LPL » Topics » Formation

This excerpt taken from the LPL 20-F filed Apr 16, 2008.

Formation

LG Display Co., Ltd (formerly, LG.Philips LCD Co., Ltd.) was incorporated in 1985 in the Republic of Korea under the original name of LG Soft, Ltd. and until December 31, 1998 was entirely devoted to the development and marketing of software.

As part of a restructuring of the LG Group of companies, LG Soft, Ltd. changed its name to LG LCD Co., Ltd. in November 1998 and subsequently in December 1998, LG LCD Co., Ltd. acquired the assets and liabilities of the TFT-LCD businesses of LG Electronics Inc. (“LGE”) and LG Semicon Inc. (“LGS”). The transfer of assets and liabilities from LGE to LG LCD Co., Ltd. was recorded at historical book values as LG LCD Co. Ltd. was a 100% owned subsidiary of LGE. The assets and liabilities of LGS were transferred to LG LCD Co. Ltd. at fair value based on an independent valuation.

On July 26, 1999, Koninklijke Philips Electronics N.V. (“Philips”) and LGE entered into a joint venture agreement. Effective August 27, 1999 LG LCD Co., Ltd. changed its name to LG. Philips LCD Co., Ltd. and on August 31, 1999 LG.Philips LCD Co., Ltd. issued a total of 145,000,000 previously unissued shares of common stock to Philips in exchange for a contribution of approximately (Won)1,127,000 million to LGE and (Won)725,000 million directly to the Company.

As of December 31, 2007, the Company’s shareholders are as follows:

 

     Number of
Shares
   Percentage of
Ownership (%)

LG Electronics Inc.

   135,625,000    37.90

Koninklijke Philips Electronics N. V.

   71,225,000    19.90

Others

   150,965,700    42.20
         
   357,815,700    100.00
         

 

F-7


LG Display Co., Ltd. (formerly, LG.Philips LCD Co., Ltd.)

Notes to Consolidated Financial Statements—(Continued)

December 31, 2005, 2006 and 2007

 

The Company’s subsidiaries are as follow:

 

Subsidiaries

   Country of
Incorporation
   Percentage of
Ownership (%)
      2005    2006    2007

LG Display America, Inc.

(Formerly, LG.Philips LCD America, Inc.)

   US    100    100    100

LG Display Japan Co., Ltd.

(Formerly, LG.Philips LCD Japan Co., Ltd.)

   Japan    100    100    100

LG.Philips LCD Germany GmbH

   Germany    100    100    100

LG Display Taiwan Co., Ltd.

(Formerly, LG.Philips LCD Taiwan Co., Ltd.)

   Taiwan    100    100    100

LG.Philips LCD Nanjing Co., Ltd.

   China    100    100    100

LG Display Hong Kong Co., Ltd.

(Formerly, LG.Philips LCD Hong Kong Co., Ltd.)

   China    100    100    100

LG.Philips LCD Shanghai Co., Ltd.

   China    100    100    100

LG.Philips LCD Poland Sp. z o.o.

   Poland    100    100    80

LG.Philips LCD Guangzhou Co., Ltd.

   China    —      100    100

LG.Philips LCD Shenzhen Co., Ltd.

   China    —      —      100

Global Professional Sourcing Co., Ltd.

   Taiwan    —      —      70
This excerpt taken from the LPL 20-F filed Apr 11, 2007.

Formation

LG. Philips LCD Co., Ltd. was incorporated in 1985 in the Republic of Korea under the original name of LG Soft, Ltd. and until December 31, 1998 was entirely devoted to the development and marketing of software.

As part of a restructuring of the LG Group of companies, LG Soft, Ltd. changed its name to LG LCD Co., Ltd. in November 1998 and subsequently in December 1998, LG LCD Co., Ltd. acquired the assets and liabilities of the TFT-LCD businesses of LG Electronics Inc. (“LGE”) and LG Semicon Inc. (“LGS”). The transfer of assets and liabilities from LGE to LG LCD Co., Ltd. was recorded at historical book values as LG LCD Co. Ltd. was a 100% owned subsidiary of LGE. The assets and liabilities of LGS were transferred to LG LCD Co. Ltd. at fair value based on an independent valuation.

