The purpose of these Regulations is to establish the policies and procedures necessary for the management, operation, and evaluation of the Group Brand, thereby enhancing the efficiency and effectiveness of brand management and protecting, developing, and strengthening brand assets and value.

These Regulations apply not only to corporate names, products, and services that use the Group Brand, but also to all brand-related activities, including business strategies, business sites, employee conduct, communications, and other activities associated with or incorporating the brand. Specific matters shall be governed by the functions and operating procedures of the brand management organizations set forth in the following chapters.

• A Brand Management Committee (hereinafter referred to as the “Committee”) shall be established to promote efficient brand management.
• The Committee shall oversee all brand-related matters, including the following, to strengthen Group Brand activities:

• The Committee shall consist of members and staff.
• Committee members shall include the Head of the Holding Sector, the CFOs of affiliates with brand royalty agreements, and Brand Activity Leads. Each affiliate shall appoint its Brand Activity Lead and notify the Secretary of the Brand Management Committee.
• The Head of the Holding Sector shall serve as Chair and preside over regular meetings.
• The staff shall consist of the Steering Committee and the Secretary. The Steering Committee shall comprise the executives responsible for managing the Group Brand’s financial, legal, and market assets. The Secretary shall be the working-level head responsible for the relevant function, such as the Team Leader.
• External experts may be appointed as advisory members when professional advice is required.

• Committee meetings shall consist of regular and special meetings.
• The Committee shall hold a regular meeting at least once every six months.
• A special meeting shall be convened when deemed necessary by the Chair or requested by at least one-third of all incumbent members.
• When convening a meeting, each member shall be notified of the date, time, location, purpose, and key agenda items at least five days before the meeting. In urgent or unavoidable circumstances, notice may be given no later than the day before the meeting.
• A resolution shall require the attendance of a majority of all incumbent members and the approval of a majority of the members present. In the event of a tie, the Chair shall have the deciding vote.
• The Chair may submit minor or urgent matters for written review and resolution. In such cases, approval by a majority of all incumbent members shall be required.
• If the Chair is unable to perform their duties due to unavoidable circumstances, a person designated in advance by the Chair shall act on the Chair’s behalf.
• External members and other eligible attendees may receive allowances and reimbursement for travel expenses within the approved budget. This shall not apply to Committee members who are employees of HL Group.
• The Secretary shall prepare, maintain, and retain the minutes of Committee meetings.
• Any matters necessary for the operation of the Committee that are not specified in these Regulations shall be determined by the Chair following a resolution of the Committee.

The Group Brand Management Organization shall perform overall brand planning, implementation, and evaluation, including the following.

• To ensure consistency in brand management and effective and efficient execution, separate detailed rules and procedures shall be established and administered for the following matters. These rules and procedures shall be observed in all related activities.

• Matters concerning the application, registration, and management of the brand’s intellectual property rights shall be handled by the department responsible for legal assets under the Brand Management Committee. Matters concerning the financial valuation of brand assets, licensing policies, and related agreements shall be handled by the department responsible for financial assets.

• Each affiliate’s brand management organization shall be the department responsible for brand-related activities. Every Group affiliate shall maintain a dedicated function or personnel responsible for performing these duties.
• Each affiliate’s brand management organization shall perform the following duties. Where necessary, it may request cooperation or support from the Group Brand Management Organization.

These Regulations were enacted and shall take effect on September 9, 2022.

Companies that used the Group Brand before the enactment of these Regulations shall continue to comply with the terms of their existing agreements. Where no prior agreement exists, the existing brand royalty rate shall remain in effect, while all other terms shall be renegotiated in accordance with these Regulations.