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BUSINESS ETHICS AND CORPORATE GOVERNANCE

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About Samsung S A digital leader...a responsible global cit l tizen...a mu ulti-faceted family of c companies... an ethical business...S b Samsung is all of thes and mor s se re. At Sams sung Group and Sams p sung Electr ronics, our products, our people, and our approac to busine are held to only th highest s ch ess d he standards s that we can more so effective contribu to a bett world. ely ute ter

The Sam msung Phil losophy At Sams sung, we fo ollow a simp busines philosoph to devo our talen and ple ss hy: ote nt technolo to creat ogy ting superio products and servic that co or s ces ontribute to a better gl o lobal society. Every da our peo ay, ople bring th philosophy to life. Our leader search fo the brigh his rs or htest talent fr rom around the world, and give them the re d , t esources th need to be the bes at hey st what the do. The result is th all of ou products ey hat ur sfrom mem mory chips that help s businesses store vi ital knowledge to mob phones that conne people a bile ect across continen nts have the power to enrich lives. And th t hats what m making a b better globa al society is all about i t. Our Val lues We belie that livi eve ing by stron values is the key to good busi ng s o iness. At Sa amsung, a rigorous code of conduct and these cor values ar at the he s re re eart of every decision w ry we make.

Vision 2020 2 As state in its new motto, Sa ed w amsung Ele ectronics' v vision for th new deca is, "Ins he ade spire the World, Create the Future. t ." This new vision ref w flects Sams sung Electr ronics comm mitment to inspiring its o commun nities by lev veraging Sa amsung's th hree key st trengths: N New Techno ology, Innovat tive Produc cts, and C Creative Sol lutions. -- and to pro omoting new value for w Samsun ng's core ne etworks -- Industry, Pa artners, an Employe nd ees. Throug these effo gh forts, Samsun hopes to contribute to a better world and a richer e ng e r d experience f all. for

As part of this visio Samsun has map on, ng pped out a specific pla of reach an hing $400 billion in revenue and becomi n a ing one of the worlds top five brands by 20 t 020. To this s end, Sam msung has also estab blished thre strategic approache in its ma ee es anagement: Creativ vity, Partn nership, an Talent. nd Samsun is excited about the future. As we build o our prev ng d e s on vious accom mplishment ts, we look forward to exploring new territor n ries, includ ding health medicine, and h, , biotechn nology. Sam msung is co ommitted to being a cr o reative lead in new m der markets an nd becomin a truly No. 1 busine going fo ng N ess orward.

Global Code of Conduct and Ethical Values at Samsung Electronics Ltd.

Principle 1. We comply with laws and ethical standards

1-1. We respect dignity and diversity of individuals The Company will respect the basic human rights of all employees and will not discriminate against its officers, staff and other interested parties on the basis of race, nationality, gender, religion, regional background, physical disability, marital status, or any other characteristics protected by law. The Company will not employ underage persons, as commonly defined by international standards and relevant national laws. The Company will determine conditions of employment and compensation for personnel in a rational and just manner, taking into consideration relevant national, local or state laws, and international standards. The Company will ensure that working hours of personnel will be in accordance with the specific nature of their duties and national laws and regulations, and no extended working hours will be enforced without mutual agreement. The Company will endeavor to ensure that senior staff do not impose on junior staff any duties unrelated to Company affairs or duties that violate Company regulations and standard processes, or use any form of psychological or physical intimidation or coercion against employees in the performance of their regular duties. 1-2. We compete in accordance with laws and business ethics The Company will compete freely and fairly at all its business sites around the world, abiding by national laws and regulations and relevant international standards governing the conduct of business. The Company will not abuse a dominant market position nor use coercion to cause inclusion of unwanted items in any sales transactions (tying). The Company will not enter with competitors into price fixing, bid collusion, market collusion or reduced production agreements, and will not discuss with competitors prices, bids, customers, sales territories and conditions including price confirmation. The Company will not permit the giving or acceptance of money, goods, entertainment or any economic benefits to or from customers or external interested parties, nor allow any improper activities that violate laws and fair trade principles. The Company shall refrain from illegally obtaining confidential information belonging to competitors. The Company shall not demand, or use coercion to obtain any advantage detrimental to the interest of customer or partner companies. 1-3. We maintain transparency of accounts with accurate recording of transactions The Company will accurately record and manage all transactions in compliance with international standards and national accounting regulations, and will be subject to accounting audits by outside parties at regular intervals. The Company will make every effort to refrain from entering into a business relationship with customers of uncertain identity, and will not participate nor cooperate with illegal, false, or irregular transactions.

