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KT&G

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KT&G is fully committed to resolving universal ESG challenges facing humanity in the areas of society, environment & climate change, and economy to create a healthy industrial ecosystem for all stakeholders. The KT&G's board of directors decides and reviews ESG's related matters under the leadership of the entire board of directors for more systematic and advanced management of ESG. In the future, KT&G will continue to expand and strengthen the sustainability of its businesses based on a global level of ESG governance.

UN Sustainable Development Goals (SDGs)

SDGs logo

KT&G endorses the UN ‘Sustainable Development Goals’ (SDGs), a set of common global goals intended to promote human prosperity and preserve the environment, and prepares the KT&G Report in accordance with pertinent standards.

Resolved local issues and
promoted shared growth

Created a good
working environment

Supported employees’
career development

Water conservation
through maintenance
of the high-temperature
water softeners

Operation of solar
power generation
facilities

Creation of
new recruitments /
supported supplier’s
sustainability

Innovative product
developments through
improved products
and services

Established action
for climate change
system

Reinforcement of
compliance and
ethical management

Sustainability Accounting Standards Board (SASB)

SASB Logo

The SASB presents ESG reporting standards that reflect industry-specific characteristics for qualitative comparison of financial and ESG performance across different industries. KT&G complies with the SASB standards in preparing the KT&G Report to make preemptive disclosures on the issues that the company faces as a tobacco manufacturer.

Sustainability Accounting Standards Board (SASB)
Next Generation Product Responsible Marketing and Labeling

KT&G is striving to satisfy diverse customer needs by developing high-quality products promptly based on product differentiation strategies in the e-cigarette segment which is emerging as a new platform to lead the future market

KT&G performs responsible and sustainable marketing in accordance with the tobacco related policies and regulations that were amended based on the FCTC of WHO

Climate Change Response (TCFD)

Climate Change Response (TCFD) Logo

KT&G aims to proactively respond and prepare for risks and opportunities caused by climate change. Based on the company-wide environmental management system, we actively participate in Global Initiatives related to climate change and promote activities for the reduction of GHG emissions and energy consumption.

ESG Assessment Outcomes

ESG Assessment Outcomes Logo

KT&G aims to maximize its non-financial performance in the areas of environment, society, and governance in addition to financial performance to practice the sustainability management in full compliance with international standards. Such endeavors allowed KT&G to achieve the highest rating of A+ in the ESG assessments made by Korea Corporate Governance Service for two consecutive years(2018~2019), and to receive the Grand Prize in the corporate governance category in 2019.

ESG Assessment Outcomes
2012~2017 2018~2019 2019
Recieved A Level(excellent grade)in the ESG Evaluation Recieved A+ Level (highest grade) in the ESG Evaluation for 2 consecutive years Awarded the ‘Grand Prize’ in the Governance Evaluation

ESG Assessment Outcomes
Year Overall Assessment E(Environment) S(Society) G(Governance)
2019 A+ B+ A+ A+
2018 A+ B+ A+ A+
2017 A B+ A+ A
MSCI Logo

KT&G deeply concurs with the importance of ESG management, a key requirement in the global community. KT&G constantly communicates through its corporate website on how the company responds to each of the key issues chosen by the MSCI, and internationally-renowned provider of the ESG ratings, and will put persistent efforts in fostering sustainable growth.

ESG Rating History

ESG Rating History 2017 BB , 2018 BBB , 2019 BBB

ESG Rating History 2017 BB , 2018 BBB , 2019 BBB

Governance Assessment Results in 2019

Global Percentile Rank 91, Home Market Percentile Rank 99

Global Percentile Rank 91, Home Market Percentile Rank 99

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