On July 26, 1999, Koninklijke Philips Electronics N.V. (“Philips”) and LGE entered into a joint venture agreement. Effective August 27, 1999 LG LCD Co., Ltd. changed its name to LG. Philips LCD Co., Ltd. and on August 31, 1999 LG.Philips LCD Co., Ltd. issued a total of 145,000,000 previously unissued shares of common stock to Philips in exchange for a contribution of approximately (Won)1,127,000 million to LGE and (Won)725,000 million directly to the Company.

As of December 31, 2006, the Company’s shareholders are as follows:

 

     Number of
Shares
  

Percentage of

Ownership (%)

LG Electronics Inc.

   135,625,000    37.90

Koninklijke Philips Electronics N. V.

   117,625,000    32.87

Others

   104,565,700    29.23
         
   357,815,700    100.00
         

The Company’s subsidiaries are as follow:

 

     Country of
Incorporation
   Percentage of Ownership (%)

Subsidiaries

      2004    2005    2006

LG.Philips LCD America, Inc.

   US    100    100    100

LG.Philips LCD Japan Co., Ltd.

   Japan    100    100    100

LG.Philips LCD Germany GmbH

   Germany    100    100    100

LG.Philips LCD Taiwan Co., Ltd.

   Taiwan    100    100    100

LG.Philips LCD Nanjing Co., Ltd.

   China    100    100    100

LG.Philips LCD Hong Kong Co., Ltd.

   China    100    100    100

LG.Philips LCD Shanghai Co., Ltd.

   China    100    100    100

LG.Philips LCD Poland Sp. z o.o.

   Poland    —      100    100

LG.Philips LCD Guangzhou Co., Ltd.

   China    —      —      100

 

F-9


Table of Contents

LG. Philips LCD Co., Ltd.

Notes to Consolidated Financial Statements—(Continued)

December 31, 2004, 2005 and 2006

 

This excerpt taken from the LPL 20-F filed Dec 7, 2006.

Formation

LG. Philips LCD Co., Ltd. was incorporated in 1985 in the Republic of Korea under the original name of LG Soft, Ltd. and until December 31, 1998 was entirely devoted to the development and marketing of software.

As part of a restructuring of the LG Group of companies, LG Soft, Ltd. changed its name to LG LCD Co., Ltd. in November 1998 and subsequently in December 1998, LG LCD Co., Ltd. acquired the assets and liabilities of the TFT-LCD businesses of LG Electronics Inc. (“LGE”) and LG Semicon Inc. (“LGS”). The transfer of assets and liabilities from LGE to LG LCD Co., Ltd. was recorded at historical book values as LG LCD Co. Ltd. was a 100% owned subsidiary of LGE. The assets and liabilities of LGS were transferred to LG LCD Co. Ltd. at fair value based on an independent valuation.

On July 26, 1999, Koninklijke Philips Electronics N.V. (“Philips”) and LGE entered into a joint venture agreement. Effective August 27, 1999 LG LCD Co., Ltd. changed its name to LG. Philips LCD Co., Ltd. and on August 31, 1999 LG.Philips LCD Co., Ltd. issued a total of 145,000,000 previously unissued shares of common stock to Philips in exchange for a contribution of approximately (Won)1,127,000 million to LGE and (Won)725,000 million directly to the Company.

As of December 31, 2005, the Company’s shareholders are as follows:

 

    

Number of

Shares

  

Percentage of

Ownership (%)

LG Electronics Inc.  

   135,625,000    37.90

Koninklijke Philips Electronics N. V.  

   117,625,000    32.87

Others

   104,565,700    29.23
         
   357,815,700    100.00
         

The Company’s subsidiaries are as follow:

 

      Country of
Incorporation
   Percentage of
Ownership (%)

Subsidiaries

      2003    2004    2005

LG.Philips LCD America, Inc.  

   US    100    100    100

LG.Philips LCD Japan Co., Ltd.  

