Shinhan Financial Group Reappoints President Jin Ok-dong as Director... Quarterly Dividend Also Approved (Comprehensive)

Possible Quarterly Dividends... Chairman Cho Yong-byeong "Strengthening Shareholder-Friendly Policies"
6 Outside Directors Reappointed Upon Term Expiry... 4 New Outside Directors Also Appointed

Shin Yong-byeong, Chairman of Shinhan Financial Group, is speaking at the 20th regular shareholders' meeting of Shinhan Financial Group held at the headquarters in Jung-gu, Seoul on the morning of the 25th.

[Asia Economy Reporter Kwangho Lee] Shinhan Financial Group has approved a partial amendment to its articles of incorporation to establish the basis for quarterly dividends. It also passed the reappointment of Jin Ok-dong, President of Shinhan Bank, who was re-nominated as an outside director, and the reappointment of six outside directors whose terms are about to expire, as originally proposed.

Shinhan Financial Group handled these agenda items at the 20th regular shareholders' meeting held on the 25th at the main auditorium on the 20th floor of its headquarters on Sejong-daero, Jung-gu, Seoul.

First, the articles of incorporation were amended to establish the basis for quarterly dividends. The amendment, which added the phrase "quarterly dividends may be paid at the end of March, June, and September," was approved, allowing dividends to be paid up to four times a year, once each quarter.

Among the four major financial holding companies including KB, Woori, and Hana, Shinhan Financial Group decided on the highest dividend payout ratio of 22.7%, but the payout ratio decreased compared to last year, causing dissatisfaction among shareholders.

Chairman Cho Yong-byeong of Shinhan Financial Group emphasized, "We will do our best to continuously enhance shareholder value through shareholder-friendly policies."

The year-end dividend for 2020 was confirmed at 1,500 KRW per share and 1,716 KRW per convertible preferred share. This is 350 KRW less than last year.

Shinhan Financial Group also reappointed Jin Ok-dong, President of Shinhan Bank, as a non-executive director, along with Park An-soon, Chairman of Daesung Sangsa Co., Ltd., Byun Yang-ho, Advisor at VIG Partners, Sung Jae-ho, Professor at Sungkyunkwan University School of Law, Lee Yoon-jae, former Presidential Secretary for Finance and Economy, Choi Kyung-rok, CEO of CYS Co., Ltd., and Heo Yong-hak, CEO of First Bridge Strategy (FBS), as six outside directors.

Earlier, ISS, the world's largest proxy advisory firm, expressed opposition to the reappointment of President Jin and the six outside directors, but this recommendation had little effect at the shareholders' meeting.

At this shareholders' meeting, the appointment of four new outside director candidates was also confirmed: Kwak Soo-geun, Emeritus Professor at Seoul National University Business School; Bae Hoon, lawyer at Orbis Law Firm; Lee Yong-guk, Clinical Professor at Seoul National University School of Law; and Choi Jae-bung, Professor in the Department of Mechanical Engineering at Sungkyunkwan University.

At the meeting, one shareholder said, "These four will strengthen activities not only for the company's growth and development but also for the protection of financial consumers and enhancement of various stakeholder values."

Accordingly, the number of outside directors at Shinhan Financial Group increased from 10 to 12.

Chairman Cho stated, "We will once again engrave the basic principles of finance, 'Customer First, Shareholder First,' and repay the expectations and trust you have given us with real value. We will swiftly lead changes in finance from the perspectives of Digital and ESG, responding more agilely than anyone else in this era of complex uncertainties brought by COVID-19, and turn the current crisis into an opportunity for new innovation."

Meanwhile, Shinhan Financial Group continues to grow steadily in both banking and non-banking sectors, focusing on key Asian markets. Last year, it achieved a record high net profit of 3.4146 trillion KRW. Shinhan Financial Group's management slogan for this year is "Solid Foundation! Swift Change!" and it has presented "FRESH 2020s" as its mid-term strategic goal.

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