Cathay Financial shakes up subsidiary leadership

By Ted Chen  /  Staff reporter

Sat, Jun 17, 2017 - Page 11

Cathay Financial Holding Co (國泰金控) yesterday announced major leadership changes at its subsidiaries as part of plans to improve governance by separating ownership from management.

Group chairman Tsai Hong-tu (蔡宏圖) has vacated the chairmanship of Cathay Life Insurance Co (國泰人壽), the company’s flagship unit, with the post to be filled by Huang Diao-kuei (黃調貴), who had served as vice chairman at the nation’s largest insurer, Cathay Financial said after its shareholders’ meeting.

Cathay Financial also promoted new president and vice presidents from within its ranks of senior managers, while Cathay Century Insurance Co (國泰產險) also announced new chairman and president appointments.

Last year at a shareholders’ meeting Tsai said that Cathay Financial’s founding Tsai family would take a secondary role in managing day-to-day operations, which would be the responsibility of a management team of industry experts.

Tsai added that his children would not chair Cathay Financial’s subsidiaries.

Cathay Financial yesterday said that earnings per share performance this year could exceed last year’s NT$3.79 amid diminished concerns about foreign exchange losses from an appreciating New Taiwan dollar.

Separately, Fubon Financial Holding Co (富邦金控) shareholders yesterday approved plans to distribute a cash dividend of NT$2 per share.

At the company’s annual general meeting, shareholders also agreed to a proposal to expand the number of independent director seats from four to six to help improve corporate governance.

Including three board seats occupied by Taipei City Government appointees, the nine outside directors now have majority representation on the company’s 15-seat board, Fubon Financial said.

Meanwhile, Shin Kong Financial Holding Co’s (新光金控) general meeting proceeded smoothly, ending rumors of a proxy fight between majority owners dissatisfied with the company’s earnings slump.

Shin Kong Financial chairman Eugene Wu (吳東進) and allies received the bulk of the ballots in a board of directors election, with newly appointed president Lee Jih-chu (李紀珠) also securing a seat.