   Japan    100    100    100

LG.Philips LCD Germany GmbH

   Germany    100    100    100

LG.Philips LCD Taiwan Co., Ltd.  

   Taiwan    100    100    100

LG.Philips LCD Nanjing Co., Ltd.  

   China    100    100    100

LG.Philips LCD Hong Kong Co., Ltd.  

   China    100    100    100

LG.Philips LCD Shanghai Co., Ltd.  

   China    100    100    100

LG.Philips LCD Poland Sp. z o.o.  

   Poland    —      —      100

 

F-7


LG. Philips LCD Co., Ltd.

Notes to Consolidated Financial Statements—(Continued)

December 31, 2003, 2004 and 2005

 

This excerpt taken from the LPL 20-F filed Jun 21, 2006.

Formation

LG. Philips LCD Co., Ltd. was incorporated in 1985 in the Republic of Korea under the original name of LG Soft, Ltd. and until December 31, 1998 was entirely devoted to the development and marketing of software.

As part of a restructuring of the LG Group of companies, LG Soft, Ltd. changed its name to LG LCD Co., Ltd. in November 1998 and subsequently in December 1998, LG LCD Co., Ltd. acquired the assets and liabilities of the TFT-LCD businesses of LG Electronics Inc. (“LGE”) and LG Semicon Inc. (“LGS”). The transfer of assets and liabilities from LGE to LG LCD Co., Ltd. was recorded at historical book values as LG LCD Co. Ltd. was a 100% owned subsidiary of LGE. The assets and liabilities of LGS were transferred to LG LCD Co. Ltd. at fair value based on an independent valuation.

On July 26, 1999, Koninklijke Philips Electronics N.V. (“Philips”) and LGE entered into a joint venture agreement. Effective August 27, 1999 LG LCD Co., Ltd. changed its name to LG. Philips LCD Co., Ltd. and on August 31, 1999 LG.Philips LCD Co., Ltd. issued a total of 145,000,000 previously unissued shares of common stock to Philips in exchange for a contribution of approximately (Won)1,127,000 million to LGE and (Won)725,000 million directly to the Company.

As of December 31, 2005, the Company’s shareholders are as follows:

 

    

Number of

Shares

  

Percentage of

Ownership (%)

LG Electronics Inc.  

   135,625,000    37.90

Koninklijke Philips Electronics N. V.  

   117,625,000    32.87

Others

   104,565,700    29.23
         
   357,815,700    100.00
         

The Company’s subsidiaries are as follow:

 

      Country of
Incorporation
   Percentage of
Ownership (%)

Subsidiaries

      2003    2004    2005

LG.Philips LCD America, Inc.  

   US    100    100    100

LG.Philips LCD Japan Co., Ltd.  

   Japan    100    100    100

LG.Philips LCD Germany GmbH

   Germany    100    100    100

LG.Philips LCD Taiwan Co., Ltd.  

   Taiwan    100    100    100

LG.Philips LCD Nanjing Co., Ltd.  

   China    100    100    100

LG.Philips LCD Hong Kong Co., Ltd.  

   China    100    100    100

LG.Philips LCD Shanghai Co., Ltd.  

   China    100    100    100

LG.Philips LCD Poland Sp. z o.o.  

   Poland    —      —      100

 

F-7


Table of Contents

LG. Philips LCD Co., Ltd.

Notes to Consolidated Financial Statements—(Continued)

December 31, 2003, 2004 and 2005

 

This excerpt taken from the LPL 6-K filed Mar 31, 2006.

Formation

LG. Philips LCD Co., Ltd. was incorporated in 1985 in the Republic of Korea under the original name of LG Soft, Ltd. and until December 31, 1998 was entirely devoted to the development and marketing of software.

As part of a restructuring of the LG Group of companies, LG Soft, Ltd. changed its name to LG LCD Co., Ltd. in November 1998 and subsequently in December 1998, LG LCD Co., Ltd. acquired the assets and liabilities of the TFT-LCD businesses of LG Electronics Inc. (“LGE”) and LG Semicon Inc. (“LGS”). The transfer of assets and liabilities from LGE to LG LCD Co., Ltd. was recorded at historical book values as LG LCD Co. Ltd. was a 100% owned subsidiary of LGE. The assets and liabilities of LGS were transferred to LG LCD Co. Ltd. at fair value based on an independent valuation.

