hynix Semiconductor Inc. Reports Third Quarter 2010 Results

Seoul, October 28th, 2010

hynix Semiconductor Inc. (‘hynix’, www.hynix.com) today announced the earnings results for its third quarter 2010, ended September 30, 2010.

Consolidated revenues of the third quarter of fiscal year 2010 totaled 3.25 trillion won, slightly decreased from 3.28 trillion won in the second quarter.

Quarter-over-quarter, average selling price (‘ASP’) of DRAM declined 9% sequentially while bit shipment increased 2%. NAND Flash ASP also decreased by 23%, but the bit shipment increased by 42%. Due to sluggish demand, the memory price has been weaker than expected during the quarter. However, hynix reported robust financial results, benefiting from technology improvement and customized products mix.

Consolidated operating profit reached 1.01 trillion won with operating margin of 31%. It is slightly lower than the previous quarter’s 1.05 trillion won and the margin of 32%. This performance is similar to the previous quarter which was the Company’s highest ever based on quarter, thanks to our technology competitiveness and profitable products portfolio.

Consolidated net income was 1.06 trillion won increased by 59% compared with 665 billion won of the previous quarter. Net income benefited from net foreign currency transaction and translation gain, partially offset by net interest expense.

FY2010 Q3 Earnings

Consolidated BasisUnit : Billion KRW

	2010 Q3	2010 Q2	QoQ	2009 Q3	YoY
Revenue	3,250	3,279	-1%	2,118	53%
Operating Profit	1,011	1,045	-3%	209	383%
Operating Profit Margint	31%	32%	-1%p	10%	21%p
Net Income	1,060	660	61%	245	332%

Parent Company BasisUnit : Billion KRW

	2010 Q3	2010 Q2	QoQ	2009 Q3	YoY
Revenue	3,274	3,258	0%	2,053	59%
Operating Profit	992	1,032	-4%	165	501%
Operating Profit Margint	30%	32%	-2%p	8%	22%p
Net Income	1,061	660	61%	245	332%

Please note that the financial results discussed herein are preliminary and speak only as of September 30, 2010. Readers should not assume that this information remains operative at a later time. In addition, this information may include forward-looking statements that involve a variety of risks and uncertainties that could cause actual results to differ materially. For further discussion of these risks and uncertainties, readers should refer to hynix Semiconductor Inc.’s filings with the Korea Exchange. This document is neither an offer to sell nor a solicitation of an offer to sell any security of hynix.

About hynix Semiconductor Inc.

hynix Semiconductor Inc. (HSI) of Icheon, Korea, is the world’s top tier memory semiconductor supplier offering Dynamic Random Access Memory chips (“DRAMs”) , Flash memory chips (“NAND Flash”) and CMOS Image Sensor (“CIS”) for a wide range of distinguished customers globally. The Company’s shares are traded on the Korea Exchange, and the Global Depository shares are listed on the Luxemburg Stock Exchange. Further information about hynix is available at www.hynix.com.