Article 1 (Purpose) This Coal-Free Investment Guideline (hereinafter referred to as the “Guideline”) is established in accordance with the ESG Committee Regulations of SK Securities
(hereinafter referred to as the “Company”) in accordance with the ESG Committee Regulations (hereinafter referred to as the “Regulations”).
(hereinafter referred to as the “Company”) and the matters stipulated in the ESG Committee Regulations (hereinafter referred to as the “Regulations”) of SK Securities Co.
In connection with the Company's declaration of divestment from coal financing to contribute to a carbon-neutral society and sustainable growth.
The purpose of this policy is to establish the standards to be followed in carrying out the business of excluding investment in the coal industry in connection with the Company's declaration of divestment to contribute to a carbon-neutral society and growth.

Article 2 (Scope of Application) ① This Guideline applies to the entire investment business of the Company.
(②) Related laws and regulations (including guidelines and decisions) of supervisory agencies shall take precedence over these Guidelines.
Guidelines shall take precedence over these Guidelines.

Article 3 (Organization of the Guidelines) This Guideline outlines the general matters for excluding investments in the coal industry.
This Guideline outlines the general matters for the exclusion of investment in the coal industry, and the details for implementing this Guideline shall be set forth in the Business Manual (hereinafter referred to as the hereinafter referred to as the “Manual”).

Article 4 (Definition of Terms) The terms used in this Guideline shall be as defined in the following subparagraphs.

1. 1. The term “coal industry” in this Guideline refers to the entire value chain of coal production, distribution, and consumption.
   business that falls under any of the following headings
   • a. Businesses involved in the mining, production and processing of coal, including the development of coal mines
   • b. Businesses related to the construction and operation of infrastructure, such as railroads and ports, for the transportation and distribution of coal.
   • C. Businesses related to the manufacture, construction, and operation of facilities related to the consumption of coal, such as coal-fired power generation facilities, coal gasification facilities, and coal liquefaction facilities.
     related to coal consumption, such as coal power generation facilities, coal gasification facilities, coal liquefaction facilities, etc.
2. 2. In this guidance, the term “coal enterprise” means an enterprise that falls under any of the following headings of the following
   • a. An electric power enterprise that derives more than 20% of its total electricity from coal power generation
   • b. An enterprise that derives 30% or more of its revenue from coal operations
   • c. Companies with more than 5 GW of coal power generation capacity
   • d. Mining companies that mine more than 10 million tons of coal per year
   • e. Companies developing coal mines (more than 1 million tons per year)
   • f. Companies developing coal power plants (300 MW or more)
   • g. Companies developing coal-related infrastructure

Article 5 (Exclusion of Investments in Coal Enterprises) The Company shall exclude investments in coal enterprises that fall under any of the following items. The Company shall exclude investments in coal companies that fall under any of the following items

1. 1. any loans and financing arrangements, including project financing (PF)
2. 2. investment in corporate bonds and stocks
3. 3. refinancing of existing investments.

Supplementary Guidelines <2023.04.03>

Article 1 (Effective Date) This Directive shall enter into force on April 3, 2023.