Trial Court Judgment relating to Embezzlement

Trial Court Judgment relating to Embezzlement

by Officer or Employee

Samsung Electronics Co., Ltd. (KS005930, KS005935, SMSN, SMSD) ("Company") disclosed the

judgment from the first trial regarding a former executive's charge on embezzlement and breach of

fiduciary duty indicted by Suwon District Public Prosecutors Office on October 18, 2016.

1. Relevant persons: OO Lee (Senior Vice President)

2. Judgments on matters related to embezzlement: Found innocent on charges of violating the Act on Prevention of Divulgence and Protection of Industrial Technology and breach of fiduciary duty; and found guilty on breach of fiduciary duty involving expense reimbursement fraud

3. Amount of embezzlement 

4. Company's countermeasure

 - The Company will make efforts to prevent any recurrence of such an incident.

5. Date of ruling: January 12, 2018

6. Date of confirmation: January 29, 2018

7. Other information

 1) This disclosure is made based on the judgment from the first trial and is subject to change according

to the appeal and judgments of subsequent courts.

 2) The total equity stated above is based on the Company's consolidated financial statement as of the

end of 2016.

 3) The Company will disclose any progress or confirmation on this matter without delay.