1-4. We do not get involved in politics and maintain neutrality The Company will respect individual political rights and expression of opinion. However, it will not allow the conduct of political activities within the company that may be harmful to the organization. The Company's resources, including financial resources, manpower, and facilities shall not be used for any political purpose. The Company will refrain from illegal donations and improper dealings with governments, and will respect individual country's related laws and regulations. 1-5. We protect information on individuals and business partners The Company will abide by the laws and regulations relating to protection of the privacy of its employees and confidential information, and each officer or employee of the Company shall acknowledge their primary responsibility for the protection of such information. Principle 2. We maintain a clean organizational culture 2-1. We make a strict distinction between public and private affairs in our duties The Company will not permit any illicit activity for the pursuit of personal gain , such as irregular treatment of expenses, using one's position for private gain, or the embezzlement of corporate assets. The Company will not permit any activity that utilizes proprietary information of the Company for private gain, for example insider trading, irrespective of whether or not this activity was conducted directly by an employee or via third parties. In cases of conflicts of interest between the Company and an individual, the Company's legitimate interest will be considered preferentially. 2-2. We protect and respect intellectual properties of the Company and others The Company will endeavor to ensure that internal intellectual property and confidential information will not be disclosed to external parties by its employees without its prior permission and consent. The Company will ensure that any proprietary information acquired through its business activities shall be recorded and safely kept and managed as intellectual property. The Company will respect the intellectual property rights of third parties, such as patents, copyrights and trademarks, and shall not intentionally infringe or improperly use such intellectual property. The Company will ensure that due attention is paid to the security of its intellectual property during the course of telephone or other communication with external parties, and in the management of various data storage facilities. 2-3. We maintain the dignity of Samsung Electronics in our external activities. During the term of employment at the Company, an employee is not permitted to simultaneously maintain employment with a third party or otherwise be engaged in outside business activities, unless otherwise agreed by prior consent. The Company requires that all disclosures of company information at external lectures or interviews are subject to prior scrutiny and approval.

The Company will not allow its officers and employees, while in office, to act as members of boards of companies with conflicts of interest or participate in competitive business activities. Principle 3. We respect customers, shareholders and employees 3-1. We put priority on customer satisfaction in management activities The Company will endeavor to reflect and give priority to the requirements and recommendations of customers for the improvement of product design, distribution, and service. The Company will make every effort to engage with its customers in a polite and equitable manner based on its belief that "Samsung Electronics exists because of its customers". The Company will respect the customer's right to choose by refraining from exaggerated advertisements or coercive sales techniques, which could mislead customers with regard to the quality, function and specifications of product or service. 3-2. We pursue management focused on shareholder value The Company will actively pursue increases in investment return for shareholders by maximizing profits through transparent and sound management. The Company will honor its responsibility to shareholders and interested parties by announcing major financial and corporate information in good faith and in a timely fashion. The Company will accept and sincerely consider legitimate petitions from external shareholders. 3-3. We endeavor to improve our employees' quality of life The Company will offer equal opportunities to all employees and treat them justly based on their ability and achievement. The Company will encourage continuous self-development of employees and actively support opportunities to improve their capabilities to execute their duties. The Company will provide a working environment in which personal initiative and creativity are encouraged. Principle 4. We care for the environment, health, and safety 4-1. We pursue environment friendly management The Company will make every effort to comply with international environmental standards, national laws and regulations relating to the environment and internal environmental regulations within all of its global business operations. The Company will actively attempt to minimize the generation of harmful materials, utilize resources efficiently and recycle waste products for the benefit of the environment The Company will do its best to conduct environmental improvement activities throughout the whole process of product development, production, distribution, sales and disposal. 4-2. We value the health and safety of human beings

