DAWONSYS Co., LTD.

A Global Leader of Green Power Electronics

Prologue

Chapter01_Corporate Overview

Chapter02_Business Area

Chapter03_Growth Strategy

Contents

DAWONSYS leads new paradigm of power electronics industry in the basis of creativity and technology.

Greetings

CEO ProfileHanyang Univ. / Electric Engineering

KAIST / MasterKAIST / Ph.D

Univ. of Wisconsin / Post Doc.Kolon ENG.

“With ‘Family-Friendly Management’, ‘Knowledge Management’ and ‘Future Management’, we aim for ‘the Best of the Best’. ”

We, DAWONSYS, are doing ‘Family-Friendly Management’ to realize

shared growth together with all customers, stock holders and employees

such as family members.

Our passionate investment on education and training revs up our

knowledge system thus and so, creative thoughts and an aggressive

action of all employees make ‘Knowledge Management’ to create

innovative products as for staying one step ahead of customer needs.

Always looking into the future, and moving onward to accomplish our

great dream by concentrating in the ‘Future Management’. It is also to

realize ‘what we must do in the present’ priorities and put it into action

with alacrity.

DAWONSYS moves forward “World Wide Business” and by the

utmost efforts and passion to provide “World Best Product” and “World

First Process”, DAWONSYS will grow into the global leading company.

Thank you.3

Prologue

Understanding the Power Electronics Industry

2014 Investor RelationsPrologue

A Global Leader of Green Power Electronics

4

* Power Electronics Industry

A industry considering “Power conversion” and “Control” as the key and to convert general commercial power

to special form (voltage, current, frequency, waveform etc.) required by various devices and equipment, or system

by controlling the power semiconductor.

MetalElectricity

Energy

Rail WayEnvironment

PlasmaNuclear Fusion & Acceleration

Flat Display Materials

Using special power in each industry sector

Using special power in each industry sector

Special form (Voltage, current, frequency,

waveform) conversion

Special form (Voltage, current, frequency,

waveform) conversion Commercial PowerCommercial Power

[ ]

01. DAWONSYS Identity

02. Introduction

03. Growth & Supply History

04. Divisional Sales

Corporate Overview

Leading Korea’s Power Electronics Industry based on the World Class

Technology!

01 Dawonsys Identity

Corporate Overview

Industrial power system

Environmental system

Accelerator

Induction Heating

Plasma system

PV CVD Reactor

Fusion power supply

EMU

6

3,910,738

6,987,933 최대주주 및 특수관계인

소액주주 외

Largest shareholder

Minority shareholder

02

Company Overview

Company Dawonsys Co., Ltd.

Establishment Jan 09, 1996

CEO/President Park, Sun Soon Ph.D

Core Business

• Nuclear Fusion (KSTAR & ITER P/S) • Plasma system (Plasma cleaning equip. & P/S) • Train electronic units (Inverter & Aux. P/S)• Poly silicon P/S (CVD Reactor & Grower)• Induction Heating system (I/H & I/M)

Web www.dawonsys.com

H/Q Gyeonggi-do, Siheung Korea

Employees 173 (as of 2014)

Capital 54 million KRW

Content Shares Ratio

Largest shareholder

3,910,738 35.88%

Minority shareholder

6,987,933 64.12%

Total published shares

10,898,671 100.00%

Company Introduction

7

Corporate Overview

8

Foundation

2002.06. Started Induction Heating System business 2002.01. Participated in development of KSTAR Superconducting P/S2002.01. New Intellectual Company (SMBA)2001.01. Participated in development of NBI P/S1999.05. Promising Power Venture Company (KEPCO)1998.03. Started Nuclear Fusion business (KSTAR High Voltage P/S)1996.01. DAWONSYS ESTABLISHMENT

Expansion & Growth

2009.10. Participated in PLS-II MPS development 2009.06.Excellent R&D Center (MKE)2009.06. Power supply for polysilicon production 2009.05. Power supply for KSTAR NBI1-A 2008.06. Promising Export Company (SMBA)2007.06. Copper refining rectifier to LS-NIKKO2007.05. Participated P/S development for KSTAR LHCD / ECCD2006.12. Innovative Business Company (SMBA)2004.01. Power supply for KSTAR TF/PF 2004.01. Induction Heating system to POSCO 2003.04. Material and Parts Specialize Company (MOTIE)

