Cho Won-tae, chairman of Hanjin Group, was reelected as an inside director of Hanjin KAL (180640.KS).
Hanjin KAL approved Cho's reelection at its 13th annual general meeting held at Hanjin Building in Jung-gu, Seoul, on Thursday. Cho is set to serve another three-year term as an inside director.
The National Pension Service (NPS), which holds a 5.44% stake in Hanjin KAL, voted against Cho's reelection at the meeting. NPS had previously cast an opposing vote at Korean Air's (003490.KS) 2024 annual general meeting, citing Cho's negligence in overseeing acts that infringed on shareholder rights.
However, Delta Air Lines, which holds a 14.9% stake, and the Korea Development Bank, which holds 10.58%, voted in favor. Backed by support from the majority of minority shareholders, Cho secured reelection with a 93.77% approval rate.
At the meeting, Cho expressed his commitment to completing the merger of Korean Air and Asiana Airlines (020560.KS). Through a statement read by Hanjin KAL Vice Chairman Ryu Kyung-pyo, Cho said, "The launch of the integrated airline will mark a historic milestone in Korea's aviation history and serve as a crucial turning point for securing new future growth engines for Hanjin Group." He added, "Hanjin Group will pursue a phased restructuring of its affiliates starting from the launch of the integrated airline, and will do its utmost to establish itself as a global comprehensive logistics company."
The meeting also approved a resolution to maintain the total executive compensation cap at 12 billion won ($8.8 million). Additional resolutions passed included amendments to the articles of incorporation introducing electronic general meetings and changing the designation of independent directors in line with revised commercial law, as well as reducing the maximum board size from 11 to nine members.
Meanwhile, at Korean Air's 64th annual general meeting held the same day at the airline's headquarters in Gangseo-gu, Seoul, five resolutions were approved, including the reelection of inside director Woo Kee-hong and executive compensation limits. A charter amendment to discontinue the use of the English brand "KAL" was also approved. Ahead of the integrated airline's launch, Korean Air plans to adopt "KE," its International Air Transport Association (IATA) identification code, as its English brand. The corporate value framework Korean Air unveiled last year to mark its 56th anniversary was also named "KE WAY."
Through a statement read by Korean Air Vice Chairman Woo Kee-hong, Cho said, "The new corporate identity and vision we announced last year embody our determination," adding, "Our employees will prove the synergies that the merger will deliver."
