NAVER : Matters Related to Ad Hoc Public Disclosure Obligation (Fair Disclosure)

Report of Disclosure Revision

Revision Date

2021-11-19

1. Disclosure Documents in relation with Revision	Matters Related to the Frequent Disclosure Obligation (Fair Disclosure)
2. Submission date of documents	2021-01-28
3. Reason for Revision	Change in the schedule for the acquisition of treasury stock
4. Revised Information
information	before revision	after revision
1. Details of information - Details of the frequent disclosure related 2. Method of shareholder return	2. Shareholder return method: dividends, treasury stock purchase and retirement - Cash dividend: Maintain 5% dividend payout ratio based on separate net income - Purchasing and retiring of treasury stock: After paying cash dividends using the shareholder return funds, and with the remaining financial resources set as a limit, retire immediately after purchasing approximately KRW 51.4 billion of treasury stock (purchase and retirement of treasury stock for the 2020 fiscal year will be implemented in the second half of 2021).	2. Shareholder return method: dividends, treasury stock purchase and retirement - Cash dividend: Maintain 5% dividend payout ratio based on separate net income - Purchase and retirement of treasury stock: After retiring in advance the treasury shares owned for approximately KRW 51.4 billion up to the remaining financial resources following the payment of dividends in cash among the resources for shareholder return, and acquisition of treasury share equivalent to the retirement is planned until 2H2022.
4. Other matters to be factored into investment decisions	- The above shareholder return policy is a three-year shareholder return policy including the 2019 fiscal year, and detailed implementation plans for each fiscal year may change depending on the business environment and market conditions, and will be decided by a respective resolution of the board of directors. - Regarding cash dividends in the above '2. Shareholder return method: dividends, treasury stock purchase and retirement' under '1. 'Details of Information,' separate net income, which is the basis for dividends, can be calculated by excluding extraordinary items such as temporary unrealized profit and loss. - Regarding the above '1. Expected Timely Disclosure Date & Time,' cash dividends will be disclosed on January 28, 2021, and disclosure related to retirement following purchase of treasury stocks will be made at the time of the board's resolution in the second half of 2021. - Apart from the above shareholder return policy, the Company is planning a special treasury stock retirement (retirement of existing treasury stocks) of approximately KRW 35.5 billion, and this will be disclosed after the resolution of the board of directors that will be held in relation to the retirement following the purchase of the treasury stocks. - The purchase and retirement of treasury stocks, and retirement of special treasury stocks above are estimated amounts, and are subject to change due to the future business environment.	- The shareholder return policy above is a shareholder return policy for 3 years including the 2019 business year, and the detailed implementation plan for each business year may change given the business environment and market conditions, etc., each of which will be decided via the board resolution, etc. - In connection with cash dividends among "2. Method of shareholder return" of "1. Details of information" above, the separate net income, which provides the basis for dividends, may be calculated by excluding the non-recurring items such as temporary unrealized gains and losses. - Separately from the shareholder return policy above, our company plan to proceed with a special treasury share retirement (retirement of treasury shares held) worth approximately KRW 35.5 billion. - In connection with the treasury share acquisition plan among "2. Method of shareholder return" of "1. Details of information" above, the specific acquisition related schedule is subject to change due to the future management environment, etc., which will be disclosed after the board's resolution if and when confirmed.

There is no change in the financial resources of our company's shareholder return policy or the size of stock retirement, and our company plans to implement the shareholder return policy in the manner of executing the retirement first after acquiring treasury shares, then acquiring treasury shares at the same amount next year.

Matters Related to Ad Hoc Public Disclosure Obligation (Fair Disclosure)

1. Details of information	Disclosure title	Shareholder return policy
Summary of ad-hoc public disclosure	1. Establishment of financial resources for the shareholder return: 30% of the average consolidated free cash flow(FCF) for the last two years is set as financial resources for the shareholder return - Consolidated FCF deducts the actual consolidated corporate tax payment and consolidated CAPEX after adding non-cash expenditure items to the consolidated operating profit. (Non-cash expenditure items include tangible and intangible depreciation expenses, bad debt expenses, retirement benefit expenses-current payment, and stock-based compensation expenses) 2. Shareholder return method: dividends, treasury stock purchase and retirement - Cash dividend: Maintain 5% dividend payout ratio based on separate net income - Purchase and retirement of treasury stock: After retiring in advance the treasury shares owned for approximately KRW 51.4 billion up to the remaining financial resources following the payment of dividends in cash among the resources for shareholder return, and acquisition of treasury share equivalent to the retirement is planned until 2H2022.
Expected ad-hoc public disclosure date & time	-
2. Details of information release	Information providers	The Company executives, IR, Public Relations
Information recipients	Institutional investors, general investors, analysts, media organizations
Date & time of information release	After the fair disclosure on January 28, 2021
Title and place of event held	Conference call/internet real-time listening (webcast)
3. Contact points (department/phone number)	IR(1588-3830)
4. Other matters to be factored into investment decisions
- The shareholder return policy above is a shareholder return policy for 3 years including the 2019 business year, and the detailed implementation plan for each business year may change given the business environment and market conditions, etc., each of which will be decided via the board resolution, etc. - In connection with cash dividends among "2. Method of shareholder return" of "1. Details of information" above, the separate net income, which provides the basis for dividends, may be calculated by excluding the non-recurring items such as temporary unrealized gains and losses. - Separately from the shareholder return policy above, our company plan to proceed with a special treasury share retirement (retirement of treasury shares held) worth approximately KRW 35.5 billion. - In connection with the treasury share acquisition plan among "2. Method of shareholder return" of "1. Details of information" above, the specific acquisition related schedule is subject to change due to the future management environment, etc., which will be disclosed after the board's resolution if and when confirmed.
※ Related disclosure	-