Hyundai Department Store Group's 7 Listed Companies Receive 'Integrated A' Grade in ESG Evaluation

[Asia Economy Reporter Jo In-kyung] Hyundai Department Store Group announced on the 27th that all seven listed affiliates subject to evaluation received an 'Integrated A' grade in the 2021 Environmental, Social, and Governance (ESG) assessment conducted by the Korea Corporate Governance Service (KCGS).

Hyundai Department Store, Hyundai Home Shopping, Hyundai Green Food, Handsome, Hyundai Livart, and Hyundai Everdigm all received the Integrated A grade for the second consecutive year, following last year. Hyundai Bio Land, newly incorporated as an affiliate through a corporate merger and acquisition (M&A) last year, improved two levels from a B grade to an A grade.

Hyundai Department Store Group received high marks in the environmental sector by establishing investment plans for environmental management and applying them to business activities. Notably, Hyundai Department Store, Hyundai Home Shopping, and Hyundai Green Food obtained the 'ISO 14001' certification, the international standard for environmental management systems, from the Korea Standards Association this year. Handsome transformed inventory clothing scheduled for disposal into eco-friendly interior finishing materials. Hyundai Livart also acquired eco-friendly product certification from the Ministry of Environment.

In the social sector, six listed affiliates?Hyundai Department Store, Hyundai Home Shopping, Hyundai Green Food, Handsome, Hyundai Livart, and Hyundai Everdigm?each received an A+ grade, while Hyundai Bio Land received an A grade. Their sales channel support activities for small and medium merchants whose sales sharply declined due to COVID-19 and the family-friendly policies promoted to balance work and family life were highly evaluated.

In the governance sector, all listed affiliates received an A grade. This was due to formalizing governance-related regulations such as establishing a CEO succession policy earlier this year, strengthening board-centered management, and enhancing the independence and expertise of outside directors. In particular, Hyundai Department Store established an ESG Management Committee within the board of directors in the first half of this year, and Hyundai Home Shopping and Hyundai Green Food plan to form dedicated organizations such as ESG Management Committees within the year.

A Hyundai Department Store Group official said, "ESG is an important axis of management that enhances the competitiveness of each affiliate," adding, "We will make our best efforts to solve environmental and social issues for a sustainable future based on transparent and advanced governance."