[Samsung BioLogics’ Position regarding Securities and Futures Commission's announcement]
Samsung BioLogics would like to sincerely apologize to our clients and shareholders for the confusion caused by the recent accounting issue.
However, the SFC's announcement today is very unfortunate as it is our firm belief that Samsung BioLogics has not breached any accounting rules at all.
In 2016, not only did the due diligence from the Korean Institute of Certified Public Accountants (KICPA) conclude that there were no problems in the accounting treatment, but we also received an official response from the Financial Supervisory Service (FSS) and opinions from multiple accounting firms that the accounting treatment was indeed done correctly.
Despite such facts, it is very disappointing that the Securities and Futures Commission decided today that Samsung BioLogics intentionally infringed the accounting rules. Therefore, we will file an administrative lawsuit to clearly prove the legality of Samsung BioLogics’ actions.
We will actively prepare for the administrative suit while continuing to put forth our best efforts into our business so as to create even greater value for our clients and shareholders who trust and believe in Samsung BioLogics.