Last checked at 4 Jul 2017 07:52
Announcement of Investment Plans
Samsung Electronics Co., Ltd. (KS005930, KS005935, SMSN, SMSD) ("Samsung") announced today its new investment plans in the semiconductor and display businesses for the purpose of responding to increased demand for key components. Detailed information is set forth below:
Details
- As global demand for semiconductor and display products are expected to increase, Samsung plans to make new investments in domestic and overseas production facilities.
• Samsung plans to increase investment in the recently operational Line 1 at the Pyeongtaek facility in order to strengthen the competitiveness of the NAND business. Total investment volume is expected to reach approximately KRW 30 trillion by 2021.
• Samsung plans to invest approximately KRW 6 trillion at the Hwaseong complex as a part of its strategy to prepare for the future semiconductor market. This investment is intended to secure a new, optimized line to achieve cutting-edge infrastructure.
• Samsung is reviewing its investment options to add a new semiconductor production line in Xian in order to respond to increasing demand from the Chinese market, the largest consumer of NAND flash memory.
• Samsung Display is reviewing potential plans to build an additional production facility at Asan.
- Expected outcomes
• Improve business capacity by strengthening technology leadership in the component business
• Contribute to the advancement of the domestic IT industry by improving the cutting-edge
component manufacturing cluster encompassing Giheung, Hwaseong, Pyeongtaek in Gyeonggi Province to Asan in South Chungcheong Province
• Contribute to improving the domestic economy by creating jobs and fostering IT and IT-related industries
※ The capital expenditure plan is subject to change based on market conditions. The statements contained herein, including management's plan to make capital investments and expenditures (including but not limited to, in the amount and business segments referenced above), include statements of future expectations and other forward-looking statements that are based on management's current views, expectations and assumptions and involve known and unknown risks and uncertainties that could cause actual investments and/or expenditures to differ materially from those expressed or implied in such statements. Actual investments or expenditures (including, but not limited to, the amount, timing or business segment), performance or events may differ materially from those in such statements due to, without limitation, (i) general economic conditions, including in particular economic conditions in Samsung Electronics Co., Ltd's ("SECL") core businesses and core markets, (ii) performance of financial markets, including emerging markets, and including market volatility, liquidity and credit events, (iii) currency exchange rates, (iv) changing levels of competition, (v) changes in laws and regulations, (vi) general competitive factors, in each case on a local, regional, national and/or global basis. The matters discussed herein may also be affected by risks and uncertainties described from time to time in SECL's filings with the Korea Stock Exchange (KRX), FSS (Korea), and Samsung Website. Further information about risks and uncertainties affecting Samsung Electronics Co., Ltd. is included throughout our most recent annual and interim reports, as well as our most recent earnings release, which are available on http://www.samsung.com/global/ir. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual capital expenditures and investments (including, but not limited to, the area, timing, industry and amount) may vary materially from the announced capital expenditure plan and those described in the relevant forward-looking statement (if any), and all such statements and plan are subject to certain risks and uncertainties that could cause our actual investments and expenditures to be materially different from those expressed herein. The company assumes no obligation to update any forward-looking statement, including the capital expenditure plan.