6-K

Table of Contents

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

Form 6-K

REPORT OFFOREIGN PRIVATE ISSUER

PURSUANT TO RULE 13a-16 OR15d-16 UNDER

THE SECURITIES EXCHANGE ACT OF 1934

For the month of August 2021

Commission File Number: 001-31811

Woori Financial Group Inc.

(Translation of registrant’s name into English)

51, Sogong-ro, Jung-gu, Seoul, 04632, Korea

(Address ofprincipal executive office)

Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.

Form 20-F  ☒             Form 40-F  ☐

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1):  ☐

Note: Regulation S-T Rule 101(b)(1) only permits the submission in paper of a Form 6-K if submitted solely to provide an attached annual report to security holders.

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7):  ☐

Note: Regulation S-T Rule 101(b)(7) only permits the submission in paper of a Form 6-K if submission to furnish a report or other document that the registration foreign private issuer must furnish and make public under the laws of the jurisdiction in which the registrant is incorporated, domiciled or legally organized (the registrant’s “home country”), or under the rules of the home country exchange on which the registrant’s securities are traded, as long as the report or other document is not a press release, is not required to be and has not been distributed to the registrant’s security holders, and if discussing a material event, has already been the subject of a Form 6-K submission or other Commission filing on EDGAR.

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Index

1.	Summary of 2021 1H Business Report
2.	Exhibit 99.1 Woori Financial Group Review Report for 2021 1H (Consolidated)
3.	Exhibit 99.2 Woori Financial Group Review Report for 2021 1H (Separate)

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Summary of 2021 First Half Business Report

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I.	INTRODUCTION OF THE COMPANY		5
	1.	Overview of the Company	5
	2.	Capital Structure (Changes in Capital)	9
	3.	Total Number of Authorized Shares	9
II.	BUSINESS OVERVIEW		11
	1.	Results of Operations	11
	2.	Funding Sources and Uses of Funds	11
	3.	Other Information Necessary for Making Investment Decisions	12
III.	FINANCIAL INFORMATION		16
	1.	Condensed Financial Statements (Consolidated)	16
	2.	Condensed Financial Statements (Separate)	18
	3.	Dividend Information	20
IV.	INDEPENDENT AUDITOR’S OPINION		21
	1.	Independent Auditor’s Opinion	21
	2.	Compensation to the Independent Auditor	21
V.	CORPORATE GOVERNANCE		23
	1.	About the Board of Directors	23
	2.	Shareholder’s Meeting	25
III.	SHAREHOLDER INFORMATION		27
	1.	Share Distribution	27
	2.	Stock Price and Stock Market Performance	28
IV.	DIRECTORS AND EMPLOYEE INFORMATION		30
	1.	Directors and Executives	30
	2.	Employee Status	31
	3.	Directors’ Compensation	31

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Except where indicated otherwise, financial information contained in this document (including the attached financial statements) has been prepared in accordance with the Korean equivalent of International Financial Reporting Standards (“Korean IFRS”), which differ in certain important respects from generally accepted accounting principles in the United States.

All references to “Woori Financial Group,” “we,” “us” or the “Company” are to Woori Financial Group Inc. and, unless the context requires otherwise, its subsidiaries. In addition, all references to “Won” or “KRW” in this document are to the currency of the Republic of Korea.

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I.	Introduction of the Company
1.	Overview of the Company
---	---
a.	History
---	---
January 11, 2019	Establishment of the Company pursuant to a comprehensive stock transfer, by which Woori Bank, Woori FIS, Woori Finance Research Institute, Woori Credit Information, Woori Fund Services and Woori Private Equity Asset Management<br>became wholly-owned subsidiaries of the Company.
---	---
February 13, 2019	Listed on the Korea Exchange (KRX).
April 5, 2019	Entered into share purchase agreements to acquire Tongyang Asset Management Corp. and ABL Global Asset Management Co., Ltd.
June 21, 2019	Entered into a purchase agreement with Woori Bank to acquire the common shares of Woori Investment Bank Co., Ltd. (“Woori Investment Bank”) and integrate Woori Investment Bank as a first-tier subsidiary of the Company<br>(Buyer: Woori Financial Group, Seller: Woori Bank)
July 3, 2019	Entered into a stock exchange agreement between the Company and Woori Card Co., Ltd (“Woori Card”) to integrate Woori Card as a first-tier subsidiary of the Company
July 25, 2019	Entered into a share purchase agreement to acquire Kukje Asset Trust, Ltd.
August 1, 2019	Integrated Woori Asset Management Corp. (formerly known as Tongyang Asset Management Co., Ltd.) as a first-tier subsidiary of the Company.
September 10, 2019	Integrated Woori Card and Woori Investment Bank as first-tier subsidiaries of the Company.
September 26, 2019	Disposed 4% of common shares of the Company held by Woori Bank to a Taiwanese company, Fubon Life Insurance Co., Ltd.
December 6, 2019	Integrated Woori Global Asset Management Corp. as a first-tier subsidiary of the Company
December 30, 2019	Integrated Woori Asset Trust Ltd. as a first-tier subsidiary of the Company
March 25, 2020	Held the first annual general meeting of shareholders of Woori Financial Group; reappointed the Chief Executive Officer

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October 26, 2020	Entered into a share purchase agreement to acquire Aju Capital Co., Ltd.
December 10, 2020	Integrated Woori Financial Capital Co., Ltd., (formerly known as Aju Capital Co., Ltd.) as a first-tier subsidiary of the Company
	Integrated Woori Savings Bank (formerly known as Aju Savings Bank) as a second-tier subsidiary of the Company
January 15, 2021	Joined the Carbon Disclosure Project (CDP), announced support for the Task force on Climate related Financial Disclosure (TCFD) and established the ESG management principles of Woori Financial Group
March 5, 2021	Established the Board ESG Management Committee
March 12, 2021	Integrated Woori Savings Bank as a first-tier subsidiary of the Company
April 9, 2021	After-hours trading of a 2% stake in Woori Financial Group Inc. held by the Korea Deposit Insurance Corporation
April 15, 2021	Purchased additional equity shares of Woori Financial Capital Co., Ltd., increasing the Company’s equity ownership by 12.9%
May 13, 2021	Participated in the capital increase of Woori Savings Bank (KRW 100 billion)
May 24, 2021	Purchased 3.6% of Woori Financial Capital Co., Ltd. in treasury shares
June 4, 2021	Entered into a stock exchange agreement to acquire the remaining shares of Woori Financial Capital Co., Ltd.
b.	Affiliated Companies
---	---
(1)	Overview of Business Group
---	---
1.	Name of business group: Woori Financial Group Inc.
---	---
(2)	Affiliated companies within the business group
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As of June 30, 2021

Type	Name of Company
Listed company<br><br><br>(4 companies)	Woori Financial Group
	Woori Financial Capital
	Woori Investment Bank
	PT Bank Woori Saudara Indonesia
Unlisted company<br><br><br>(25 companies)	Woori Bank
	Woori Card
	Woori Asset Trust
	Woori Asset Management
	Woori Savings Bank
	Woori Credit Information
	Woori Fund Services
	Woori Private Equity Asset Management
	Woori Global Asset Management
	Woori FIS
	Woori Finance Research Institute
	Korea BTL Infrastructure Fund
	Woori America Bank
	Woori Bank China Limited
	AO Woori Bank
	Banco Woori Bank do Brazil S.A.
	Woori Global Markets Asia Limited
	Woori Bank Vietnam Limited
	Woori Wealth Development Bank
	Woori Finance Myanmar
	WB Finance Co., Ltd (Cambodia)
	Woori Bank Europe Gmbh
	Tutu Finance-WCI Myanmar
	Woori-Hanwha Eureka Private Equity Fund
	Arden Woori Apparel 1^st^ Private Equity Fund
Note	1) Includes subsidiaries, etc. under the Financial Holding Company Act as of June 30, 2021<br>
---	---

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2.	Capital Structure (Changes in Capital)
	(units: Won, shares)
---	---	---	---	---	---	---	---
Date	Item	Type
		Common Shares		PreferredShares		Others
June 30, 2021	Number of issued shares		722,267,683		—		—
	Par Value		5,000		—		—
	Capital Stock		3,611,338,415,000		—		—
December 31, 2020	Number of issued shares		722,267,683		—		—
	Par Value		5,000		—		—
	Capital Stock		3,611,338,415,000		—		—
December 31, 2019	Number of issued shares		722,267,683		—		—
	Par Value		5,000		—		—
	Capital Stock		3,611,338,415,000		—		—

Note 1) Our common shares increased by 5,792,866 shares on August 10, 2021 due to a comprehensive stock exchange to integrate Woori Financial Capital as a wholly-owned subsidiary.

As of June 30, 2021			(units: Won, shares)
			Stock Decrease/Increase
Date	Category		Type		Quantity		ParValue		Issueprice		Note
January 11, 2019		—		Common		680,164,306		5,000		26,415	Establishment<br> <br>(comprehensive stock transfer)
September 10, 2019		—		Common		42,103,377		5,000		12,350	Comprehensive stock exchange<br> <br>Stock increase ratio: 6.19018%

Note 1) Due to Woori Financial Group’s establishment through a comprehensive stock transfer, the issue price was calculated by dividing the total equity from its financial statements at the time of establishment (KRW 17,966,458,911,689) by the total number of issued shares (680,164,306).

Note 2) Our capital changed in September 2019 due to a comprehensive stock exchange. The issue price is based on the closing stock price of the comprehensive stock exchange date.

Note 3) Our common shares increased by 5,792,866 shares on August 10, 2021, due to a comprehensive stock exchange to integrate Woori Financial Capital as a wholly-owned subsidiary.

3.	Total Number of Authorized Shares
As of June 30, 2021	(unit: shares)
---	---	---	---	---	---	---	---
Items	Type				Notes
	Common Shares		Total
Number of authorized shares		4,000,000,000		4,000,000,000		—
Number of issued shares		722,267,683		722,267,683		Note 1	)
Number of treasury shares		2		2		Note 2	)
Number of outstanding shares		722,267,681		722,267,681		—

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Note 1) Excludes the 5,792,866 new common shares issued on August 10, 2021 due to a comprehensive stock exchange between Woori Financial Group and Woori Financial Capital.

Note 2) Acquired from the issuance of fractional shares.

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II.	Business Overview
1.	Results of Operations
---	---
	(unit: billions of Won)
---	---	---	---	---	---	---
Type	2021 1H		2020		2019
Operating income		1,984		2,080		2,800
Non-operating income		34		-79		-77
Income from continuing operations before income tax		2,018		2,001		2,723
Income tax expense from continuing operations		480		486		685
Income from discontinued operations		—		—		—
Net income		1,537		1,515		2,038
Controlling Interest		1,420		1,307		1,872
Non-controlling Interest		118		208		165

Note 1) Based on K-IFRS consolidated financial statements

2.	Funding Sources and Uses of Funds
a.	Sources of Funds
---	---
For the periods indicated other than as noted below														(units: millions of Won, %)
---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---
Classification	Funding Source	2021 1H						2020						2019
		AverageBalance		InterestRate		Proportion		AverageBalance		Interest<br>Rate		Proportion		AverageBalance		Interest<br>Rate		Proportion
Source	Deposits		284,078,461		0.79		71.27		265,636,358		1.08		71.78		249,106,041		1.51		71.14
	Borrowings		20,290,367		0.92		5.09		19,606,056		1.31		5.30		18,013,074		1.92		5.14
	Debentures		39,158,522		1.85		9.82		32,287,676		2.24		8.73		30,401,987		2.56		8.68
	Others		27,718,352		—		6.95		26,523,338		—		7.17		28,928,780		—		8.26
	Total Liabilities		371,245,702		—		93.14		344,053,429		—		92.97		326,449,882		—		93.23
Total Equity			27,354,783		—		6.86		25,996,721		—		7.03		23,703,431		—		6.77
Total Liabilities & Equity			398,600,485		—		100.00		370,050,150		—		100.00		350,153,313		—		100.00

Note 1) Average Balance : simple average of the starting balance for the fiscal year and the balance at the end of each quarter

Note 2) Based on K-IFRS consolidated financial statements

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b.	Use of Funds
For the periods indicated other than as noted below								(units: millions of Won, %)
---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---
Type	Managed Item	2021 1H						2020						2019
		Average<br>Balance		Interest<br>Rate		Proportion		AverageBalance		InterestRate		Proportion		AverageBalance		InterestRate		Proportion
Use	Cash & Due from Banks		13,925,421		0.29		3.49		11,925,297		0.45		3.22		9,202,054		1.55		2.63
	Marketable securities		55,403,603		1.74		13.90		54,474,169		1.87		14.72		50,396,362		2.29		14.39
	Loans		293,567,979		2.75		73.65		269,533,892		2.98		72.84		254,691,201		3.48		72.74
	Loans in local currency		255,826,053		2.55		64.18		233,117,610		2.75		63.00		219,418,214		3.22		62.66
	Loans in foreign Currency		23,475,953		3.64		5.89		22,614,578		3.99		6.11		20,982,894		4.59		5.99
	Guarantee payments		29,351		2.29		0.01		15,845		4.04		0.00		12,410		1.48		0.00
	Credit card receivables		8,937,767		7.35		2.24		8,207,859		7.87		2.22		8,139,789		7.98		2.32
	Foreign bills bought		5,298,854		0.83		1.33		5,578,001		1.53		1.51		6,137,894		2.96		1.75
	Bad debt expense in local currency (-)		1,896,954		—		0.48		1,708,074		—		0.46		1,666,215		—		0.48
	Others		37,600,436		—		9.43		35,824,866		—		9.68		37,529,911		—		10.72
Total Assets			398,600,485		—		100.00		370,050,150		—		100.00		350,153,313		—		100.00

Note 1) Average Balance : simple average of the balances at the start of the fiscal year and at the end of each quarter

Note 2) Based on K-IFRS consolidated financial statements

3.	Other Information Necessary for Making Investment Decisions
a.	Capital Adequacy Ratios
---	---

Group BIS Capital Adequacy Ratios

As of the end of the period indicated	(units: billions of Won, %)
Type	2021 1H		2020		2019
Equity capital (A)		28,860		27,448		27,115
Risk weighted assets (B)		209,864		198,269		228,046
BIS(Capital adequacy) ratio (A/B)		13.75		13.84		11.89

Note 1) BIS (Bank for International Settlements) Capital Adequacy Ratios = Equity capital / Risk weighted assets * 100

Note 2) Based on K-IFRS consolidated financial statements and Basel III standards (2019 figures based on Standardized Approach / 2020 and 2021 1H figures based on IRB Approach)

Note 3) 2021 1H figures are estimates only and are subject to change

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Capital Adequacy Ratios for Significant Subsidiaries and Consolidated Companies

