Seoul, Korea, March 5, 2001
Hyundai Electronics Industries Co., Ltd. (HEI) announced yesterday that it spun-off its customer service operation as part of on-going restructuring efforts. The newly-formed company, ‘Hyundai Digitech Service Co., Ltd. (HDS)’ will assume responsibility for the repair and maintenance of electronic products made by either HEI or its spun-off companies. Mr.Dong-Kook Chang, head of the shared service group within HEI, has been named CEO of the new company. HEI has wholly transferred all related organizations and business rights to HDS. Based in Seoul, HDS begins with a capital of 2.5 billion won and 330 employees. HDS is primarily an employee-owned company with employees holding a 60% stake, investors 21%, and HEI 19%. To provide repair and maintenance services on products ranging from personal computers and mobile handsets to car audio equipment, HDS has entered into agreements with other companies spun-off from HEI, namely, Hyundai Autonet, producing electronic equipment for automobiles and Hyundai Image Quest, monitor manufacturer separated from HEI last year. HDS will also provide services for Hyundai Multicav, a personal computer maker spun-off in 1998. With 49 service centers nationwide, HDS will additionally act as sales representative for those companies. HEI spun-off Hyundai Autonet, Hyundai Imagequest, and Ultra Plasma Display (UPD) last year in a corporate restructuring effort. In addition, HEI spun-off its satellite-based services business and sold the baseball team, Gullivers, last month. The company will conclude selling or spinning-off other non-semiconductor businesses, including communication and operation supporting units, by end of this year. About Hyundai Electronics Industries Co., Ltd. Hyundai Electronics Industries Co., Ltd. (HEI) is an industry leader in the development, manufacture, sales, marketing, and distribution of high-quality Semiconductors (including DRAM, SRAM, Flash memory, and System IC devices), Telecommunications, and Liquid Crystal Displays. The Semiconductor Group of Hyundai Electronics is the world’s largest DRAM supplier with eleven semiconductor manufacturing facilities worldwide, and production capacity of over 300,000 wafer starts per month. In addition, Hyundai is expanding its System IC business unit with leading technology and added deep-submicron foundry services to strategically broaden its overall semiconductor presence and achieve its goal of leading the global semiconductor market. The Telecommunications Business Unit of Hyundai provides high quality CDMA wireless networks, handsets, and Digital Subscriber Line (DSL) central office and customer premise equipment. All are produced at the Hyundai ISO9001-certified large-scale production facility in Ichon, Korea. The Liquid Crystal Displays Business Unit of Hyundai is one of the worlds leading producers of twisted nematic (TN), super twisted nematic (STN) and thin film transistor (TFT) displays. Based in Korea, Hyundai maintains development, manufacturing, sales, and marketing facilities strategically located worldwide.
