, Wuxi, Jiangsu Province, China Tel. 86-510-8520-8888, Fax. 86-510-8520-8181 IR Contact Information Phone: 82-2-3459-5541~8 Fax: 82-2-3459-3647 E-mail: ir@hynix.com
will to grow Corporate Culture 34 Human Resources 35 Management Ethics 36 ESH Management 38 Social Responsibility 40
Corporate Culture_Human Resources Great Work Place, Great People
Hynix 2007 Annual Report 34_35
Management Ethics Great Company
Hynix 2007 Annual Report 36_37
ESH Management Thoughtful Innovation
Hynix 2007 Annual Report 38_39
Social Responsibility Hope for a Better World
Hynix 2007 Annual Report 40_41
2006 financials
Management s Discussion & Analysis 8,000 6,000 4,000 2,000 3,000 2,500 2,000 1,500 1,000 500-04 05 06 1Q 2Q 3Q 4Q DRAM Flash & Others System IC DRAM - Flash & Others Hynix 2007 Annual Report 42_43
Management s Discussion & Analysis 6,000 5,000 4,000 3,000 2,000 1,000-100% 80% 60% 40% 20% 1,600 1,400 1,200 1,000 800 600 400 200 04 05 06 1Q 2Q 3Q 4Q 0% - 100% 80% 60% 40% 20% 0
1,000 15% 800 300 250 15% 600 10% 200 10% 150 400 5% 100 5% 200 50-04 05 06 1Q 2Q 3Q 4Q 0% - 0% Hynix 2007 Annual Report 44_45
Management s Discussion & Analysis 500 10% 2,000 25% 400 1,500 20% 300 200 5% 1,000 15% 10% 100 500 5% - 04 05 06 04 05 06 0% - 0%
2,500 25% 10,000 2,000 20% 8,000 1,500 15% 6,000 1,000 10% 4,000 500 5% 2,000-04 04 05 05 06 06 04 05 06 0% - Hynix 2007 Annual Report 46_47
Management s Discussion & Analysis
Hynix 2007 Annual Report 48_49
Independent Auditors Report
Hynix 2007 Annual Report 50_51
Financial Statements
Hynix 2007 Annual Report 52_53
Financial Statements
Hynix 2007 Annual Report 54_55
Financial Statements
Hynix 2007 Annual Report 56_57
Financial Statements
Hynix 2007 Annual Report 58_59
2006 Financial Financials Statements Financial Statements
Milestones Hynix 2007 Annual Report
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