Hyundai Capital Hyundai Card Annual Report 2010 현대캐피탈 현대카드 연차보고서 애뉴얼리포트 Annual Report 2010년

1. Beyond Boundaries
for Sustainable Growth
Hyundai Capital, Hyundai Card & Hyundai Commercial
Annual Report 2010

2. Beyond Boundaries
for Sustainable Growth
Hyundai Capital, Hyundai Card and Hyundai Commercial:
Going beyond the boundaries to achieve sustainable growth
Hyundai Capital, Hyundai Card and Hyundai Commercial’s growth
has been based on the excellence of our differentiated services and
our distinctive corporate culture. Our motto for this year is “Beyond
Boundaries.” This refers to our goal of becoming global financial
companies whose values are trusted and respected by customers
both in and outside of Korea, surpassing the boundaries in the
financial industry and among countries while adhering to a clear and
consistent vision.
In 2011, we will redefine the roles of the financial business and
achieve dramatic new outcomes again. We will do this by deploying
customer-oriented, efficient solutions and innovative methods in
all areas of customer service, marketing, risk management, and
overseas operations.
Contents
Beyond Boundaries
04 Financial Highlights & Statements
10 CEO’s Message
18 Highlights
26 2010 At a Glance
Overview
30 Hyundai Capital Products
34 Hyundai Card Products
38 Hyundai Commercial Products
42 Hyundai Capital Milestones
44 Hyundai Card Milestones
46 Hyundai Commercial Milestones
48 Global Presence
50 Directors & Executives
52 Independent Auditor’s Report

3. 4 5
Hyundai Capital,
Hyundai Card &
Hyundai Commercial
Annual Report 2010
Financial Highlights
667
’10
& Statements
Hyundai Capital
2010 Operating Income
541
’09
(Unit: In thousands of KRW)
Balance Sheets 2010 (18th) 2009 (17th)
Assets 17,931,199,194 15,854,425,786
Cash and Bank Deposits 1,064,798,728 773,757,387
Securities 70,707,832 56,636,972
505
’08 Loans 7,548,313,689 6,826,569,128
Installment Financial Assets 3,231,825,277 2,610,205,217
Leased Assets 3,065,500,390 2,656,538,470
New Technology Financial Assets - -
Credit Securitized Assets 1,983,985,013 1,319,673,269
Tangible Assets 232,361,373 226,934,783
476 Other Assets 733,706,891 1,384,110,561
’07
Liabilities 15,727,685,523 13,698,695,872
Borrowings 14,104,329,570 12,402,217,193
Other Liabilities 1,623,355,953 1,296,478,679
Shareholders’ Equity 2,203,513,670 2,155,729,914
Capital Stock 496,537,175 496,537,175
Capital Surplus 407,539,067 407,539,067
Capital Adjustment - -
Other Accumulated Comprehensive Income and Losses -28,817,999 27,785,730
Retained Earnings 1,328,255,428 1,223,867,942
383
’06
(Unit: In thousands of KRW)
Income Statements 2010 (18th) 2009 (17th)
Operating Revenue 2,989,835,469 2,989,268,715
(Unit: In billions of KRW)
Operating Expenses 2,322,775,322 2,448,256,349
2010 2009 2008 2007 2006 Operating Income 667,060,147 541,012,366
Operating Revenue 2,990 2,989 4,330 2,245 2,209 Non-Operating Revenue 35,518,007 21,785,888
Operating Income 667 541 505 476 383 Non-Operating Expenses 23,199,083 24,598,393
Net Income 512 411 377 333 417 Income Before Income Tax Expenses 679,379,072 538,199,861
Total Assets 17,931 15,854 16,068 13,771 12,069 Income Tax Expenses 167,833,709 126,969,112
Total Shareholders’ Equity 2,203 2,156 1,650 1,414 1,178 Net Income 511,545,363 411,230,750

4. 6 7
Hyundai Capital,
Hyundai Card &
Hyundai Commercial
Annual Report 2010
Financial Highlights
& Statements
Hyundai Card 389
2010 Operating Income ’10
300
’06
286
’09
(Unit: In thousands of KRW)
Balance Sheets 2010 (16th) 2009 (15th)
258 Assets 9,915,767,764 7,291,248,896
’08
Cash and Bank Deposits 742,671,859 479,559,001
Securities 2,143,234 82,903,992
Loans 985,000 0
Card Assets 8,473,299,494 6,248,751,386
Tangible Assets 152,515,808 135,419,050