As of the end of the periods indicated					(units: millions of Won, %)
Name of Company	Type		2021 1H		2020		2019
Woori Bank<br><br><br>Note 2)	BIS ratio<br> <br>Note 1)	Equity capital (A)		26,247,299		25,269,072		24,314,212
		Risk weighted assets (B)		153,186,345		145,755,395		157,889,535
		Capital adequacy ratio (A/B)		17.13		17.34		15.40
Woori Card<br><br><br>Note 3)	Adjusted capital ratio			18.78		19.93		18.33
	Tangible common equity ratio			12.68		13.48		14.29
Woori Financial Capital<br><br><br>Note 3)	Adjusted capital ratio			12.05		12.17		13.46
	Tangible common equity ratio			10.75		10.77		12.08
Woori Investment Bank<br><br><br>Note 4)	BIS ratio<br> <br>Note 1)	Equity capital (A)		531,893		491,799		338,136
		Risk weighted assets (B)		3,466,624		3,192,245		2,630,349
		Capital adequacy ratio (A/B)		15.34		15.41		12.86
Woori Asset Trust<br><br><br>Note 5)	Operating capital ratio			1,318.40		1,286.43		1,397.97
Woori Asset Management<br><br><br>Note 3)	Minimum operating capital ratio			714.56		754.11		655.84
Woori Savings Bank<br><br><br>Note 6)	BIS Capital adequacy ratio Note 1)			23.49		13.40		13.46

Note 1) BIS (Bank for International Settlements) Capital Adequacy Ratio : Equity capital / Risk weighted assets * 100

Note 2) Figures for Woori Bank are based on K-IFRS consolidated financial statements and Basel III standards. 2021 1H figures are estimates only and subject to change

Note 3) Figures for Woori Card, Woori Financial Capital, Woori Asset Management are based on the applicable standards for business reports submitted to the Financial Supervisory Service and our K-IFRS separate financial statements

Note 4) Figures for Woori Investment Bank are based on the applicable standards for business reports submitted to the Financial Supervisory Service and our K-IFRS consolidated financial statements

Note 5) Figures for Woori Asset Trust are based on K-IFRS separate financial statements

Note 6) Figures for Woori Savings Bank are based on K-GAAP

b.	Liquidity Ratio

Won Liquidity Ratios

As of the end of the periods indicated															(units: millions of Won, %)
	2021 1H						2020						2019
Type	Won<br>Liquidity<br>Assets		Won<br>Liquidity<br>Liabilities		Won<br>Liquidity<br>Ratio		Won<br>Liquidity<br>Assets		Won<br>Liquidity<br>Liabilities		Won<br>Liquidity<br>Ratio		Won<br>Liquidity<br>Assets		Won<br>Liquidity<br>Liabilities		Won<br>Liquidity<br>Ratio
Woori Financial Group<br><br><br>Note 1)		253,536		2,963		8,556.7		40,308		7,911		509.5		45,079		7,475		603.1
Woori Card<br><br><br>Note 2)		6,506,290		1,382,932		470.5		6,255,965		1,406,387		444.8		5,976,031		1,407,335		424.6
Woori Financial Capital<br><br><br>Note 2)		1,354,129		924,007		146.6		1,357,876		616,632		220.2		1,037,894		498,197		208.3
Woori Investment Bank<br><br><br>Note 2)		2,304,607		1,960,247		117.6		2,166,208		1,555,418		139.3		1,671,823		1,118,318		149.5
Woori Asset Trust<br><br><br>Note 2)		168,565		13,087		1,288.0		148,856		16,157		921.3		67,555		14,595		462.9
Woori Savings Bank<br><br><br>Note 2), Note 3)		265,718		225,684		117.7		267,927		209,712		127.8		263,961		228,491		115.5

Note 1) Based on current assets and liabilities within one month of maturity

Note 2) Based on current assets and liabilities within 90 days of maturity

Note 3) Based on K-GAAP

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Foreign Currency (FC) Liquidity Ratios

As of the end of the periods indicated															(units: millions of Won, %)
Type	2021 1H						2020						2019
	FC<br>Liquidity<br>Assets		FC<br>Liquidity<br>Liabilities		FC<br>Liquidity<br>Ratio		FC<br>Liquidity<br>Assets		FC<br>Liquidity<br>Liabilities		FC<br>Liquidity<br>Ratio		FC<br>Liquidity<br>Assets		FC<br>Liquidity<br>Liabilities		FC<br>Liquidity<br>Ratio
Woori Investment Bank<br><br><br>Note 1)		633		—		—		425		—		—		38,111		34,734		109.7

Note 1) Based on current assets and liabilities within three months of maturity

Liquidity Coverage Ratios

						(unit: %)
Name of Company	Type	2021 1H		2020		2019
Woori Bank	Liquidity coverage ratio Note 1)		90.05		92.07		107.27
	Foreign currency liquidity coverage ratio Note 1)		106.12		106.06		110.50
	Ratio of business purpose premises and equipment		11.09		11.68		12.22

Note 1) The method of calculation is based on the business disclosure, and the applicable periods are 2021 2Q, 2020 4Q and 2019 4Q

Under the [Plans for Temporary Easing of Financial Regulations in Response to<br>COVID-19] announced by the Financial Services Commission, the liquidity coverage ratio and the foreign currency liquidity coverage ratio requirements for banks has been reduced from 100% to 85% and from 80% to<br>70%, respectively, until the end of September 2021.
c.	Profitability Ratio Note 1), Note 2) ****
---	---
Type	2021 1H Note 3)				2020				2019
---	---	---	---	---	---	---	---	---	---	---	---	---
	ROA		ROE		ROA		ROE		ROA		ROE
Woori Financial Group
Including non-controlling interests		0.75		12.97		0.40		6.80		0.57		10.11
Excluding non-controlling interests		0.69		11.98		0.34		5.87		0.52		9.29
Woori Bank		0.66		10.30		0.38		5.83		0.55		8.36
Woori Card		0.86		4.65		0.98		5.29		0.90		5.05
Woori Financial Capital		1.73		16.09		1.53		13.83		1.64		12.64
Woori Investment Bank		1.57		13.17		1.47		13.13		1.69		13.66
Woori Asset Trust		21.75		31.11		22.03		31.51		25.18		37.40
Woori Asset Management		7.53		7.84		5.85		6.12		7.41		7.77
Woori Savings Bank Note4)		0.99		9.20		0.97		10.10		1.05		11.41

Note 1) Based on the applicable standards for business reports submitted to the Financial Supervisory Service. The figures for Woori Financial Group are on a consolidated basis and figures for the other subsidiaries are on a non-consolidated basis

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Note 2) Total assets and total equity : simple average of the starting balance for the fiscal year and each quarter’s ending balance

Note 3) On an annualized basis based on the applicable standards for business reports submitted to the Financial Supervisory Service

Note 4) Figures for Woori Savings Bank are based on K-GAAP

d.	Asset Quality

Group Asset Quality

	(units: billions of Won, %)
Type	2021 1H		2020		2019
Total loans		314,679		299,075		266,432
Substandard and below loans		1,157		1,256		1,198
Substandard and below ratio		0.37		0.42		0.45
Non-Performing Loans		1,075		1,149		1,068
NPL Ratio		0.34		0.38		0.40
Substandard and below coverage ratio (A/B)		164.3		153.8		133.6
Loan Loss reserve (A)		1,901		1,932		1,600
Substandard and below loans (B)		1,157		1,256		1,198

Note 1) Based on the applicable standards for financial holding company business reports submitted to the Financial Supervisory Service

Asset Quality for Significant Subsidiaries and Consolidated Companies

																	(units: %)
Type	2021 1H						2020						2019
	Substandard<br>and below<br>ratio		NPL<br>ratio		Substandard<br>and below<br>coverage<br>ratio		Substandard<br>and below<br>ratio		NPL<br>ratio		Substandard<br>and below<br>coverage<br>ratio		Substandard<br>and below<br>ratio		NPL<br>ratio		Substandard<br>and below<br>coverage<br>ratio
Woori Bank		0.27		0.25		164.62		0.32		0.30		153.95		0.40		0.36		121.80
Woori Card		0.60		—		102.36		0.63		—		102.65		0.80		—		102.84
Woori Financial Capital		1.46		1.44		144.34		1.77		1.75		140.15		2.28		2.28		97.86
Woori Investment Bank		0.67		0.67		90.75		0.79		0.20		84.78		0.49		0.21		168.61
Woori Asset Trust		55.36		—		—		63.64		—		—		37.51		—		—
Woori Savings Bank		2.75		—		102.78		3.40		—		90.37		3.51		—		79.42

Note 1) Based on the applicable standards for business reports submitted to the Financial Supervisory Service

15

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III.	Financial Information
1.	Condensed Financial Statements (Consolidated)
---	---

Summary Consolidated Statement of Financial Position

(The Company and its Consolidated Subsidiaries, as of the end of the periods indicated)				(unit: millions of Won)
Classification	2021 1H			2020			2019
ASSETS
Cash and cash equivalents		10,411,346			9,990,983			6,392,566
Financial assets at fair value through profit or loss (“FVTPL”)		12,264,521			14,762,941			8,069,144
Financial assets at fair value through other comprehensive income		30,284,891			30,028,929			27,730,531
Securities at amortized cost		15,725,241			17,020,839			20,320,539
Loans and other financial assets at amortized cost		345,150,425			320,106,078			293,717,693
Investments in joint ventures and associates		1,175,274			993,291			806,360
Investment properties		386,650			387,464			280,239
Premises and equipment		3,190,194			3,287,198			3,364,716
Intangible assets and goodwill		775,614			792,077			844,110
Assets held for sale		35,495			60,002			10,556
Net defined benefit asset		1,809			5,658			2,582
Current tax assets		33,606			75,655			47,367
Deferred tax assets		37,365			46,088			39,544
Derivative assets (designated for hedging)		129,562			174,820			121,131
Other assets		1,668,613			1,348,994			233,646
Total assets	****	421,270,606		****	399,081,017		****	361,980,724	****
LIABILITIES
Financial liabilities at FVTPL		3,928,181			6,813,822			2,958,302
Deposits due to customers		302,492,676			291,477,279			264,685,578
Borrowings		22,545,862			20,745,466			18,998,920
Debentures		40,917,952			37,479,358			30,858,055
Provisions		500,497			501,643			443,980
Net defined benefit liability		57,736			52,237			92,470
Current tax liabilities		333,409			370,718			182,690
Deferred tax liabilities		268,786			160,250			134,322
Derivative liabilities (designated for hedging)		44,045			64,769			6,837
Other financial liabilities		21,549,754			14,215,817			17,706,767
Other liabilities		471,534			473,813			420,471
Total liabilities	****	393,110,432		****	372,355,172	****	****	336,488,392	****
EQUITY
Owners’ equity:		24,559,151			23,053,608			21,510,370
Capital stock		3,611,338			3,611,338			3,611,338
Hybrid securities		2,094,818			1,895,366			997,544
Capital surplus		631,368			626,111			626,295
Other equity		(2,176,729	)		(2,347,472	)		(2,249,322	)
Retained earnings		20,398,356			19,268,265			18,524,515
Non-controlling interests		3,601,023			3,672,237			3,981,962
Total equity	****	28,160,174		****	26,725,845		****	25,492,332	****
Total liabilities and equity	****	421,270,606		****	399,081,017		****	361,980,724	****
Number of Consolidated Subsidiaries (excluding holding company)		141			131			102

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Summary Consolidated Statement of Comprehensive Income

(The Company and its Consolidated Subsidiaries, for the periods indicated)	(unit: millions of Won, except per share amounts)
Classification	2021 1H			2020 1H			2020			2019
Operating income	****	1,983,840		****	1,172,598		****	2,080,394		****	2,799,976	****
Net interest income		3,322,619			2,940,849			5,998,512			5,893,706
Net fees and commissions income		729,454			498,349			1,014,039			1,102,628
Dividend income		130,738			71,002			138,543			107,959
Net gain or loss on financial instruments at FVTPL		136,407			401,589			421,709			25,455
Net gain or loss on financial assets at FVTOCI		45,059			11,027			24,138			11,015
Net gain or loss arising on financial assets at amortized cost		38,680			32,662			44,443			102,115
Impairment losses due to credit loss		(204,576	)		(446,679	)		(784,371	)		(374,244	)
General and administrative expenses		(1,855,493	)		(1,789,558	)		(3,956,181	)		(3,766,077	)
Other net operating income (expenses)		(359,048	)		(546,643	)		(820,438	)		(302,581	)
Non-operating income(expense)	****	33,908		****	(138,749	)	****	(79,143	)	****	(76,927	)
Net income before income tax expense	****	2,017,748		****	1,033,849		****	2,001,251		****	2,723,049	****
Income tax expense	****	(480,497	)	****	(259,816	)	****	(486,002	)	****	(685,453	)
Net income	****	1,537,251		****	774,033		****	1,515,249		****	2,037,596
Net income attributable to owners		1,419,698			660,564			1,307,266			1,872,207
Net income attributable to the non-controlling<br>interests		117,553			113,469			207,983			165,389
Other comprehensive income (loss), net of tax	****	151,535		****	(9,167	)	****	(82,207	)	****	51,782
Items that will not be reclassified to profit or loss		185,682			(121,454	)		54,964			(92,777	)
Items that may be reclassified to profit or loss		(34,147	)		112,287			(137,171	)		144,559
Total comprehensive income	****	1,688,786		****	764,866		****	1,433,042		****	2,089,378
Comprehensive income attributable to the owners		1,569,431			648,420			1,233,097			1,914,393
Comprehensive income attributable to non-controlling<br>interests		119,355			116,446			199,945			174,985
Net income per share:
Basic and diluted loss per share (in Korean Won)		1,922			887			1,742			2,727

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2.	Condensed Financial Statements (Separate)

Summary Statement of Financial Position

(The Company, as of the end of the period indicated)	(unit: millions of Won)
Classification	2021 1H			2020			2019
ASSETS
Cash and cash equivalents		253,265			69,176			43,670
Financial assets at fair value through profit or loss		7,247			7,247			9,434
Financial assets at fair value through other comprehensive income		149,151			149,614			—
Loans and other financial assets at amortized cost		714,944			619,117			1,269,203
Investments in subsidiaries		21,880,614			21,562,229			19,873,593
Premises and equipment		10,068			12,538			7,383
Intangible assets		5,211			5,282			3,310
Net defined benefit asset		—			3,509			—
Current tax assets		18,213			307			—
Deferred tax assets		1,188			964			—
Other assets		93			—			—
Total assets	****	23,039,994	****	****	22,429,983	****	****	21,206,593	****
LIABILITIES
Debentures		1,147,688			1,147,503			947,679
Provisions		392			782			600
Net defined benefit liability		903			—			3,482
Current tax liabilities		261,230			215,071			133,526
Deferred tax liabilities		—			—			154
Other financial liabilities		34,736			22,085			10,745
Other liabilities		678			570			4,142
Total liabilities	****	1,445,627	****	****	1,386,011	****	****	1,100,328	****
EQUITY
Capital stock		3,611,338			3,611,338			3,611,338
Hybrid securities		2,094,745			1,895,322			997,544
Capital surplus		10,874,084			14,874,084			14,874,084
Other equity		(2,324	)		(1,518	)		(631	)
Retained Earnings		5,016,524			664,746			623,930
Total equity	****	21,594,367	****	****	21,043,972	****	****	20,106,265	****
Total liabilities and equity	****	23,039,994	****	****	22,429,983	****	****	21,206,593	****