On July 26, 1999, Koninklijke Philips Electronics N.V. (“Philips”) and LGE entered into a joint venture agreement. Effective August 27, 1999 LG LCD Co., Ltd. changed its name to LG. Philips LCD Co., Ltd. and on August 31, 1999 LG.Philips LCD Co., Ltd. issued a total of 145,000,000 previously unissued shares of common stock to Philips in exchange for a contribution of approximately (Won)1,127,000 million to LGE and (Won)725,000 million directly to the Company.

As of December 31, 2005, the Company’s shareholders are as follows:

 

     

Number of

Shares

  

Percentage of

Ownership (%)

LG Electronics Inc.

   135,625,000    37.90

Koninklijke Philips Electronics N. V.

   117,625,000    32.87

Others

   104,565,700    29.23
         
   357,815,700    100.00
         

 

F-7


Table of Contents

LG. Philips LCD Co., Ltd.

Notes to Consolidated Financial Statements

December 31, 2003, 2004 and 2005

 

The Company’s subsidiaries are as follow:

 

    

Country of
Incorporation

   Percentage of Ownership (%)

Subsidiaries

      2003    2004    2005

LG.Philips LCD America, Inc.

   US    100    100    100

LG.Philips LCD Japan Co., Ltd.

   Japan    100    100    100

LG.Philips LCD Germany GmbH

   Germany    100    100    100

LG.Philips LCD Taiwan Co., Ltd.

   Taiwan    100    100    100

LG.Philips LCD Nanjing Co., Ltd.

   China    100    100    100

LG.Philips LCD Hong Kong Co., Ltd.

   China    100    100    100

LG.Philips LCD Shanghai Co., Ltd.

   China    100    100    100

LG.Philips LCD Poland Sp. z o.o.

   Poland    —      —      100

 

2. Summary of Significant Accounting Policies

The consolidated financial statements are presented in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”). Significant accounting policies followed by the Company in the preparation of the accompanying consolidated financial statements are summarized below.

This excerpt taken from the LPL 20-F filed Apr 11, 2005.

Formation

 

LG. Philips LCD Co., Ltd. was incorporated in 1985 in the Republic of Korea under the original name of LG Soft, Ltd. and until December 31, 1998 was entirely devoted to the development and marketing of software.

 

As part of a restructuring of the LG Group of companies, LG Soft, Ltd. changed its name to LG LCD Co., Ltd. in November 1998 and subsequently in December 1998, LG LCD Co., Ltd. acquired the assets and liabilities of the TFT-LCD businesses of LG Electronics Inc. (“LGE”) and LG Semicon Inc. (“LGS”). The transfer of assets and liabilities from LGE to LG LCD Co., Ltd. was recorded at historical book values as LG LCD Co. Ltd. was a 100% owned subsidiary of LGE. The assets and liabilities of LGS were transferred to LG LCD Co. Ltd. at fair value based on an independent valuation.

 

On July 26th, 1999, Koninklijke Philips Electronics N.V. (“Philips”) and LGE entered into a joint venture agreement. Effective August 27, 1999 LG LCD Co., Ltd. changed its name to LG. Philips LCD Co., Ltd. and on August 31, 1999 LG.Philips LCD Co., Ltd. issued a total of 145,000,000 previously unissued shares of common stock to Philips in exchange for a contribution of approximately (Won)1,127,000 million to LGE and (Won)725,000 million directly to the Company.

 

In July 2004, pursuant to a Securities Registration Statement filed on July 16, 2004 with the Korea Exchange, the Company sold 8,640,000 shares of common stock for gross proceeds of (Won)298,080 million. Concurrently, pursuant to a Form F-1 registration statement filed on July 15, 2004 with the U.S. Securities and Exchange Commission, the Company sold 24,960,000 shares of common stock in the form of American Depositary Shares (“ADSs”) for gross proceeds of US$748,800 thousand ((Won)871,753 million). In September 2004, pursuant to the underwriting agreement dated July 15, 2004, the Company sold an additional 1,715,700 shares of common stock in the form of ADSs for gross proceeds of US$51,471 thousand ((Won)59,300 million).