Other Assets 544,152,368 344,615,467
73 Liabilities 8,263,679,013 5,808,000,005
’07
Borrowings 6,683,842,693 4,524,145,735
Other Liabilities 1,579,836,320 1,283,854,270
Shareholders’ Equity 1,652,088,750 1,483,248,891
Capital Stock 802,326,430 802,326,430
Capital Surplus 57,704,444 57,704,435
Capital Adjustment 0 -20
Other Accumulated Comprehensive Income and Losses -748,973 46,885,772
Retained Earnings 792,806,850 576,332,274
(Unit: In thousands of KRW)
Income Statements 2010 (16th) 2009 (15th)
Operating Revenue 2,275,741,542 1,840,843,429
(Unit: In billions of KRW)
Operating Expenses 1,886,555,975 1,554,553,048
2010 2009 2008 2007 2006 Operating Income 389,185,567 286,290,381
Operating Revenue 2,276 1,841 1,594 1,121 1,110 Non-Operating Revenue 21,086,584 24,088,004
*Operating Income 389 286 258 73 300 Non-Operating Expenses 21,188,111 15,847,424
Net Income 353 213 202 234 281 Income Before Income Tax Expenses 389,084,041 294,530,961
Total Assets 9,916 7,291 5,671 4,645 3,383 Income Tax Expenses 36,213,974 81,711,914
Total Shareholders’ Equity 1,652 1,483 1,234 1,123 831 Net Income 352,870,067 212,819,047
* Including KRW 190.5 billion from the sale of Daewoo E&C in 2006 and KRW 101.1 billion from the sale of Daewoo International in 2010. Excluding provision for the unused
141.7 billion won credit line in 2007. (Excluding provision for the unused 141.8 billion won credit line in 2007)

5. 8 9
Hyundai Capital,
Hyundai Card &
Hyundai Commercial
Annual Report 2010
Financial Highlights
& Statements
Hyundai Commercial
2010 Operating Income
67
’10
(Unit: In thousands of KRW)
Balance Sheets 2010 (4th) 2009 (3rd)
Assets 2,534,174,650 1,628,843,966
Cash and Bank Deposits 99,731,978 26,822,146
Securities 144,215,195 124,097,416
Loans 1,609,845,001 871,906,483
Installment Financial Assets 427,846,646 495,955,424
Leased Assets 39,794,453 45,825,617
New Technology Financial Assets - -
Credit Securitized Assets 126,362,421 -
28
’09 Tangible Assets 1,888,330 1,752,635
Other Assets 84,490,627 62,484,245
Liabilities 2,359,395,222 1,519,996,760
Borrowings 2,279,111,480 1,486,999,361
Other Liabilities 80,283,742 32,997,399
Shareholders’ Equity 174,779,429 108,847,206
Capital Stock 100,000,000 100,000,000
14 Capital Surplus - -
’08
Capital Adjustment - -663,810
Other Accumulated Comprehensive Income and Losses -759,373 -1,858,093
Retained Earnings 75,538,802 11,369,109
10
’07
(Unit: In thousands of KRW)
Income Statements 2010 (4th) 2009 (3rd)
Operating Revenue 236,297,922 163,017,654
(Unit: In billions of KRW)
Operating Expenses 169,191,275 135,399,801
2010 2009 2008 2007 Operating Income 67,106,647 27,617,854
Operating Revenue 236 163 136 58 Non-Operating Revenue 17,740,039 4,336,400
Operating Income 67 28 14 10 Non-Operating Expenses 570,999 400,238
Net Income 65 28 14 8 Income Before Income Tax Expenses 84,275,687 31,554,017
Total Assets 2,534 1,629 1,127 861 Income Tax Expenses 19,442,184 3,543,057
Total Shareholders’ Equity 175 109 74 70 Net Income 64,833,503 28,010,959

6. 10 11
Hyundai Capital,
Hyundai Card &
Hyundai Commercial
Annual Report 2010
CEO’s Message
Beyond Excellent asset stability, outstanding
In 2010, Stable Profit Trend
Hyundai Capital, Hyundai Card and Hyundai Commercial financial results
Boundaries
Hyundai Capital
achieved industry-leading performances while
2010 was a year in which the government stimulus policy slowed down in the 2010 operating income YoY (%)
demonstrating unparalleled competencies in the areas of
+23.3%
wake of 2009’s economic uncertainties, and the age of low interest rates came
risk management, corporate culture, and marketing. to an end. Our competitors, who were less prepared than we were to cope with