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Summary Statement of Comprehensive Income

(The Company, for the period indicated)	(unit: millions of Won, except per share amounts)
Classification	2021 1H			2020 1H			2020			2019
Operating Income:	****	643,330	****	****	638,150	****	****	594,752	****	****	629,437	****
Net interest income		(10,728	)		(3,332	)		(12,953	)		40
Interest income		1,585			7,699			10,082			7,741
Interest expense		(12,313	)		(11,031	)		(23,035	)		(7,701	)
Net fees and commissions loss		(6,609	)		(8,168	)		(15,394	)		(15,833	)
Fees and commissions income		402			—			805			—
Fees and commissions expense		(7,011	)		(8,168	)		(16,199	)		(15,833	)
Dividend income		690,025			677,795			680,375			676,000
Net gain or loss on financial instruments at FVTPL		—			—			(920	)		9,434
Reversal(Provision) of impairment losses due to credit loss		(19	)		9			116			(263	)
General and administrative expenses		(29,339	)		(28,154	)		(56,472	)		(39,941	)
Non-operating Income(expense)	****	95	****	****	(20	)	****	(215	)	****	(750	)
Net Income before income tax expense	****	643,425	****	****	638,130	****	****	594,537	****	****	628,687	****
Income tax expense	****	(81	)	****	(1,058	)	****	781	****	****	(394	)
Net Income	****	643,344	****	****	637,072	****	****	595,318	****	****	628,293	****
Other comprehensive loss, net of tax	****	(806	)	****	(769	)	****	(887	)	****	(631	)
Items that will not be reclassified to profit or loss		(806	)		(769	)		(887	)		(631	)
Net gain or loss on valuation of equity securities at FVTOCI		(336	)		192			(280	)		—
Remeasurement of the net defined benefit liability		(470	)		(961	)		(607	)		(631	)
Total comprehensive Income	****	642,538	****	****	636,303	****	****	594,431	****	****	627,662	****
Net Income per share:
Basic and diluted income per share (in Korean Won)		847			854			757			900

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3.	Dividend Information
•	In the mid- to long-term, Woori Financial Group plans to not only<br>increase dividends per share according to improvement in net income, but also to gradually increase its dividend payout ratio to around 30% based on the group’s mid- to long-term management plan (resolved<br>by the board of directors on December 18, 2020). The company also plans to review various market-friendly shareholder return policies to improve shareholder value while maintaining capital adequacy, once<br>COVID-19 stabilizes.
---	---
•	The above plans are subject to change taking into account factors such as the<br>COVID-19 situation and changes in the domestic and overseas business environment. Further details will be separately disclosed after a resolution of the board of directors of our company.<br>
---	---
Items		2021 1H		2020		2019
---	---	---	---	---	---	---	---
Par value per share (Won)			5,000		5,000		5,000
Net profit (Millions of Won)			1,419,642		1,307,266		1,872,207
Earnings per share (Won)			1,922		1,742		2,727
Total cash dividends (Millions of Won)			108,340		260,016		505,587
Total stock dividends (Millions of Won)			—		—		—
Cash dividend payout ratio (%)			7.63		19.89		27.00
Cash dividend yield (%)	Common Shares		1.3		3.6		5.8
	Preferred Shares		—		—		—
Stock dividend yield (%)	Common Shares		—		—		—
	Preferred Shares		—		—		—
Cash dividend per share (Won)	Common Shares		150		360		700
	Preferred Shares		—		—		—
Stock dividend per share (Share)	Common Shares		—		—		—
	Preferred Shares		—		—		—

Note 1) 2021 1H : Interim dividend (resolved by the board of directors on July 23, 2021)

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IV.	Independent Auditor’s Opinion
1.	Independent Auditor’s Opinion
---	---
	2021 1H	2020	2019
---	---	---	---	---
Auditor	Samil PricewaterhouseCoopers	Samil PricewaterhouseCoopers		Deloitte Anjin LLC
Auditor’s Opinion	Note 1)	Note 2)		Note 3)

Note 1) In its review report attached to this report, Samil PricewaterhouseCoopers has stated that nothing had come to their attention that caused them to believe that the accompanying consolidated and separate interim financial statements of Woori Financial Group are not presented fairly in all material respects, in accordance with Korean IFRS.

Note 2) In its audit report, Samil PricewaterhouseCoopers has stated that the financial statements are presented fairly, in all material respects, in accordance with Korean IFRS.

Note 3) In its audit report, Deloitte Anjin LLC has stated that the financial statements are presented fairly, in all material respects, in accordance with Korean IFRS.

2.	Compensation to the Independent Auditor
a.	Audit Services
---	---
Term	Auditor	Description	Contract				Actual
---	---	---	---	---	---	---	---	---	---	---
			Fee		Time		Fee		Time
2021 1H	Samil PricewaterhouseCoopers	1Q/1H/3Q Review<br><br><br>Closing audit<br>(including internal accounting management system)		KRW 1,172 million		10,450 hours		KRW 340 million		2,670 hours
2020	Samil PricewaterhouseCoopers	1Q/1H/3Q Review<br><br><br>Closing audit<br>(including internal accounting management system)		KRW 1,135 million		10,400 hours		KRW 1,135 million		10,514 hours
2019	Deloitte Anjin LLC	1Q/1H/3Q Review<br><br><br>Closing audit<br>(including internal accounting management system)		KRW 752 million		7,995 hours		KRW 752 million		10,849 hours

Note 1) Fee excludes VAT

Note 2) Time includes planning time up until the commencement of the applicable services

b.	Other Audit Services
Term	Auditor		Description	Fee
---	---	---	---	---	---
2019		Deloitte Anjin LLC	Auditing services provided in connection with the submission of a holding company establishment report to the Fair Trade Commission		KRW 67 million

Note 1) Fee excludes VAT

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c.	Current Status of Audit Service Agreements with the Independent Auditor Relating to U.S. Listing
Term	Auditor	Description	Fee
---	---	---	---
2020	Samil<br>PricewaterhouseCoopers	U.S. PCAOB standard audit of consolidated financial statements and internal control over financial<br>reporting (for FY2021)	KRW 2,370 million
		U.S. PCAOB standard audit of consolidated financial statements and internal control over financial<br>reporting (for FY2020)	KRW 2,280 million
2019	Deloitte Anjin LLC	U.S. PCAOB standard audit of consolidated financial statements and internal control over financial<br>reporting (for FY2019)	KRW 1,873 million

Note 1) Fee excludes VAT

d.	Non-Audit Services
Term	Date of Executionof Agreement		Description of Service	Service Term		Fees
---	---	---	---	---	---	---	---
2021 1H		March 29, 2021	Tax adjustment (including review relating to application of consolidated tax)		June 1, 2021 ~ May 31, 2022		KRW 61 million
2020		July 9, 2020	Tax adjustment (including review relating to application of consolidated tax)		July 9, 2020 ~ May 31, 2021		KRW 61 million
2019		April 18, 2019	Tax adjustment (including review relating to application of consolidated tax)		April 18, 2019 ~ May 31, 2020		KRW 88 million
		May 14, 2019	Issuance of agreed-upon procedure report relating to asset management company establishment registration submitted to the Financial Supervisory Service		May 14, 2019 ~ May 31, 2020		KRW 18 million

Note 1) Fee excludes VAT

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V.	Corporate Governance
1.	About the Board of Directors
---	---
a.	Composition of the Board of Directors
---	---

The board of directors consists of standing directors, outside directors and non-standing directors.

b.	Committees under the Board of Directors

We currently have the following committees serving under the board of directors:

(a)	Audit Committee
(b)	Board Risk Management Committee
---	---
(c)	Compensation Committee
---	---
(d)	Committee for Recommending Executive Officer Candidates
---	---
(e)	Committee for Recommending Subsidiary Representative Director Candidates
---	---
(f)	Committee for Internal Control Management
---	---
(g)	Board ESG Management Committee
---	---

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(As of June 30, 2021)<br><br><br>Name of Committee	Composition	Names of Members
Audit Committee	Three outside directors	(Chairman) Chan-Hyoung Chung (outside director)<br><br><br>Sung-Tae Ro (outside director)<br><br><br>Dong-Woo Chang (outside director)
Board Risk Management Committee Note 1)	Three outside directors<br><br><br>One non-standing director	(Chairman) Sang-Yong Park (outside director)<br><br><br>Dennis Chan (outside director)<br><br><br>Zhiping Tian (outside director)<br><br><br>Hong-Tae Kim (non-standing director)
Compensation Committee	Six outside directors<br><br><br>One non-standing director	(Chairman) Chan-Hyoung Chung (outside director)<br><br><br>Sung-Tae Ro (outside director)<br><br><br>Sang-Yong Park (outside director)<br><br><br>Dennis Chan (outside director)<br><br><br>Zhiping Tian (outside director)<br> <br>Dong-Woo Chang (outside director)<br> <br>Hong-Tae Kim (non-standing director)
Committee for Recommending Executive Officer Candidates	Six outside directors	(Chairman) Dong-Woo Chang (outside director)<br><br><br>Sung-Tae Ro (outside director)<br><br><br>Sang-Yong Park (outside director)<br><br><br>Chan-Hyoung Chung (outside director)<br><br><br>Dennis Chan (outside director)<br><br><br>Zhiping Tian (outside director)
Committee for Recommending Subsidiary Representative Director Candidates	Six outside directors<br><br><br>One standing director	(Chairman) Tae-Seung Son (standing director)<br><br><br>Sung-Tae Ro (outside director)<br><br><br>Sang-Yong Park (outside director)<br><br><br>Chan-Hyoung Chung (outside director)<br><br><br>Dennis Chan (outside director)<br><br><br>Zhiping Tian (outside director)<br> <br>Dong-Woo Chang (outside director)
Committee for Internal Control Management Note 1)	One outside director<br><br><br>One non-standing director<br><br><br>Two standing directors	(Chairman) Sang-Yong Park (outside director)<br><br><br>Hong-Tae Kim (non-standing director)<br><br><br>Tae-Seung Son (standing director)<br><br><br>Won-Duk Lee (standing director)
Board ESG Management Committee	Six outside directors<br><br><br>One non-standing director<br><br><br>Two standing directors	(Chairman) Sung-Tae Ro (outside director)<br><br><br>Sang-Yong Park (outside director)<br><br><br>Chan-Hyoung Chung (outside director)<br><br><br>Dennis Chan (outside director)<br><br><br>Zhiping Tian (outside director)<br> <br>Dong-Woo Chang (outside director)<br> <br>Hong-Tae Kim (non-standing director)<br> <br>Tae-Seung Son (standing director)<br><br><br>Won-Duk Lee (standing director)

Note 1) In order to secure the independence of the risk management function and strengthen the management of internal controls, Won-Duk Lee was moved from the Board Risk Management Committee to the Committee for Internal Control Management.

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2.	Shareholder’s Meeting
a.	Voting Rights
---	---
As of June 30, 2021	(unit: shares)
---	---	---	---	---	---	---	---
Items			Number ofshares		Notes
Number of issued shares		Common Shares		722,267,683		—
		Preferred Shares		—		—
Number of shares without voting rights		Common Shares		2		Note 1	)
		Preferred Shares		—		—
Number of shares for which voting rights are excluded pursuant to the articles of<br>incorporation		Common Shares		—		—
		Preferred Shares		—		—
Number of shares for which voting rights are limited by law		Common Shares		11,669,293		Note 2	)
		Preferred Shares		—		—
Number of shares for which voting rights have been restored		Common Shares		—		—
		Preferred Shares		—		—
Number of shares for which voting rights may be exercised		Common Shares		710,598,388		—
		Preferred Shares		—		—

Note 1) Acquired treasury shares from the issuance of fractional shares (pursuant to Article 369 of the Commercial Act).

Note 2) A non-financial business operator is restricted from exercising voting rights in excess of 4% of the total number of outstanding voting shares of a financial holding company.(pursuant to Article 8-2 of the Financial Holding Company Act)

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b.	Summary of the Minutes of Shareholder’s Meeting
	Agenda	Result
---	---	---
Annual General Meeting of Shareholders for 2019<br><br><br>(March 25, 2020)	1. Approval of financial statements for the fiscal year 2019	Approved as submitted
	2. Approval of amendments to the Articles of Incorporation	Approved as submitted
	3. Appointment of directors (4 directors)<br><br><br>- 3-1 Candidate for outside director : Dennis Chan<br><br><br>- 3-2 Candidate for non-standing director : Hong-Tae Kim<br> <br>- 3-3 Candidate for standing director : Won-Duk Lee<br> <br>- 3-4 Candidate for standing director : Tae-Seung Son	Approved as submitted
	4. Approval of the maximum limit on directors’ compensation	Approved as submitted
Annual General Meeting of Shareholders for 2020<br><br><br>(March 26, 2021)	1. Approval of financial statements for the fiscal year 2020	Approved as submitted
	2. Approval of amendments to the Articles of Incorporation	Approved as submitted
	3. Approval of reduction of Capital Reserve	Approved as submitted
	4. Appointment of directors (1 standing director, 4 outside directors)<br><br><br>- 4-1 Candidate for standing director : Won-Duk Lee<br><br><br>- 4-2 Candidate for outside director : Sung-Tae Ro<br><br><br>- 4-3 Candidate for outside director : Sang-Yong Park<br><br><br>- 4-4 Candidate for outside director : Zhiping Tian<br><br><br>- 4-5 Candidate for outside director : Dong-Woo<br>Chang	Approved as submitted
	5. Appointment of outside director who will serve as an Audit Committee Member<br><br><br>- Candidate for outside director who will serve as an Audit Committee Member<br><br><br>: Chan-Hyoung Chung	Approved as submitted
	6. Appointment of Audit Committee Members who are outside directors<br><br><br>- 6-1 Candidate for Audit Committee Member who is an outside director<br><br><br>: Sung-Tae Ro<br><br><br>- 6-2 Candidate for Audit Committee Member who is an outside director<br><br><br>: Dong-Woo Chang	Approved as submitted
	7. Approval of the maximum limit on directors’ compensation	Approved as submitted

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III.	Shareholder Information
1.	Share Distribution
---	---
a.	Share Information of the Largest Shareholder and Specially Related Parties
---	---
As of June 30, 2021	(units: shares, %)
---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---
Name	Relation		Type		Shares Held								Notes
				Beginning balance					Ending balance
				Number			Share		Number		Share
Korea Deposit<br><br><br>Insurance Corporation (KDIC)		Largest<br> <br>Shareholder	Common			124,604,797		17.25		110,159,443		15.25		Note 1	)
Total			Common			124,604,797		17.25		110,159,443		15.25		—
			Others			—		—		—		—		—

Note 1) KDIC disposed of 14,445,354 shares through after-hours trading on April 9, 2021 (Publicly disclosed on a Form 6-K on April 13, 2021)

b.	Changes in the largest shareholder
As of June 30, 2021	(units: shares, %)
---	---	---	---	---	---	---
Change of Date	Largest Shareholder	Number Held		Share		Notes
January 11, 2019	Korea Deposit Insurance Corporation		124,604,797		18.32	Comprehensive Stock Transfer<br> <br>(Woori Financial Group) Note 1)
September 10, 2019	Korea Deposit Insurance Corporation		124,604,797		17.25	Issuance of new common shares<br>(42,103,377 shares) Note 2)
April 9, 2021	Korea Deposit Insurance Corporation		110,159,443		15.25	Sales of KDIC’S 14,445,354 shares<br><br><br>through after-hours trading Note 3)

Note 1) Woori Financial Group was established pursuant to a comprehensive stock transfer of Woori Bank and five other companies, and the KDIC received new shares of Woori Financial Group in accordance with the stock transfer ratio.

transfer ratio Woori Bank : Woori Financial Group = 1: 1.0000000

Note 2) Small scale stock exchange between Woori Financial Group and Woori Card.

