KT&G Shareholder Urges Management Reform in Open Letter

Business by 2FIRSTS.ai
Dec.07.2023
KT&G Shareholder Urges Management Reform in Open Letter
KT&G shareholder Flashlight Capital Partners opposes reelection of current CEO Paek Bok-in and demands management reform.

According to a report by South Korean news source Naver on December 7th, KT&G's shareholder Flashlight Capital Partners (FCP) has sent an open letter to the company's board of directors strongly opposing the reappointment of current President Paek Bok-in and demanding reforms in the selection process for senior management personnel.

 

According to FCP, a company represented by Lee Sang-hyun, since Bai Furen took over as president of KT&G in 2015, although the company's sales have been increasing over the past nine years, its operating profit has consistently declined. Moreover, the company's stock price has continuously decreased during this period and its financial situation is significantly different compared to its industry competitors.

 

According to financial news reports, despite President Bai Furen's responsibility for the sales growth of KT&G, FCP Company has accused him of consistently underperforming due to the gap in operating profit margins compared to the industry and the continuous decline in stock prices. As a result, FCP opposes his re-election and proposes a new selection principle for the president that is fair, just, and transparent.

 

Lee Sang-hyun believes that the CEO candidate for KT&G should be open to external candidates, and the board of directors should actively seek and recruit professional managers from the global fast-moving consumer goods (FMCG) industry.

 

We welcome news tips, article submissions, interview requests, or comments on this piece.

Please contact us at info@2firsts.com, or reach out to Alan Zhao, CEO of 2Firsts, on LinkedIn


Notice

1.  This article is intended solely for professional research purposes related to industry, technology, and policy. Any references to brands or products are made purely for objective description and do not constitute any form of endorsement, recommendation, or promotion by 2Firsts.

2.  The use of nicotine-containing products — including, but not limited to, cigarettes, e-cigarettes, nicotine pouchand heated tobacco products — carries significant health risks. Users are responsible for complying with all applicable laws and regulations in their respective jurisdictions.

3.  This article is not intended to serve as the basis for any investment decisions or financial advice. 2Firsts assumes no direct or indirect liability for any inaccuracies or errors in the content.

4.  Access to this article is strictly prohibited for individuals below the legal age in their jurisdiction.

 

Copyright

 

This article is either an original work created by 2Firsts or a reproduction from third-party sources with proper attribution. All copyrights and usage rights belong to 2Firsts or the original content provider. Unauthorized reproduction, distribution, or any other form of unauthorized use by any individual or organization is strictly prohibited. Violators will be held legally accountable.

For copyright-related inquiries, please contact: info@2firsts.com

 

AI Assistance Disclaimer

 

This article may have been enhanced using AI tools to improve translation and editorial efficiency. However, due to technical limitations, inaccuracies may occur. Readers are encouraged to refer to the cited sources for the most accurate information.

We welcome any corrections or feedback. Please contact us at: info@2firsts.com

2Firsts Interview | Prague Move Puts Eastern Europe in Focus for Nicotine Industry Event EVO NXT
2Firsts Interview | Prague Move Puts Eastern Europe in Focus for Nicotine Industry Event EVO NXT
EVO NXT will move to Prague in April 2026. As an event’s official media partner for four consecutive years, 2Firsts recently interviewed the organisers, who said the relocation reflects strong growth in Eastern European markets for alternative nicotine products. They described EVO NXT as not a traditional trade fair but a business festival shaped by rapid changes in regulation, markets and technological innovation across the global nicotine industry.
Feb.03
FDA Outlines Manufacturing Requirements as Critical to ENDS PMTA Success
FDA Outlines Manufacturing Requirements as Critical to ENDS PMTA Success
FDA officials said manufacturing consistency is a core prerequisite for ENDS PMTA reviews, not a procedural formality. During its February 10, 2026 roundtable, the agency outlined expectations for quality management systems, manufacturing documentation, nicotine control, stability studies, and risk mitigation, emphasizing that robust manufacturing evidence underpins determinations of whether products are appropriate for the protection of public health.
Feb.11
Exclusive | China Releases E-Cigarette Regulatory “Status Report”, First Comprehensive Disclosure of Oversight Framework and International Cooperation
Exclusive | China Releases E-Cigarette Regulatory “Status Report”, First Comprehensive Disclosure of Oversight Framework and International Cooperation
As 2025 draws to a close, China’s State Tobacco Monopoly Administration has released a white paper–style “Status Report” on e-cigarette regulation, systematically outlining its oversight framework, enforcement outcomes and international cooperation. 2Firsts provides exclusive in-depth reporting and analysis, offering insight into China’s regulatory logic and governance direction.
Dec.29 by 2Firsts Perspectives
Product | VOZOL’s New E-Cigarette Appears on Middle East Social Media, Touted at 40,000 Puffs with Dual Mesh Coils and Dual Modes
Product | VOZOL’s New E-Cigarette Appears on Middle East Social Media, Touted at 40,000 Puffs with Dual Mesh Coils and Dual Modes
VOZOL has recently promoted its MAGIC FLEX 40000 e-cigarette on its official Iraq social media account, using mainly Arabic-language posts and listing Baghdad as the account location. The campaign highlights a detachable/separate battery, the ability to switch flavors at will, ECO/POWER dual-mode operation, and a display-based user interface.
Jan.27 by 2FIRSTS.ai
Florida HB 389 seeks statewide ban on smoking and vaping in public places and indoor workplaces
Florida HB 389 seeks statewide ban on smoking and vaping in public places and indoor workplaces
Florida lawmakers have introduced HB 389, a proposal to expand smoke-free protections by banning smoking and vaping in public places and enclosed indoor workplaces across the state. The bill broadens statutory definitions and outlines limited exceptions and compliance rules, with an effective date of July 1, 2026 if enacted.
Feb.10 by 2FIRSTS.ai
Arizona e-cigarette shops ordered to pay $460,000 for selling tobacco and nicotine products to minors
Arizona e-cigarette shops ordered to pay $460,000 for selling tobacco and nicotine products to minors
Arizona Attorney General Kris Mayes announced Pro Source Supply LLC, Pro Source Vapes LLC, Pro Source CBD LLC, and owner Timothy Kell must pay $460,000 in restitution tied to a lawsuit filed last year alleging illegal sales of tobacco and nicotine products to underage buyers.
Jan.07 by 2FIRSTS.ai