Correction of Stock Option Grant: Slight Reduction Due to Resignations, Exercise Price (58,405 KRW) Far Above Current Price (24,650 KRW) Limiting Short-Term Dilution Risk

EMRO announced a correction to its previously disclosed stock option grant on May 29, 2026. Due to resignations, the number of grantees decreased from 130 to 129, and the number of options granted decreased from 64,700 to 64,400 shares.
With this correction, total outstanding stock options stand at 618,040 shares (approximately 5% of total shares outstanding). However, the exercise price of 58,405 KRW is about 137% above the current market price of 24,650 KRW, making exercise virtually impossible at present.
The purpose of the grant is to motivate employees and retain key technical talent. The exercise period runs from March 20, 2027 to March 19, 2030. The fair value was calculated at 39,398 KRW using the binomial model.
[AI Comprehensive Analysis]This disclosure is a routine correction with minimal impact on shareholder value. However, the options are deeply out-of-the-money, so dilution risk is limited unless the stock price significantly recovers.