Note 3) Refer to the prior disclosures on Form 6-K on April 13, 2021.

27

Table of Contents

c.	Share Ownership of More Than 5%
As of June 30, 2021	(units: shares, %)
---	---	---	---	---	---	---	---	---
	Name	Shares				Notes
		No. of shares		Percentage of shareholding
Share ownership of more than 5%	Korea Deposit Insurance Corporation		110,159,443		15.25		Note 1	)
	National Pension Service		70,818,135		9.80		Note 2	)
	Nobis1, Inc. (IMM PE)		40,560,000		5.62		Note 2	)
Employee Stock Ownership Association			63,234,379		8.75		Note 3	)

Note 1) KDIC disposed of 14,445,354 shares through after-hours trading on April 9, 2021 (Publicly disclosed on a Form 6-K on April 13, 2021)

Note 2) Shares based on the list of shareholders as of December 31, 2020

Note 3) Total shares of the employee stock ownership association of Woori Financial Group and Woori Bank

2.	Stock Price and Stock Market Performance
a.	Domestic Stock Market
---	---
												(units: Won, shares)
---	---	---	---	---	---	---	---	---	---	---	---	---	---
Period		January<br>2021		February<br>2021		March<br>2021		April<br>2021		May<br>2021		June<br>2021
Common Shares	High		10,250		9,820		10,150		10,900		11,300		11,950
	Low		8,800		8,990		9,610		10,000		10,500		11,200
	Average		9,629		9,444		9,993		10,402		11,024		11,532
Monthly<br><br><br>Trade Volume	High		5,405,431		2,794,858		4,093,277		19,929,467		6,795,728		3,850,099
	Low		1,294,345		1,234,105		1,372,690		1,325,415		1,566,228		1,115,860
	Monthly Total		54,373,947		32,863,926		48,749,529		74,819,567		49,490,946		48,288,680

Note 1) Source: KRX KOSPI Market

Note 2) Share prices are based on closing prices.

28

Table of Contents

b.	Foreign Stock Market (NYSE)
										(units: US Dollars, Won, ADSs)
---	---	---	---	---	---	---	---	---	---	---	---	---	---
Period		January<br>2021		February<br>2021		March<br>2021		April<br>2021		May<br>2021		June<br>2021
ADS	High		28.07		26.49		27.10		29.55		30.71		32.55
	Low		23.89		24.47		25.69		26.98		27.98		30.12
	Average		26.50		25.61		26.58		27.97		29.52		30.89
Won Conversion	High		30,874		29,425		30,642		32,277		34,610		36,707
	Low		26,628		27,260		28,475		30,250		31,410		33,635
	Average		29,086		28,469		30,067		31,310		33,158		34,641
Monthly Trade Volume	High		55,960		33,889		26,461		39,387		28,147		20,417
	Low		18,846		11,675		7,330		6,326		4,111		4,891
	Monthly Total		657,375		360,600		382,624		274,543		262,915		228,939

Note 1) Source: standard trading rate (daily and monthly average) (Seoul Money Brokerage, www.smbs.biz)

Note 2) One ADS represents three common shares.

Note 3) Share prices are based on closing prices.

29

Table of Contents

IV.	Directors and Employee Information
1.	Directors and Executives
---	---
As of June 30, 2021
---	---	---	---	---	---	---
Position		Name	CommonSharesOwned		Term<br>Commencement Date	Expiration of Term
Chief Executive Officer	Registered	Tae-Seung Son		93,127	January 11, 2019 ~	Note 1)
Senior Deputy President	Registered	Won-Duk Lee		21,500	December 18, 2020 ~	Note 2)
Outside Director	Registered	Sung-Tae Ro		5,000	January 11, 2019 ~	Note 2)
Outside Director	Registered	Sang-Yong Park		1,000	January 11, 2019 ~	Note 2)
Outside Director	Registered	Chan-Hyoung<br>Chung		10,532	January 11, 2019 ~	Note 2)
Outside Director	Registered	Dennis Chan		—	March 25, 2020 ~	Note 2)
Outside Director	Registered	Zhiping Tian		—	January 11, 2019 ~	Note 2)
Outside Director	Registered	Dong-Woo<br>Chang		—	January 11, 2019 ~	Note 2)
Non-standing Director	Registered	Hong-Tae Kim		—	March 25, 2020 ~	Note 2)
Deputy President	Non-Registered	Min-Cheol Shin		17,000	December 24, 2020 ~	December 23, 2022
Deputy President	Non-Registered	Dong-Su Choi		19,738	January 11, 2019 ~	December 17, 2021
Deputy President	Non-Registered	Jin-Ho Noh		6,000	February 11, 2020 ~	December 17, 2021
Deputy President	Non-Registered	Kyu-Mok<br>Hwang		16,239	December 18, 2020 ~	December 17, 2021
Deputy President	Non-Registered	Seok-Tae Lee		18,857	December 18, 2020 ~	December 17, 2021
Deputy President	Non-Registered	Seok-Young<br>Chung		22,951	December 18, 2020 ~	January 10, 2023
Senior Managing Director	Non-Registered	Weon-Cheol<br>Hwang		4,000	December 18, 2020 ~	December 17, 2021
Senior Managing Director	Non-Registered	Jong-Il Park		14,619	December 18, 2020 ~	December 31, 2021
Senior Managing Director	Non-Registered	Byoung-Kwon<br>Woo		5,500	December 18, 2020 ~	February 10, 2022
Senior Managing Director	Non-Registered	Sung-Wook Lee		11,000	December 18, 2020 ~	December 31, 2021
Managing Director	Non-Registered	Jong-Keun Lee		2,000	December 18, 2020 ~	December 17, 2022

Note 1) End of the annual general meeting of shareholders for FY2022

Note 2) End of the annual general meeting of shareholders for FY2021

Note 3) Term commencement date: date of inauguration for registered officers or directors / date of appointment for non-registered officers or directors

Note 4) Common shares owned are as of the date of submission of this report, and those owned by executives exclude shares owned through the Employee Stock Ownership Association.

30

Table of Contents

2.	Employee Status
As of June 30, 2021															(units: persons, millions of Won)
---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---
	Number of Employees										Average<br>Tenure	TotalCompensation		AverageCompensation<br>Per Person		Note
	Regular				Contract				Total
	Total		(Short time<br>worker)		Total		(Short time<br>worker)
Total		124		—		32		—		156	2 years<br> <br>(15 years<br>7 months)		14,258		91		—

Note 1) 25 employees concurrently employed by affiliated companies are excluded

Note 2) Average tenure: term in (  ) includes tenure at affiliated companies

Note 3) Contract employees include non-registered executives

3.	Directors’ Compensation
As of June 30, 2021			(units: persons, millions of Won)
---	---	---	---	---	---	---	---	---
Items	Number ofPersons		TotalCompensation		AverageCompensation<br>Per Director		Note
Registered Directors<br><br><br>(excludes outside directors and audit committee members)		3		1,026		342		—
Outside Directors<br><br><br>(excludes audit committee members)		3		102		34		—
Audit Committee Members		3		75		25		—
Auditor		—		—		—		—

Note 1) Registered directors and audit committee members include uncompensated directors

Note 2) Only the compensation amount paid by Woori Financial Group is included for the three executives concurrently employed by Woori Bank

31

Table of Contents

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

	Woori Financial Group Inc.
	(Registrant)
Date: August 17, 2021	By:	/s/ Sung-Wook Lee
	(Signature)
	Name: Sung-Wook Lee
	Title: Senior Managing Director

32

EX-99.1

Exhibit 99.1

WOORI FINANCIAL GROUP INC. AND SUBSIDIARIES

CONSOLIDATED INTERIM FINANCIAL STATEMENTS

AS OF AND FOR THE THREE-MONTH AND SIX-MONTH PERIODS ENDED

JUNE 30, 2021 AND 2020

WOORI FINANCIAL GROUP INC.

	Page(s)
Report on Review of Consolidated Interim Financial Statements		1-2
Consolidated Interim Financial Statements
Consolidated Interim Statements of Financial Position		4
Consolidated Interim Statements of Comprehensive Income		5-6
Consolidated Interim Statements of Changes in Equity		7
Consolidated Interim Statements of Cash Flows		8-9
Notes to the Consolidated Interim Financial Statements		10-125

Report on Review of Consolidated Interim Financial Statements

English Translation of a Report Originally Issued in Korean on August 13, 2021

To the Shareholders and the Board of Directors of Woori Financial Group Inc.

Reviewed Financial Statements

We have reviewed the accompanying consolidated interim financial statements of Woori Financial Group Inc. and its subsidiaries (collectively referred to as the “Group”). These financial statements consist of the consolidated interim statement of financial position of the Group as at June 30, 2021 and the related consolidated interim statements of comprehensive income for the three-month and six-month periods ended June 30, 2021 and 2020, and consolidated interim statements of changes in equity and cash flows for the six-month periods ended June 30, 2021 and 2020, and a summary of significant accounting policies and other explanatory notes, expressed in Korean Won.

Management’s Responsibility for the Financial Statements

Management is responsible for the preparation and fair presentation of these consolidated interim financial statements in accordance with International Financial Reporting Standards as adopted by the Republic of Korea (“Korean IFRS”) 1034 Interim Financial Reporting, and for such internal control as management determines is necessary to enable the preparation of consolidated interim financial statements that are free from material misstatement, whether due to fraud or error.

Auditor’s Responsibility

Our responsibility is to issue a report on these consolidated interim financial statements based on our review.

We conducted our review in accordance with quarterly or semi-annual review standards established by the Securities and Futures Commission of the Republic of Korea. A review of interim financial information consists of making inquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with Korean Standards on Auditing and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.

Conclusion

Based on our review, nothing has come to our attention that causes us to believe the accompanying consolidated interim financial statements are not presented fairly, in all material respects, in accordance with Korean IFRS 1034 Interim Financial Reporting.

• 1 -

Emphasis of Matters

Without qualifying our conclusion, we draw attention to Note 3 of the consolidated financial statements, which indicates that the outbreak of COVID-19 may have a negative impact on the Group’s financial condition and results of operations.

Other Matters

We have audited the consolidated statement of financial position of the Group as at December 31, 2020, and the related consolidated statements of comprehensive income, changes in equity and cash flows for the year then ended, in accordance with Korean Standards on Auditing. We expressed an unqualified opinion on those financial statements, not presented herein, in our audit report dated March 12, 2021. The consolidated statement of financial position as at December 31, 2020, presented herein for comparative purposes, is consistent, in all material respects, with the above audited consolidated statement of financial position as at December 31, 2020.

Review standards and their application in practice vary among countries. The procedures and practices used in the Republic of Korea to review such financial statements may differ from those generally accepted and applied in other countries.

/s/ Samil PricewaterhouseCoopers

Seoul, Korea

August 13, 2021

Notice to Readers

This report is effective as of August 13, 2021, the review report date. Certain subsequent events or circumstances, which may occur between the review report date and the time of reading this report, could have a material impact on the accompanying consolidated interim financial statements and notes thereto. Accordingly, the readers of the review report should understand that there is a possibility that the above review report may have to be revised to reflect the impact of such subsequent events or circumstances, if any.

• 2 -

WOORI FINANCIAL GROUP INC. AND SUBSIDIARIES

CONSOLIDATED INTERIM FINANCIAL STATEMENTS

AS OF AND FOR THE THREE-MONTH AND SIX-MONTH PERIODS ENDED

JUNE 30, 2021 AND 2020

The accompanying consolidated interim financial statements including

all footnote disclosures were prepared by, and are the responsibility of, the management of Woori Financial

Group Inc.

Tae Seung Son

Presidentand Chief Executive Officer

Main Office Address: (Address) 51, Sogong-ro, Jung-gu, Seoul

(Phone Number)        02-2125-2000

• 3 -

WOORI FINANCIAL GROUP INC. AND SUBSIDIARIES

CONSOLIDATED INTERIM STATEMENTS OF FINANCIAL POSITION

AS OF JUNE 30, 2021 (UNAUDITED) AND DECEMBER 31, 2020

	June 30,<br>2021			December 31,<br>2020
	(Korean Won in millions)
ASSETS
Cash and cash equivalents (Note 6)		10,411,346			9,990,983
Financial assets at fair value through profit or loss (“FVTPL”) (Notes 4, 7, 11, and<br>24)		12,264,521			14,762,941
Financial assets at fair value through other comprehensive income (“FVTOCI”) (Notes 4,<br>8, and 11)		30,284,891			30,028,929
Securities at amortized cost (Notes 4, 9, and 11)		15,725,241			17,020,839
Loans and other financial assets at amortized cost (Notes 4, 10, 11, and 39)		345,150,425			320,106,078
Investments in joint ventures and associates (Note 12)		1,175,274			993,291
Investment properties (Note 13)		386,650			387,464
Premises and equipment (Notes 14)		3,190,194			3,287,198
Intangible assets (Note 15)		775,614			792,077
Assets held for sale (Note 16)		35,495			60,002
Net defined benefit asset (Note 22)		1,809			5,658
Current tax assets		33,606			75,655
Deferred tax assets		37,365			46,088
Derivative assets (Designated for hedging) (Notes 4, 11 and 24)		129,562			174,820
Other assets (Notes 17 and 39)		1,668,613			1,348,994
Total assets		421,270,606			399,081,017
LIABILITIES
Financial liabilities at fair value through profit or loss (“FVTPL”) (Notes 4, 11, 18<br>and 24)		3,928,181			6,813,822
Deposits due to customers (Notes 4, 11, 19 and 39)		302,492,676			291,477,279
Borrowings (Notes 4, 11 and 20)		22,545,862			20,745,466
Debentures (Notes 4, 11 and 20)		40,917,952			37,479,358
Provisions (Notes 21, 38 and 39)		500,497			501,643
Net defined benefit liability (Note 22)		57,736			52,237
Current tax liabilities		333,409			370,718
Deferred tax liabilities		268,786			160,250
Derivative liabilities (Designated for hedging) (Notes 4, 11 and 24)		44,045			64,769
Other financial liabilities (Notes 4, 11, 23 and 39)		21,549,754			14,215,817
Other liabilities (Notes 23 and 39)		471,534			473,813
Total liabilities		393,110,432			372,355,172
EQUITY
Owners’ equity (Note 26)
Capital stock		3,611,338			3,611,338
Hybrid securities		2,094,818			1,895,366
Capital surplus		631,368			626,111
Other equity		(2,176,729	)		(2,347,472	)
Retained earnings		20,398,356			19,268,265
		24,559,151			23,053,608
Non-controlling interests		3,601,023			3,672,237
Total equity		28,160,174			26,725,845
Total liabilities and equity		421,270,606			399,081,017

The accompanying notes are part of this consolidated interim financial statement.