Globalization

2015.03. Dawonsys HQ moving 2014.05 World Class 300 (SMBA)2014.01. 2.4MW Enhanced huels type Plasma torch system to CBNU2013.07. Supplier for XFEL 200MW Pulse Modulator 2013.04. KSTAR NBI1-C power supply 2013.01. Japan’s Medical Accelerator (BNCT) P/S contract 2013.01. Global Potential Company (SMBA)2012.10. High precision MPS for KBSI LEBT2012.06. High precision MPS for PAL XFEL 2012.02. CEO, inaugurated as Chairman of ATC association 2011.12. Train propulsion inverter to Seoul Metropolitan Rapid Transit2011.11. KSTAR NBI1-B P/S2011.08. Supplier of P/S for ITER 2011.07. Hidden Star company 500 (KB)2011.03. LCD Plasma system to Samsung 2011.03. Global Business Promotion Agreement (POSCO)2010.10. Headquarter expansion planning 2010.10. PLS-II 200MW Pulse Modulator 2010.09. Listed in the KOSDAQ2010.07. Electrochemical rectifier to LG Chem. 2010.03. Power supply for KSTAR ECH/CD 2010.01. Started Atmospheric Pressure Plasma system business

Leap forward as the leading company in Power Electronics industry

Construct future growth business basis

Establish business basis

2010 ~ now

2003 ~ 2009

1996 ~ 2002

03 Growth & Supply History

Corporate Overview

01. Nuclear Fusion Power System

02. Accelerator

03. IT Plasma

04. Environmental Plasma System

05. Induction Heating System

06. EMU

07. Special Rectifier

Business Area

Dreaming hope for tomorrow, towards the future with endless innovation and

creativity!

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• In 2013, controlled instability by sustaining 20 sec. of H mode in KSTAR

• ITER applied our technology as modeling Korean KSTAR, and promoted ITER Korea to be the exclusive agency.

• KSTARdeviceenhancement &Int’l common use

• ITER completion contribution & core technology

• DEMO design & core tech. engineering

• Commercialization expansion of Nuclear fusion

Goal: Entry in 5 powerful nation

for Nuclear fusion Energy tech

2nd stage(13Y~17Y)

• Procuring origin tech. &key role in ITER bus.

• DEMO leading & elec. Production demonstration

• Korean thermonuclear power plant engineering design

• Motorizing growth of Nuclear fusion deviation tech..

Goal: Ensuring Thermonuclear power plant

Building capacity

3rd stage(18Y~22Y)

Goal: practicalStage realization

• AT-mode operation optimization

• Total operation tech. advancement

• DEMO prior tech. test

Practical Research

(23Y~25Y)

1st stage(08Y~12Y)

• Procuring domestic KSTAR operation tech.

• Participation in Int’l joint ITER project

• Building nuclear fusion engineering development system

• Expanding base of R&D & applied tech.

Goal: Promoting foundation of Nuclear fusion

Energydevelopment

YearPlasma Current

Holding time

Temperature(1KeV = 10 mil. ℃)

2008 100 KA Occurrence 1 KeV= 10 mil. ℃

2009 300 KA 3 sec 2 KeV= 20 mil. ℃

2010 500 KA 5 sec 3 KeV= 30 mil. ℃

2011 600 KA 8 sec 5 KeV= 50 mil. ℃

2012 600 KA 21 sec50 mil. ℃

hold & control

Final goal 2 MA 300 sec 300 million ℃

01 National Nuclear Fusion Project - KSTAR

Business Area

Main parts and P/S for KSTAR

KSTAR Operation performance and objectives

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<View of Cadarachè, France>

< Converter module for ITER> <Superconducting coil P/S for ITER>

ITER 1st supply contract

72.9 billion

ITER 2nd supply contract

TBD later

Category Description

Total projectcost

131.8 billion Euros (approx.)

Total project period

Oct. 2007~ Nov. 2019

01 Nuclear Fusion Power System - ITER

Business Area

12

02 Accelerator

• Government highlights bigger investment in basic science research from discovery of Higgs boson from CERN.

• Currently participating in 4th Gen. synchrotron accelerator as well as synchrotron accelerator business in overseas.

• Many medical baryon accelerator construction plans in the world.

• Heavy-ion accelerator under construction in Science business belt in Sejong city will be the world-class facility.

