KOREA UNESCO World Cultural Heritage - Bulguksa Temple & TRUCK BUS Summer | 2009 | Vol.04 | No.14 Bulguksa, the Temple of the Land Buddha, sits mid-slope on Mt. Tohamsan. Its construction was completed under the supervision of Prime Minister Kim Dae-seong in the 10th year of King Gyeongdeok's reign of the Silla Kingdom (751). The temple manifests both terrestrial and celestial abodes: the mundane world as represented by Shakyamuni Buddha's Lotus Sutra; the paradise governed by the Amitabha Buddha as described in the Book of the Constant Life, and the other paradise, the Land of Perfect Bliss of the Vairocana, the Resplendent Buddha, as described in the Avatamska Sutra. The cloistered compound is largely divided into two courts: one, centering on Daeungjeon, the Hall of Shakyamuni, contains Cheongungyo, the Blue Cloud Bridge, Baegungyo, the White Cloud Bridge, Jahamun, the Gate of Purple Mist, Beomyeongnu, the Pavilion of Mount Meru, Jwagyeongnu, the Left Sutra Hall, Dabotap, the Pagoda of Abundant Treasures, Seokgatap, the Pagoda of Shakyamuni, and Museoljeon, the Hall of Discourse; the other, centering on Geungnakjeon, the Hall of Paradise, contains Chilbogyo, the Seven Treasure Bridge, Yeonhwagyo, the Lotus Flower Bridge, and Anyangmun, the Gate to Nirvana. Seokgatap and Dabotap are the most eye-catching of these architectural masterpieces. Dedicated to the Shakyamuni Buddha and the Prabhutaratna (the Buddha of Abundant Treasures), these two pagodas represent these Buddhas as residing in the temple, well exemplifying the Silla people's desire to embody Buddhist ideals in the mundane world. Hyundai Motor Company Phone : (82-2) 3464-3192 Fax : (82-2) 3464-3513 Website : http://www.hyundai.com Tucked away on the eastern slope of the peak of Mt. Tohamsan is Seokguram Buddhist Grotto, a hermitage of Bulguksa, also known to have been built by Kim Dae-seong. This granite sanctuary sums up the religious enthusiasm, architectural technology, and immaculate workmanship of the Silla people, making it a rare landmark of world religious art. Seokguram consists of an antechamber which holds reliefs of eight guardian deities and two Vajrapanis; a short corridor carved with four heavenly kings; and the main rotunda which enshrines in its center the seated main Buddha, Shakyamuni Tathagata (the Incarnation of Truth). Along the lower part of the circular wall are reliefs of an 11-faced Avalokitesvara, ten disciples, Manjusri, Sakradevanam Indra, Mahabrahmandah, and Samantabhadra. Above these at about eye-level are ten niches, each enshrining a bodhisattva. The main Buddha under the vault of the rotunda wears a smile of serene benevolence which has been appreciated as the zenith of what man can achieve through stone sculpture. It is as if the Buddha is about to preach to us at any moment, to enlighten the good human nature innate within us. For its sheer culmination of Buddhist beliefs, aesthetics, and advanced engineering, Seokguram was registered on UNESCO's World Cultural Heritage List, together with Bulguksa Temple, in December of 1995. Register Date : March. 10, 2006 Registered No. : 2009-B Publisher : Mong - Koo Chung Designed : Communications OCTO Inc. Published : June. 30, 2009 Commercial Vehicle Export Planning Team We welcome your suggestions & your comments. If you have great stories which are related to Hyundai, Please feel free to e-mail Mr. W.H Kim : whk@hyundai.com Global News Hyundai-Kia Chairman Makes Motor Trend Magazine's 'Power List' Cover Story Mayor of Lima Castañeda Visited Jeonju Plant for a Tour Hyundai displays new technologies at Seoul Motor Show 2009 Luis Castañeda Lossio, Mayor of Lima, Peru, visited the Jeonju Plant May 18th for a tour and a look at some of Hyundai’s newest models of commercial vehicles. His visit, arranged at the invitation of the HMC CV Division, was designed to offer the mayor a chance to have a firsthand look at the world’s single largest automotive production facility as a showcase of Hyundai’s technological superiority. Upon arrival at the Plant, Mayor Castañeda and his party were received warmly by Vice Chairman H.Y. Choi and Senior Executive Vice President Y.K. Kim. After that, they went on a tour of the Plant’s bus and special vehicle production lines. Chung Mong-koo, chairman of Hyundai-Kia Automotive Group, ranked sixth on the “power list” released by U.S. auto magazine Motor Trend in its February issue. During the tour, Mayor Castañeda expressed great admiration at the automated, state-of-the-art production processes. The tour was followed by a stop at the exhibition ground in front of the main office building, where some trucks and buses hot off Chairman Chung ranked 47th in his first appearance on the list last year, but soared to a top 10 placing in a year. The magazine said that Chung “pushed Hyundai Kia past Honda Motor to become the world’s fifth largest automaker by sales volume.” the assembly lines were on display. Mayor Castañeda and his party were briefed on their performance and special features, while checking the displayed vehicles with great interest. Mayor Castañeda expressed great satisfaction with the - Using the largest CV display space among domestic carmakers - Displaying zero-pollution Hydrogen Fuel Cell Bus and UNIVERSE Limousine - Differentiating itself from others with its brand image as an environmental-friendly business quality of the vehicles he had seen during his visit to the Plant. The 2009 Power List reflects the collapse of the Big Three (GM, Ford, and Chrysler). Rick Wagoner, chairman of GM, nose-dived to 32nd from last year’s first place. Alan Mulally, CEO of Ford, ranked 10th, which was the highest among leaders of American automakers. The good impression Mayor Castañeda and his party came away with from their visit to the Jeonju Plant is expected to help Hyundai Motors firm up its foothold in the Peruvian market. It will also connect well with Hyundai’s recent thrust CEOs of successful automakers ranked higher than last year. Honda President Takeo Fukui ranked first, up 21 places from a year ago. Honda’s small and mid-sized cars are sweeping the U.S. and its hybrid car Insight is successfully targeting the environmentally-friendly car market. Wendelin Wiedeking, CEO of Porche, ranked 2nd. Cho Fujio, president of Toyota, ranked 3rd, followed by Ferdinand Piech, chairman of the Supervisory Board of Volkswagen, and Carlos Ghosn, chairman of Renault Nissan. Motor Trend Motor Trend, a U.S. magazine with a history dating back to 1949 and the largest circulation in the trade, is a highly respected voice in the automotive world. The magazine’s evaluations of vehicles have a major influence on U.S. consumers’ buying decisions. 