• 4 -

WOORI FINANCIAL GROUP INC. AND SUBSIDIARIES

CONSOLIDATED INTERIM STATEMENTS OF COMPREHENSIVE INCOME

FOR THE THREE-MONTH AND SIX-MONTH PERIODS ENDED JUNE 30, 2021 AND 2020 (UNAUDITED)

	Periods ended June 30, 2021						Periods ended June 30, 2020
	Three-month			Six-month			Three-month			Six-month
	(Korean Won in millions, except per share data)
Interest income		2,383,286			4,710,471			2,412,189			4,916,003
Financial assets at FVTPL		11,046			22,420			13,681			26,210
Financial assets at FVTOCI		83,821			175,607			114,823			241,000
Financial assets at amortized cost		2,288,419			4,512,444			2,283,685			4,648,793
Interest expense		(680,333	)		(1,387,852	)		(934,299	)		(1,975,154	)
Net interest income (Notes 11, 28 and 39)	****	1,702,953	****	****	3,322,619	****	****	1,477,890	****	****	2,940,849	****
Fees and commissions income		547,051			1,065,916			397,282			807,993
Fees and commissions expense		(176,058	)		(336,462	)		(172,913	)		(309,644	)
Net fees and commissions income (Notes 11, 29 and 39)	****	370,993	****	****	729,454	****	****	224,369	****	****	498,349	****
Dividend income (Notes 11, 30 and 39)		64,148			130,738			23,233			71,002
Net gain(loss) on financial instruments at FVTPL (Notes 11, 31 and 39)		54,324			136,407			(66,486	)		401,589
Net gain on financial assets at FVTOCI (Notes 11 and 32)		8,048			45,059			8,427			11,027
Net gain arising on financial assets at amortized cost (Note 11)		4,004			38,680			5,915			32,662
Impairment losses due to credit loss (Notes 33 and 39)		(68,583	)		(204,576	)		(335,787	)		(446,679	)
General and administrative expense (Notes 34 and 39)		(937,886	)		(1,855,493	)		(897,032	)		(1,789,558	)
Other net operating expense (Notes 11, 24, 34 and 39)		(147,673	)		(359,048	)		(41,269	)		(546,643	)
Operating income	****	1,050,328	****	****	1,983,840	****	****	399,260	****	****	1,172,598	****
Share of gain of joint ventures and associates (Note 12)		31,832			26,241			16,798			23,952
Other non-operating income(expense)		(6,174	)		7,667			(134,822	)		(162,701	)
Non-operating income(expense) (Note 35)	****	25,658	****	****	33,908	****	****	(118,024	)	****	(138,749	)
Net income before income tax expense	****	1,075,986	****	****	2,017,748	****	****	281,236	****	****	1,033,849	****
Income tax expense (Note 36)		(257,602	)		(480,497	)		(64,974	)		(259,816	)
Net income	****	818,384	****	****	1,537,251	****	****	216,262	****	****	774,033	****
Net gain(loss) on valuation of equity securities at FVTOCI		146,935			172,101			14,957			(95,214	)
Changes in capital due to equity method		(312	)		(23	)		—			—
Remeasurement loss related to defined benefit plan		20,908			13,604			(6,911	)		(26,240	)
Items that will not be reclassified to profit or loss	****	167,531	****	****	185,682	****	****	8,046	****	****	(121,454	)
Net gain(loss) on valuation of debt securities at FVTOCI		(72,540	)		(126,353	)		45,464			69,463
Changes in capital due to equity method		604			1,899			(3,614	)		(4,621	)
Net gain on foreign currency translation of foreign operations		5,294			86,261			43,478			57,475
Net gain(loss) on valuation of cash flow hedge		4,052			4,046			(545	)		(10,030	)
Items that may be reclassified to profit or loss	****	(62,590	)	****	(34,147	)	****	84,783	****	****	112,287	****
Other comprehensive income(loss), net of tax	****	104,941	****	****	151,535	****	****	92,829	****	****	(9,167	)
Total comprehensive income	****	923,325	****	****	1,688,786	****	****	309,091	****	****	764,866	****

(Continued)

• 5 -

WOORI FINANCIAL GROUP INC. AND SUBSIDIARIES

CONSOLIDATED INTERIM STATEMENTS OF COMPREHENSIVE INCOME

FOR THE THREE-MONTH AND SIX-MONTH PERIODS ENDED JUNE 30, 2021AND 2020 (UNAUDITED) (CONTINUED)

	Periods ended June 30, 2021				Periods ended June 30, 2020
	Three-month		Six-month		Three-month		Six-month
	(Korean Won in millions, except per share data)
Net income attributable to:		818,384		1,537,251		216,262		774,033
Net income attributable to owners		752,595		1,419,698		142,348		660,564
Net income attributable to non-controlling<br>interests		65,789		117,553		73,914		113,469
Total comprehensive income attributable to:		923,325		1,688,786		309,091		764,866
Comprehensive income attributable to owners		857,879		1,569,431		221,161		648,420
Comprehensive income attributable to non-controlling<br>interests		65,446		119,355		87,930		116,446
Earnings per share (Note 37)
Basic and diluted earnings per share (Unit: In Korean Won)		1,020		1,922		181		887

The accompanying notes are part of this consolidated interim financial statement.

• 6 -

WOORI FINANCIAL GROUP INC. AND SUBSIDIARIES

CONSOLIDATED INTERIM STATEMENTS OF CHANGES IN EQUITY

FOR THE SIX-MONTH PERIODS ENDED JUNE 30, 2021 AND 2020 (UNAUDITED)

	Capital<br>Stock		Hybrid<br>securities		Capital<br>surplus		Other<br>equity			Retained<br>earnings			Owners’<br>equity in<br>total			Non-controlling<br>interests			Total<br>equity
	(Korean Won in millions)
January 1, 2020		3,611,338		997,544		626,295		(2,249,322	)		18,524,515			21,510,370			3,981,962			25,492,332
Total comprehensive income
Net income		—		—		—		—			660,564			660,564			113,469			774,033
Net loss on valuation of financial instruments at FVTOCI		—		—		—		(25,697	)		—			(25,697	)		(54	)		(25,751	)
Net gain(loss) due to disposal of equity securities at FVTOCI		—		—		—		578			(578	)		—			—			—
Changes in capital due to equity method		—		—		—		(4,621	)		—			(4,621	)		—			(4,621	)
Gain on foreign currency translation of foreign operations		—		—		—		54,445			—			54,445			3,030			57,475
Loss on valuation of cash flow hedge		—		—		—		(10,030	)		—			(10,030	)		—			(10,030	)
Remeasurement gain(loss) related to defined benefit plan		—		—		—		(26,241	)		—			(26,241	)		1			(26,240	)
Transactions with owners and others
Dividends to common stocks		—		—		—		—			(505,587	)		(505,587	)		(2,054	)		(507,641	)
Issuance of hybrid securities		—		698,277		—		—			—			698,277			—			698,277
Dividends to hybrid securities		—		—		—		—			(20,365	)		(20,365	)		(90,091	)		(110,456	)
Redemption of hybrid securities		—		—		—		(31,252	)		—			(31,252	)		(555,744	)		(586,996	)
Changes in subsidiaries’ capital		—		—		1,330		6,350			(6,350	)		1,330			(24	)		1,306
June 30, 2020 (Unaudited)		3,611,338		1,695,821		627,625		(2,285,790	)		18,652,199			22,301,193			3,450,495			25,751,688
January 1, 2021		3,611,338		1,895,366		626,111		(2,347,472	)		19,268,265			23,053,608			3,672,237			26,725,845
Total comprehensive income
Net income		—		—		—		—			1,419,698			1,419,698			117,553			1,537,251
Net gain on valuation of financial instruments at FVTOCI		—		—		—		45,711			—			45,711			37			45,748
Net gain(loss) due to disposal of equity securities at FVTOCI		—		—		—		(33,448	)		33,448			—			—			—
Changes in capital due to equity method		—		—		—		2,673			(797	)		1,876			—			1,876
Gain on foreign currency translation of foreign operations		—		—		—		84,639			—			84,639			1,622			86,261
Gain on valuation of cash flow hedge		—		—		—		3,889			—			3,889			157			4,046
Capital related to noncurrent assets held for sale		—		—		—		(560	)		560			—			—			—
Remeasurement gain(loss) related to defined benefit plan		—		—		—		13,618			—			13,618			(14	)		13,604
Transactions with owners and others
Dividends to common stocks		—		—		—		—			(260,016	)		(260,016	)		(9,374	)		(269,390	)
Issuance of hybrid securities		—		199,452		—		—			—			199,452			—			199,452
Dividends to hybrid securities		—		—		—		—			(31,550	)		(31,550	)		(71,537	)		(103,087	)
Changes in subsidiaries’ capital		—		—		25		31,233			(31,252	)		6			(26	)		(20	)
Others		—		—		5,232		22,988			—			28,220			(109,632	)		(81,412	)
June 30, 2021 (Unaudited)		3,611,338		2,094,818		631,368		(2,176,729	)		20,398,356			24,559,151			3,601,023			28,160,174

The accompanying notes are part of this consolidated interim financial statement.

• 7 -

WOORI FINANCIAL GROUP INC. AND SUBSIDIARIES

CONSOLIDATED INTERIM STATEMENTS OF CASH FLOWS

FOR THE SIX-MONTH PERIODS ENDED JUNE 30, 2021 AND 2020 (UNAUDITED)

	For the six-month periods ended June 30
	2021			2020
	(Korean Won in millions)
Cash flows from operating activities:
Net income		1,537,251			774,033
Adjustments to net income:
Income tax expense		480,497			259,816
Interest income		(4,710,471	)		(4,916,003	)
Interest expense		1,387,852			1,975,154
Dividend income		(130,738	)		(71,002	)
		(2,972,860	)		(2,752,035	)
Additions of expenses not involving cash outflows:
Loss on valuation of financial instruments at FVTPL		102,439			—
Loss on financial assets at FVTOCI		242			344
Impairment loss due to credit loss		204,576			446,679
Loss on other provisions		14,651			169,349
Retirement benefit		88,663			86,185
Depreciation and amortization		385,003			266,837
Net loss on foreign currency translation		—			339,687
Loss on derivatives (designated for hedge)		53,359			9,324
Loss on fair value hedge		—			108,090
Loss on investments in joint ventures and associates		12,461			11,731
Loss on disposal of premises and equipment, intangible assets and other assets		1,798			821
Impairment loss on premises and equipment, intangible assets and other assets		639			8,254
		863,831			1,447,301
Deductions of income not involving cash inflows:
Gain on valuation of financial instruments at FVTPL		—			249,455
Gain on financial assets at FVTOCI		45,301			11,371
Gain on other provisions		648			124
Net gain on foreign currency translation		4,742			—
Gain on derivatives (designated for hedge)		26,477			132,356
Gain on fair value hedge		61,262			—
Gain on investments in joint ventures and associates		38,702			35,683
Gain on disposal of premises and equipment, intangible assets and other assets		33,345			6,575
Reversal of impairment loss on premises and equipment, intangible assets and other assets		96			55
Other income		19,313			4,608
		229,886			440,227
Changes in operating assets and liabilities:
Financial instruments at FVTPL		176,818			(167,347	)
Loans and other financial assets at amortized cost		(24,005,568	)		(12,171,466	)
Other assets		(425,861	)		(56,319	)
Deposits due to customers		9,979,228			11,526,133
Provisions		(16,256	)		(90,706	)
Net defined benefit liability		(61,179	)		(67,202	)
Other financial liabilities		7,264,990			1,929,411
Other liabilities		(7,136	)		(38,327	)
		(7,094,964	)		864,177
Interest income received		4,637,247			5,052,912
Interest expense paid		(1,538,731	)		(2,268,755	)
Dividends received		130,823			71,134
Income tax paid		(351,844	)		(236,188	)
Net cash inflow(outflow) from operating activities		(5,019,133	)		2,512,352

(Continued)

• 8 -

WOORI FINANCIAL GROUP INC. AND SUBSIDIARIES

CONSOLIDATED INTERIM STATEMENTS OF CASH FLOWS

FOR THE SIX-MONTH PERIODS ENDED JUNE 30, 2021 AND 2020 (UNAUDITED) (CONTINUED)

	For the six-month periods ended June 30
	2021			2020
	(Korean Won in millions)
Cash flows from investing activities:
Cash in-flows from investing activities:
Net increase in derivatives designated for hedging purpose		479			499
Disposal of financial instruments at FVTPL		6,219,265			3,485,089
Disposal of financial assets at FVTOCI		13,521,839			11,062,888
Redemption of securities at amortized cost		2,810,065			3,406,645
Disposal of investments in joint ventures and associates		22,320			32,162
Disposal of investment properties		—			354
Disposal of premises and equipment		56,026			17,212
Disposal of intangible assets		334			371
Net decrease of other assets		50,652			—
		22,680,980			18,005,220
Cash out-flows from investing activities:
Acquisition of financial instruments at FVTPL		6,877,285			3,995,877
Acquisition of financial assets at FVTOCI		13,506,169			12,883,464
Acquisition of securities at amortized cost		1,496,443			1,678,871
Acquisition of investments in joint ventures and associates		176,835			130,261
Acquisition of investment properties		—			1,514
Acquisition of premises and equipment		40,454			57,266
Acquisition of intangible assets		61,454			56,640
Net increase of other assets		—			2,671
		22,158,640			18,806,564
Net cash inflow(outflow) from investing activities		522,340			(801,344	)
Cash flows from financing activities:
Cash in-flows from financing activities:
Net increase in derivatives designated for hedging purpose		2,480			—
Net increase in borrowings		1,485,574			1,960,150
Issuance of debentures		15,187,733			10,849,477
Net increase of other liabilities		3,224			5,516
Issuance of hybrid securities		199,452			698,277
		16,878,463			13,513,420
Cash out-flows from financing activities:
Net decrease in derivatives designated for hedging purpose		—			6,054
Redemption of debentures		11,867,048			10,893,170
Redemption of lease liabilities		92,223			102,968
Dividends paid		260,016			505,587
Redemption of hybrid securities		—			598,850
Dividends paid to hybrid securities		103,087			110,456
Dividends paid to non-controlling interest		9,374			2,054
Changes in non-controlling interests		52,947			—
Paid-in capital decrease on<br>non-controlling interests		27			—
		12,384,722			12,219,139
Net cash inflow from financing activities		4,493,741			1,294,281
Net increase(decrease) in cash and cash equivalents		(3,052	)		3,005,289
Cash and cash equivalents, beginning of the period		9,990,983			6,392,566
Effects of exchange rate changes on cash and cash equivalents		423,415			39,764
Cash and cash equivalents, end of the period (Note 6)		10,411,346			9,437,619

The accompanying notes are part of this consolidated interim financial statement.