• Participation in Japanese medical accelerator business

Synchrotron accelerator BNCT Heavy-ion accelerator Medical baryon accelerator

Application - Powerful analysis tool using light - Faster than lightning High speedphenomenon analysis

Organization and P/J cost- PAL- Period : 11~14- Cost : 4,260 million KRW

Application - Various cancer treatment - Can selectively attack cancer tumors

Organization and P/J cost- Ibaraki-ken- Ibaraki neutron medical research center- Tsukuba University

Application - Cutting edge basic science research- Nuclear physics, astrophysics, nuclear

biological and medical - Material science and Engineering, etc

Organization and P/J cost- IBS Basic Science Institute- Period : 11~17- Cost : 4,604 million KRW

Application - Cancer therapy of dreams- Utilized in medical research

Organization and P/J cost- KIRAMS- Period : 11~16- Cost : 1,950 million KRW

Business Area

13

02 Accelerator

Pohang synchrotron accelerator

PLSII 3rd Gen.

XFEL 4th Gen.

Modulator supply contract in 2013

Additional demand for Accelerator facility

activation

Magnet Power Supply Storage ring Magnet

200MW Pulse Modulator Accelerating tube

Japan’s medical accelerator – Cancer treatment of

dreams (BNCT)

2013.01.Supply contract with BNCT

Medical accelerator P/S

Scanning MPS Pulse Modulator for BNCT

Business Area

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03 IT Plasma – Atmospheric pressure plasma

In-line type Plasma System R2R type Plasma SystemStage type Plasma System

Display Electro-printingTouch industry

OutlineSystem causing modification and changes by generating the 4th material plasma in atmospheric pressure state and applied to various processes.

TypeAP Plasma

CleanerAP Plasma

AsherAP Plasma for surface

pre-treatment

Usage FPD

(LCD, OLED) Cleaning

FPD(LCD, OLED)

Ashing

FPD, Polymer, Solar surface

treatment & adhesive

• Expect Capacitive Touch panel & ITO Film market continued growth

• SK Innovation, LG Chemical and Film manufacturing process

→ Successful introduction of its AP Plasma & application

expansion

• New LCD project overseas, Existing EUV equipment replacement

• Korea∙China OLED LINE expansion & new investment demand increase

• Expansion on AP Plasma application for disc glass manufacturing

process

Enlarge OLED process, new LCD & EUV replacement

Integral∙optical film development activation

Business Area

15

04 Environmental Plasma System – Plasma torch

Power supply Plasma torch Manipulator

CW pump skid Water / Gas manifold HMI

Hazardous wasteHazardous waste Raw material & metal processRaw material & metal process Waste energy recoveryWaste energy recovery OthersOthers

Application extended to various sectors

Business Area

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04 Environmental Plasma System- EP – MPS

Business Area

Accomplished 2-3 times of dust collection efficiency comparing to the conventional DC power supply

Significantly reduced power consumption to 10-20% of the original level (80 to 90% electricity savings)

Unnecessary to build new huge EP facility. The same effect achievable just by replacing power supply in the existing facility

Application: Coal-fired power plant, Sintering , Cement, Boiler, Incinerator

Specification Unit Symbol Value

ESP Capacitance nF CEP 50~150Pulse Width us T 120

Repetition Rate Hz F 200Input Voltage Vac V TBD

Input Frequency Hz F TBDMax. Pulse Voltage kV VPS 65

Max. DC Voltage kV VDC 35~50Average DC Current mA IDC 400ESP Peak Current mA Ips 200

<Configuration of coal fired power plant>

<EP-MPS operation procedure><HV tank and Control panel>

<Major customers>

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05 Induction Heating System

Outline Essential system for steel∙metal manufacturing process

Type Induction Heating Induction Melting furnace

Feature• Product quality improvement • Improve productivity compared to fossil fuels • Excellent energy-saving

Application

• Cold rolled plate• Hot rolled steel line Edge Heater• Heat treatment • Forging heating system• Cast steel/cast iron/non-ferrous metal melting

Reference

• New demand based on Energy-saving · low- carbon regulation • Expanding demand from large steel company’s facility investment to overseas.

• Plant & Engineering bus. expansion (cold mill plant and

galvanizing line)

- Domestic market : POSCO, Hyundai steel and etc.

- Foreign market : Russia, Malaysia, China, India and etc.