crises, began to position themselves for aggressive management activities in
the second half of the year, in reaction to the central government’s stimulus
We have redefined the meaning of customer service measures. Many financial regulations were strengthened, and the country’s
Net income before income taxes (In billions of won)
by going beyond the generally prescribed identity of ratio of household debt to consumer finance rose to reach the highest level in ’10 679
the world. ’09 538
financial companies and realized efficiencies through ’08 475
business crossovers. In addition, we achieved growth by Despite these problems, we achieved our best-ever financial results while
maintaining the industry’s highest level of asset quality. As of the end of 2010,
establishing and disseminating our corporate culture,
Hyundai Capital, Hyundai Card and Hyundai Commercial posted operating income
a key driver behind any and all corporate growth. of 667.1 billion won, 389.2 billion won, and 67.1 billion won, respectively. These
Hyundai Card
2010 operating income YoY (%)
figures, all of which exceeded those posted the year before, proved that growth
We enjoyed stable earnings again this year. This was done
by putting exhaustive risk management processes in place,
and stability are really two sides of the same coin. They also demonstrated
our new and unique operating model, which we call “growth through stability.” +35.9%
It applies to all of our operations, including product planning and marketing,
by deploying our new corporate culture, and by carrying customer service, and our overall corporate culture. Net income before income taxes (In billions of won )
out innovative and creative marketing campaigns. In 2011, Hyundai Capital ranked first in the industry in all areas of new and used car ’10 389
we will continue to grow by realigning our organizational loans and leasing services, with excellent financial performance and high
’09 295
’08 272
market shares. Hyundai Card enhanced its second-place market share position
structures and enhancing our overseas operations. Including 101 billion won from the sale of Daewoo
in Korea, becoming the brand which customers want to recommend most due
International in 2010
to its differentiated products and services. Hyundai Commercial boasted the
largest share of the financing market for industrial materials.
In specific terms, Hyundai Capital’s operating income and net income surged by Hyundai Commercial
23.3% and 24.4%, respectively, from the previous year. In addition, the company 2010 operating income YoY (%)
+243.1%
maintained its high level of return on assets (ROA). These accomplishments
were due to its profitability-oriented strategies and a significant decrease in its
bad debt expenses in the wake of the country’s ongoing economic recovery. We
also maintained a stable revenue structure, with car loans making up 80% of our
Net income before income taxes (In billions of won )
asset portfolio, while laying the groundwork for even more growth in the future
’10 84
by advancing into a wide variety of prime financial products, including leasing,
’09 32
personal loans, and mortgages. Most of our collateral for loans is automobiles
’08 14
and real estate, with personal loans accounting for a mere 8.7% of the total.
Hyundai Card enjoyed the industry’s highest monthly credit card usage,
averaging 740,000 won per cardholder. This was due to its excellent asset
qualities and a high level of customer loyalty. In addition, our VVIP card, “the
Black,” which targets the top 0.05% of the country’s income earners and is
limited to only 9,999 cardholders, led the Korean credit card market, while using
liquid metal as its material, a first for the industry.

