Notification letter for CY 2015 Increase of National Health Insurance(“NHI“)

Please be informed that NHI will be increased from 1st January 2015 as followings;

1. NHI : average 1.35 % increase ( incl. LTCI )

  - Company's staff NHI rates : 5.99 % (CY2014) -> 6.07% (CY2015)

    * Monthly NHI premium : Monthly average Salary X Premium rates (6.07%)

    ( Employer & Employee will bear 50 % each )

     - Self-employeed staffs :

       * point rates changes : KRW 175.6 ( CY2014 ) -> KRW 178 ( CY2015 )

2. Long-term Care Insurance (“LTCI”)

    - LTCI's premium rates : 6.55% ( Freeze )

    - Premium Calculation Method : NHI Premium X LTCI's premium rates(6.55%)

     * In line with the adjustment of NHI, LTCI's burden will be increased a bit.

3. Background of NHI's increase
 

    - The increase of the health insurance coverage : Support for older man's

       Implant, coverage increase of 4 major heavy disease and improvement of

       non-coverage system.

    - Basic Medical Cost increase : average 2.20% : Hospital 1.7%, Dental Clinic:2.2%

      Oriental Clinic: 2.1%, Pharmacy:3.1%, maternity nurse:3.2%, Clinic:3.0% Health

      organization: 2.9%