02 | HYUNDAI Newsletter into the newly emerging markets in the world, which is already showing great results with big orders scored from nations like Turkmenistan. Hyundai Motor Co. plans to run a commercial vehicle exhibition area, displaying five commercial vehicles (including a new concept model), along with engines and newly developed technologies, covering a 880 sq. m space, separate from that for passenger cars, at the Seoul Motor Show, which opens here April 2 and runs through to April 12 at KINTEX in Ilsan, a Seoul suburb. The exhibition space for CVs will focus on emphasizing the image of Hyundai Motor as the top CV maker in Korea, boasting advanced, environmentalfriendly technologies and top-quality products. The No. 1 carmaker in Korea will invite loyal customers to its exhibition space and hold special events for visitors, including an on-the-spot photo opportunity and a quiz show, to foster a lively atmosphere. The truck and bus exhibit will include: a concept model of a Hydrogen Fuel Cell Bus, a UNIVERSE Limousine, a UNIVERSE CNG tourist bus, a TRAGO three rear axle 24-ton dump truck, and a TRAGO Hi-Cab 6x2 tractor, along with the POWERTEC diesel engine that satisfies Euro-4 Emission Standards, the environmental-friendly Q-CNG engine as well as two newly developed technologies: Commercial Vehicle Drive Assistant System that provides a variety of information to the driver and the highly innovative O2 cabin air generator. Hydrogen Fuel Cell Bus Equipped with an eco-friendly high-efficiency fuel cell developed by Hyundai, this is a second generation pollution-free city bus which emits only water vapor by using hydrogen fuel which is transformed into electrical energy. It was successfully operated during the 2006 World Cup period in Germany. By applying the high efficient electronic storage system to the fuel cell and electronic drive train, it is possible to achieve high fuel efficiency and better durability of brake system. Its newly designed exterior is different from other city buses, and offers convenience for passengers when they get on and off, by the presence of a lower-step when entering the bus. It delivers a max speed of 100 km/h, 24% gradability and can drive 350 km on a single charge thanks to a big fuel tank. (Max power: 408 h/p, Max torque: 94 kg.m, Fuel tank capacity: 1,230 liters) UNIVERSE Limousine It features a refined and grand style, comfort in riding as a luxury bus, complete with functions as an ultra-modern office. It offers a spacious interior, a variety of convenient devices, and a refined indoor lighting system. It is even equipped with a computer for presentations, an ultra-modern VIP office complete with a large-sized LCD monitor, a small kitchen space where cooking can be done, a bathroom, a chest of drawers and a washbasin. Other features include a sunroof for ventilation, a heated massaging VIP seat, the floor covered with plush carpet, and interiors with modernistic design. UNIVERSE CNG (Compressed Natural Gas) tourist bus The low-pollution UNIVERSE CNG tourist bus boasts excellent fuel efficiency compared to its diesel-fuel competitor. It is equipped with the Q-CNG engine which has proved stability, practicability and durability as a result of being HYUNDAI Newsletter | 03 Cover Story Cover Story Hyundai’s 2nd Generation Hydrogen Fuel Cell Electric Bus Unveiled at Seoul Motor Show tested in ordinary intra-city buses. The type of engine upgraded for use in intra-city buses and tourist buses has secured: a max power of 340 HP and a max torque of 140 kg.m. In addition to a high-pressure storage tank, it can carry cargo weighing 3.7 cubic meters in the main/auxiliary cargo sections. It also features option packages, such as indoor rainbow & panorama lamps, European-style outside mirrors, a massaging driver’s seat, etc. TRAGO three rear axle, 24-ton dump truck The distance between the front and rear axles is 300 mm shorter than its 25.5ton cousin’s, with customers’ requirements reflected, thus minimizing the vehicle’s turning radius, which delivers the enhanced maneuverability of a dump truck operating in worksites. It is equipped with the 460 hp POWERTEC engine, which is the most powerful among those in the same category. One rear axle is lifted off the ground when not needed to save fuel and wear on the tires. It is also newly equipped with a cover-type dumping cylinder suited to construction waste dumping and a reinforced beam-type cargo compartment. outstanding output. The cockpit is ergonomically designed and equipped with a DVD and a TV. Its touch screen makes it easy to operate hi-tech devices. A state-of-the-art audio system, complete with high-powered speakers, suspensionpromotes driver comfort and covenience. The electronicallycontrolled suspension delivers superb comfort to the operator. The EBS brake, which provides optimal braking performance, with the volume of cargo taken into account, reduces the braking distance by more than 15 percent even in the case of an abrupt halt. TRAGO Hi-Cab 6x2 Tractor It features a voluminous high roof cab design, a hi-tech look that minimizes air resistance, good running power. Equipped with the fuel-efficient electronically-controlled POWERTEC engine, it offers good fuel efficiency and Three years after introducing its first fuel cell bus to the world, Hyundai