Shareholders of Samsung Electronics are standing in line to enter the 52nd General Shareholders’ Meeting at the Suwon Convention Center in Gyeonggi Province on the 17th. / Reporter Kang Eun-gu [email protected]
Samsung(82,300 -0.60%)Announced that it will secure’economy of scale’ with timely and efficient investment and catch up with Taiwan’s TSMC, the world’s No. 1 foundry (consignment production of semiconductors).
Samsung Electronics DS Division Head (Vice Chairman) Kim Ki-nam said at the 52nd regular shareholders’ meeting held at the Suwon Convention Center in Gyeonggi Province on the 17th, saying, “The two most important things from a large customer standpoint are fleet process competitiveness and stable supply capability.” He emphasized, “We will make efficient investments in a timely manner to fill in the shortcomings such as the number of customers and production capacity.”
In the memory semiconductor field, he was confident that he could maintain the’super gap’ by possessing both technology and market power.
At the shareholders’ meeting, the largest ever recorded 2.14 million individual shareholders participated in the shareholders’ meeting with overwhelming approval, including the reappointment of three executive directors including Vice Chairman Kim and outside directors including Seoul National University Professor Park Byung-guk.
Vice Chairman Kim replied to shareholders’ questions regarding Lee Jae-yong’s position as Vice Chairman of Samsung Electronics, “I will consider the role of Vice Chairman Lee, including global network and future business decisions, and comprehensively review the company situation and legal regulations.”
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“We are carefully exploring the targets for mergers and acquisitions (M&A), but it is difficult to specify the timing because the situation is uncertain internally and externally.”
This is a story taken by Kim Ki-nam, head of Samsung Electronics’ DS division (Vice Chairman, photo) at the ’52th Regular Shareholders’ Meeting held at the Suwon Convention Center in Gyeonggi-do on the 17th. It was an answer to the individual shareholder’s question, “We announced a meaningful M&A within three years, and please tell us specific plans”. In a situation where the decision-making system was paralyzed by Vice Chairman Lee Jae-yong’s arrest, it was said that it was difficult to keep the promise of’M&A within 3 years’.
On this day, three representative directors, including Vice Chairman Kim, Hyun-Seok Kim, Head of CE Division (President), and Dongjin Ko (President), IM Division Head (President), conveyed the situation facing Samsung Electronics without addition or subtraction. One participant said, “It was a form of explaining the risks and problems facing Samsung Electronics to shareholders as they are.”
○ 3 hours of questioning attack without loud voice
On this day, prior to the handling of the agenda, the shareholders’ meeting reported on sales by business division and answered questions. We dealt with questions collected in advance online and questions asked by shareholders in the field.
The answer was detailed and there was no change. It was to meet the eye level of the smarter’Donghak ant’. One shareholder asked about the disruption in smartphone production due to the shortage of semiconductor supply. President Ko said, “In the information technology (IT) industry, the unbalance (imbalance) between the supply and demand of semiconductors or related parts is very serious. It is expected that production will be affected from the second quarter.” He explained that “every morning, all the executives and staff members are trying to solve the problem of supplying parts.” “There are rumors that the Galaxy Note series will be merged with the Fold series,” but the honest answer came out saying, “It may be difficult to release the Note in the second half of this year, but the Note Series will continue.”
TSMC, LG Electronics(158,000 0.00%) There were also many questions that directly mentioned competitors. When asked, “Do you have any intention of releasing OLED (Organic Light-Emitting Diode) TVs like competitors?” President Kim Hyun-seok said, “We are actively developing micro LEDs.” “It is still expensive, but it will be released at a price that many consumers can find in the near future. I asked.”
○ There is also a war between shareholders
There was also a dispute among shareholders over the restrictions on employment of Vice Chairman Lee. A shareholder who identified himself as a member of a civic organization said, “Even though Lee was sentenced to two years and six months in prison, maintaining the position of Samsung’s vice chairman violated the employment restrictions.” Arguing that, the debate began.
Another shareholder raised his hand and said, “Why are you going to jail after doing a good job last year (corona 19 damage support, etc.)? “It’s amazing,” and other shareholders responded with applause. Another shareholder advocated that “people convicted in the first trial and second trial also serve as provincial governors and also serve as members of the National Assembly, but there is no reason to assume the position of vice-chairman in a private company.”
Some expressed the opinion that it was inappropriate for the Compliance Committee, an external monitoring body, to discuss Lee’s move. One shareholder pointed out that “the Compliance Committee is only an external organization, but the highest legal monitoring body is the Audit Committee.”
○ Double the total number of attendance
On this day, there were 900 shareholders, more than twice as many as the number of attendees (400) last year. This is due to the significant increase in minority shareholders as Donghak ants bought Samsung Electronics stock last year. As of the end of last year, Samsung Electronics’ shareholders amounted to 214,5327. The number of shareholders has increased more than four times from the previous year. More shareholders participated in the vote than usual. Stocks with voting rights held by shareholders at the shareholders’ meeting amounted to 47,58 billion shares, or 88% of the total stocks with voting rights (5.372.19 million shares).
Until last year, voting was done by hand on the OMR card, but this year, all agendas were voted through the electronic voting terminal. An official from the business community evaluated that “the shareholders’ culture is advancing, such as the disappearance of the ceremonial’applause vote’ and the establishment of electronic voting.”
Controversial agendas, such as the appointment of outside directors, safely crossed the threshold of the shareholders’ meeting. ISS, a global voting rights consultant, objected to the appointment of outside directors and appointment of audit committee members, saying, “It did not play a role of check and monitoring,” but the approval rate exceeded 80%.
Reporter Lee Soo-bin [email protected]