7. 12 13
Hyundai Capital,
Hyundai Card &
Hyundai Commercial
Annual Report 2010
CEO’s Message
Hyundai Card also posted stable increases in terms of market share and number We are also striving to build a more efficient corporate culture, including
Sound Asset Portfolio Excellent Asset Quality
of customers. We have ranked second among Korean credit card issuers in terms expedited decision-making and actions and more open and easier
of total sales volume since the second quarter of 2009, and second in the industry communications. Hyundai Capital
Hyundai Capital
(including bank credit card divisions) in terms of credit purchases since 2009.
2010 Total Financial Assets (In billions of won) 2010 Over 30 Days Delinquency (%)
Our number of cardholders exceeded 9.8 million as of the end of 2010, based on Our decision-making system is now so streamlined that our CEOs can approve
personal card usage amounts.
18,721 proposals submitted by working level employees in about seven hours. At our
executives’ meetings, there are only three rules: the topic must have a company- 1.6%
The issuance of the “Platinum 3” series, which added practicality to its platinum wide impact, everyone should speak, and the decision should be made at
services, exceeded 24,000 cardholders only four weeks after its launch in Asset Portfolio
that meeting. Over 30 Days Delinquency (%)
November 2010, with monthly spending per cardholder averaging 2.5 million won.
’10 81.4% 18.6% 18,721 We are further improving our corporate culture through a “360-degree corporate ’10 1.6
16,480
Hyundai Commercial’s operating income and net income ballooned by 243.1% and ’09 81.1% 18.9%
culture assessment project” while revamping our entire organizational structure ’09 1.8
79.5% 20.5% 16,030 ’08
231.4%, respectively, over the year, thanks to careful asset management based ’08 to the most efficient level. We are also committed to disseminating our 2.3
’07 82.3% 17.7% 15,130 ’07 1.6
on its auto financing portfolio. corporate culture overseas by operating a human resources exchange program
’06 87.1% 12.9% 13,472 ’06 1.7
in conjunction with Hyundai Capital America (HCA), which we operate on behalf
Auto financing holdings made up 85% of its total assets, due to a business  Car Business  Non-Car Business
of Hyundai Motor Group.
structure that is markedly different from that of other companies that specialize
in the credit financing business. It maintained a healthy portfolio of financial Another improvement is to make our company buildings more employee-friendly.
assets, with corporate financing and PF and similar assets accounting for less For example, The Box, an employee cafeteria, and our auditorium were both built
Hyundai Card Hyundai Card
than 20% and 10%, respectively, of the total. This is due to its policy of strict and as employee rest spaces and open venues for enjoying cultural events, such as
2010 Total Financial Assets (In billions of won) 2010 Over 30 Days Delinquency (%)
strategic asset management. “Super Talk.”
Overall, we achieved our best-ever results in 2010. This was based on
our preemptive customer services, a creative corporate culture, and
9,186 Through this distinctive corporate culture, Hyundai Capital, Hyundai Card and
Hyundai Commercial are maximizing the individual abilities of their employees,
0.4%
preparation for global growth. In addition, we enhanced our corporate social while winning recognition for our value from global companies and opinion
Asset Portfolio Over 30 Days Delinquency (%)
responsobilities through our “Talent Donation” social contributions activities, leaders.
and continued extending boundaries within the industry. ’10 65.7% 34.3% 9,186 ’10 0.4
’09 74.2% 25.8% 7,136 ’09 0.3
’08 72.9% 27.1% 5,616 ’08 0.7
’07 74.1% 25.8% 4,507
Future-oriented customer ’07 0.4
A leader in corporate culture
3,508
satisfaction services
’06 77.6% 22.4% ’06 2.2
 Credit Purchases  Financing Products
Hyundai Capital, Hyundai Card and Hyundai Commercial are creating rules for a Hyundai Capital, Hyundai Card and Hyundai Commercial proclaimed 2009
new type of corporate culture, whereas existing ones have merely remained at “Customer Solutions (CS) Year,” with an emphasis on maximizing customer
encouraging job performances, arousing a sense of community, and providing solutions. The term “customer solutions” refers to proactive and preemptive
Hyundai Commercial Hyundai Commercial
employee benefits. CS strategies that reduce the likelihood of complaints by responding to our
2010 Total Financial Assets (In billions of won) 2010 Over 30 Days Delinquency (%)
customers’ voices promptly and putting innovative services in place in advance.