Motor Co. today unveiled its second generation hydrogen fuel cell bus at the Seoul Motor Show thus taking another major step forward to cleaner air and energy independence. HMC CV Division Celebrates Customers in an Invitation Event An international group of customers and dealers were welcomed by the HMC CV Division for four days from April 1st through the 4th. firsthand glimpse of the top-notch production facilities and quality management systems Hyundai is known for around the world. The biannual overseas customer celebration event was aimed at boosting the brand image of HMC commercial vehicles in global markets by strengthening relations with major international customers and solidifying the company’s relationship with dealers worldwide. The 50 participants, composed of officials from high-profile fleet operators and dealers, gave high Highlights of the program included a visit to the Seoul Motor Show and a tour of Hyundai’s Jeonju Plant. At the Motor Show, the participants had a chance to view next-generation commercial vehicles being developed by Hyundai such as a hydrogen fuel cell bus as well as trucks and buses from the company’s latest model line. The tour of the Jeonju Plant provided the guests with a Used to store electrical energy for acceleration from a dead stop and for "energy smoothing," the new supercapacitors which are significantly lighter and more compact than the first generation design. The heart of the system is a 200kW fuel cell power plant which was upgraded from its previous version of 160kW system in 2007 by Hyundai engineers at Hyundai's Eco-Technology Research Center in Mabuk, located on the outskirts of Seoul. marks for performance and quality on the Hyundai products they viewed. The positive impression the program made on the participants is expected to increase prospects for bolstering business prospects with them well into the future. "The hydrogen revolution will surely start with fuel cell buses," said Dr. Lee Hyun-Soon, Vice Chairman and Chief Technology Officer of the Hyundai-Kia Corporate Research and Development Division. "Hydrogen is the dream fuel for our transportation needs: It's perfectly clean, it's limitless and it's now within our reach," he added. The hydrogen distribution infrastructure needed to support hydrogen fuel cell electric buses is seen as not prohibitively expensive to set up as buses typically operate on fixed routes and need at most only two refueling points, one at each terminus of the route. Based on the latest Low Floor Aero City bus platform, the newest fuel cell electric bus features numerous technical refinements which have increased the maximum speed to 100km/h. This improves on the 75km/h limit of the previous system which relied on a single 240kW motor. Under the new architecture, three 100kW Permanent Magnet Synchronous Motors are arranged in parallel to provide a total of 300kW of propulsion for a 33 percent improvement in top speed. Also, the new motor specification will contribute to improved system reliability due to the separate operability of the three motors. Great strides have also been made in improving supercapacitor efficiency. 04 | HYUNDAI Newsletter Hyundai's first fuel cell electric bus made its international debut in 2006 at the Germany World Cup where it served as a VIP shuttle bus around Munich. Currently, two of Hyundai's first generation fuel cell electric buses are in the FCEV Demonstration and Evaluation Program which is supported by Ministry of Knowledge Economy of Korea. Initiated in 2006, the monitoring project is scheduled to conclude next year. The next major step forward will come in late 2010 when a fleet of these second generation buses will be put into daily service in cities around Korea in line with the government's recently declared "green growth" goals. Details of the second phase program are currently being negotiated by the various ministries, municipal authorities and bus fleet operators. Compressed hydrogen fuel is stored on the roof in six cylinders pressurized to 350 bar (5000 psi) providing the bus with an operating range of 360km (city mode). 2nd Generation Fuel Cell Electric Bus Specifications Fuel Cell Stack Supercapacitor Motor Top Speed Fuel Storage Maximum Range Occupancy 200kW 450V Horizontal Array Proprietary Hyundai Technology 450V, 100kW, 42.8F PMSM 100kW x 3 100km/h 6 Cylinders @ 350 bar (5000 psi) 360km (City Mode) 26 seats HYUNDAI Newsletter | 05 Global News Global News Hyundai Auto Group Establishes Social Responsibility Charter - Hyundai-Kia Automotive Group’s Corporate Social Responsibility committee crystallizes its core values - Group announces its activities over the past year, hiring plans for year ahead strengthening CSR activities through developing a sustainable relationship with shareholders, customers, employees, suppliers and community members. Hyundai-Kia Automotive Group (HKAG), which makes up the world’s fifth-largest automaker, announced a Social Responsibility Charter to strengthen its Corporate Social Responsibilities (CSR) in business practices. ‘Corporate Social Responsibility Vision 2020’ Through the establishment of the ‘Corporate Social Responsibility Vision 2020’ (CSRV2020) next year, HKAG will guide employees through the new market environment in the post-global economic crisis era. HKAG established the Social Responsibility Charter at this year’s CSR Committee meeting which was held today at the group’s headquarters in Seoul. The committee decided to launch the ‘Corporate Social Responsibility Vision 2020’ next year, which will present specific and concrete CSR plans for the company, and agreed all employees of Hyundai Motor Company and its affiliates should take part. CSRV 2020 will be carried out in a systematic manner based on successful and unsuccessful case studies of each and every HKAG employees’ own experiences, as well as the history of the Korea automotive industry. At the same time, Hyundai Motor and its affiliates will complete a new mid- to long-term