The Company will comply with international standards, related laws and regulations, and internal regulations governing the safety and health of its employees by providing safety education and training at regular intervals. The Company will give priority consideration to the health and safety of customers in all business activities including product development, production, distribution, and sales. The Company will clearly inform customers regarding the safe usage and operation of its products or services The Company will endeavor to deal promptly with the discovery of any fault in a product, which could pose a threat to the safety of customers. The Company will make every effort to identify and eliminate any safety hazard found at any of its business sites, and will maintain a clear and safe environment. Principle 5. We are a socially responsible corporate citizen 5-1. We sincerely execute our basic responsibilities as a corporate citizen The Company will endeavor to create stable employment and to faithfully fulfill its tax obligations. The Company shall instill in its employees its belief that their behavior directly affects the overall image of the Company, and shall endeavor to maintain the good name of the Company by ensuring proper dress, courteous behavior and dignified use of language. Employees are encouraged to endeavor to build trust within the local community by fulfilling their duties and responsibilities. 5-2. We respect the social and cultural values of local communities and practice co-existence The Company will respect the laws, culture and values of the local communities in which it operates, and shall contribute to the improvement of the quality life of local residents. The Company, as a global corporate citizen, will contribute to the spiritual enrichment of society by promoting and supporting public-interest activities such as academic advancement, art, culture and sports. The Company will actively participate in social services such as volunteer activities and disaster relief. 5-3. We build up relationships of co-existence and co-prosperity with business partners The Company will acknowledge its business partners as strategic partners based on mutual trust, and will pursue the shared value of customer satisfaction. The Company will select business partners in accordance with business objectives by applying fair standards without discrimination. The Company will make efforts to support the growth of business partners' competitiveness and development. The Company will actively encourage business partners to fulfill their own social responsibilities with respect to safety within the workplace and the individual rights of their employees.

Sustain nable Devel lopment at Samsung Electroni t g ics Integrating corpora manage ate ement and sustainable developm e ment is an is ssue of increasing importa ance in the business world, amid increasing expectatio w d g ons for soci ial and env vironmental responsibility. In res l sponse, we have been improving the process of collectin stakeholder's ideas and settin up corporate-wide v ng ng vision and s strategies f for sustaina able develop pment We have designated economic environm e c, mental, and social resp d ponsibilities as the ke ey elements of our sustainable managemen We are c m nt. committed to continui ing to ident tify our various stakeh holders, bui positive relationshi ild ips with th hem, and ul ltimately enhance our value for both th company and the s e he y stakeholder rs. These are our main approac a ches to sus stainability at Samsu y ung:

CSR Vis sion of Sam msung: Global Harm mony with People, S h Society and d Environ nment Samsun Electroni strives to build a society whe people s ng ics t s ere society and the d environm ment coexis in harmo st ony.

Environ nment Poli icy of Samsung At Sam msung, we believe its our respo b s onsibility t do busin to ness in a w way that enriche our plan es net. Thats why we carr out a wid range of environme w ry de ental activit ties all arou und the wo orld. Were th leader in delivering innovative eco-friend products to consum he n dly s mers and are committ to produ ted ucts stewar rdship thro oughout the entire life cycle of ou products e e ur s. Everythi ing we do is guided by our focus on the gr y s reening of m manageme ent, products, processe workpla es, aces and co ommunities Our green managem s. n ment policy guides and y d supports the contin nuous enha ancement of greener e o environmen through all of our nt business activities including product design, manu p ufacturing p process and workplac ce operatio ons. Eco-Man nagement Framewor At Sams rk sung

Eco-Design Management Process & Eco-R ating System At Samsung E n m e R s a

Green Commun nity Progra ams as we as some Philanthropically A ell e Activities of Samsung Around the world S A e Employe at all pr ees roduction sites of Sam s msung Elec ctronics are engaged in local e n environm ment protec ction activi ities, teamin up with NGOs and communit ng h d ties as part of t the com mpanys com mmitment to social con o ntribution.

Gwangn neung Fore Conserv est vation Cam mpaigns In June 2011, Sam msung Elect tronics held a volunte activity for Gwangn d eer neung Fore est conserva ation in Korea Nationa Arboretu which is located in biosphere reserves. al um s n e These si ites are recognized un nder UNESC CO's Man a and Biosph here (MAB) P Program to o promote sustainab developm e ble ment. To conse erve and de evelop plan resources approxim nt s, mately 100 employees managed t the harmful species in celebration of the 'int l n ternational year of for l rests 2011'. .

Spring Festival: Eco Classes for Children F E s In May 2011, envir 2 ronmental classes wer held for c c re children in Suwon Digital City's n Festival. About 500 of emplo 00 oyees with their famili enjoyed the classes which ies d include activities such as calc culating CO emission learning about Gr O2 ns, g reen Homes s' which in nclude ener saving products an solar po rgy p nd ower system ms. From th event ma his any childre learned the importa en t ance of the environme ental conserva ation and use of renew u wable energ for preve gy enting clim mate change e.