2,333 1.0%
The “PRIDE,” a core value of our corporate culture, denotes our pride as members
of organizations that are growing into global financial players. In order for these CS strategies to be implemented throughout the company, our
first priority was to efficiently share “problems,” namely customer complaints.
We hire high-caliber human resources in various areas, and have the nation’s
Asset Portfolio To this end, we installed a “Wailing Wall” inside The Box last year. It features Over 30 Days Delinquency (%)
largest number of employees with experience outside of the financial sector.
“no-holds-barred” criticisms registered on our call centers and websites
We also take pride in our in-house “Career Market,” an internal posting system ’10 85.4% 14.6% 2,333 ’10 1.0
regarding our services and operations.
where our employees apply for a job or literally put up themselves for sale. A full ’09 86.5% 13.5% 1,483 ’09 0.9
70% of our personnel shifts are made through this innovative system. ’08 77.8% 22.2% 1,050
We have also operated a unique and innovative “CS portal.” It provides ’08 2.1
’07 89.1% 10.9% 822 ’07
information on the current level of customer complaints and satisfaction in the 1.9
 Car Business  Non-Car Business

8. 14 15
Hyundai Capital,
Hyundai Card &
Hyundai Commercial
Annual Report 2010
CEO’s Message
form of weather charts: fair, partly cloudy, cloudy, rainy, and stormy. In addition, had closely studied how our customers actually use their cards. Besides being
Conservative Provisioning Policy Well-Diversified Funding Portfolio
our management teams are also involved in calling customers to deal with their very successful, the process of their development from concept to delivery was
problems and resolve their grievances. As a result of these efforts, we were able judged to be both innovative and ground-breaking.
Hyundai Capital Hyundai Capital
to make three thousand improvements to our systems during the year.
Actual 2010 Reserve/Regulatory (FSS) Guideline (%) 2010 Funding Portfolio
We also provide our customers with opportunities to enjoy rest and relaxation
After bringing up the question on “Customer Solution” in 2009 and putting these
measures in place in 2010, we will spend 2011 verifying them. We will see how 118.1% through new and meaningful cultural activities in diverse genres, including
concerts, exhibitions, and sports events.
ABS
16.5%
much our customer services and systems have improved, and begin to align Loans
our solutions preemptively. Preemptive solutions are our pledge that we will be For example, we have hosted “Super Match,” a competition featuring sports 7.4%
 FSS Guideline vs.  Actual Reserve (In billions of KRW)
more adept at looking at our services from the viewpoints of our customers and superstars; “Super Talk,” in which Korean and overseas celebrities share their CP
8.5%
’10 401 478 118.1% thoughts on a variety of topics; and “Super Concert,” with performances by Bonds
reflecting them when we introduce new products. 67.5%
’09 288 442 153.2%
world-famous artists. These activities are part of our efforts to genuinely
’08 282 427 151.6%
One result of these efforts was the launch of our new Platinum card series in connect with our customers.
’07 246 398 161.5%
2010. We have received very favorable responses from our customers to these
products, all of which were developed through exhaustive CS pre-screening and
’06 306 461 150.4% Since the development of our own typography in 2004, we have deployed • aintainingtheABSandCPportiontowithin
M
integrated branding strategies in which our brands market themselves. We are 20% and 10%, respectively
testing, instead of releasing products first and then modifying services based
• ong-termborrowings:63.5%
L
on customer responses. Other products that we have introduced include “MY consistently reflecting our corporate identity (CI) at our cultural events and
• verseasborrowings:36.4%
O
BUSINESS,” which combines loans with comprehensive business supports. This advertisements and other activities.
