Cancellation of Treasury Shares

Type of shares to be cancelled

1. Common stock held in SEC treasury

2. Preferred stock held in SEC treasury

Total number of shares to be cancelled

1. Common stock: 449,542,150

2. Preferred stock: 80,742,300

Total number of shares issued

1. Common stock: 6,419,324,700

2. Preferred stock: 903,629,000

Par value per share

KRW 100

Estimated total value of cancelled shares

KRW 4,875,163,035,793

Acquisition method

Shares held in treasury

Scheduled date of cancellation

Dec 4, 2018

Date of resolution

November 30 , 2018

Other information

- SEC in April 2017 announced a two-phase plan to cancel shares held in treasury and in May 2017 completed the first stage, retiring 50% of treasury stocks. The Board today approved the cancellation of the remaining treasury shares.

- This transaction is to cancel treasury shares acquired within the scope of the profit available for shareholder returns by Board resolution. This transaction only reduces the number of issued shares and does not change the Company's capital.

- The number of shares and value per share is calculated on a post-split basis (a 50:1 stock split was completed in May 2018).

- The estimated total value of the cancelled shares was calculated by multiplying the average acquisition price by the number of shares to be cancelled and reflects the book value on the resolution date.

- The scheduled date of cancellation may change while coordinating with relevant organizations.