management road map and reflect them to the CSRV 2020. Moreover, HKAG also announced its comprehensive plan for creating new jobs and nurturing leaders of tomorrow. Establishment of Hyundai-Kia Social Responsibility Charter HKAG’s Social Responsibility Charter was established today to share the group’s specific vision of the future that harmonizes trust-based management, environmental management and social contributions. The charter carries the group’s core values and the philosophy that encompasses the corporate mindset, the working principle and the mid- to long-term business strategy. The HKAG’s charter specifies its primary vision and role of Creating New Jobs HKAG also approved its comprehensive plans for creating new jobs at today’s meeting. According to the plan, the group will create 4,000 new jobs and hire 1,000 interns, in addition to the 300 interns it hired earlier this year. In addition, the automotive group will again send 1,000 volunteer students overseas by the end of this year. HKAG formed the ‘Happy Move Global Young Volunteers’ last year and successfully sent 1,000 university students to five countries, including China, India, Turkey, Slovakia and Thailand to do volunteer work in areas related to the environment, local welfare, medicine and culture. “Despite the difficulties in the auto industry today, we promise to do our best to carry out our commitments to support the underprivileged in our society,” said Mr. Ahn Young-Jin, head representative at Hyundai Motor’s CIS & Eastern European Regional office. “The clinic is an excellent project that maximizes the mobility of automobiles.” The clinic, which has all the sanitary and advanced equipment as a modern hospital, will be able to provide, among those mentioned above, newborn care, gynaecological examinations, counselling on breast feeding & safe sex, and immunization for children. Hyundai Lands a Sizeable Order for Heavy Duty Trucks from Uzbekistan Government The HMC CV Division won a public tender offer under the auspices of the Uzbekistan Ministry of Finance to supply 170 heavy duty trucks to the central Asian nation. The order, mostly comprising vehicles for road construction, breaks down to 154 HD 270 dump trucks, 6 HD 170 fuel tanker trucks, 6 HD 1000 tractors and 4 HD 260 mobile workshop trucks. Shipments are slated to begin in May. both mother and child. The clinic will tour underprivileged and remote areas in Uzbekistan to provide free medical care. Hyundai Motor Company donated a mobile clinic to the Republic of Uzbekistan as part of the automaker’s “Moving the World Together” Corporate Social Responsibility (CSR) initiative, which aims to contribute to society and be a better corporate citizen. Uzbekistan’s Minister of Healthcare Mr. Nazirov Feruz Gafurovich, Chairwoman of the International non-Governmental charity foundation “Soglom avlod uchun” Ms. Inamova S.T, South Korean Ambassador to the Republic of Uzbekistan Mr. Kyun Jea-Min and about 70 other guests and media members attended the event, Hyundai Motor’s first CSR activity in the Central Asian nation. Hyundai Motor, South Korea’s largest carmaker, handed over an 8-ton truck customized to serve as a medical clinic, to the Uzbekistan government in Tashkent, the nation’s capital. The mobile clinic, a Hyundai truck which was customized in Korea, is fully equipped to handle the delivery of babies, as well as providing antenatal and postpartum care for 06 | HYUNDAI Newsletter The clinic will be jointly operated by the Korea Foundation for International Healthcare, the Sog’lom Avlod Uchun foundation, and the Myungsung Christian Medical Center. Uzbekistan is rich in a wide variety of natural resources including gold, natural gas, uranium, coal and copper. Specifically, the nation ranks 7th in the world in the production of gold, 10th in natural gas and 4th in uranium ore. This makes the nation a very attractive newly-emerging market for global manufacturers, rivaling the Middle East and Russia in its growth potential. The vehicles ordered will be put to work in the expansion of a 1,500 km segment Hyundai To Supply Bus Chassis to Sanghai Sunlong of China In the first year of the contract beginning in April this year, Hyundai will ship 300 County Bus chassis and 210 power train units, with numbers to be increased in the following year. Hyundai Motor Donates Mobile Clinic to Uzbekistan - Hyundai’s mobile clinic to provide maternal & infant health care - Donation is part of Hyundai’s worldwide CSR initiatives of a highway north of Tashkent. The project is part of a major plan by the Uzbek government to transform the nation into a logistical hub in central Asia. Shanghai Sunlong Co., Ltd is one of the few major bus manufacturers in China that supply buses for a variety of market segments including passenger transport, tourism and mass transit, and the only one of the kind based in Shanghai. Its plant, sprawling over 200,000 square meters of land, is capable of turning out over 10,000 buses a year. In 2008, it sold 3,100 buses of different types. The HMC CV Division has been chosen as a supplier of bus chassis and power trains to Shanghai Sunlong Co., Ltd. Under the supplier contract, signed on April 10 in Shanghai, Hyundai will supply County chassis and power trains to the Chinese manufacturer for the next two years. At the signing ceremony, the two companies were represented by Mr. Kim YoungKook, Senior Executive Vice President of HMC and Mr. Fan Wanshun, President of Shanghai Sunlong Co., Ltd. The latest contract, coupled with a similar parts supply contract signed with the Xiamen Golden Dragon Bus Co., Ltd in July last year, will enable Hyundai to secure a firmer foothold in the Chinese market. The Xiamen contract calls on Hyundai to supply 17,100 chassis and power trains for Country- and Aero Town-class medium buses and Aero Express-class large buses over five years. HYUNDAI Newsletter | 07 Global News Global News Hyundai Scores at FIFA Confederations Cup South Africa 2009 as the flagship