Samsung Electronics to dispose of treasury shares worth 3,228won for executive bonuses

Samsung Electronics said on the day it disclosed that, for the purpose of paying executive bonuses, it will dispose of treasury shares worth 3,228won on 7 month 13 day. From investors’ perspective, this changes the company’s holdings structure.

The shares to be disposed of are treasury shares, and the recipients are 1,132,477 executives and others. The disclosure said the average amount received per recipient is shares worth close to 928 per person,1 won 3 hundred million5.

The company explained that this measure is intended to strengthen responsible management among executives and others and to motivate performance creation. It is a payment linked to the Long-Term Incentive (LTI) program.

LTI is for executives who have served for more than 3 years. The company said it will calculate compensation based on performance over the previous 3 years, and that payment will be made in installments over the next 3 years.

The disclosure was made on 7month 13day. The company said there will be a separate disclosure regarding the specific timing and method of payment.

This sale of treasury shares is a measure to convert part of the existing holdings into executive compensation. Any additional details beyond the disclosure will have to be confirmed through the company’s later filings.