US "Solv for Tom ve morrow" program Samsun Electroni North America Hea ng ics A adquarters has launc s ched "Solve for Tomorr row" program for junior and high school stud m s dents acros s the Unite States fr ed rom 2010.W With this prog gram stude ents sugges ideas on how scienc or mathe st ce ematics can improve t n the environm ment and winners' ide are posted online.T w eas This enviro onmental ed ducation program awards en m nthusiastic students and encour c a rages critica thinking and al g relations ship skills.

Samsun Mobile Take Back Program ng T In Scho Educati ool ion and Re ecycling Pr rogram Samsun Mobile (U ng U.S.) kicked off an in-s d school edu cation and recycling p program reaching an estima g ated seven million mid ddle and hi igh school s students in approxima n ately 9,500 sc chools acro the U.S. oss The eco-focused pr rogram edu ucates teens about the importanc and ease of mobile s e ce e phone re ecycling. St tudents at Geneva Hig School i Geneva, OH receive a VIP gh in ed concert by pop/roc band He Monday as winners of the in-s ck ey s school educ cation and recycling program. g

World Water Day W In Korea A numbe of volunteer activitie were con a, er es nductedon March 22, 2012, the 20th World Water Day. W In China 320 emp a, ployees part ticipated in trash rem n moval at thre lakes an planted t ee nd trees around the lakes fo preserva or ation of the aquatic en nvironment. The volun nteers also spent tim on raisi me ing awareness of the importance of environ i e nmental pro otection and d green lif fe-styles. In Vietnam, volunteers removed tr n rash and p planted aqu uatic plants along th Cau river in partner he r rship with the local go overnment. In the Phi . ilippines, voluntee conduct clean-u activities along the San Cristo ers ted up s obal river a and planted d trees aro ound the plant premis ses. In Indo onesia, The volunteers make reg e s gular visits to local orp phanages to conduct eco-system protection education and to pla trees. o e m n n ant

Amazon Conserva n ation Partn nership, 'G Global Actio on' Since No ovember 20 010, Samsu ung Electro onics Da Am mazonia ha supporte conserva as ed ation of the Am mazonian ecosystem and protect e a tion for the indigenou populatio Samsun e us on. ng Electron nics da Ama azon signed a joint de d eclaration fo a partne or ership with FAS (Funda Amazn Sustent o nia tvel) for re educing defo forestation and promo oting forest conserva ation in the State of Amazon.Also, we have been cond e A ducting cam mpaigns on a ban of clear-cutting of the Am c mazon rainf forest and o other releva activitie The ant es. Samsun Electroni office in Manos, Br ng ics n razil hosted a Global Action day program o d y on May 14, 2011 with more than 3,000 members of lo h n ocal commu unities. Our volunteer rs gave away toys ma of recyc ade cled industr rial waste a and taught local children on the importance of recy ycling.

Solar-po owered Int ternet School Samsun Electroni has crea ng ics ated a 100% solar-pow % wered mob classroo bile oms named the d 'Solar-po owered Inte ernet Schoo and sup ol' pplied them in Africa.W also beg m We gan the sup pply of solar-powered LE lantern for areas that do no have acc ED ns, s ot cess to elec ctricity, in collabor ration with the Korea Volunteer Organizatio Manufa V O on. actured usin durable ng Samsun Electroni ng ics parts in ncluding LE EDs, solar panels, and batteries, the LED d , lantern is designed to last for more than 10 years w d r n without GH emission HG ns.We plan to n conduct green com t mmunication activities using our green IT te n echnologies and provid s de benefits to 5 million African residents by 2015. r y .

Social Contributi C ion of Sam msung Arou und the Wo orld

Directio for Purs on suing Corp porate Citiz zenship

Strategy Program Operation Monitoring y m n

Samsun Hope fo Children ng or n Samsun Hope for Children is Samsung Electronic 2011 pro ng g cs' ogram desi igned to off fer better health and educational opportuni e l ities to chil ldren in nee around the world. ed

Prog gram Opera ation Plan n Making use of Sam msung stren ngths - our people, res sources and technolog - we are gy devising programs that can fa g acilitate act tive consum involvement. Our goal is to h mer help make a positive ch hange in loc commun cal nities by pla anning and implemen d nting long-t term and con nsistent pro ograms.

Emp ployee Invo olvement Each Ho for Chil ope ldren Progr ram is desig gned to pro omote activ involvem ve ment of all Samsun Electroni employe by crea ng ics ees ating divers e volunteer ring opport tunities. Employe experience the joy of giving back by hel ees y b lping childr ren in need d.