• 9 -

WOORI FINANCIAL GROUP INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED INTERIM FINANCIAL STATEMENTS

AS OF JUNE 30, 2021 AND 2020 (UNAUDITED)

1.	GENERAL
(1)	Summary of the Parent company
---	---

Woori Financial Group, Inc. (hereinafter referred to the “Parent company” or the “Company”) is primarily aimed at controlling subsidiaries that operate in the financial industry or those that are closely related to the financial industry through the ownership of shares and was established on January 11, 2019 under the Financial Holding Company Act through the comprehensive transfer with shareholders of Woori Bank (hereinafter referred to the “Bank”), Woori FIS Co., Ltd., Woori Finance Research Institute Co., Ltd., Woori Credit Information Co., Ltd., Woori Fund Services Co., Ltd. and Woori Private Equity Asset Management Co. Ltd. The headquarters of the Parent company is located at 51, Sogong-ro, Jung-gu, Seoul, Korea, and the capital is 3,611,338 million Won as of June 30, 2021 while the Korea Deposit Insurance Corp. (“KDIC”), the Parent company’s largest shareholder, owns 110,159,443 shares (15.25%) of the Parent company’s stocks issued. The Company’s stocks were listed on the Korea Exchange on February 13, 2019, and its American Depository Shares (“ADS”) are also being traded as the underlying common stock on the New York Stock Exchange since the same date.

The details of stock transfer between the Parent company and subsidiaries as of incorporation are as follows (Unit: Number of shares)

Stock transfer company	Total number of<br>issued shares		Exchange ratio<br>per share		Number of Parent<br>company’s stocks
Woori Bank		676,000,000		1.0000000		676,000,000
Woori FIS Co., Ltd.		4,900,000		0.2999708		1,469,857
Woori Finance Research Institute Co., Ltd.		600,000		0.1888165		113,289
Woori Credit Information Co., Ltd.		1,008,000		1.1037292		1,112,559
Woori Fund Service Co., Ltd.		2,000,000		0.4709031		941,806
Woori Private Equity Asset Management Co., Ltd.		6,000,000		0.0877992		526,795

As of August 1, 2019, the Parent company acquired a 73% interest in Tongyang Asset Management Co., Ltd. and changed the name to Woori Asset Management Corp. Also, as of August 1, 2019, the Parent company gained 100% control of ABL Asset Management Co., Ltd., added it as a consolidated subsidiary and changed the name to Woori Global Asset Management Co., Ltd. on December 6, 2019.

The Parent company paid 598,391 million Won in cash and 42,103,377 new shares of the Parent company to acquire 100% interest of Woori Card Co., Ltd. from its subsidiary, Woori Bank, on September 10, 2019. On the same date, the Parent company also acquired 59.8% interest of Woori Investment Bank Co., Ltd. from Woori Bank with 392,795 million Won in cash.

As of December 30, 2019, the Parent company acquired a 67.2% interest (excluding treasury stocks, 51% interest including treasury stocks) in Woori Asset Trust Co., Ltd. (formerly Kukje Asset Trust Co., Ltd.) and added it as a consolidated subsidiary at the end of 2019.

The Parent company acquired 76.8% (excluding treasury stocks, 74.0% interest including treasury stocks) interest in Woori Financial Capital Co., Ltd. (formerly Aju Capital Co., Ltd.) on December 10, 2020. In addition, as of April 15, 2021, the Group acquired 13.3% interests (excluding treasury stock, 12.9% when including treasury stock) in Woori Financial Capital Co., Ltd., and as of May 24, 2021, the Group additionally acquired treasury stock (3.6%) which Woori Financial Capital Co., Ltd. possessed.

The Parent Company paid 113,238 million Won in cash to acquire 100% interest of Woori Savings Bank from its subsidiary, Woori Financial Capital Co., Ltd., on March 12, 2021.

• 10 -

(2)	Details of the Parent company and subsidiaries (hereinafter referred to the ‘Group’) as of<br>June 30, 2021 and December 31, 2020 are as follows:
		Percentage of ownership<br>(%)				Location		Financial<br>statements date<br>        of use        <br>
---	---	---	---	---	---	---	---	---
Subsidiaries	Main business	June 30,<br>2021		December 31,<br>2020
Held by Woori Financial Group Inc.
Woori Bank	Bank		100.0		100.0		Korea	June 30
Woori Card Co., Ltd.	Finance		100.0		100.0		Korea	June 30
Woori Financial Capital Co., Ltd.	Finance		90.5		76.8		Korea	June 30
Woori Investment Bank Co., Ltd.	Other credit finance business		58.7		58.7		Korea	June 30
Woori Asset Trust Co., Ltd.	Real estate trust		67.2		67.2		Korea	June 30
Woori Asset Management Corp.	Finance		73.0		73.0		Korea	June 30
Woori Savings Bank (*7)	Bank		100.0		—		Korea	June 30
Woori Credit Information Co., Ltd.	Credit information		100.0		100.0		Korea	June 30
Woori Fund Service Co., Ltd.	Financial support service business		100.0		100.0		Korea	June 30
Woori Private Equity Asset Management Co., Ltd.	Finance		100.0		100.0		Korea	June 30
Woori Global Asset Management Co., Ltd.	Finance		100.0		100.0		Korea	June 30
Woori FIS Co., Ltd.	System software development & maintenance		100.0		100.0		Korea	June 30
Woori Finance Research Institute Co., Ltd.	Other service business		100.0		100.0		Korea	June 30
Held by Woori Bank
Woori America Bank	Finance		100.0		100.0		America	June 30
Woori Global Markets Asia Limited	Finance		100.0		100.0		Hong Kong	June 30
Woori Bank China Limited	Finance		100.0		100.0		China	June 30
AO Woori Bank	Finance		100.0		100.0		Russia	June 30
PT Bank Woori Saudara Indonesia 1906 Tbk	Finance		79.9		79.9		Indonesia	June 30
Banco Woori Bank do Brasil S.A.	Finance		100.0		100.0		Brazil	June 30
Korea BTL Infrastructure Fund	Finance		99.9		99.9		Korea	June 30
Woori Finance Myanmar Co., Ltd.	Finance		100.0		100.0		Myanmar	June 30
Wealth Development Bank	Finance		51.0		51.0		Philippines	June 30
Woori Bank Vietnam Limited	Finance		100.0		100.0		Vietnam	June 30
WB Finance Co., Ltd. (*1)	Finance		100.0		100.0		Cambodia	June 30
Woori Bank Europe	Finance		100.0		100.0		Germany	June 30
Kumho Trust First Co., Ltd. (*2)	Asset securitization		0.0		0.0		Korea	June 30
Asiana Saigon Inc. (*2)	Asset securitization		0.0		0.0		Korea	June 30
KAMCO Value Recreation First Securitization Specialty Co., Ltd. (*2)	Asset securitization		15.0		15.0		Korea	June 30
Hermes STX Co., Ltd. (*2)	Asset securitization		0.0		0.0		Korea	June 30
BWL First Co., LLC (*5)	Asset securitization		—		0.0		Korea	-
Deogi Dream Fourth Co., Ltd. (*2)	Asset securitization		0.0		0.0		Korea	June 30
Jeonju Iwon Ltd. (*2)	Asset securitization		0.0		0.0		Korea	June 30
Wonju I one Inc. (*2)	Asset securitization		0.0		0.0		Korea	June 30
Heitz Third Co., Ltd. (*2)	Asset securitization		0.0		0.0		Korea	June 30
Woorihansoop 1st Co., Ltd. (*2)	Asset securitization		0.0		0.0		Korea	June 30
Woori International First Co., Ltd. (*2)	Asset securitization		0.0		0.0		Korea	June 30
Wibihansoop 1st Co., Ltd. (*2)	Asset securitization		0.0		0.0		Korea	June 30
Uri QS 1st Co., Ltd. (*2)	Asset securitization		0.0		0.0		Korea	June 30
Uri Display 1st Co., Ltd. (*2)	Asset securitization		0.0		0.0		Korea	June 30
Tiger Eyes 2nd Co., Ltd. (*2)	Asset securitization		0.0		0.0		Korea	June 30
Uri Display 2nd Co., Ltd. (*2)	Asset securitization		0.0		0.0		Korea	June 30
Woori the Colony Unjung Securitization Specialty Co., Ltd. (*5)	Asset securitization		—		0.0		Korea	-
Woori Dream 1st Co., Ltd. (*2)	Asset securitization		0.0		0.0		Korea	June 30
Woori Dream 2nd Co., Ltd. (*2)	Asset securitization		0.0		0.0		Korea	June 30
Woori H 1st Co., Ltd. (*2)	Asset securitization		0.0		0.0		Korea	June 30
Woori Sinnonhyeon 1st Inc. (*2)	Asset securitization		0.0		0.0		Korea	June 30

• 11 -

		Percentage of ownership<br>(%)				Location	Financial<br>statements date<br>        of use        <br>
Subsidiaries	Main business	June 30,<br>2021		December 31,<br>2020
Woori K 1st Co., Ltd. (*2)	Asset securitization		0.0		0.0	Korea	June 30
Uri S 1st Co., Ltd. (*2)	Asset securitization		0.0		0.0	Korea	June 30
Uri Display 3rd Co., Ltd. (*2)	Asset securitization		0.0		0.0	Korea	June 30
TY 1st Co., Ltd. (*2)	Asset securitization		0.0		0.0	Korea	June 30
Woori HJ 2nd Co., Ltd. (*5)	Asset securitization		—		0.0	Korea	-
Woori-HJ 3rd Co., Ltd. (*2)	Asset securitization		0.0		0.0	Korea	June 30
Uri K 2nd Co., Ltd. (*2)	Asset securitization		0.0		0.0	Korea	June 30
Woori KC No.1 Co., Ltd. (*2)	Asset securitization		0.0		0.0	Korea	June 30
Woori QSell 2nd Co., Ltd. (*5)	Asset securitization		—		0.0	Korea	-
Quantum Jump the 1st Co., Ltd. (*2)	Asset securitization		0.0		0.0	Korea	June 30
Quantum Jump the 2nd Co., Ltd. (*2)	Asset securitization		0.0		0.0	Korea	June 30
Woori BK the 1st Co., Ltd. (*2)	Asset securitization		0.0		0.0	Korea	June 30
Woori-HC 1st Co., Ltd. (*2)	Asset securitization		0.0		0.0	Korea	June 30
Wivi Synergy 1st Co., Ltd. (*2)	Asset securitization		0.0		0.0	Korea	June 30
ATLANTIC TRANSPORTATION 1 S.A. (*2)	Asset securitization		0.0		0.0	Marshall islands	June 30
Woori Gongdeok First Co., Ltd. (*2)	Asset securitization		0.0		0.0	Korea	June 30
HD Project Co., Ltd. (*2)	Asset securitization		0.0		0.0	Korea	June 30
Woori HW 1st Co., Ltd. (*2)	Asset securitization		0.0		0.0	Korea	June 30
Woori HC 2nd Co., Ltd. (*2)	Asset securitization		0.0		0.0	Korea	June 30
Woori Dream 3rd Co., Ltd. (*2)	Asset securitization		0.0		0.0	Korea	June 30
Woori SJS 1st Co., Ltd. (*2)	Asset securitization		0.0		0.0	Korea	June 30
Woori Steel 1^st^ Co., Ltd (*2)	Asset securitization		0.0		0.0	Korea	June 30
SPG the 1^st^Co., Ltd. (*2)	Asset securitization		0.0		0.0	Korea	June 30
Woori-HWC 1st Co., Ltd. (*2)	Asset securitization		0.0		0.0	Korea	June 30
Woori HC 3rd Co., Ltd. (*2).	Asset securitization		0.0		0.0	Korea	June 30
Woori Park I 1st co., Ltd (*2)	Asset securitization		0.0		0.0	Korea	June 30
Woori DS 1^st^ co., Ltd (*2)	Asset securitization		0.0		0.0	Korea	June 30
Woori HC 4th Co., Ltd. (*2).	Asset securitization		0.0		0.0	Korea	June 30
Woori SKR 1st Co., Ltd. (*2).	Asset securitization		0.0		0.0	Korea	June 30
Woori Hchemical 1st Co.,Ltd (*2)	Asset securitization		0.0		—	Korea	June 30
HE the 1st Co.,Ltd. (*2)	Asset securitization		0.0		—	Korea	June 30
Woori Hub The 1st Co., Ltd. (*2)	Asset securitization		0.0		—	Korea	June 30
Woori K The 3rd Co., Ltd. (*2)	Asset securitization		0.0		—	Korea	June 30
Woori KF 1st Co., Ltd. (*2)	Asset securitization		0.0		—	Korea	June 30
WooriI TS 1st Co., Ltd. (*2)	Asset securitization		0.0		—	Korea	June 30
Woori H Square 1st Co., Ltd. (*2)	Asset securitization		0.0		—	Korea	June 30
G5 Pro Short-term Bond Investment Fund 13 (*3)	Securities investment and others		100.0		100.0	Korea	June 30
Heungkuk Global Private Placement Investment Trust No. 1 (*3)	Securities investment and others		98.5		98.5	Korea	June 30
AI Partners UK Water Supply Private Placement Investment Trust No.2 (*3)	Securities investment and others		97.3		97.3	England	June 30
Multi Asset Global Real Estate Investment Trust<br>No. 5-2 (*3)	Securities investment and others		99.0		99.0	Korea	June 30
Igis Australia Investment Trust No. 209-1<br>(*3)	Securities investment and others		99.4		99.4	Korea	June 30
INMARK Spain Private Placement Real Estate Investment Trust<br>No. 26-2 (*3)	Securities investment and others		97.7		97.7	Korea	June 30
Woori G Japan Investment Trust No. 1-2 (*3)	Securities investment and others		98.8		98.8	Korea	June 30
IGIS Global Private Placement Real Estate Fund<br>No. 316-1 (*3)	Securities investment and others		99.3		99.3	Korea	June 30
Woori G Secondary Private Placement Investment Trust No. 1 (*3)	Securities investment and others		97.2		97.2	Korea	June 30
WooriG Japan Blind Private Placement Real Estate Feeder Investment Trust No.1 (*3)	Securities investment and others		99.7		—	Korea	June 30
Principal Guaranteed Trust (*4)	Trust		0.0		0.0	Korea	June 30

