Lotte Card CEO apologizes to Lotte Group over hacking incident

(Yonhap)

Lotte Card CEO Cho Jwa-jin apologized to Lotte Group after the company’s massive hacking scandal hurt the group’s reputation, even though the two entities are not directly affiliated. Lotte Card’s majority shareholder is private equity firm MBK Partners.

Lotte Group said on Sunday that Lotte Card sent an official letter of apology on Thursday titled “CEO’s apology over Lotte Card cyber incident.” The group had strongly protested earlier that day, citing serious damage to brand value and a decline in customer trust.

In the letter, Cho said, “As CEO of Lotte Card, I deeply apologize for causing concern to Lotte Group and its employees.” He added, “I am sorry for the inconvenience and concern this incident has caused to Lotte Group’s valued customers.”

Lotte had sold Lotte Card to MBK Partners in 2019 after shifting to a holding company structure in 2017, which barred it from owning stakes in financial and insurance affiliates. Although the acquisition took place six years ago, many customers still mistakenly believe that Lotte Card remains part of Lotte Group.