widened range of products and enhanced customer communications shows our Hyundai Card
The successful creation of these unrivalled brands has allowed Hyundai Hyundai Card
commitment to developing more advanced customer solutions. Actual 2010 Reserve/Regulatory (FSS) Guideline (%)
Capital, Hyundai Card and Hyundai Commercial to deploy a branding philosophy 2010 Funding Portfolio
We also increased the number of our Finance Shops to twenty-three and plan to
add twenty-one more by the end of 2011. These are new-concept spaces that
127.7% that genuinely communes with their customers and offers them distinctive
experiences. Loans
10.1%
ABS
7.2%
allow us to deliver our financial services in a more personal and comfortable
 FSS Guideline vs.  Actual Reserve (In billions of KRW) CP
manner. Customers can also request advisory services through its website, with 9.1%
an advisor contacting them within a maximum of four hours. In addition, various
cultural and educational programs are carried out in these venues, winning
’10 148
’09 114 142
189 127.7%
123.9%
Global growth with a unique model Bonds
73.6%
favorable responses from our customers. ’08 94 135 143.3%
Improving Hyundai Capital’s global business capabilities has also become one of
’07 52 104 200.4%
our must-dos, since Hyundai Motor and Kia Motors are both faring well in the
Although anyone can imitate our marketing campaigns, designs, and ’06 89 158 178.1%
world market. Hyundai Capital is seeking more strategic and profitable overseas • aintainingtheABSandCPportiontowithin
M
advertisements, the competitiveness of our CS and operations cannot be
business opportunities, breaking away from conventional methods of advancing 20% and 10%, respectively
replicated. These differentiated CS strategies will ensure that Hyundai Capital,
internationally. We are taking a variety of steps to ensure that we will be as • ong-termborrowings:56.5%
L
Hyundai Card and Hyundai Commercial enjoy stronger competitiveness in 2011. • verseasborrowings:6.4%
O
successful overseas as we are at home within five years.
Hyundai Commercial
Actual 2010 Reserve/Regulatory (FSS) Guideline (%)
We have been supporting the management of Hyundai Capital America in the Hyundai Commercial
US since 2007. Based on our solid network, the company achieved impressive
Innovative Marketing
168.0%
2010 Funding Portfolio
growth, including doubling the size of its assets. Unlike other Korean financial
ABS
companies which focus heavily on servicing Korean customers living abroad, we 8.1%
Hyundai Capital, Hyundai Card and Hyundai Commercial are implementing
provide services to local citizens. Loans
innovative marketing ideas in a wide variety of areas, including the business 18.2%
 FSS Guideline vs.  Actual Reserve (In billions of KRW)
realm and cultural activities, based on creativity and a spirit of challenge.
We also strengthened our international network by successfully advancing into
’10 16 26 168.0%
Europe in 2009. This was done by enhancing our relationship with Santander, Bonds
In terms of business, we analyzed what sort of products our customers would ’09 10 22 222.8% CP 60.6%
a member of the leading consumer finance house in Europe and a leader in the 13.0%
find most useful. ’08 10 17 179.7%
’07 5 15 286.0% field of auto financing.
As a result, we launched customer-centered, signature products. These include
In China, the world’s biggest automobile market, we are in the process of
“the Black,” Korea’s very first VVIP credit card; “MY BUSINESS,” an integrated • aintainingtheABSandCPportiontowithin
M
obtaining the government’s approval for the establishment of a joint venture 20% and 10%, respectively
solution for small businesses that provides business support as well as loans;
with our local business partner. In addition, we opened an office in India in 2010, • ong-termborrowings:60%
L
and the Platinum 3 series credit cards, which were only introduced after we

9. 16 17
Hyundai Capital,
Hyundai Card
Hyundai Commercial
Annual Report 2010
CEO’s Message
and plan to do the same in Brazil very soon. These steps will allow us to evolve
into a truly global financial company boasting strong local partnerships.
