Ÿ Secures stable client _ base_ through joint advance into China with Japan’s Toyo Aluminum

Ÿ Company to construct global production system with output of 300,000 tons at 24 PET film lines by 2015

Ÿ To consolidate leadership in global market share of solar cell, optical, and shrinkable PET films



Groundbreaking ceremony for construction of joint venture PET film plant in China





SKC held a groundbreaking ceremony to construct a joint venture PET film plant (Corporate name: SKC Jiangsu Hightech Plastics) in Nantong City, Jiangsu Province, near Shanghai, China on October 25. In attendance at the ceremony were over 200 people, including Chairman Chey Shin-won and President Park Jang-suk of SKC, Vice Chairman Park Young-ho of SK China, Chairman Masao Imasu of Toyo Aluminum, consul general Ahn Chong-ki of the Korean Consulate General in Shanghai, Major Chang Kuk-hua of Nantong City, and Bohyun Gul chief of the Nangong Industrial District. The joint venture was established in China in August with paid-in capital of 50 billion won, and is constructing two PET film production lines at a 330,000 sq. meter area by the end of 2012, to be followed by the expansion of the facility to produce PET film and EVA sheet.



Secures stable marketing _ base_ through joint advance into China with Japanese firm



The joint venture firm has been established with a 51 percent stake held by SKC, 39 percent by SK China, and 10 percent by Japanese firms, including Toyo Aluminum. Toyo Aluminum is a major p which controls a 35 percent share of the global solar cell back sheet market. By making joint investment in the Chinese PET film plant, the two companies are expected to not only secure a stable client _ base_ but also further strengthen their strategic alliance, giving a positive outlook to the new undertaking.



SKC to consolidate leadership position in market share of solar cell, optical and shrinkable PET films



China, the world’s largest PET film market, is seeing rising demand for related products amid the advances of its industrialization. Notably, solar cell, optical and shrinkable PET films, which are categorized into high-performance PET film, is seeing constantly growing demand due to the growth of China’s solar cell module industry, construction of massive LCD panel production facilities, and introduction of eco-friendly materials for packaging. With the construction of the PET film plant, SKC aims to gain the upper hand in the Chinese market, and consolidate its No. 1 position in the global PET film market.



Establishing production system with combined output of 300,000 tons at global production hub in China



SKC President Park Jang-suk said, “Joint venture investment in Chinese PET film opens a new chapter in SKC’s global business,” stressing that going forward the company will strengthen its cooperative ties with global enterprises to expand global management. By expanding its production _ base_s in China after Korea and the U.S. (Georgia plant), SKC is accelerating its strides in global management. When the Chinese PET film plant becomes operational in 2012, the company will have a total of 21 production lines, including 16 in Korea and three in the U.S., and will have a combined output of 240,000 tons. When an additional three production lines are completed in 2015, SKC will have secured PET film production _ base_s with a combined output of 300,000 tons, and emerge as the No. 1 global p in film production.