Coupang’s ‘surprise announcement’ is for the US?… Compensation plan will be announced soon

[Anchor]

In the New York Stock Exchange, Coupang created a reversal with its stock price soaring.

On the first trading day after the company announced its own research results, the stock price rose more than 6%, successfully rebounding.

Coupang's announcement that only the information of '3,000 people' rather than 33.7 million people was leaked and that there would be no additional leaks is intensifying the controversy over whether it was ultimately a move to appease the US market and minimize the amount of compensation.

The first news is from Suyeon Lee.

[Report]

Coupang Inc., Coupang's parent company. Stock prices soared more than 6% on the New York Stock Exchange on the 26th local time.

After falling nearly 20% after a large-scale personal information leak became known, it rebounded on the first trading day after the company announced its own investigation results.

On the 25th, Christmas Day, Coupang made a sudden announcement that it had contacted the information leak suspect and recovered personal information and equipment used.

Around the same time, in the United States, Hagans Berman, a large law firm, joined in and filed a class action lawsuit against Coupang Inc.

Analysis suggests that Coupang may have rushed the announcement as a series of class-action lawsuits were filed in the U.S. alleging that shareholders suffered damages due to late disclosure of serious cybersecurity incidents.

[Son Dong-hu/Attorney at SJKP, U.S.: "In U.S. class action lawsuits, punitive compensation is also considered a scandal. The longer management's decision is delayed, the worse the court will view it."]

A unilateral announcement that said it followed the government's 'instructions' but had no 'consultation' with the government.

The claim that 33.7 million people's information was leaked, but that the suspect saved only 3,000 people can also be interpreted as a strategy to minimize legal liability.

Although they are cooperating with the government's investigation, there is some analysis that they may have attempted a reversal as public opinion continues to deteriorate.

On the day of the hearing on the 17th, Coupang had already contacted the suspect and retrieved the hard disk, but it was reported that the government had issued a silence order and avoided commenting.

[Harold Rogers/Coupang CEO/17th: “The investigation is ongoing every day, and we are currently cooperating faithfully with the investigations of various regulatory agencies to understand the situation.”]

Coupang plans to announce a compensation plan for former customers who suffered information leaks soon, before the National Assembly hearing.

It is interesting to see whether CEO Kim Beom-seok's apology will be included here.

This is Suyeon Lee from KBS News.

Cinematographer: Ahn Min-sik/Video editor: Na Joo-hee/Graphics: Yeo Hyun-soo

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Is Coupang's 'surprise announcement' for the US?... Compensation plan will be announced soon (link)