Management strategies for 2011
Our strategic goals are to boost our capabilities by more than 50% and continue strengthening the
We are also dedicated to nurturing human resources (HR) for multilateral
consolidation of our two companies. This will be done by hiring and nurturing human resources
overseas expansion, mainly by enhancing their global capabilities. This includes
who have a global outlook, and by basing our operating decisions on three-year plans instead of
an exchange program through which our overseas employees at Hyundai Capital
short-term outlooks
America come to work in Korea. Going forward, we will use Hyundai Capital
America as an “advance post” for our overseas expansion activities and an HR Hyundai Capital, Hyundai Card and Hyundai Commercial are both widely recognized for their
training center by sending employees in all the operating areas at our head leadership in the Korean financial industry. Innovations instituted by challengers (as we used to be
office there. ourselves) are self-innovations, but innovations instituted by leaders are made for the good of the
industry as a whole.
Our flexible approach to local business conditions and the excellence of our
human resources will work in tandem to add to our value in world markets, We will continue to create new rules for the finance industry, and open up and lead markets with
while strengthening our profile as a truly global financial company with a unique new rules. One of our new rules is “coexistence and balance.” Rigorous risk management and
and highly innovative corporate culture. active marketing should go hand in hand. Hyundai Card’s credit cards will become our customers’
favorites if we enhance their brand preference and increase the number of high-quality customers
by adding to our marketing expenses.
Citizenship If we spend our marketing expenses effectively, it will lead to a reduction in our debt expenses,
and ultimately result in overall savings.
Hyundai Capital, Hyundai Card and Hyundai Commercial support communities
through a program called “Talent Donations.” We utilize our strengths in Risk management and marketing are both aspects of growth and stability. Their inherent harmony
marketing and financial services to help the underprivileged and the society will be evident in our products and services. The success of the Hyundai Card Premium 3 Series has
at large. been made possible by the harmony of two seemingly conflicting values: “premium” and “practical.”
For example, the “Hyundai Motor Group Smile Microcredit Foundation” helps Hyundai Capital, Hyundai Card and Hyundai Commercial are thinking in the long-term, deciding
the financially underprivileged to stand on their own through our “Smile what kind of companies they want to be three years down the road. In our role as rule creators,
Learning Center,” “Smile Supporters,” and its “Realize Dream” project. In we must look to a greater future, rather than concentrating on competition within the industry.
addition, the foundation extends loans to North Korean defectors to assist
Even though we are much bigger than we used to be, we will continue to rely on the strong
them with business startups, while operating training programs through an
points that we used to grow when we were a smaller operation. We will keep growing “beyond
agreement with the Ministry of Unification.
boundaries” in all areas of the Korean finance industry, while stretching our wings to advance into
The “Art Shelter,” a new public transit center at Seoul Station that we donated the rest of the world at the same time.
last year, received an International Design Excellence Award (IDEA), an iF
Dear investors and customers:
design award, and a reddot design award. Combining art and technology, it
adds practicality and aesthetic values to this public facility.
In order to keep earning your respect and trust, the employees of Hyundai Capital, Hyundai
Card and Hyundai Commercial will continue to retain and develop industry-leading services by
Hyundai Card sends Korean art majors to intern at New York’s Museum of
accelerating the consolidation of the two companies--one of our primary branding strategies. We
Modern Art in the spring, summer, and autumn, helping them gain valuable
will always operate from the viewpoint of our customers, in order to become their favorite brands.
international experience.
Thank you.
Hyundai Capital, Hyundai Card and Hyundai Commercial will carry out more
corporate social responsibility (CSR) activities in 2011. Instead of relying
on donations, we will implement ongoing and substantial CSR activities by
diversifying and systematizing our CSR areas, such as culture and the arts,
finance, and services for the underprivileged--all based on the principles of
Ted Chung
“Talent Donation,” “Volunteerism,” and “Self-Support.”
