SL Corporation Business Report FY ended Dec. 2015

Financial Overview (Consolidated)

(in million of won)

	FY ended Dec. 31, 2015	FY ended Dec. 31, 2014	Rate of change (%)	Remarks
Sales	1,395,133	1,359,380	2.6%	Sales by product (FY ended Dec. 31, 2015) Lamps : 887,537 million won (63.6%) Chassis components : 335,955 million won (24.1%)
Operating income	63,278	59,710	6%	-
Current net income	68,859	94,831	-27.4%	-

Contracts

-The Company announced that it is supplying wireless charging systems for Kia Motors' K5 mid-size sedan and Sportage compact SUV. The supply agreement was signed in April 2014, and covers the period from July 2015 through June 2021. The program is expected to generate KRW 24,734 million in sales. (From a press release on September 25, 2015)

R&D Structure

-The Company established R&D center in Feb. 1986, which now has approximately 400 researchers.
-The Company owns two design engineering centers, one in Detroit, Michigan, U.S.A. and the other in Shanghai, China.
-The Company introduced technology from Hella (Germany), Stanley Electric Co., Ltd. (Japan), Delphi Corporation (USA) and other partners through technical tie-ups.

R&D Expenditure (Non-consolidated)

(in million of won)

	FY ended Dec. 31, 2015	FY ended Dec. 31, 2014	FY ended Dec. 31, 2013
Amount	27,192	24,456	23,393
% of sales	4.6%	4.4%	4.1%

R&D Activities

-In July 2014, the Company obtained an U.S. patent on a drive module of automotive LED lamps. The module is highly versatile and compatible with various specifications of LED light sources and also stabilizes running of LED lights. This technology is being used on many vehicle models. SL Corporation intends to expand the use of this technology to other models. (From a press release on July 23, 2014)

Product Developments

Topic	Period
FY ended Dec. 31, 2015
Low cost LED headlamps	January 2015 - January 2016
LED daytime running lights / PSTN / Low beam integrated models	June 2014 - December 2015
Anti-glare LED headlamp modules	January 2015 - November 2015
Rear lamps with an original design	January 2015 - January 2016
New concept headlamps	January 2015 - October 2015
New, high-efficiency optical mechanism	June 2015 - December 2015
Heat-dissipation technology using a fan	January 2015 - December 2015
Hologram rear lamps	May 2015 - April 2016
3D rear lamps	May 2015 - April 2016
Rear camera display mirrors	January 2014 - October 2015

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