February 03, 1998 in Social Responsibility News

SAMSUNG Electronics Signs Multi-million, Long-term Refrigerator Contract with Whirlpool

SEOUL, Korea - February 2, 1998 - Samsung Electronics Co., Ltd., Refrigeration Division Chief Hyang-geun Suh and Whirlpool Vice-president Claudio Baggiani signed a contract for Samsung to supply US-based Whirlpool Corporation with 550,000 refrigerators.
The signing ceremony was held in Paris, site of the Confortec consumer electronics show (held January 25-28). The US$140 million deal will take place over five years, with Samsung supplying at least US$20 million worth of refrigerators each year. Whirlpool will re-export the refrigerators to Southeast Asia, the Middle East and Russia.

This is the largest single order for refrigerators ever to be obtained by a Korean consumer electronics manufacturer - this contract holds 65% of Samsung's total export revenue coming from refrigerators. Such an additional market of refrigerators and microwave ovens, marks a significant change from the general line of export products Samsung has been used to, which had been mostly centered around TVs, VCRs and other audio/video products.

90% of the refrigerators are to be produced at Samsung's Kwangju plant, which is equipped with the state-of-the-art mixed flow production system. The system allows three different refrigerators to be produced in succession on a single production line. The rest of the refrigerators, all small capacity models, are to be made at Samsung's electronics complex in Suzhou, China. V With the new Kwangju facility in operation, Samsung expects additional opportunities from other major players within the industry. Whirlpool Corporation is one of the biggest consumer electronics companies in the world; it markets eleven different brand lines in more than 140 countries and has production facilities operating in 13 nations.

Samsung Refrigerator Export Division Chief Byung-hyun Lee led the Samsung negotiating team at Confortec. According to Mr. Lee, "Our relations with Whirlpool are just beginning. If the Southeast Asian currency crisis stabilizes and (our) offshore plants gain a strong competitive advantage, we have a very strong chance of receiving an additional US$60 million order (from Whirlpool) at the end of this year. Thus we expect to keep strengthening our ties, so that Samsung and Whirlpool together can make many strategically innovative breakthroughs into new markets around the world."

Samsung Electronics Co., Ltd., a US $19 billion flagship company of Korean-based the Samsung Group, is a world leader in electronics, with operations in more than 60 countries.


Welcome to Samsung

Sign up & get 10% off

Sign up and get 10% off your first order of $100 or more! Shop Samsung.com to find the best tech at the best prices and recieve news on our latest technology and exclusive offers.*

*Exclusion apply. Order must be a minimumm of $100 or more. Offer valid only for new Samsung.com customers. Must sign up for emails by 11/12/16. Promo code must be used by 11/19.

Fast, easy checkout with Shop Samsung App
Easy sign-in, Samsung Pay, notifications, and more!
Or continue shopping on Samsung.com
×
The Shop Samsung app
Free standard shipping, exclusive offers and financing options.
GET
×
The Shop Samsung app
Free standard shipping, exclusive offers and financing options.
GET
×

You Are About To Be Redirected To Investor Relations Information for U.S.

Thank you for visiting Samsung U.S. Investor Relations. You will be redirected via a new browser window to the Samsung Global website for U.S. investor relations information.
CANCEL
CONTINUE
×

Redirect Notification

As of Nov. 1, 2017, the Samsung Electronics Co., Ltd. printer business and its related affiliates were transferred to HP Inc.

For more information, please visit HP's website: http://www.hp.com/go/samsung


Select CONTINUE to visit HP's website.

CANCEL
CONTINUE