KCC Achieves Comprehensive A Grade in ESG Evaluation by Korea ESG Standards Institute

[Asia Economy Reporter Kim Jonghwa] KCC announced on the 28th that it has received a comprehensive A grade (excellent grade) in the 2022 ESG (Environmental, Social, and Governance) evaluation conducted by the Korea Corporate Governance Service (KCGS).

The Korea Corporate Governance Service is one of the major ESG evaluation agencies in Korea, which annually assesses the sustainability management levels of listed domestic companies in the areas of environment, society, and governance, and publishes ESG ratings.

In this evaluation, KCC achieved an A grade in the social and governance sectors and a B+ grade in the environmental sector, resulting in an excellent overall A grade. In the environmental sector, continuous efforts for eco-friendly technology development and the operation of a dedicated organization to advance the environmental management system were highly evaluated. KCC has established an environmental management policy, built internal processes for identifying and assessing environmental risks, and transparently manages and discloses environmental information.

In the social sector, KCC was recognized for its industry-linked social contribution activities and co-growth initiatives with partner companies. Additionally, it transparently discloses policies and information related to talent development and employment, and strives in human resource management by operating systematic education programs. Along with this, KCC is strengthening various social responsibility management activities such as establishing safety and health policies, human rights management policies, and operating a fair trade compliance program.

In the governance sector, KCC has established a transparent and professional decision-making structure including the board of directors and the Sustainability Management Committee under it, and continues efforts for shareholder-friendly management by selecting dates other than the concentrated shareholder meeting day to hold shareholder meetings and introducing electronic voting to protect shareholder rights. Furthermore, KCC enhances shareholder value through treasury stock purchases and discloses the status of shareholder meeting voting rights and dividend information.

KCC has formed a dedicated organization and operates a working-level consultative body to strengthen ESG management, and systematically promotes and establishes ESG management activities through the Sustainability Management Committee.

A KCC official stated, "As a result of consolidating ESG capabilities, establishing a sustainable management system, and steadily promoting ESG management activities, we have achieved good results in this evaluation," adding, "We plan to fulfill our corporate social responsibility and meet the expectations of shareholders and consumers to pioneer a sustainable future with various stakeholders."