• 12 -

		Percentage of ownership<br>(%)				Location	Financial<br>statements date<br>        of use        <br>
Subsidiaries	Main business	June 30,<br>2021		December 31,<br>2020
Principal and Interest Guaranteed Trust (*4)	Trust		0.0		0.0	Korea	June 30
Held by Multi Asset Global Real Estate Investment Trust<br>No. 5-2
MAGI No.5 LuxCo S.a.r.l. (*3)	Asset securitization		54.6		54.6	Luxembourg	June 30
Held by MAGI No.5 LuxCo S.a.r.l.
ADP 16 Brussels (*2)	Asset securitization		0.0		0.0	Belgium	June 30
Held by Woori Card Co., Ltd.
TUTU Finance –WCI Myanmar Co., Ltd.	Finance		100.0		100.0	Myanmar	June 30
Woori Card one of 2017-2 Securitization Specialty Co.,<br>Ltd. (*5)	Asset securitization		—		0.5	Korea	-
Woori Card one of 2018-1 Securitization Specialty Co.,<br>Ltd. (*2)	Asset securitization		0.5		0.5	Korea	June 30
Woori Card 2019-1 Asset Securitization Specialty Co.,<br>Ltd. (*2)	Asset securitization		0.5		0.5	Korea	June 30
Woori Card 2020-1 Asset Securitization Specialty Co.,<br>Ltd. (*2)	Asset securitization		0.5		0.5	Korea	June 30
Held by Woori Financial Capital Co., Ltd.
Woori Savings Bank (*5)	Bank		—		100.0	Korea	-
ACE Auto Invest the 46th Securitization Specialty Co., Ltd. (*5)	Asset securitization		—		1.0	Korea	-
ACE Auto Invest the 47th Securitization Specialty Co., Ltd. (*2)	Asset securitization		1.0		1.0	Korea	June 30
ACE Auto Invest the 48th Securitization Specialty Co., Ltd. (*2)	Asset securitization		1.0		1.0	Korea	June 30
ACE Auto Invest the 49th Securitization Specialty Co., Ltd. (*2)	Asset securitization		1.0		1.0	Korea	June 30
Specified Money Market Trust (*4)	Trust		100.0		100.0	Korea	June 30
Held by Woori Investment Bank Co., Ltd.
Seari First Securitization Specialty Co., Ltd. (*2)	Asset securitization		5.0		5.0	Korea	June 30
Seari Second Securitization Specialty Co., Ltd. (*2)	Asset securitization		5.0		5.0	Korea	June 30
Namjong 1st Securitization Specialty Co., Ltd. (*2)	Asset securitization		5.0		5.0	Korea	June 30
Bukgeum First Securitization Specialty Co., Ltd. (*2)	Asset securitization		5.0		5.0	Korea	June 30
Bukgeum Second Securitization Specialty Co., Ltd. (*2)	Asset securitization		5.0		5.0	Korea	June 30
WS1909 Securitization Specialty Co., Ltd. (*2)	Asset securitization		5.0		5.0	Korea	June 30
WS2003 Securitization Specialty Co., Ltd. (*2)	Asset securitization		5.0		5.0	Korea	June 30
WS2006 Securitization Specialty Co., Ltd. (*2)	Asset securitization		5.0		5.0	Korea	June 30
WJ2008 Securitization Specialty Co., Ltd. (*2)	Asset securitization		5.0		5.0	Korea	June 30
WH2103 Securitization Specialty Co., Ltd. (*2)	Asset securitization		5.0		—	Korea	June 30
WN2103 Securitization Specialty Co., Ltd. (*2)	Asset securitization		5.0		—	Korea	June 30
WH2106 Securitization Specialty Co., Ltd. (*2)	Asset securitization		5.0		—	Korea	June 30

• 13 -

		Percentage of ownership<br>(%)				Location	Financial<br>statements date<br>        of use        <br>
Subsidiaries	Main business	June 30,<br>2021		December 31,<br>2020
One Punch Korea the 1st Co., Ltd. (*2).	Asset securitization		0.0		0.0	Korea	June 30
One Punch blue the 1^st^ Co., Ltd.<br>(*2)	Asset securitization		0.0		0.0	Korea	June 30
One Punch red the 1^st^ Co., Ltd.<br>(*2)	Asset securitization		0.0		—	Korea	June 30
Held by Woori Asset Management Corp.
Woori China Convertible Bond Hedging feeder Investment Trust H (debt-oriented hybrid)<br>(*5)	Securities investment and others		—		99.6	Korea	-
Woori China Convertible Bond Master Fund (debt-oriented hybrid) (*5)(*8)	Securities investment and others		—		34.5	Korea	-
Woori Yellow Chip High Yield Strategic Allocation 1 (FOF) (*5)	Securities investment and others		—		89.8	Korea	-
Woori Together TDF 2025 (*3)	Securities investment and others		43.3		47.6	Korea	June 30
Woori Together TDF 2030 (*3)	Securities investment and others		41.9		47.4	Korea	June 30
Woori Together TDF 2035 (*3)	Securities investment and others		45.1		47.8	Korea	June 30
Woori Together TDF 2040 (*3)	Securities investment and others		44.1		48.8	Korea	June 30
Woori Together TDF 2045 (*3)	Securities investment and others		42.4		47.7	Korea	June 30
Woori Together TDF 2050 (*3)	Securities investment and others		67.3		87.0	Korea	June 30
Woori Star50 Feeder Fund(H) (*3)	Securities investment and others		45.1		—	Korea	June 30
Woori Star50 Master Fund (*3)(*8)	Securities investment and others		69.3		—	Korea	June 30
Woori BIG2 Plus Securities Investment Trust(Balanced Bond) (*3)	Securities investment and others		65.7		—	Korea	June 30
Held by Woori Financial Capital Co., Ltd., Woori Private Equity Asset Management Co., Ltd. and<br>Woori Investment Bank Co., Ltd. (*6)
Japanese Hotel Real Estate Private Equity Fund 1 (*3)	Securities investment and others		100.0		100.0	Korea	June 30
Held by Woori Global Asset Management Co., Ltd.
Woori G Global Multi Asset Income Private Placement Investment Trust_Class Cs (*3)	Securities investment and others		22.2		22.2	Korea	June 30
Held by Woori Bank, Woori Financial Capital Co., Ltd., Woori Investment Bank Co., Ltd., Woori<br>Savings Bank and Woori Private Equity Asset Management Co., Ltd. (*6)
Woori Innovative Growth Professional Investment Type Private Investment Trust No.1 (*3)	Securities investment and others		90.0		90.0	Korea	June 30
Held by Woori Bank, Woori Financial Capital Co., Ltd., Woori Investment Bank Co., Ltd. and Woori<br>Private Equity Asset Management Co., Ltd. (*6)
Woori Innovative Growth Professional Investment Type Private Investment Trust No.2 (*3)	Securities investment and others		85.0		85.0	Korea	June 30

• 14 -

		Percentage of ownership<br>(%)				Location	Financial<br><br><br>statements date<br><br><br>of use
Subsidiaries	Main business	June 30,<br>2021		December 31,<br>2020
Held by Woori Bank, Woori Financial Capital Co., Ltd. and Woori Investment Bank Co., Ltd.<br>(*6)
WooriG GP Commitment Loan Private Placement Investment Trust No.1 (*3)	Securities investment and others		100.0		50.0	Korea	June 30
Held by Woori bank and Woori Investment Bank Co., Ltd. (*6)
Heungkuk Woori Tech Company Private Placement Investment Trust No. 1 (*3)	Securities investment and others		100.0		100.0	Korea	June 30
Woori Global Development Infrastructure Synergy Company Private Placement Investment Trust No.1<br>(*3)	Securities investment and others		100.0		100.0	Korea	June 30
Woori G NorthAmerica Infra Private Placement Investment Trust No. 1 (*3)	Securities investment and others		100.0		100.0	Korea	June 30
Woori G Infrastructure New Deal Specialized Investment Private Equity Investment Trust No. 1<br>(*3)	Securities investment and others		100.0		100.0	Korea	June 30
Woori G Private Placement Real Estate Investment Trust No.2 (*3)	Securities investment and others		30.1		30.1	Korea	June 30
Held by Woori bank (*6)
Woori G Woori Bank Partners Private Placement Investment Trust No. 1 (*3)	Securities investment and others		92.6		92.6	Korea	June 30
Woori G Private Placement Real Estate Investment Trust No.1[USD] (*3)	Securities investment and others		80.0		80.0	Korea	June 30
WooriG Global Mid-market Secondaries Private Placement<br>Investment Trust No.1 (EUR) (*3)	Securities investment and others		80.0		80.0	Korea	June 30
Held by Woori Financial Capital Co., Ltd.
Woori G Japan Private Placement Real Estate Feeder Investment Trust No.1-1 (*3)	Securities investment and others		63.2		63.2	Korea	June 30
Held by Woori G Japan Private Placement Real Estate Feeder Investment Trust No.1-1 and Woori G Japan Investment Trust No. 1-2
Woori G Japan Private Placement Real Estate Master Investment Trust No.1 (*3)	Securities investment and others		100.0		100.0	Korea	June 30
Held by Woori Financial Capital Co., Ltd. and Woori Investment Bank Co., Ltd. (*6)
Woori G Japan Private Placement Real Estate Master Investment Trust No.2-1 (*3)	Securities investment and others		100.0		—	Korea	June 30
Held by Woori G Japan Private Placement Real Estate Master Investment Trust No.1 and Woori G Japan<br>Private Placement Real Estate Master Investment Trust No.2-1
Woori G Japan Private Placement Real Estate Master Investment Trust No.2 (*3)	Securities investment and others		100.0		—	Korea	June 30

• 15 -

		Percentage of ownership<br>(%)				Location	Financial<br><br><br>statements date<br><br><br>of use
Subsidiaries	Main business	June 30,<br>2021		December 31,<br>2020
Held by Woori G Japan Private Placement Real Estate Master Investment Trust No.1
GK OK Chatan (*3)	Other financial services		99.9		99.9	Japan	June 30
(*1)	The entity was merged with WB Finance Co., Ltd., which is a second-tier subsidiary, during prior period.<br>
---	---
(*2)	The entity is a structured entity for the purpose of asset securitization. Although the Group is not a majority<br>shareholder, the Group 1) has the power over the investee, 2) is exposed to or has rights to variable returns from its involvement with the investee, and 3) has the ability to use its power to affect its returns.
---	---
(*3)	The entity is a structured entity for the purpose of investment in securities. Although the Group is not a<br>majority shareholder, the Group 1) has the power over the investee, 2) is exposed to or has rights to variable returns from its involvement with the investee, and 3) has the ability to use its power to affect its returns.
---	---
(*4)	The entity is a ‘money trust’ under the Financial Investment Services and Capital Markets Act.<br>Although the Group is not a majority shareholder, the Group 1) has the power over the investee, 2) is exposed to or has rights to variable returns from its involvement with the investee, and 3) has the ability to use its power to affect its returns.<br>
---	---
(*5)	Companies are excluded from the consolidation as of June 30, 2021.
---	---
(*6)	Determined that the Group controls the investees, considering the Group 1) has the power over the investee, 2)<br>is exposed to or has rights to variable returns from its involvement with the investee, and 3) has the ability to use its power to affect its returns, by two or more subsidiaries’ investment or operation.
---	---
(*7)	During March 2021, the Company acquired a 100% equity of Woori Financial Savings Bank from the company’s<br>subsidiary Woori Financial Capital Co., Ltd. which makes a business combination under the same control. For business combinations under the same control, the company accounts the business combination in the carrying amount method, and the assets and<br>liabilities transferred are measured at the carrying amount included in the consolidated financial statements. The amounts of assets and liabilities transferred due to the business combination are 1,119,371 million won and<br>1,084,771 million, respectively.
---	---
(*8)	As a master-feeder fund, the equity ratio is the equity of the subsidiary in parent fund.<br>
---	---

• 16 -

(3)	The Group has not consolidated the following entities as of June 30, 2021 and December 31, 2020<br>despite having more than 50% ownership interest:
---	---	---	---	---	---
Subsidiaries		Main Business		Percentage of<br>ownership (%)
Mirae Asset Maps Clean Water Private Equity Investment Trust 7th (*)	Korea		Securities Investment		59.7
Kiwoom Yonsei Private Equity Investment Trust (*)	Korea		Securities Investment		88.9
IGIS Europe Private Placement Real Estate Fund<br>No. 163-2 (*)	Korea		Securities Investment		97.9
IGIS Global Private Placement Real Estate Fund<br>No. 148-1 (*)	Korea		Securities Investment		75.0
IGIS Global Private Placement Real Estate Fund<br>No. 148-2 (*)	Korea		Securities Investment		75.0
Mirae Asset Seoul Ring Expressway Private Special Asset Fund No. 1 (*)	Korea		Securities Investment		66.7
Hangkang Sewage Treatment Plant Fund (*)	Korea		Securities Investment		55.6
KIM Pocheon-Hwado Highway Infra Private Placement Special Asset Fund (*)	Korea		Securities Investment		55.2
Kiwoom-Harmony Private Placement Investment Trust No.2 (*)	Korea		Securities Investment		96.7
Kiwoom-Harmony Private Placement Investment Trust No.1 (*)	Korea		Securities Investment		95.7
Midas Global Private Placement Real Estate Investment Trust<br>No. 7-2 (*)	Korea		Securities Investment		58.3
Together-Korea Government Private Pool Private Securities Investment Trust No.3 (*)	Korea		Securities Investment		100.0
INMARK France Private Placement Investment Trust<br>No. 18-1 (*)	Korea		Securities Investment		93.8
Kiwoom Vibrato Private Placement Investment Trust 1-W()<br>(*)	Korea		Securities Investment		99.4
KOTAM Global Infra Private Fund 1-4 (*)	Korea		Securities Investment		99.7
JB Airline Professional investor type private placement fund 8 (*)	Korea		Securities Investment		96.7
UBSHana Class 1 Special Asset Investment Trust 3 Class C (*)	Korea		Securities Investment		51.0
Kiwoom Bright Light Professional Private Investment Trust (*)	Korea		Securities Investment		50.0
Consus GyeongJuGreen Specialized Private Special Asset Investment Trust 1 (*)	Korea		Securities Investment		50.0
Consus Solar Energy Private Special Asset Investment Trust (*)	Korea		Securities Investment		50.0

All values are in Euros.

