SAMSUNG Motors Begins Delivery of its First Cars

SEOUL, Korea - March 5, 1998 -- Samsung Motors Inc. began delivering its first SM5 cars (SM525V, SM520SE, SM520) on March 5 as the company gears up for full-scale operation. The very first unit, an SM525V sold at the Bundang Auto Station in southern Seoul, was delivered to Mr. Dong-ryul Han (aged 49,businessman). Samsung Motors has been receiving advance orders since January 12th this year in an effort to maximize its delivery efficiency. As of February 16th 1998, about 13,000 units of SM5 have been reserved. After SM5 was first unveiled at the launching ceremony on February 17th 1998, more than 150 contracts are being made daily. With more than 3.5 million Samsung Motors Auto Card holders in Korea, Samsung also has an enormous pool of potential buyers already building credit towards the purchase of a new Samsung car. Initially the SM5s are sold only in Korea and exports to Turkey, Lebanon, Chile, Peru, and China are planned for the second half of this year.
Samsung's SM5 stands out in four areas: safety, ride, durability and interior elegance. The SM5 is designed to appeal to a broad range of tastes by offering the refinement of a luxury car with the economy of a midsize model. The upscale, luxury-oriented SM525V, has an emphasis on safety and sophisticated elegance while the sporty SM520 is designed for a comfortable ride as well as dynamic handling. The new cars by Samsung are extremely responsive and the quietest on the Korean market.

In comparative performance tests conducted by U.S.-based Automotive Marketing Consultants, Inc. (AMCI) last year, Samsung's SM525V received the highest accumulated score among BMW 528i, Hyundai Sonata (both 6 cylinder models), Toyota Camry, and Honda Accord (both I-4 models). The tests covered 20 fields in the dynamic and static categories including acceleration, braking, and handling.

Samsung cars were designed to satisfy the US New Car Acceptance Program (NCAP), Product Liability tests, to include the very strict US standards (1.5 times the international standard) for side impacts. The SM5 has been rigorously tested for durability, safety and performance.

Samsung Motors Inc. was established in 1995 with the goal of developing an improved and distinctive automobile, and improving the overall quality of Korean-made vehicles. Earlier this year the company started mass production of the SM5 at its state-of-the-art plant in Pusan, Korea. The Samsung Group, a leading electronics, engineering and chemical manufacturer and financial services company, employs approximately 260,000 people worldwide and had 1996 revenues of US$92.7 billion.