Posts all-time records of 1.4633 trillion won in sales, 168.2 billion won in operating profit, and 130.6 billion won in ordinary net profit
 Operating profit gains 125.8%, ordinary net profit jumps 1,168% year on year


Achieves highest sales, operating profit, ordinary net profit since establishment
SKC (President Park Jang-seok) announced its 2010 performance on January 27. The company posted 1.4633 trillion won in sales, 168.2 billion won in operating profit, and 130.6 billion won in ordinary net profit. Those sales and operating profit figures represent a 21.1 percent gain and 125.8 percent advance year on year, respectively, while ordinary net profit posted a whopping 1,168 percent jump, or nearly 12-fold gain. The company has thus achieved its highest-ever sales, operating profit and ordinary net profit figures since its establishment in 1978.

Record performance seen as stemming from brisk sales of high value-added products in film sector
Notably, the film business, one of SKC’s flagships businesses, had a stellar operational performance in 2010. Sales rose 30.3 percent on year to reach 580 billion won, while operating profit soared 156.2 percent to hit 103.5 billion won. One of the world’s top four polyester film makers, SKC focused on boosting its capacity in high value-added products to attain outstanding performance last year. /a drastic expansion of productivity in solar cell film, optical film , and thermal contraction film , coupled with rising demand for these products, led to soaring sales, significantly boosting its operating profit. The company’s operating profit ratio in the film business for 2010 more than doubled year on year to reach 17.8 percent. The figure is truly remarkable when considering that the business posted an operating profit ratio of less than 6 percent until as recently as two years ago.

Chemical business sees operating profit jump 89.7% due to reinforcement of downstream business, improvement of costs
The chemical business posted 883.3 billion won in sales and 64.7 billion won in operating profit as a result of reinforced downstream business in propylene glycol (PO), and improvement of costs. The figures represent a 15.8 percent gain and 89.7 percent advance respectively, year on year, with the operating profit ratio rising to 7.3 percent from 4.5 percent in 2009.

Affiliates’ improving operational performance contributes to net profit gain
The improved operational performance of SKC’s affiliates also significantly contributed to the company’s stellar performance in 2010. Notably, record performances in SKC’s U.S. operations, SKC Inc., and SKC’s joint venture with Kolon, SKC Kolon PI, garnered SKC 6.6 billion-won gains from assessment of its stakes in those affiliates, thus increasing its profit by 46.4 billion won year on year. Moreover, a 25 billion-won gain from the sale of its stakes in SK Shipping also added to its profit, buttressing robust gains in its net profit.