LS Electric announced in a regulatory filing on the 15th that it has decided to dispose of 32,520 treasury shares to compensate its employees.

The price per common share being disposed of is 187,700 won, bringing the total disposal amount to approximately 6.104 billion won. The disposal period runs from July 16, 2026, to August 14 of the same year.

The shares will be distributed to 3,252 employees. The process will involve direct transfers from the company's treasury stock account to the recipients' accounts, with NH Investment Securities and LS Securities participating as commissioned investment brokers.

LS Electric explained that this disposal follows a plan to hold and dispose of treasury shares for employee compensation purposes, which was approved at the 52nd regular shareholders' meeting held on March 26, 2026.

The disposal price per share was calculated based on the closing price on July 14, the day before the board resolution date. The company added that the number of shares to be disposed of and the number of eligible recipients may be partially adjusted depending on the status of active and suspended employees as of the actual disposal date.

Meanwhile, the scale of this treasury share disposal accounts for approximately 0.02% of the total issued shares (150 million shares). The company expects the stock dilution effect to be negligible, given that the shares will be directly deposited into the recipients' accounts.