Heo In Confirmed for Third Term as KB Kookmin Bank President... Sole Candidate Selected for Next President (Comprehensive)

Final Reappointment Confirmed at General Meeting
Term Until End of Next Year
First Case of 3 Consecutive Terms for Kookmin Bank President

[Asia Economy Reporter Park Sun-mi] On the 20th, Heo In, CEO of KB Kookmin Bank, was virtually confirmed for a third term.

KB Financial Group held the Subsidiary CEO Candidate Recommendation Committee (Daechu Committee) on the morning of the same day and selected the current bank president Heo In as the next candidate for Kookmin Bank CEO. Heo will undergo a final review and recommendation through an in-depth interview by the Bank CEO Candidate Recommendation Committee in November, and his reappointment will be finalized at the bank's general shareholders' meeting. The term lasts until the end of next year. Heo, who was elected as Kookmin Bank CEO in November 2017 with a two-year term and successfully extended his term by one year last year, will serve a total of four years as CEO until November 2021 with this reappointment.

Initially, the industry expected that although Heo's term expires on the 20th of next month, the urgent need to secure management stability amid the spread of the novel coronavirus infection (COVID-19) would likely lead to him serving as CEO for one more year. Although Lee Dong-cheol, CEO of KB Kookmin Card, and Park Jung-rim, CEO of KB Securities, were mentioned as potential candidates for Kookmin Bank CEO, there was a consensus that it would be best for Heo, who has shown good performance as CEO so far, to solidify the 'leading bank' position through reappointment.

After reaching a consensus on the criteria and procedures for selecting the bank president candidate on September 28, the Daechu Committee conducted a comprehensive comparison and verification of the capabilities of internal and external candidates, including a review of Heo's management performance and leadership during his tenure. The committee carefully examined Heo's suitability as a bank president candidate, focusing particularly on the bank's management situation and the perspective of creating group synergy.

Heo has been evaluated as having a deep understanding of customers, markets, and sales sites through diverse work experience in key core roles of the bank such as KB Kookmin Bank President, Head of Sales Group (Vice President), and Head of Management Planning Group (CFO). His strength also lies in verified management expertise, including detailed areas such as soundness. During the recent series of private equity fund incidents that caused difficulties for banks, Kookmin Bank avoided risks. Under Heo's leadership, Kookmin Bank recorded a net profit of 660.4 billion KRW in the second quarter of this year, ranking first among the top five banks, and recently expanded its global business by acquiring management rights of Bank Bukopin, a mid-sized bank in Indonesia.

What is the background of Heo's third term?

The urgent need for management stability amid the spread of COVID-19 is also analyzed as a factor influencing Heo's successful reappointment. To respond swiftly and flexibly to changes in the financial environment in the post-COVID-19 era, proven leadership is necessary, and Heo's performance so far is considered sufficient proof of this. Additionally, with KB Financial Group Chairman Yoon succeeding in a third term, Heo is also evaluated as having the best compatibility with Chairman Yoon.

The Subsidiary CEO Candidate Recommendation Committee explained, "Despite the difficult domestic and international business environment, Heo has maintained the position of the leading bank through swift and efficient crisis management capabilities. Considering the bank's management situation, which requires securing new growth engines amid changes in the financial ecosystem centered on big tech platforms, and the need to maximize synergy profits through collaboration of core competencies of subsidiaries, Heo was selected as the candidate for KB Kookmin Bank CEO for his ability to lead stable organizational management and promote substantial change."

Heo was born in December 1961 in Jinju, Gyeongnam, graduated from Seoul National University with a degree in law, and earned a master's degree in law from the same graduate school. He joined Kookmin Bank during the 1998 IMF foreign exchange crisis and has served as Senior Executive Director of the Credit Review Department, Executive Director of the Management Planning Group, Vice President of the Sales Group, and is currently serving as the bank president.

This content was produced with the assistance of AI translation services.