General rules

Established on July 2, 2012

Chapter 1 General rules

Article 1 (Purpose)

The purpose of these regulations is to make rules between all employees and related companies & others and to clarify specific procedures & details regarding ethics code.

Article 2 (Scope of application)

DSC’s all employees, partner company including their employees working with DSC, are subject to these rules. All companies having transaction with DSC are included in partner company. But if there are other rules in a collective agreement and the rules of employment, we can apply the rules.

Article 3 (Control management)

The DSC administration department and each factory’s HR department have responsibilities for these rules.

Article 4 (The definition of Ethic regulations)

Ethics sense of values for the performance of the company’s vision and Moral standard in order to keep fair attitude & honesty.

Article 5 (Application of regulations)

The violations regarding these rules are managed according to the disciplinary committee’s regulations in principle and it could be determined separately if there are no relevant rules.

Chapter 2 Ethic regulations in workplace

Article 6 (Basic regulations)

• 1. We work in good faith according to the company’s policy.
• 2. We perform our duties by an honest method and observe relevant laws
• 3. We maintain company’s assets well and protect the secret.
• 4. We always pursue new things and cope actively with the problem.
• 5. We act with ownership that we are company’s representative in our field.

Article 7 (Compliance items)

1. All employees are requested to observe the following items in order to practice Ethics regulations.

• A. We pursue the corporate culture which is based on principle and create trust through an honest action.
• B. We have pride & responsibility and mental attitude that we are the core of the automotive parts industry.
• C. We will never demand partner company for unreasonable request using powerful position.
• D. We will never disclose the company’s information and we don't use this information for private interests.
• E. We promote all transactions on the basis of transparent & fair principles.
• F. We denounce unreasonable demands among employees using official authority.
• G. We respect trade customs and observe laws when we do business in other countries.
• H. We should observe rules similar with the above Article 7.

Chapter 3 Management of regulations

Article 8 (Reporting
violation of rules)

• 1. All employees should report to the company when they recognize the violation or receive the fact from the third party and the company operates the committee which can receive reports.
• 2. The company should protect whistleblowers and can’t take unreasonable measures to them.
• 3. The person who revenge to whistleblowers could be punished heavily.

Article 9 (Punishment
for violators)

• 1. Audit team or each department should report the violations to the control team promptly when they recognize the facts.
• 2. The control team should examine the report and make a decision whether punishment or not according to the regulations.
• 3. The company takes proper measures against the related partner company after considering the importance of the matters and asks them to compensate the loss.
• 4. The company asks the related company to take a proper action against their employees and asks the employees or the company to compensate the loss.

Article 10 (
Disciplinary action for violators)

The company reprimands the violators, according to the regulations in principle.
The following regulations are applied if there are no rules or specific items The main subject and contents of reprimand.

• A. Subject of reprimand
  • 1. Cash scandal with partner companies, cash request & unreasonable request & pressure action using official authority.
  • 2. Cash scandal with the employee of a company, cash request & unreasonable request & pressure action using official authority.
• B. Contents of reprimand
  • 1. Cash scandal with partner company : disciplinary action against non-reporter, related employees, stop transacting with partner company(second time is out for good).
  • 2. Cash request using official authority : disciplinary action against related employees.
  • 3. Unreasonable request & pressure action using official authority : decision whether to call for further disciplinary measures after disciplinary committee’s review.

Article 11 (
Reward for reporters)

• 1. The reporters who inform the company about the violation receive 10% cash reward of the related amount if the fact is true.
• 2. The company should protect the reporter’s secret.