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

Japan Tobacco Announces Executive Leadership Changes Effective in 2026
Japan Tobacco Announces Executive Leadership Changes Effective in 2026
Japan Tobacco Inc. (JT) has announced a series of executive and board appointments effective from 2026, including the nomination of Takehiko Tsutsui—currently Executive Vice President at JT International—as President, CEO and Representative Director.
Nov.26
Smoore’s Q3 Revenue Hits Record High, Reflecting Structural Growth in Global HNB and E-Vapor Markets
Smoore’s Q3 Revenue Hits Record High, Reflecting Structural Growth in Global HNB and E-Vapor Markets
Smoore posted record-high Q3 2025 revenue, driven by growth in both HNB and e-vapor segments, reflecting ongoing expansion of the global next-generation tobacco industry amid compliance and structural upgrades.
Oct.12
WHO MOP4 Focuses on Justice and Prosecution to Combat Illicit Tobacco Trade
WHO MOP4 Focuses on Justice and Prosecution to Combat Illicit Tobacco Trade
The Fourth Meeting of the Parties (MOP4) to the Protocol to Eliminate Illicit Trade in Tobacco Products opened in Geneva on November 24, 2025. With 60 Parties participating, the meeting focuses on strengthening legal action and international cooperation to combat illicit trade, which accounts for about 11% of the global tobacco market and costs governments billions in lost tax revenue.
Nov.25 by 2FIRSTS.ai
Scottish Retailers Urge Government to Fast-Track Nicotine Pouch Regulations
Scottish Retailers Urge Government to Fast-Track Nicotine Pouch Regulations
The Scottish Grocers’ Federation (SGF) is calling on the government to clarify the regulatory framework for nicotine pouches in order to prevent high-strength and illegal products from entering the market, stressing that these products should not be targeted at minors.
Dec.04 by 2FIRSTS.ai
CSUR, the Research Institute Supporting Juul’s PMTA Research, Outlines a New Pathway for Nicotine Pouches
CSUR, the Research Institute Supporting Juul’s PMTA Research, Outlines a New Pathway for Nicotine Pouches
CSUR—the Research Institute Supporting Juul and NJOY’s successful PMTAs—assessed FDA’s pilot for nicotine pouches. The program expedites premarket review by deferring behavioral data to post-market reporting. CSUR says this could speed authorizations, but manufacturers must still produce behavioral and real-world evidence after a Marketing Granted Order to maintain compliance with public-health standards.
Nov.04
Product | HQD launches the new HQD GO in the U.S., featuring three power levels and a ~$30 price tag.
Product | HQD launches the new HQD GO in the U.S., featuring three power levels and a ~$30 price tag.
HQD has listed the disposable HQD GO on its official site and U.S. channels. The device touts 35,000 puffs, three power levels with adjustable airflow, and a 30 mg/ml nicotine strength. On U.S. retail websites, it’s priced at about $29.99.
Oct.24 by 2FIRSTS.ai