 

As of December 31, 2004, the Company’s shareholders are as follows:

 

     Number of
Shares


  

Percentage of

Ownership (%)


LG Electronics Inc.

   145,000,000    44.57

Koninklijke Philips Electronics N. V.

   145,000,000    44.57

Others

   35,315,700    10.86
    
  
     325,315,700    100.00
    
  

 

F-6


Table of Contents

LG. Philips LCD Co., Ltd.

 

Notes to Consolidated Financial Statements—(Continued)

December 31, 2002, 2003 and 2004

 

The Company’s subsidiaries are as follow:

 

    

Country of
Incorporation


     Percentage of
Ownership (%)


Subsidiaries


        2002

   2003

   2004

LG.Philips LCD America, Inc.

   US      100    100    100

LG.Philips LCD Japan Co., Ltd.

   Japan      100    100    100

LG.Philips LCD Germany GmbH

   Germany      100    100    100

LG.Philips LCD Taiwan Co., Ltd.

   Taiwan      100    100    100

LG.Philips LCD Nanjing Co., Ltd.

   China      100    100    100

LG.Philips LCD Hong Kong Co., Ltd.

   China      —      100    100

LG.Philips LCD Shanghai Co., Ltd.

   China      —      100    100

 

These excerpts taken from the LPL 6-K filed Apr 1, 2005.

Formation

 

LG. Philips LCD Co., Ltd. was incorporated in 1985 in the Republic of Korea under the original name of LG Soft, Ltd. and until December 31, 1998 was entirely devoted to the development and marketing of software.

 

As part of a restructuring of the LG Group of companies, LG Soft, Ltd. changed its name to LG LCD Co., Ltd. in November 1998 and subsequently in December 1998, LG LCD Co., Ltd. acquired the assets and liabilities of the TFT-LCD businesses of LG Electronics Inc. (“LGE”) and LG Semicon Inc. (“LGS”). The transfer of assets and liabilities from LGE to LG LCD Co., Ltd. was recorded at historical book values as LG LCD Co. Ltd. was a 100% owned subsidiary of LGE. The assets and liabilities of LGS were transferred to LG LCD Co. Ltd. at fair value based on an independent valuation.

 

On July 26th, 1999, Koninklijke Philips Electronics N.V. (“Philips”) and LGE entered into a joint venture agreement. Effective August 27, 1999 LG LCD Co., Ltd. changed its name to LG. Philips LCD Co., Ltd. and on August 31, 1999 LG.Philips LCD Co., Ltd. issued a total of 145,000,000 previously unissued shares of common stock to Philips in exchange for a contribution of approximately (Won)1,127,000 million to LGE and (Won)725,000 million directly to the Company.

 

In July 2004, pursuant to a Securities Registration Statement filed on July 16, 2004 with the Korea Exchange, the Company sold 8,640,000 shares of common stock for gross proceeds of (Won)298,080 million. Concurrently, pursuant to a Form F-1 registration statement filed on July 15, 2004 with the U.S. Securities and Exchange Commission, the Company sold 24,960,000 shares of common stock in the form of American Depositary Shares (“ADSs”) for gross proceeds of US$748,800 thousand ((Won)871,753 million). In September 2004, pursuant to the underwriting agreement dated July 15, 2004, the Company sold an additional 1,715,700 shares of common stock in the form of ADSs for gross proceeds of US$51,471 thousand ((Won)59,300 million).

 

F-7


Table of Contents

LG. Philips LCD Co., Ltd.

Notes to Consolidated Financial Statements

December 31, 2002, 2003 and 2004

 

As of December 31, 2004, the Company’s shareholders are as follows:

 

     Number of
Shares


  

Percentage of

Ownership (%)


LG Electronics Inc.

   145,000,000    44.57

Koninklijke Philips Electronics N. V.

