The National Pension Fund stewardship committee decided the direction of its voting on agenda items at the shareholder meetings of 13 companies, including Korea Zinc. The National Pension Fund decided to oppose the board appointment proposals for HS Hyosung Vice Chairman Cho Hyun-sang and Shinhan Financial Group Chairman Jin Ok-dong.
At the Korea Zinc regular shareholder meeting on the 24th, it decided not to exercise voting rights on the proposal to reappoint Korea Zinc Chairman Choi Yoon-beom. The stewardship committee judged that Choi falls under someone with a record of damaging corporate value or infringing shareholder rights and interests.
On the 19th, the National Pension Fund stewardship committee held its fifth meeting and reviewed the National Pension Fund's voting directions on the shareholder meeting agendas of 13 companies: HS Hyosung Advanced Materials, LG Electronics, POSCO FUTURE M, Naver, Woori Financial Group, POSCO Holdings, Korea Zinc, Hana Financial Group, KB Financial Group, KT&G, Shinhan Financial Group, Hitejinro, and Hansol Chemical.
First, at the HS Hyosung Advanced Materials shareholder meeting on the 20th, the National Pension Fund decided to oppose the board appointment proposal for HS Hyosung Vice Chairman Cho Hyun-sang.
The National Pension Fund said it falls under "those with excessive concurrent positions and those with a record of damaging corporate value and infringing shareholder rights and interests."
In addition, it decided to oppose the articles of incorporation amendment and the proposal to approve the limit on director remuneration. Regarding the amendment to the articles, the National Pension Fund said, "Reducing the number of directors could weaken the possibility of requesting cumulative voting, which may run counter to the purpose of the amended Commercial Act, and there is also a concern that it would arbitrarily shorten directors' terms, so we decided to oppose."
On the proposal to approve the limit on director remuneration, it explained that it is difficult to judge the compensation amount as appropriate in light of management performance, and therefore it opposes it.
At the Shinhan Financial Group shareholder meeting on the 26th, it decided to oppose the proposal to appoint Shinhan Financial Group Chairman Jin Ok-dong as a director.
The National Pension Fund explained, "We decided to oppose Jin Ok-dong's candidacy for director because it falls under someone with a record of damaging corporate value or infringing shareholder rights and interests."
The National Pension Fund stewardship committee plans to oppose the proposals to approve the limit on director remuneration at the shareholder meetings of Naver and KB Financial Group on the 23rd and 26th, respectively.
In Naver's case, it said it is difficult to judge the compensation amount as appropriate in light of management performance. For KB Financial Group, it viewed the compensation amount as excessive in light of management performance.
At the Hansol Chemical shareholder meeting, it plans to oppose the proposal to change the method of granting stock options in 2020 and the proposal to approve the plan to dispose of treasury shares held.
The reason is that holding or disposing of treasury shares for the purpose of employee compensation, and changing the method of granting stock options to payment in treasury shares, is inconsistent with what was disclosed at the time of treasury share acquisition as being for the purpose of enhancing shareholder value.
At the Hitejinro shareholder meeting on the 26th, it decided to oppose the articles of incorporation amendment and the proposal to approve the limit on director remuneration. The National Pension Fund explained, "Reducing the number of directors could weaken the possibility of requesting cumulative voting, which may run counter to the purpose of the amended Commercial Act," and "We decided to oppose because it is difficult to judge the compensation amount as appropriate in light of management performance."
The National Pension Fund stewardship committee decided to support all company proposals on the shareholder meeting agendas of LG Electronics, POSCO FUTURE M, Woori Financial Group, POSCO Holdings, Hana Financial Group, and KT&G.