of the FIFA Confederations Cup South Africa 2009: A total of 20 Azeras will be used to transport VIP’s, referees and dignitaries. As the official automotive partner, Hyundai will also supply Santa Fe and Tucson SUVs (19 units), Getz subcompacts (7 units) and Starex passenger vans (20 units). - Hyundai hands over vehicles for official transport of teams, officials and VIPs during world tournament With 370 days to go until the 2010 FIFA World Cup South Africa¢‚ kicks off, Hyundai Motor Company today officially started the countdown to the world's greatest sporting event as it delivered a fleet of 78 vehicles to the local organizing committee of FIFA Confederations Cup South Africa 2009. Customarily held in the World Cup host nation a year before the World Cup, the Confederations Cup is widely viewed as a test run of facilities and management. The two-week tournament, to be played in four South African cities, opens June 14th at Johannesburg's Ellis Park Stadium. Eight national teams will be competing for the world crown: South Africa, Italy, Egypt, Iraq, Spain, USA, New Zealand and Brazil. These teams are all winners of each of the six FIFA confederation championships, along with the FIFA World Cup winner and the host country. For the tournament, Hyundai delivered 66 passenger cars and 12 buses to FIFA and the 2010 FIFA World Cup Organising Committee South Africa (LOC) at the Expo Center in Johannesburg, South Africa. The handover ceremony was attended by over 100 VIPs, FIFA & company officials and media members. sponsorship agreement with FIFA to cover the 2010 and 2014 World Cups. Hyundai has not only infused a new sense of fun and excitement into the game, but through its sponsorship of international football it has also achieved a significant increase in brand awareness and improvements in the brand image. FIFA Confederations Cup South Africa 2009 This official FIFA tournament, which is held every four years, is to take place the tournament. The FIFA Confederations in South Africa from 14 - 28 June 2009. Cup 2009 will take place in four cities Continental champion teams from South America, North and Central throughout South Africa which include, America as well as the Caribbean, Africa, Europe and Asia will participate. Johannesburg, Mangaung-Bloemfontein, As the host country, South Africa automatically qualifies to participate in Tshwane-Pretoria and Rustenburg. In addition to the fleet of passenger cars, SUVs and vans, Hyundai will provide 12 of its Universe luxury coaches to the eight national teams. It has also contracted another 20 semi-luxury coaches from its local partner Springbok Atlas, to provide a total of 350 bus days during the tournament. Springbok Atlas will take responsibility for bus fleet operation including driver training and vehicle maintenance. This handover ceremony also marks the launch of the right hand drive version of the Universe luxury coach in the South African market. HMC’s Saudi Distributor Wins a Police Order for 50 Universe Coaches This year, Hyundai celebrates the 10th anniversary of its association with FIFA, during which time it has demonstrated itself to be a reliable and effective partner by serving as the official automotive supplier to all FIFA-sanctioned events. The order will add shine to Hyundai’s already impressive record of having supplied “Football is a universally understood language and a powerful unifying force that can pull people of all nationalities, races and creeds together. This coincides with Hyundai’s values and vision,” emphasized Senior Vice President Kim. Hyundai is also one of the strongest supporters of football in the world having served as the official sponsor of the 2002 FIFA World Cup Korea / JapanTM‚ and the 2006 FIFA World Cup GermanyTM‚ as well as many other FIFA tournaments including the FIFA Confederations Cup. The company has extended its strategic Mohammed Yousuf Naghi Motors, Hyundai Motors’ exclusive distributor in Saudi Arabia beat bigger competitors in a public bid to supply 50 Universe coaches to the nation’s police force. The public tender was offered by the Public Security Agency of the Kingdom of Saudi Arabia. The buses, scheduled to be shipped to Saudi Arabia in June, will be used to transport local police troops. Modern Motors Company, Hyundai Motors’ exclusive distributor of commercial vehicles in Syria, won an order for 22 Universe coaches from the Syrian Public Procurement Office in March. The buses were delivered in May. The latest order from the Syrian government reflects growing interest in Universe coaches in the Syrian market since supplying two coaches to the Presidential The pride of the fleet will be Hyundai’s Azera premium sedan which will serve THACO’s production and marketing strengths are expected to facilitate market HYUNDAI Newsletter In 2008, in an effort to strengthen the sale of commercial vehicles, Mohammed Yousuf Naghi Motors spun off its commercial vehicle business as an independent operation. The strategic move, coupled with the heightened expertise of the staff and a highly effective approach to fleet management, has shown great success in winning fleet orders on the local market. Palace late last year. The buses, used for commuting by government staff, got high marks for their performance, comfortable ride, and luxurious feel. The proven performance superiority of the Universe over competitors’ models is expected to strengthen its position on the Syrian market, not only as a bus suitable for VIPs, but also for mass transportation. Universe Coaches Start Selling in Vietnam In a bid to break into the local luxury coach market, THACO (Throung Hai Automobile Co., Ltd), Vietnam’s largest automotive maker, has purchased 44 coaches from Hyundai Motors including 5 Universe Noble units. THACO plans to start selling these buses in June. The Universe, packed with cutting-edge technologies such as semi-monocoque construction, is forecast to lead the highend bus market in Vietnam in the years to come. | hundreds of HD 72 buses to the Saudi Public Security Agency for troop operations. HMC’s Syrian Distributor Supplies 22 Universe Coaches to the Public Procurement Office “Hyundai is proud to partner with FIFA Confederations Cup South Africa 2009. The opportunity to provide VIP transport at this year’s tournament gives us the high visibility we need in South Africa and around the world to build a wider awareness for our brand and products,” said Hyundai Senior Vice President of Marketing Sean S. H. Kim as he symbolically presented an oversized car key to FIFA LOC Chief Officer of Transport & Logistics Skhumbuzo Macozoma. 