Code of Ethics

Code of Ethics and Guidelines

GAON CABLE strives to become a reliable company by creating the best value for customers based on continuous technology development and quality improvement under the management philosophy of LSpartnership and also by strictly following ethical principles and societal norms.Accordingly, GAON CABLE has established and actively practices its Code of Ethics in order to achieve and spread a sound and fair corporate culture.

Chapter 1 Attitude towards Shareholders and Investors

1. Protecting Shareholders’ Rights and Interests

The company shall protect shareholders’ rights and respect their rightful requests and proposals.

The company shall establish a relationship of mutual trust with shareholders and investors through faithful disclosure of its management information and also strive for maximization of shareholders’ interest.

2. Equal Treatment

ŸThe company shall treat all shareholders including minority shareholders fairly and equally.

ŸThe company shall ensure that the interests and rights of minority shareholders are not unfairly violated when making management decisions considering the interests of all shareholders.

3. Active Information Supply

ŸThe company shall record and manage its accounting data according to generally accepted accounting principles, and thus transparently disclose and provide its financial conditions and management results.

ŸThe company shall ensure that the interests or rights of minority shareholders are not unfairly violated when making management decisions considering the interests of all shareholders.

Chapter 2 Attitude towards Customers

1. Respecting Customers

ŸThe company shall put itself in customers’ position at all times and strive to achieve customer satisfaction by providing reliable and top-quality products and services.

ŸThe company shall provide customers with accurate information about its products and services and shall not allow fraudulent advertising.

2. Protecting Customers

ŸThe company shall protect customers’ interests, safety and personal information and shall not be engaged in unfair conducts targeting customers.

ŸThe company shall respect and comply with the Act on Consumer Protection.

Chapter 3 Attitudes towards Competitors and Partners

1. Fair Competition with Competitors

ŸThe company shall respect the order of a fair and free market economy according to the principle of free competition and compete with competitors in an ethical manner.

ŸThe company shall respect the principle of fair trade and comply with the Fair Trade Act.

2. Fair Trading with Partners

ŸThe company shall promote joint development with partners by establishing a relationship of mutual trust and cooperation based on fair trade.

ŸThe company shall not coerce any illegal acts or exercise its influence by using its superior position.

Chapter 4 Responsibilities towards Employees

1. Fair Treatment

ŸThe company shall not discriminate or treat employees unfairly and shall give equal opportunities to employees according to their abilities and qualifications.

ŸThe company shall establish fair standards for employees’ assessment in terms of qualifications, competencies and performances, and thus fairly assess and reward them.

2. Establishing of a Healthy and Safe Work Environment

ŸThe company shall strive to establish a healthy and safe environment for all employees.

The company shall respect the autonomy and creativity of individual employees and support their self-development and self-realization by providing them with equal opportunities for competency improvement.

ŸThe company shall respect each employee’s unique personality and basic rights, and establish an environment where employees can freely make proposals and suggestions.

Chapter 5 Responsibilities towards Society

1. Compliance with Domestic and International Laws

ŸThe company, as a member of the nation and local community, shall comply with all laws and regulations particularly those of the ‘Monopoly Regulation and Fair Trade Act,’ ‘Act on the Prevention of Corruption’ and the Establishment and Management of the Anti-corruption and Civil Rights Commission.

ŸThe company shall comply with all various international laws and regulations, such as the ‘Convention on Combating Bribery of Foreign Public Officials in International Business Transactions’ of the Organization for Economic Cooperation and Development (OECD).

2. Contributing to the National Economy and Social Development

ŸThe company shall contribute to the national economy and social development by improving productivity, creating jobs, paying taxes faithfully and promoting social contribution activities.

3. Environmental Protection

The company shall strive to protect and preserve nature and keep the environment clean.

Chapter 6 Basic Ethics of Employees

1. Establishing a Sound Corporate Culture

ŸEmployees shall follow the company’s management philosophy and jointly pursue the company's goals and values, and thus faithfully carry out their assigned duties according to the company’s management policy.

ŸEmployees shall create an organization culture based on successful communication and mutual trust among themselves.

Employees shall carry out their assigned duties through the utmost in legitimate and proper ways and shall comply with operation-related laws and regulations as well as the company rules.

2. Prohibition of Acts that may Trigger Conflict of Interests

Ÿ Employees shall strive to keep away from any conduct or establishment of relationships that are in conflict with the company’s interests and shall place top priority on the company’s interests in the event a conflict of interest occurs between the company and individual employees or between departments.

3. Prohibition of Internal Information Use

ŸEmployees shall not trade shares using internal information obtained while performing their jobs.

ŸEmployees shall not provide important undisclosed information that may affect the share price to a third party without a legitimate process.

4. Protecting Company’s Properties and Important Information

ŸEmployees shall protect the company’s trade secrets as well as physical and intellectual properties and shall not use them for private purposes.

ŸEmployees shall not take advantage of their position to pursue personal benefits by engaging in illegal transactions using undisclosed information.

ŸEmployees shall not disclose important information that may affect the company’s profits to the outside.

5. Preventing Sexual Harassment

Ÿ Employees shall refrain from any language or behavior that may damage sound colleagueship, both physical and verbal, that are recognized to cause sexual humiliation or shame.

6. Prohibition of Political Participation

ŸEmployees shall not engage in political activities during working hours or use the company’s organization, human resources or properties for political purposes.

ŸEmployees, while their individual political rights and views are respected, shall make sure that their political views and participation are not misinterpreted as a representation of the company’s stance.

7. Prohibition of Accepting Money, Gifts and Entertainment

Employees shall not receive money, gifts or entertainment from stakeholders especially suppliers and partners.

Employees shall not provide money, gifts and entertainment in excess of a socially accepted range to stakeholders, such as customers, in relation to business affairs of the company.

Employees shall not exchange money or excessive gifts and entertainment among themselves.

8. Compliance with Ethics Code

ŸAll employees shall comply with the Ethics Code and assume responsibilities for actions in violation thereof.

ŸUpon recognizing wrongdoing or being coerced to violate the code of ethics, employees shall report the matter to the division in charge of ethical management.

In the event of a violation of the code of ethics, employees shall strive to investigate the cause and to prevent reoccurrence through training.