"SK Group, fixing problems Stock Option mitigation efforts."

It came the opinion that [South Korea goyounghun financial newspaper reporter] SK Group is committed to issue stock options for mitigation efforts.

Instead Governance Institute does not confirm the "stock option grant and approved 'analysis of the 118 cases, 100 companies have assumed an agenda the way the company is given the time of this approximately 50% of May 20, three in the General Shareholders' Meeting this analysis was based on uncertainties such as dilution rights issue would increase.

Stock options can be granted to directors, executive officers, auditors or employees of the Company in accordance with Article 340 Commercial Code and Article 2 requires a special shareholders' meeting resolution. However, listed companies executive officer, auditor or employee and affiliate director, executive officer, auditor or employee to grant stock options to the Board of Directors is the first time convened a general meeting of shareholders of the basis of the company to the 542 Article 3 Commercial this approval is normally required in the resolution.

Instead Governance Institute jeongseongyeop researcher "84.2 out of 32 companies have confirmed the grant scheme in advance% were in favor of unfavorable new shares issued by way of shareholder value," said "In addition, the simple and grant the government stock options of full 87.3 difficult to revive the spirit of the grant amounted to% seems, "he said diagnosis.

Why the rights issue is the preferred method because cash inflow to the company with new shares issued when the stock option exercise. On the other hand, if the degree of difference between the issuance of new shares way, but gotta dilute the share value may be issued and own shares, unlike the difference between compensation scheme viewed as existing shareholders, the most unfavorable in terms of the way.

Hearts of companies analyzed was so exemplary linked to the stock option and performance, SK picked fixing the share purchase a separate exercise quantity and exercise price divided the period into three sections in order to alleviate the problem of choice. In contrast, Seoul Semiconductor, open bass, pointed out that insufficient disclosure of some details.

Chung researcher "According to the Electronic Disclosure SK Group plans to grant jodaesik directors and only just to jangdonghyeon CEO Stock Option 6 each 7733 shares and 5 6557 shares in order to maximize corporate value growth through competition Qin understood match," said "simple and had to be divided into three periods for the purpose of alleviating the problems of government stock options exercised stock options," he said.

He called the analysis "showed a commitment to limit the price rise due to power and enjoy extraneous factors such as general economic management to exercise price rise to raise a period independent of business performance."



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