08 Football has helped Hyundai secure a firm foundation that will enable it to push its sports marketing strategy forward to gain a better foothold in markets where football reigns as the most popular sport, especially Europe, Africa, Asia and Latin America. penetration by the Universe. Founded in 1997, the Vietnamese automaker boasts an annual production capacity of 50,000 units and over 40 extensive nationwide sales and after-sale service networks. Hyundai Motors is reigning as the undisputed leader in the Vietnamese commercial vehicle market with a market share of 30 percent. Last year alone, Hyundai exported 1,487 vehicles to Vietnam including 100 Universe coaches and 650 heavy duty trucks. HYUNDAI Newsletter | 09 Global News Global News Take tips from an accomplished sales rep in large-size buses. Comparable figures for 2007 were 46 buses or 59.5 percent of the total and 41 buses or 48.2 percent of the total for 2008. explained to them how having Hyundai as their partner could help them achieve greater profits, offering evidence from Hyundai’s other successful customers. It was back in 2006 when Chang first zeroed in on Kyungwon as a target for his marketing campaign. Until then, Kyungwon had been practically off-limits to Hyudai, without a single Hyundai bus in its fleet. Kyungwon procured 70 to 80 new buses annually, but year after year Hyundai had failed to win an order from the company. Second, Kyungwon was concerned about a possible increase in their part inventories because of the need to service buses from two different manufacturers. To allay these concerns, Chang educated company officials about Hyundai’s state-of-the-art parts management system that enabled prompt parts search and delivery to customers. Chang also linked Kyungwon with a realizable and efficient parts supplier to ease concerns about possible disruptions in parts supply. Additionally, Chang talked Hyundai Mobis, a subsidiary of Hyundai Motors responsible for supplying parts to the market, into offering Kyungwon the privilege of buying directly from them at discount prices, in order to make up for any increase in the cost of parts stocking and management. The biggest obstacle for Hyudai was the fact that the transportation company’s founder was a dedicated fan of Daewoo buses. But Chang saw opportunity when his son came on the scene to help father manage the company. The son was young, highly-educated and savvy about modern management skills. Chang figured his rational approach to management would provide him with a window of opportunity to win the company over. Featured in this article is Mr. J.W. Chang, Deputy General Manager of the Domestic Sales Division. In 2008, he was chosen the Sales Representative of 2008 in large-size buses. Hyundai sales representatives handling large-size buses are not commission-based but full-salary employees. Chang’s Stellar Track Record Chang joined Hyundai Motors in 1989. In his initial years of employment, he sold trucks and buses, serving stints both at headquarters and provisional branches. It was in 2005 when he was transferred to the Gyeonggi Province office near Seoul that his sales career really began to take off. He sold 122 buses in 2006. That number shot up to 480 in 2007 and 410 buses in 2008, bringing his three year sales total to 940. The 410 buses Chang sold in 2008 represent 6.2 percent of the company-wide total for the year. Those kind of records would be impossible to achieve without being aggressive in creating new sales opportunities, and finding ways to take a sizeable market share away from competitors. Making sales to customers of the competition who are unreceptive to your company’s products is a task that is far from easy. Chang stresses heart-to-heart talks with his customers as key to his success. A Case Story The Kyungwon Transport Company is a city bus company based in the City of Ansan, south of Seoul. It has a fleet of 499 buses (as of 2008), which breaks down to 115 Hyundai buses (23% of the total) and 384 Daewoo buses (77% of the total). In 2006, Hyundai supplied 28 buses to Kyungwon, which represented 58.3 percent of the total procured by the company that year. 10 | HYUNDAI Newsletter The first thing Chang did was a thorough analysis of the factors that made Kyungwon hesitant to consider Hyundai as a supplier. Then, he worked out solutions that they could understand and feel comfortable about. Third, Kyungwon’s maintenance service people balked at having to deal with unfamiliar buses after having only serviced Daewoo buses for a long time. As a remedy, Chang worked hard to develop a personal bond with service technicians, paying them frequent visits. At the same time, he set to work convincing them of how Hyundai’s excellent customer training and support programs could ease them into working on Hyundai buses at the same time as they were increasing their knowledge about the latest technology. First, Kyungwon had anxieties about taking on a new supplier, unsure about what benefits such a move could bring to them. As a solution, Chang worked hard to convince them of the competitive strengths of Hyundai buses and Last, and most importantly, as indicated earlier, Kyungwon’s founder/CEO was immovable in his loyalty to Daewoo. Chang got around this obstacle by working exclusively with the founder’s son and trying to accommodate as many of his demands as possible to give him grounds