President CEO
Hyundai Capital, Hyundai Card
and Hyundai Commercial

10. 18 19
Hyundai Capital,
Hyundai Card
Hyundai Commercial
Annual Report 2010
Highlights
Customer
01 Solution
Providing one-step-ahead solutions for customer needs
We provide preemptive customer solutions that are of real help, going
well beyond the general concept of customer satisfaction that only
offers assistance upon demand.
One way that we listen to the voices of our customers is by installing
a “Wailing Wall” on which customer complaints are shown without
filtering. In addition, we operate a “CS portal” that records customer
problems and requests in real time. We anticipate customer needs in
advance and apply the results to all the products we are developing.
Two examples are our landmark “MY BUSINESS” product, which
offers loans along with business supports, and the Platinum 3 credit
card series, which was only developed after we had closely analyzed
customer usage patterns.
These quick and efficient solutions offer our customers new
experiences and differentiated services based on our insights into
their wants and needs.
Platinum3 Series MY BUSINESS

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Hyundai Capital,
Hyundai Card
Hyundai Commercial
Annual Report 2010
Culture
Highlights
02 Marketing
Redefining the financial business beyond boundaries
Hyundai Capital, Hyundai Card and Hyundai Commercial are
redefining the limits of financial businesses.
Our unique way of thinking and our innovative ideas result in
products and services that other financial companies have never
thought of. For example, the “Super Talk” meetings that we began
in 2010 act as venues in which both Korean and international
opinion leaders from a wide range of fields can share their
thoughts and knowledge. In addition, we host a wide array of
cultural and artistic programs that are extremely popular with our
customers. They include “Super Match,” in which superstars from
the sports world compete against each other, and “Super Concert”
featuring world-renowned artists.
In addition to creating products that cannot be equaled, Hyundai
Capital, Hyundai Card and Hyundai Commercial are always there
for their customers. This is based on our philosophy of truly
communicating with our customers and creating new markets
and services.
Super Concert Super Match

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Hyundai Capital,
Hyundai Card
Hyundai Commercial
Annual Report 2010
Highlights
03 Global
Growth
Advancing into the world with global capabilities
Hyundai Capital, Hyundai Card and Hyundai Commercial have
established a more efficient corporate culture based on a
philosophy of open communications. Now we are concentrating
on enhancing our global capabilities to ensure sustainable growth.
Besides hiring and fostering the development of human resources
with global outlooks, we are continually realigning and improving
the systems that are necessary for our future organizational
growth. In addition, we are enhancing our world-wide network.
This includes forming alliances with Santander Consumer Finance,
the leading consumer finance house in Europe, and strengthening
our partnership with GE Capital. Hyundai Capital America,
our global business outpost that uses local human resources
targeting local residents, has set new standards for overseas
expansion based on our strong network.
We are committed to developing industry-leading overseas
operations throughout the world, including Europe and China.
This goal will be achieved through optimizing their operations and
by hiring and training internationally-oriented human resources.
2010 Global Site Visit Hyundai Capital America Office Building

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Hyundai Capital,
Hyundai Card
Hyundai Commercial
Annual Report 2010
Highlights
04
Citizenship
Broadening the meaning of social contributions
through “Talent Donation”
Hyundai Capital, Hyundai Card and Hyundai Commercial are changing
the meaning of corporate social responsibilities.
For example, the “Hyundai Motor Group Smile Microcredit Bank”
helps the financially underprivileged become self-supporting through
its “Smile Learning Center” and the “Realize Dream” project, which
extends beyond simple financial loans. The “Art Shelter,” a stylish bus
shelter in front of Seoul Station that we donated last year, received
an International Design Excellence Award (IDEA), an iF design award,
and a reddot design award. Combining art and technology, it creates
new values by deploying a practical design to beautify a public
facility. We also offer opportunities and hope to young Korean fine
arts students by supporting internships for them at the Museum of
Modern Art (MoMA) in New York.
In 2011, Hyundai Capital, Hyundai Card and Hyundai Commercial
will carry out its corporate social contribution activities in a more
proactive and systematic manner through a corporate social
responsibility (CSR) organization.
Internship at MoMA in New York First “Realize Dream” Store