Hana Financial Group Begins Next Chairman Appointment Process... First Selection Committee Meeting Today

Searching for Successor to Chairman Kim Jeong-tae for 4th Term
Ham Young-joo, Ji Sung-kyu, Park Sung-ho Mentioned

[Asia Economy Reporter Kiho Sung] Hana Financial Group is entering the process of appointing a successor to Chairman Kim Jung-tae. Since Chairman Kim's term expires in March, the next chairman is expected to be decided as early as mid-next month.

According to the financial sector on the 12th, the Hana Financial Chairman Candidate Recommendation Committee (Chairman Recommendation Committee) is expected to hold its first meeting today to discuss the schedule for selecting the next chairman.

The Chairman Recommendation Committee is composed of eight outside directors, including Professor Heo Yoon of Sogang University, in accordance with Hana Financial's internal governance regulations. If the CEO (chairman) does not intend to seek reappointment, they can become a member of the recommendation committee, but it is known that Chairman Kim will not participate in this committee. Chairman Kim has already served four consecutive terms and is subject to the retirement age limit (70 years old), so there is strong emphasis on his retirement. Chairman Kim himself has emphasized that he has "no intention to seek reappointment."

The committee is expected to review candidates recommended by external advisory agencies (search firms) and set a longlist of around 20 people. Based on past cases, the shortlist is expected to be finalized with about 3 to 5 candidates. Accordingly, the internal and external candidate pool (longlist) is expected to be finalized within this month, the final candidate pool (shortlist) will be selected next month, and then the final chairman candidate will be recommended.

Among the candidates for the next chairman are Vice Chairman Ham Young-joo of Hana Financial Group, Vice Chairman Ji Sung-kyu, and Hana Bank President Park Sung-ho. The financial sector views Vice Chairman Ham as the most likely next chairman. After the integration of Hana Bank and Korea Exchange Bank in 2015, he was appointed as the first president and led the unification of the two organizations. Additionally, he demonstrated strong capability by increasing Hana Bank's net profit from around 1 trillion won to over 2 trillion won within a year. Legal concerns have also been somewhat resolved. He is currently involved in lawsuits related to recruitment and administrative litigation concerning overseas interest rate-linked derivative-linked funds (DLF). In August last year, Son Tae-seung, Chairman of Woori Financial Group, won the first trial in the DLF-related disciplinary cancellation lawsuit, and Cho Yong-byeong, Chairman of Shinhan Financial Group, was acquitted in the appeal trial related to recruitment corruption. Because of this, many expect positive outcomes for Vice Chairman Ham's trials as well.

Besides Vice Chairman Ham, Vice Chairman Ji Sung-kyu and President Park Sung-ho are also considered strong candidates. Vice Chairman Ji is well known as an "overseas expert" who spent 20 years in China. During his tenure as Hana Bank president, he led digital enhancement by revamping the mobile application Hana One Q, introducing facial recognition service and refinancing loan services for the first time in the banking sector. From the beginning of his term as president, he aimed to transform the bank into a data information company, and from this year, he has taken the position of Group Digital Vice Chairman, overseeing the group's digital strategy.

President Park attracted attention last year by making the shortlist in the recommendation committee. He is a "digital expert" who served as CEO of Hana Financial TI, Hana Financial's IT specialist affiliate. He also has extensive overseas experience, including serving as president of Hana Bank Indonesia. However, since he was appointed as Hana Bank president early last year, there are also expectations that he will complete his remaining term.

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