• Entering heat treatment large system market

-Pipe, round bar, billet heating included

-Nexteel, Dongbu steel, Seahbesteel and etc.

Business Area

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06 EMU

Features

• Unit responsible for train operation by controlling traction motors

for train

• Power supply for various service device and controllers used in

train

Performance

• Improved and renovated inverter for 1 car and supplied to line 5

(operation in 2012)

• Supplied 28 inverters for 7 cars to line 7 extended section

(operation in 2012)

“Expects more than 200 billion KRW”

SMRT(Line 5,6,7,8)

KORAIL(Line 1, national, Gwachun line)

Seoul Metro(Line 1,2,3,4)

Other(Busan, Daegu, Daejeon)

1,500 cars

2,240 cars

1,900 cars

1,560 carsEntering

inverter market for railway since 2010

Monopolize market

1. Extended subway car’s service life from 25 years to 40 years and increased quantity of improving old electrical units.

2. Activated subway cars and light rail business through new traffic network

3. About 30-40% among total 7,200 cars are needed to improve inverters within 10 years

Business Area

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07 Special Rectifier

Korea’s first Chlor-Alkali Industry rectifier supply reference reserved

2012. 12 LG Chem/Yeosu No.2 Plant completion (690Vdc 18.6kA 8sets)

2011. 02 LG Chem VCM KL rectifier supplied (375Vdc 12.54kA 2sets)

2010. 12 LG Chem VCM MN rectifier supplied (375Vdc 12.54kA 2sets)

2009. 07 LG Chem VCM rectifier supplied (375Vdc 18kA 1set)

OutlinePower system producing large current by using high-speed switching device

Features

• Achieved reducing size and weight of the product• High-precision current control method • Using the international standard communication method • Using high-speed switching device (IGBT, SCR)• High reliability and stability implementation

Application

• Chemical plant • Steel plant • Seawater desalination • Rectifier for Arc furnace

• Power quality and association (cost-effective)

• A/S and obsolete equipment improve ability

• Acquired manufacturing process

• Obtained Power factor correction unit operation

processor

• SVC(Large backflow compensator ) reference

• Found large rectifier TR manufacturer

• Made and installed CA rectifier for LG Chem.

• Expanding market share for domestic chemical

plant

Chlor-Alkali manufacturing P/S

Energy Storage System

Business Area

Satisfying shareholders and customers through the growth and sustainability

management .

01. Management Philosophy

02. Vision & Mission

03. Global Network

04. Principal Policy

05. Office & Factory

Growth Strategy

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01 Management Philosophy

Growth Strategy

FutureManagement

KnowledgeManagement

Family-friendlyManagement

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02 Vision & Mission

Growth Strategy

• Core Technology Empowerment

• Making the existing core products to top level

• Business empowerment/expansion

• Int’l networking/strengthening

• Discover customer’s new value

• Core technologies fusion

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03 Global Network

Growth Strategy

■ Accelerator

■ Induction Heating System

■ Plasma System

■ Polysilicon Production P/S

■ EP-MPS(Micro Pulse EP)

■ ITER

■ Russia_JINR

■ Poland Arcelor Mittal

■ Romania_ Arcelor Mittal

■ ITER

■ Beijing_BOE

■ Hefei_BOE

■ Iran_Omid group

■ 본계강철■ Hangzhou_Feida

■ Shenzhen_CTD

■ 무한강철 ■ Guangzhou_LGD ■ Japan Sumiju

■ Japan_KEK

■ Japan Nippon Steel

■ Taiwan_CMI

■ California_NASA

■ Malaysia_EGALV

■ Indonesia Asahi Kasei

■ Mexico_POSCO

■ Montana_GTAT

■ Minneapolis_Phoenix Solution Co.

■ Xiamen_Tianma

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04 Principal Policy

Growth Strategy

Welfare policy

Guaranteed retirement

Providing work-friendly environment

Education support (graduate/PhD)

Full support on child’s education (KD to College)

Providing 20% of company profit for incentives

Education policy

190 hours of compulsory education per year (10% of normal work

hours)

Internal Curriculums and mid/final evaluation

Promotion and incentives based on the final result

Providing education fees

05 Office & Factory

Growth Strategy

Dawonsys view (6,611㎡)

New headquarter (52,532㎡)

• Expects to transfer factory end of 2014• Expects to move office March 2015

“6 times the current facility”

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