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Introduction of Samsung Electro-Mechanics' ESG Committee

▶Responsible for discussing the direction and performance of ESG management, and reviewing ESG-related disclosures.
▶Continuous ESG management activities for sustainable growth


Samsung Electro-Mechanics is operating the ESG Committee under the Board of Directors. The ESG Committee was established in October 2021 with four outside directors and two inside directors. The ESG Committee is responsible for discussing the direction and performance of key ESG areas, and reviewing ESG-related disclosures.
Samsung Electro-Mechanics is making various efforts to improve corporate governance. In 2020, the Compensation Committee was made up entirely of outside directors to increase the independence of the Board of Directors. In 2021, we introduced an electronic general meeting of shareholders to conduct electronic voting and live-stream the shareholder meeting.
As part of the shareholder return policy, the dividend per share for 2021 has been set at KRW 2,100 for common shares (KRW 2,150 for preferred shares), and we plan to maintain a dividend payout ratio of 20% or more through a gradual increase. In February, CEO Chang Duckhyun and Vice President Kim Sungjin bought back shares, demonstrating their commitment to responsible management and increasing shareholder value.
Samsung Electro-Mechanics is building a strong collaboration system centered on the ESG Group to fulfill its corporate social responsibility. The ESG Group creates synergies through organic collaboration across divisions when responding to inquiries from ESG evaluation agencies and customers as well as publishing sustainability reports, and strengthens communication with external stakeholders in pursuit of sustainable growth.
With these efforts, Samsung Electro-Mechanics was selected for the Dow Jones Sustainability Indices (DJSI) for 13 consecutive years in 2021. Naming to DJSI for 13 consecutive years is the longest record among Korean companies, and Samsung Electro-Mechanics is the only Korean company to achieve this feat. In addition to the DJSI, our sustainability performance has been recognized by a number of evaluation agencies, such as being selected for the FTSE4Good for 11 consecutive years and acquiring Grade A from Korea Corporate Governance Service. For more information on the ESG efforts of Samsung Electro-Mechanics, see our Sustainability Report.


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