to justify making changes to his father. At the same time, Chang put a great deal of effort into making sure that no major problems occurred with the Hyundai buses they purchased, to avoid any concerns that might rekindle their earlier worries. For Chang, his relationship with Kyungwon is a challenge that will end only when the company becomes a solid loyal Hyundai customer. This means that the company is a case requiring constant care and attention. Chang’s immediate goal is to increase Hyundai’s share of the Kyungwon fleet to 50 percent. He figures that the key to achieving this goal is in keeping the customer highly satisfied with the buses they purchased from Hyundai. Particularly, he emphasizes developing a personal bond with service maintenance staff and using it as a basis for acting as quickly as possible to resolve any problems or concerns they might have about Hyundai’s products. Chang also keeps his eyes open for opportunities to create any differential advantages over the competition, particularly in after-sales service and followup marketing activities, so that Kyungwon will have compelling reasons to want to maintain its relationship with Hyundai for a long time to come. Sales Tip Tire Loading Capacity of Heavy Duty Truck Capa(kg) HD160 Short Long HD170 Short Long HD250 Long Cargo HD260 Short Medium Dump HD310 Short E/Long HD320 Short E/Long 11.00 x 20-14PR (Tube) 3,000 (S) 2,650 (D) S 11.00 x 20-16PR (Tube) 3,350 (S) 2,900 (D) O S S S S S S S S S S 12R22.5-16PR (Tubeless) 3,550 (S) 3,150 (D) O O O O O O O O O O O 12R24-18PR (Tubeless) 4,000 (S) 3,650 (D) 385/65R22.5-20PR (Tubeless) 4,500 (S) STD Max. GVW (kg) Front Rear OPT Front Rear HD160 S HD270 Tractor Mixer HD370 HD270 HD370 HD450 HD500 S S S S(RR) S S(RR) O O O O(RR) O O(RR) O O HD600 HD700 HD1000 S S S O O 18,900 7,100 11,800 - 29,700 6,500 23,200 30,100 6,500 23,600 29,700 6,500 23,200 31,700 6,500 25,200 O S(FRT) 16,600 6,000 10,600 18,500 7,000 11,500 18,200 6,700 11,500 18,500 7,000 11,500 29,700 6,700 23,000 30,000 7,000 23,000 36,200 13,000 23,200 38,200 13,000 25,200 18,200 6,700 11,500 - 29,900 6,700 23,200 33,000 7,000 26,000 41,200 18,000 23,200 43,200 18,000 25,200 S(FRT) 29,700 6,700 23,000 30,000 7,000 23,000 41,200 18,000 23,200 43,200 18,000 25,200 16,000 6,000 10,600 18,000 6,500 11,500 HYUNDAI Newsletter | 11 Special- Purpose Vehicles Before Service Fuel Tank Truck Repurchase Rate of UNIVERSE in Algeria Side frame Manhole Top fence Since Universe was introduced to Algerian luxury bus market in 2007, HMC has been supporting major fleet customers directly by conducting visiting service named Service Clinic. During Service Clinic, HMC technicians had chance to investigate superiority of Universe compare to HMC’s Aero and competing brands, and also checked each fleet company for repurchasing rate of Universe. Unit in Operation Customer Name Location El Djamel Transport Chahin Transport Compartment Baffle plate Tank Alger AERO Competitor 34 44 2 2 83 1 unit - 2008 7 3 6 units - 2008 10 8 5 units - 2008, 6 units - 2009 Amine Voyage Oran 10 damaging the surface of the tank during loading and unloading. A gate (such as gasoline, liquid chemicals and water) and gases in an oval loops around the top of the tank, preventing fuel from trickling down the shaped tank. Tank trucks are classified into different categories surface of the tank. The tank is equipped with an emergency lever that Houichi Voyages can be pulled to halt fuel flow in emergency situations. Bouafia Transport Batsami Mohamed ETS Merah Transport Features Brahmi Transport A fuel tank truck is composed of a fuel tank, a gear pump used for Hyundai’s tank trucks are made by mounting tanks of varying capacities pumping fuel into and out of the tank, two-way and four-way control on truck frames ranging from the HD65 to HD310. The tanks are made of valves and pipes. The fuel tank is partitioned into two or more chambers 3.2 to 5 mm-thick plates, which can be either stainless steel or aluminum. so that it can carry different kinds of fuel in one tank. The tank has baffle The inside of the tank is coated with epoxy to prevent corrrosion. (Epoxy plates on the inside which reduce fuel surging while in motion and drain coating is an option for the HD 170 and higher models.) valves that control the discharge of fuel from each chamber of the tank. The HD 120 model comes equipped with a high-performance pump that On the outside, the tank is supported by four side frames designed to can pump 600 liters of fuel per minute, while the HD170 delivers 1000 protect the tank if the truck is overturned. The tank has manholes on the liter-per-minute performance. The hose reel and flow meter can also be top, one for each chamber, and air vents which keep fuel fumes from optionally manual or automatic. Bechar Eurl El Mounazat Alouani Travel 4 units - 2007, 6 units - 2008 76 El Bahia A tank truck is a heavy road vehicle designed to transport bulk liquids milk. 2 units - 2008 Ali Haimoud Sotraz depending on the kind of loads they carry – such as fuel, LPG, water and 2 units - 2008, 4 units - 2009 Kadouche Transport Zeboudj Abdelkader Introduction Purchase Status of Universe Batna Tebessa Annaba 9 units - 2008 7 1 unit - 2007, 2 units - 2008 3 2 units - 2008 3 2 units - 2008 8 5 3 units - 2007, 2 units - 2008 7 2 5 units - 2007, 4 units - 2008 15 3 2 7 Vehicle operation condition in Algeria is considered to be one of the most severe in the world due to the Sahara which is covering more than half of its territory. Express bus is usually operated more than 1,000km for one way trip under extremely hot and dusty condition, and it makes that the quality as the first value to consider when the customers purchase their vehicles. 