Transactions with Affiliated Companies

Samsung Electronics Co. Ld

20 March 2024

 

Transactions with Affiliated Companies

Samsung Electronics Co., Ltd. (KS005930, KS005935, SMSN, SMSD) ("SEC"), on March 20, 2024, announced that its Board of Directors has authorized the following related-party transactions with affiliated companies.

1. Real Estate Lease Agreement

□ Major Transaction Terms

(KRW 10 mil)

Owner of property	Samsung Electronics
Lessee	Samsung Life Insurance
Lease period	May 1, 2024-April 30, 2029
Transaction amount	2,134/year
Purpose of transaction	Lease of office space
Terms and conditions	- Deposit: 1,736 - Annual rental payment: 2,084 - Transaction amount is the sum of the annual rental payment and converted annual rental payment, where the converted annual rental payment is calculated by multiplying the deposit amount and the interest rate provided for by the applicable Act, currently set at 2.9% - The foregoing deposit and the annual rental payment refer to the amount applicable in the first year; the corresponding figures in the subsequent contract years may vary as they are adjusted for inflation

Other information:

ž Number of Independent Directors present at the BOD meeting: 6 (100%)

ž Attendance of Audit Committee: Y

□ Major Transaction Terms

(KRW 10 mil)

Owner of property	Samsung Electronics
Lessee	Samsung Securities
Lease period	May 1, 2024-April 30, 2029
Transaction amount	1,334/year
Purpose of transaction	Lease of office space
Terms and conditions	- Deposit: 1,085 - Annual rental payment: 1,303 - Transaction amount is the sum of the annual rental payment and converted annual rental payment, where the converted annual rental payment is calculated by multiplying the deposit amount and the interest rate provided for by the applicable Act, currently set at 2.9% - The foregoing deposit and the annual rental payment refer to the amount applicable in the first year; the corresponding figures in the  subsequent contract years may vary as they are adjusted for inflation

Other information:

ž Number of Independent Directors present at the BOD meeting: 6 (100%)

ž Attendance of Audit Committee: Y

2. Provision of Collateral Security

 SEC to use a building and land as collateral to secure the deposit in the above transaction

□ Major Transaction Terms

(KRW 10 mil)

Owner of property	Samsung Electronics
Related party	Samsung Life Insurance
Collateral security	Land and building
Security period	May 1, 2024~ (expires at the repayment of deposit)
Guaranteed amount	1,736
Maximum guaranteed amount	2,084
Terms and conditions	- Security period is subject to change. - The maximum guaranteed amount is 120% of the guaranteed amount.

Other information:

ž Number of Independent Directors present at the BOD meeting: 6 (100%)

ž Attendance of Audit Committee: Y

□ Major Transaction Terms

(KRW 10 mil)

Owner of property	Samsung Electronics
Related party	Samsung Securities
Collateral security	Land and building
Security period	May 1, 2024~ (expires at the repayment of deposit)
Guaranteed amount	1,085
Maximum guaranteed amount	1,303
Terms and conditions	- Security period is subject to change. - The maximum guaranteed amount is 120% of the guaranteed amount.

Other information:

ž Number of Independent Directors present at the BOD meeting: 6 (100%)

ž Attendance of Audit Committee: Y

 

END