Major bank CEOs face pivotal test for potential reappointment

Leadership changes are looming at Korea's major commercial banks as the terms of all five CEOs expire at the end of the year, setting the stage for closely watched potential reappointment decisions, industry officials said Thursday. The terms for the CEOs of KB Kookmin, Shinhan, Hana, Woori and NH NongHyup banks all expire in December. Under the financial authorities' corporate governance guidelines, succession procedures should begin at least three months before a CEO's term expires, meaning that the selection process is expected to begin around September. This year, industry officials say earnings results alone are unlikely to determine who stays and who goes, with governance standards and leadership changes at parent financial groups also expected to play a role in the decisions. Bank CEOs typically serve two-year terms, with an additional one-year extension granted based on management performance. KB Kookmin Bank CEO Lee Hwan-ju is considered well positioned for another term after delivering solid financial results. The lender posted a net profit of 3.862 trillion won ($2.6 billion) i