3 units - 2007, 1 unit - 2008 4 units - 2007, 2 units - 2008 3 2 units - 2008 Universe has proved its superior quality level by showing its best performance in this severe driving condition, and this fact is leading the market share to increase by making more and more customers to choose Universe when they have chance to purchase new buses or need to repurchase for substitution of their old buses. Specifications HD72 Capacity ( ) Length Overall Width (mm) Height W/Base (mm) Length Body Width (mm) Height Tank Material Compartment Dia. Hose Length Type Pump 12 | Capacity Driven by Extinguisher HYUNDAI Newsletter 4.5 5200 2000 2380 2750 2860 1930 1090 2 2” 300 /min HD120 4X2 6 HD170 HD260 6X4 8 12 16 18 7820 9650 9650 2495 2495 2495 2505 2700 3050 3180 3230 3795 4395 5650 3800 4000 4500 6000 6100 1930 2030 2350 2350 2400 1090 1300 1520 1520 1650 Standard : Steel (3.2mm ~ 4mm) / Option : Stainless (3mm ~ 4mm) or Aluminum (5mm) 3 3 3 4 5 2” 2” 3” 3” 3” 3m Gear pump 6765 2195 600 /min 600 /min 1000 /min TM PTO 4.5kg X 2EA 1000 /min 1000 /min HD310 8X4 20 9950 2495 3260 6500 2400 1700 22 11300 2495 3100 7040 8300 2350 1520 5 3” 6 3” 1000 /min 1000 /min HYUNDAI Newsletter | 13 Global Family Hyundai Auto Azerbaijan LLC(HAA) in Azerbaijan HAA LLC Background Hyundai Auto Azerbaijan LLC (HAA) has come into operation as Truck Bus ’05 ‘06 70 since 1996. Being the leader of sales volume the company also ’07 ‘08 577 Motor Company in Azerbaijan 26 44 Hyundai Heavy Duty Trucks and Special Vehicles in Azerbaijani market. 359 ‘04 an official distributor of Hyundai the passenger car market for its chances of securing fleet deals with them and increase sales volume of Sales volume of HAA during 2004-2008 years (units) 68 84 125 12 12 Sales expansion in the regions and development of dealer network The company has the largest sales and service network in Azerbaijan. There are 7 dealers in Baku and 10 dealers in the other cities of the 96 72 56 218 country. In spite of the fact that all these dealers are the dealers of 29 Passenger Vehicles Division, HAA Truck & Bus Department already 2004 2005 2006 2007 2008 imports Hyundai commercial realizes the sales and service through these dealers in Baku city and vehicles and buses into the regions and in addition is intensifying its efforts to expand all over New Showroom and Service Shop Azerbaijan and find the new exclusive dealers for commercial vehicles Since its founding, HAA has accomplished significant growth in its Taking into account of the growing demand and consumer satisfaction and buses. business, emerging as one of the most successful vehicle trading Hyundai Truck & Bus Department moved to the new center in January companies in the country. The company has the largest sales and service 2009. The construction of the service shop will be completed by the end Brand Management network in Azerbaijan. HAA achievements are driven by its professional of April of this year and the company plans to hold the opening Hyundai Truck & Bus Department is putting a great deal of effort into approach to business development which reflects its efficient ceremony of the new center in May 2009. The total square of the new establishing of a strong brand image for Hyundai commercial vehicles management system, operational expertise and long-term vision. center is around 3,5 hectares: among its customers by providing high service, analyzing their problems, Azerbaijan market since 2003. demands and requests carefully. The consumer satisfaction is above all All these facts gave an impetus to the foundation of independent Hyundai Truck & Bus Department in 2006 which firstly functioned together with Passenger Division in one showroom and service. showroom including office 576 m2 service shop with its office building 2592 m2 vehicle stock area for us. Strengthening Internal Competence 1 ha Hyundai Truck & Bus Department has a variety of systems and programs Economic Boom in the Country and HAA sales volume increase Starting from that time there is observed a boom in the economy of Azerbaijan which led to the rise of the purchasing power. A huge quantity of multi-storey buildings appeared in Baku during 2006-2009 aimed at strengthening its marketing and sales competence. The The new center is located in very convenient place from strategic point initiatives include deployment of CRM solutions for more effective of view. It is situated on the one of the main highways which connects customer management, frequent visits to fleet customers for preserving the capital of Azerbaijan with other cities and districts. their trust and loyalty, consistent efforts to discover potential customers, and effective staff training designed for better customer service in like mushroom sprang up all over, the new bridges and roods were built, a lot of tunnels were driven. In order to meet the construction Key strategy for 2009-2010 requirements, to Azerbaijan were imported 3000 units in 2006, 4500 Implementation of new projects and expansion of the Company all units in 2007, and 6000 units of commercial vehicles and buses in 2008 over Azerbaijan years. Along with these processes the replacement of bus transportation Hyundai Truck & Bus Department is stepping up its efforts to expand (city and intercity) began at that period and continues so far. Hyundai’s presence on the local market so that it can supply the full marketing, maintenance and parts supply. range of Hyundai commercial vehicles from trucks to buses. Along with Due to these facts, the sales volume of HAA has rapidly increased by this, Hyundai Truck & Bus Department is strategically targeting several times during the last five years and as a result the company government customers such as ministries and fleet companies by became the second in the market for the sales volume of light carrying out a campaign to inform them of the outstanding quality of commercial vehicles and buses in the local market in 2008. The Hyundai vehicles as groundwork for successful participation in future Department achieved its sales volume to 577 units (including trucks and tenders. The department is also ramping up its marketing efforts buses) at the same year. targeted at major fleet operators and construction companies to improve 14 | HYUNDAI Newsletter HYUNDAI Newsletter | 15