Prog grams Inte egrated wit Product th ts The "Hope for Child dren" initia ative leverag Samsun ges ng's innova ation and te echnology, which en nabled the company to become a leader in the electro t onics indust try, to build a d better lif for childr fe ren. We are planning programs t e that will all low Samsu ung product to ts contribu to impro ute oving the education and health o children. of .

Cons sumer Invo olvement We are devising programs aim at facil d med litating acti consum involvem ive mer ment. Joining forces with consum w mers in proj jects that affect social issues and lead to po a l d ositive chan nge will help us to mak a differen in peop p ke nce ples lives.

Social Contribution Programs Launching a Global Social Contribution Program In 2011, Samsung integrated various social contribution activities which have been conducted in different regions into a single program titled Samsung Hope for Children. Focused on supporting good health and education of children and youth, Samsung subsidiaries in different regions conducted various support programs including youth education support, low-income youth health benefits and job trainings, tailored for needs of the youth and children of respective local communities. In 2011, Samsung Hope for Children program activities were conducted in 30 countries in nine different regions. We plan to expand the program to 55 countries including Turkey, Malaysia, Canada and more. The result of 10 years in North America In 2011, Samsung Hope for Children (formerly Four Seasons of Hope), organized by Samsung Electronics North American Regional Headquarters, and known as one of American top charity events, ended in great success with celebrities including former President Bill Clinton, Demi Moore, and Jennifer Lopez attending the event to celebrate its 10th anniversary. The Samsung Hope for Children initiative is a fundraising program which collects a part of the profit from sales of Samsung Electronics products in the US for donation to several charitable organizations. A total of US$1.4 million was donated in 2011. In 2011, President Obama launched an Educate to Innovate campaign to improve the participation and performance of American students in science, technology, engineering, and mathematics (STEM). President Obama also announced a plan to allocate USD 100 million to support science and math teachers in 2012. As a leading IT company, Samsung Electronics held a competition, titled Solve for Tomorrow. Designed to support STEM education, the competition invited students to develop local environment improvement ideas. Participants apply their knowledge of STEM to solve real world problems using donated technology products from Samsung Electronics and its partners. Approximately 1,500 schools across America entered the competition, and West Salem High School in Oregon was selected as the grand prize winner based on online voting results and reviews by experts.

Kore Childr ea rens Learn ning Cente er Samsun Electroni support local chil ng ics ts ldrens lear rning cente for low-i ers income fam milies as part of its youth support program. Th first loca childrens learning c o h p he al s center in Onyang was jointly launched in collabor y ration betw ween the loc commun cal nity center and Samsun Electroni ng ics employ yees who vo olunteered t tutor ele to ementary sc chool stude ents at the ce enter. Beca ause the pro ogram is on offered to current elementary school nly y students our volun s, nteers laun nched night classes ev t very Tuesda Wednes ay, sday and Thursda to extend the tutori ay d ing program to studen beyond elementary school.Many m nts y students who parti s icipated in the program entered high schoo with meri ol it-based scholars ships in 2010 and 201 The pos 11. sitive turno at the O out Onyang loca children al s learning center led to the esta g d ablishment of a simila learning center for c ar children in Gumi in collaborat n tion with th Gumi Re he egional Edu ucation Offi and the Gumi ice Voluntee Center. The local ch er T hildrens le earning cen nter not onl provides education, ly , health and cultura experienc programs but also f a al ce focuses on improving the welfare of e the child dren by offe ering dinne and other support. College stu er udents who tutor in th o hese local chi ildrens cen nter not onl take an opportunity to make a positive c ly o y contribution n, but rece eive compen nsation to help them pay their tu h p uition and e expenses.

Financi Contribution of Sa ial amsung to the Socie o ety Samsun Electroni and its subsidiarie contribu ng ics es uted KRW 2 293.7 billio to local on commun nities in 20 011. In Kore the com ea, mpany dona ated KRW 3 30.1 billion for arts a n and culture, KRW 27.8 billion for personal developmen and KR 95.8 bil 8 r nt, RW llion for so ocial welfare programs as well as KRW 4.5 bi p a K illion for ot ther activiti includin it hearin ies ng ng dogs pro ogram for the hearing impaired. Outside of Korea, KR 34.9 bil RW llion was g given to such projects as IT educati s ion for deve eloping regi ions and do onations to the Amazo o on Environmental Fou undation.