Global Index Mail

Research evidence excerpt

Global Index Mail

Min Moon AC Global Markets Strategy

(1-212 ) 272-8456 20 July 2026 J P M O R G A N

min.k.moon@jpmorgan.com

HANWHA CORP PREF 3B and 3rd Preferred shares of Hanwha Machinery Services

intend to start trading on August 25, 2026. The transaction has been approved by

HANWHA CORP shareholders in the meeting held on July 15, 2026. Based on the

estimates, 3rd Preferred shares of Hanwha Machinery Services do not satisfy the size

criteria for addition to the MSCI Indexes. MSCI intends to apply a Price adjustment factor

(PAF) to the market price of HANWHA CORP PREF 3B to reflect the spin-off and the

consolidation on August 25, 2026. MSCI intends to maintain HANWHA CORP PREF

3B in the MSCI Global Small Cap Indexes with a decrease in the number of shares as of

the close of August 25, 2026 (effective August 26, 2026). MSCI does not intend to add

3rd Preferred shares of Hanwha Machinery Services to the MSCI Indexes. Additionally,

during the suspension period of HANWHA CORP PREF 3B, MSCI intends to carry

forward the closing price of HANWHA CORP PREF 3B as of July 29, 2026, until the end

of suspension period. MSCI will continue to monitor the event and will re-evaluate the

event at the time of sending the “Confirmed” announcement.

-Indexer supply: -0.39 million shares of 3rd Preferred shares of Hanwha Machinery

Services

-Effective as close of Tuesday, August 25, 2026

• MSCI Korea Small Cap - HANWHA CORP has announced a spin-off and intends to

de-merge into two independently listed companies, HANWHA CORP, and HANWHA

MACHINERY SVCS. Under the terms of the event, for every 10 shares held, HANWHA

CORP shareholders intend to receive 12.182335 share of HANWHA MACHINERY

SVCS. Simultaneously every 10 shares of HANWHA CORP intend to be consolidated

into 7.563533 shares.