Namyang Dairy Products Grants Treasury Shares to All Employees and Executives Free of Charge

104 Million KRW Worth Per Employee Granted
First Company-Wide Profit Sharing Under Hahn & Company Management

Namyang Dairy Products will grant its common shares free of charge to all current employees and executives. This measure is intended to recognize the contributions of employees who have helped stabilize the organization and return it to profitability following the transition to Hahn & Company management, and to share the company’s achievements with them.

On July 9, Namyang Dairy Products held a board meeting and resolved to distribute a total of 24,736 common shares to all 1,546 current employees and executives (as of July 9), granting 16 shares per person (worth approximately 1.04 million KRW each) free of charge. The allocation is applied equally to all employees and executives, regardless of position or years of service, and the company will cover the entire amount of individual income tax. Notably, there is no mandatory deposit period or other restrictions, ensuring a practical compensation system.

From the left, Dongchun Lee, Non-Executive Director of Namyang Dairy Products, Muntae Moon, Chairman of the Namyang Dairy Products Labor Union, Yeoul Yoon, Chairman of the Namyang Dairy Products Board of Directors, Seungeon Kim, Chief Executive Officer of Namyang Dairy Products, Hyesub Shim, Auditor of Namyang Dairy Products. Namyang Dairy Products

This distribution of treasury shares marks the first company-wide profit-sharing initiative since the transition to Hahn & Company management. It is significant as a turning point in redefining the organizational culture around the core values of "responsibility" and "transparency," moving away from the era under former Chairman Hong Won-sik, when various legal disputes and internal risks severely damaged the company’s credibility and management stability.

At the "Overcoming and Leap Forward, Declaration of Mutual Growth" event held immediately after the board meeting, Yeoul Yoon, Chairman of the Namyang Dairy Products Board of Directors (and Chairman of Hahn & Company), stated, "Thanks to the dedication and efforts of Namyang Dairy Products members, we have achieved meaningful change and growth. This distribution of treasury shares is not simply a reward, but a starting point for sharing trust and responsibility as partners who will build the company together, moving beyond the risks of embezzlement and breach of trust by the previous owner’s family."

As this measure was formally approved by the board of directors, Hyesub Shim, Auditor of Namyang Dairy Products, who is responsible for internal oversight, also emphasized the significance of this treasury share distribution from a corporate governance perspective. Shim commented, "This distribution of treasury shares is a widely recognized practice internationally and serves as a model case of sharing a company’s idle capital with its members. It aligns the interests of shareholders and employees, and as a win-win model, is expected to enhance consumer trust and contribute to society as well."

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