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

U.S. Convenience Stores Rebalance Backbar as Nicotine Pouches Outpace Cigarettes
U.S. Convenience Stores Rebalance Backbar as Nicotine Pouches Outpace Cigarettes
As cigarette volumes continue to decline, U.S. convenience-store operators are reconfiguring backbar space to accommodate modern oral nicotine products such as nicotine pouches. Industry data show nicotine pouches have become one of the fastest-growing nicotine categories while generating higher margins for retailers.
Jun.12
Bringing Tax and Insurance Into Nicotine Regulation: Insights From a Tobacco Harm-Reduction Report
Bringing Tax and Insurance Into Nicotine Regulation: Insights From a Tobacco Harm-Reduction Report
A smoke-free nicotine policy report argues that tobacco harm reduction should move beyond product bans and health warnings into tax policy, insurance pricing and risk-based regulation. While some projections remain open to debate, the report highlights a wider challenge: nicotine products, technologies and consumer behavior have changed sharply over the past decade, and regulatory systems may need new tools to better align tobacco control with harm-reduction goals.
Jun.08
UK Local Council Proposes £5 Refundable Deposit on Vape Devices
UK Local Council Proposes £5 Refundable Deposit on Vape Devices
Norwich City Council is set to debate a proposed vape deposit scheme that would require consumers to pay an extra refundable £5 per device at purchase, with the money returned when the device is handed back, as recent recycling-facility fires, including a major Widnes blaze reportedly very likely caused by a vape, draw greater attention to the risks of improperly discarded lithium-battery devices.
Jul.01
 Product | ASDF Chroma extends retro cassette visual language with lighting-focused pod design
Product | ASDF Chroma extends retro cassette visual language with lighting-focused pod design
2Firsts noted that ASDF has displayed Chroma on its official website. Public information shows that Chroma is a closed-pod device equipped with an 800mAh battery, switchable RGB lights, haptic feedback and Normal/Boost power modes. It uses a 2ml OSTRO cartridge with 2% nicotine strength. Public information also shows that ASDF has a Malaysian brand background and has previously drawn industry attention for the “retro cassette” visual language used in its Vapetape series.
May.26
South Korea’s Cigarette Smoking Rate Falls to 17.9%, E-Cigarette Use Continues to Rise
South Korea’s Cigarette Smoking Rate Falls to 17.9%, E-Cigarette Use Continues to Rise
Data released by the Korea Disease Control and Prevention Agency (KDCA) showed South Korea’s conventional cigarette smoking rate fell to 17.9% in 2025, while heated tobacco and liquid e-cigarette use continued to rise, particularly among young adults and women.
Jun.01
French Vape Distributor Kumulus Vape Yields About 3% as Earnings Growth Stalls
French Vape Distributor Kumulus Vape Yields About 3% as Earnings Growth Stalls
Listed French vape distributor Kumulus Vape will trade ex-dividend on June 26, 2026, and pay an annual dividend of €0.10 per share on June 30, with Simply Wall St saying the payout is covered by profit and free cash flow, while weak earnings growth remains a concern.
Industry InsightMarketNews
Jun.24