   145,000,000    44.57

Others

   35,315,700    10.86
    
  
     325,315,700    100.00
    
  

 

The Company’s subsidiaries are as follow:

 

          Percentage of Ownership (%)

Subsidiaries


   Country of
Incorporation


   2002

   2003

   2004

LG.Philips LCD America, Inc.

   US    100    100    100

LG.Philips LCD Japan Co., Ltd.

   Japan    100    100    100

LG.Philips LCD Germany GmbH

   Germany    100    100    100

LG.Philips LCD Taiwan Co., Ltd.

   Taiwan    100    100    100

LG.Philips LCD Nanjing Co., Ltd.

   China    100    100    100

LG.Philips LCD Hong Kong Co., Ltd.

   China    —      100    100

LG.Philips LCD Shanghai Co., Ltd.

   China    —      100    100

 

Formation

 

LG. Philips LCD Co., Ltd. was incorporated in 1985 in the Republic of Korea under the original name of LG Soft, Ltd. and until December 31, 1998 was entirely devoted to the development and marketing of software.

 

As part of a restructuring of the LG Group of companies, LG Soft, Ltd. changed its name to LG LCD Co., Ltd. in November 1998 and subsequently in December 1998, LG LCD Co., Ltd. acquired the assets and liabilities of the TFT-LCD businesses of LG Electronics Inc. (“LGE”) and LG Semicon Inc. (“LGS”). The transfer of assets and liabilities from LGE to LG LCD Co., Ltd. was recorded at historical book values as LG LCD Co. Ltd. was a 100% owned subsidiary of LGE. The assets and liabilities of LGS were transferred to LG LCD Co. Ltd. at fair value based on an independent valuation.

 

On July 26th, 1999, Koninklijke Philips Electronics N.V. (“Philips”) and LGE entered into a joint venture agreement. Effective August 27, 1999 LG LCD Co., Ltd. changed its name to LG. Philips LCD Co., Ltd. and on August 31, 1999 LG.Philips LCD Co., Ltd. issued a total of 145,000,000 previously unissued shares of common stock to Philips in exchange for a contribution of approximately (Won)1,127,000 million to LGE and (Won)725,000 million directly to the Company.

 

In July 2004, pursuant to a Securities Registration Statement filed on July 16, 2004 with the Korea Exchange, the Company sold 8,640,000 shares of common stock for gross proceeds of (Won)298,080 million. Concurrently, pursuant to a Form F-1 registration statement filed on July 15, 2004 with the U.S. Securities and Exchange Commission, the Company sold 24,960,000 shares of common stock in the form of American Depositary Shares (“ADSs”) for gross proceeds of US$748,800 thousand ((Won)871,753 million). In September 2004, pursuant to the underwriting agreement dated July 15, 2004, the Company sold an additional 1,715,700 shares of common stock in the form of ADSs for gross proceeds of US$51,471 thousand ((Won)59,300 million).

 

F-7


Table of Contents

LG. Philips LCD Co., Ltd.

Notes to Consolidated Financial Statements

December 31, 2002, 2003 and 2004

 

As of December 31, 2004, the Company’s shareholders are as follows:

 

     Number of
Shares


  

Percentage of

Ownership (%)


LG Electronics Inc.

   145,000,000    44.57

Koninklijke Philips Electronics N. V.

   145,000,000    44.57

Others

   35,315,700    10.86
    
  
     325,315,700    100.00
    
  

 

The Company’s subsidiaries are as follow:

 

          Percentage of Ownership (%)

Subsidiaries


   Country of
Incorporation


   2002

   2003

   2004

LG.Philips LCD America, Inc.

   US    100    100    100

LG.Philips LCD Japan Co., Ltd.

   Japan    100    100    100

LG.Philips LCD Germany GmbH

   Germany    100    100    100

LG.Philips LCD Taiwan Co., Ltd.

   Taiwan    100    100    100

LG.Philips LCD Nanjing Co., Ltd.

   China    100    100    100

LG.Philips LCD Hong Kong Co., Ltd.

   China    —      100    100

LG.Philips LCD Shanghai Co., Ltd.

   China    —      100    100

 

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