(*)	Since the investee is a private equity investment fund, the Group does not have the power over the fund’s<br>activities even though it holds more than 50% of ownership interest.
---	---	---	---	---	---
Subsidiaries		Main Business		Percentage of<br>ownership (%)
Mirae Asset Maps Clean Water Private Equity Investment Trust 7th (*)	Korea		Securities Investment		59.7
Kiwoom Yonsei Private Equity Investment Trust (*)	Korea		Securities Investment		88.9
IGIS Europe Private Placement Real Estate Fund<br>No. 163-2 (*)	Korea		Securities Investment		97.9
IGIS Global Private Placement Real Estate Fund<br>No. 148-1 (*)	Korea		Securities Investment		75.0
IGIS Global Private Placement Real Estate Fund<br>No. 148-2 (*)	Korea		Securities Investment		75.0
Mirae Asset Seoul Ring Expressway Private Special Asset Fund No. 1 (*)	Korea		Securities Investment		66.7
Hangkang Sewage Treatment Plant Fund (*)	Korea		Securities Investment		55.6
KIM Pocheon-Hwado Highway Infra Private Placement Special Asset Fund (*)	Korea		Securities Investment		55.2
Kiwoom-Harmony Private Placement Investment Trust No.2 (*)	Korea		Securities Investment		96.3
Kiwoom-Harmony Private Placement Investment Trust No.1 (*)	Korea		Securities Investment		95.7
Midas Global Private Placement Real Estate Investment Trust<br>No. 7-2 (*)	Korea		Securities Investment		58.3
Together-Korea Government Private Pool Private Securities Investment Trust No.3 (*)	Korea		Securities Investment		100.0
INMARK France Private Placement Investment Trust<br>No. 18-1 (*)	Korea		Securities Investment		93.8
Kiwoom Vibrato Private Placement Investment Trust 1-W()<br>(*)	Korea		Securities Investment		99.3

All values are in Euros.

(*)	Since the investee is a private equity investment fund, the Group does not have the power over the fund’s<br>activities even though it holds more than 50% of ownership interest.

• 17 -

(4)	The summarized financial information of the major subsidiaries are as follows. The financial information of<br>each subsidiary was prepared based on their consolidated financial statements (Unit: Korean Won in millions):
	As of June 30, 2021				For the six-month period ended June 30, 2021
---	---	---	---	---	---	---	---	---	---	---	---	---
Subsidiaries	Assets		Liabilities		Operating<br>revenue		Net income<br>(loss)<br>attributable to<br>owners			Comprehensive<br>income (loss)<br>attributable to<br>owners
Woori Bank		393,520,653		369,318,152		11,760,294		1,279,637			1,429,762
Woori Card Co., Ltd.		12,645,157		10,467,730		741,298		121,435			126,396
Woori Financial Capital Co., Ltd.		8,761,211		7,831,718		422,966		82,527			83,600
Woori Investment Bank Co., Ltd.		4,860,424		4,296,271		149,233		44,035			44,015
Woori Asset Trust Co., Ltd.		211,428		61,779		42,764		21,571			21,557
Woori Asset Management Corp.		134,799		17,274		16,067		4,422			4,476
Woori Savings Bank		1,286,793		1,071,240		36,648		9,262			8,859
Woori Credit Information Co., Ltd.		41,084		9,513		18,947		1,109			1,106
Woori Fund Service Co., Ltd.		19,625		2,097		7,452		1,512			1,512
Woori Private Equity Asset Management Co., Ltd.		40,731		1,059		1,963		3,706			3,647
Woori Global Asset Management Co., Ltd.		38,589		10,356		6,414		105			105
Woori FIS Co., Ltd.		87,078		58,368		130,485		(9,075	)		(9,193	)
Woori Finance Research Institute Co., Ltd.		6,387		2,958		3,410		(107	)		(114	)
	As of June 30, 2020				For the six-month period ended June 30, 2020
---	---	---	---	---	---	---	---	---	---	---	---	---
Subsidiaries	Assets		Liabilities		Operating<br>revenue		Net income<br>(loss)<br>attributable<br>to owners			Comprehensive<br>income (loss)<br>attributable to<br>owners
Woori Bank		374,310,415		350,790,158		13,836,037		677,937			696,858
Woori Card Co., Ltd.		11,366,596		9,312,986		708,328		79,654			50,029
Woori Financial Capital Co., Ltd. (*)		8,880,117		8,053,840		—		—			—
Woori Investment Bank Co., Ltd.		4,332,474		3,803,594		135,093		31,435			31,301
Woori Asset Trust Co., Ltd.		185,634		56,396		128,979		2,220			2,152
Woori Asset Management Corp.		136,460		23,411		3,169		242			242
Woori Credit Information Co., Ltd.		40,860		9,830		20,774		1,469			1,311
Woori Fund Service Co., Ltd.		18,957		2,172		6,300		990			990
Woori Private Equity Asset Management Co., Ltd.		38,035		2,009		39,079		20,198			20,177
Woori Global Asset Management Co., Ltd.		37,935		9,807		12,059		3,183			2,771
Woori FIS Co., Ltd.		97,479		59,577		2,424		74			28
Woori Finance Research Institute Co., Ltd.		7,232		3,689		5,602		(760	)		(760	)
(*)	Since Woori Financial Capital Co., Ltd. has acquired control after the end of the first half of last year,<br>operating income, profit or loss from the parent company, and total comprehensive income of the parent company have not been prepared.
---	---

• 18 -

(5)	The financial support that the Group provides to consolidated structured entities is as follows:<br>
•	Structured entity for asset securitization
---	---

The structured entity which is established for the purpose of securitization of project financing loans, corporate bonds, and other financial assets. The Group is involved with the structured entity through provision of credit facility over asset-backed commercial papers issued by the entity, originating loans directly to the structured entity, or purchasing 100% of the subordinated debts issued by the structured entity.

•	Structured entity for the investments in securities

The structured entity is established for the purpose of investments in securities. The Group acquires beneficiary certificates through its contribution of funding to the structured entity by the Group, and it is exposed to the risk that it may not be able to recover its fund depending on the result of investment performance of asset managers of the structured entity.

•	Money trust under the Financial Investment Services and Capital Markets Act

The Group provides with financial guarantee of principal and interest or solely principal to some of its trust products. Due to the financial guarantees, the Group may be obliged when the principal and interest or principal of the trust product sold is short of the guaranteed amount depending on the result of investment performance of the trust product.

As of June 30, 2021 and December 31, 2020, the Group provides 2,775,207 million Won and 2,547,418 million Won of credit facilities, respectively, for the structured entities mentioned above. As of June 30, 2021 and December 31, 2020, the purchase commitment amounts to 1,186,872 million Won and 854,231 million Won, respectively.

• 19 -

(6)	The Group has entered into various agreements with structured entities such as asset securitization, structured<br>finance, investment fund, and monetary trust. The characteristics and the nature of risks related to unconsolidated structured entities over which the Group does not have control in accordance with Korean IFRS 1110 are as follows:<br>

The interests in unconsolidated structured entities that the Group hold are classified into asset securitization vehicles, structured finance, investment fund and real-estate trust, based on the nature and the purpose of each structured entity.

Unconsolidated structured entities classified as ‘asset securitization vehicles’ are entities that issue asset-backed securities, pay the principal and interest or distributes dividends on asset-backed securities through borrowings or profits from the management, operation and sale of securitized assets. The Group has been purchasing commitments of asset-backed securities or issuing asset-backed securities through credit grants, and the structured entities recognize related interest or fee revenue. There are entities that provide additional funding and conditional debt acquisition commitments before the Group’s financial support, but the Group is still exposed to losses arising from the purchase of financial assets issued by the structured entities when it fails to renew the securities.

Unconsolidated structured entities classified as ‘structured financing’ include real estate project financing investment vehicle, social overhead capital companies, and special purpose companies for ship (aircraft) financing. Each entity is incorporated as a separate company with a limited purpose in order to efficiently pursue business goals. ‘Structured financing’ is a financing method for large-scale risky business, with investments made based on feasibility of the specific business or project, instead of credit of business owner or physical collaterals. The investors receive profits from the operation of the business. The Group recognizes interest revenue, profit or loss from assessment or transactions of financial instruments, or dividend income. With regard to uncertainties involving structured financing, there are entities that provide financial support such as additional fund, guarantees and prioritized credit grants prior to the Group’s intervention, but the Group is exposed to possible losses due to loss of principal from reduction in investment value or irrecoverable loans arising from failure to collect scheduled cash flows and cessation of projects.

Unconsolidated structured entities classified as ‘investment funds’ include investment trusts and private equity funds. An investment trust orders the investment and operation of funds to the trust manager in accordance with trust contract with profits distributed to the investors. Private equity funds finances money required to acquire equity securities to enable direction of management and/or improvement of ownership structure, with profit distributed to the investors. The Group recognizes pro rata amount of valuation gain or loss on investment and dividend income as an investor and may be exposed to losses due to reduction in investment value. Investments in MMF (Money Market Funds) as of June 30, 2021 and December 31, 2020 are 631,711 million Won and 427,375 million Won, respectively, and there are no additional commitments for MMF.

‘Real estate trust’ is to be entrusted the underlying property for the purpose of managing, disposing, operating or developing from the consignor who owns the property and distributes the proceeds achieved through the trust to the beneficiary. When the consignee does not fulfill his or her important obligations in the trust contract or it is, in fact, difficult to run the business, the Group may be exposed to the threat of compensating the loss.

The total assets of the unconsolidated structured entity held by the Group, the carrying amount of the items recognized in the consolidated financial statements, the maximum loss exposure, and the losses from the unconsolidated structured entity are as follows. The maximum loss exposure includes the amount of investment recognized in the consolidated financial statements and the amount that is likely to be confirmed in the future when satisfies certain conditions by contracts such as purchase arrangements, credit offerings. As of June 30, 2021 and December 31, 2020, the purchase commitment amounts to 3,353,699 million Won and 4,266,319 million Won, respectively.

• 20 -

	June 30, 2021
	Asset<br>securitization<br>vehicle		Structured<br>Finance		Investment<br>Funds		Real-estate<br>trust
Total asset of the unconsolidated structured entities		4,624,493		87,656,926		67,190,894		1,389,925
Assets recognized in the consolidated financial statements related to the unconsolidated<br>structured entities		469,057		4,345,802		4,388,319		37,894
Financial assets at FVTPL		315,128		8,771		3,790,995		12,875
Financial assets at FVTOCI		39,931		46,932		—		—
Financial assets at amortized cost		113,222		4,286,364		39,956		25,019
Investments in joint ventures and associates		—		—		557,368		—
Derivative assets		776		3,735		—		—
Liabilities recognized in the consolidated financial statements related to the unconsolidated<br>structured entities		212		1,235		—		2,010
Other liabilities (provisions)		212		1,235		—		2,010
The maximum exposure to risks		765,467		5,422,983		4,395,395		97,538
Investment assets		469,057		4,345,802		4,388,319		37,894
Credit facilities and others		296,410		1,077,181		7,076		59,644
Loss recognized on unconsolidated structured entities		—		2,161		16,193		111
	December 31, 2020
---	---	---	---	---	---	---	---	---
	Asset<br>securitization<br>vehicle		Structured<br>Finance		Investment<br>Funds		Real-estate<br>trust
Total asset of the unconsolidated structured entities		3,900,254		69,010,369		44,629,638		76,772
Assets recognized in the consolidated financial statements related to the unconsolidated<br>structured entities		648,700		4,291,535		3,350,605		22,402
Financial assets at FVTPL		374,231		167,271		2,922,716		—
Financial assets at FVTOCI		163,808		41,378		—		—
Financial assets at amortized cost		109,008		4,072,321		39,955		22,402
Investments in joint ventures and associates		—		5,958		387,902		—
Derivative assets		1,653		4,607		32		—
Liabilities recognized in the consolidated financial statements related to the unconsolidated<br>structured entities		130		963		—		400
Other liabilities (provisions)		130		963		—		400
The maximum exposure to risks		970,628		5,366,037		3,438,924		65,722
Investment assets		648,700		4,291,535		3,350,605		22,402
Credit facilities and others		321,928		1,074,502		88,319		43,320
Loss recognized on unconsolidated structured entities		—		6,079		25,454		2,363

• 21 -

(7)	As of June 30, 2021 and December 31, 2020, the share of<br>non-controlling interests on the net income and equity of subsidiaries in which non-controlling interests that are significant are as follows (Unit: Korean Won in<br>millions):
1)	Accumulated non-controlling interests at the end of the reporting<br>period
---	---
	June 30, 2021		December 31, 2020
---	---	---	---	---
Woori Bank (*)		3,105,070		3,105,070
Woori Financial Capital Co., Ltd.		69,081		166,369
Woori Investment Bank Co., Ltd.		237,000		222,289
Woori Asset Trust Co., Ltd.		55,517		49,738
Woori Asset Management Corp		32,502		31,369
PT Bank Woori Saudara Indonesia 1906 Tbk		83,255		79,890
Wealth Development Bank		20,513		19,521
(*)	Hybrid securities issued by Woori Bank
---	---
2)	Net income attributable to non-controlling interests<br>
---	---
	For the six-month<br>periods ended June 30
---	---	---	---	---
	2021		2020
Woori Bank (*)		71,537		90,091
Woori Financial Capital Co., Ltd.		16,329		—
Woori Investment Bank Co., Ltd.		18,330		12,753
Woori Asset Trust Co., Ltd.		6,149		5,699
Woori Asset Management Corp		1,119		791
PT Bank Woori Saudara Indonesia 1906 Tbk		3,512		3,796
Wealth Development Bank		559		321
(*)	Distribution of the hybrid securities issued by Woori Bank
---	---
3)	Dividends to non-controlling interests
---	---
	For the six-month<br>periods ended June 30
---	---	---	---	---
	2021		2020
Woori Bank (*)		71,537		90,091
Woori Financial Capital Co., Ltd.		4,121		—
Woori Investment Bank Co., Ltd.		3,610		—
Woori Asset Trust Co., Ltd		365		365
PT Bank Woori Saudara Indonesia 1906 Tbk		1,262		1,669
(*)	Distribution of the hybrid securities issued by Woori Bank
---	---

• 22 -

2.	BASIS OF PREPARATION AND SIGNIFICANT ACCOUNTING POLICIES

The Group maintains its accounting records in Korean won and prepares statutory financial statements in the Korean language (Hangul) in accordance with International Financial Reporting Standards as adopted by the Republic of Korea (Korean IFRS). The accompanying consolidated interim financial statements have been condensed, restructured and translated into English from the Korean language financial statements. The Group’s condensed consolidated interim financial statements are condensed interim financial statements prepared in applying International Financial Reporting Standards as adopted by the Republic of Korea (“Korean IFRS”) 1034 Interim Finance Reporting for some of periods in which the annual consolidated financial statements belong. It is necessary to use the Group’s annual consolidated financial statements for the year ended December 31, 2020 for understanding of the accompanying condensed consolidated interim financial statements.

(1)	From the accounting period beginning on January 1, 2021, the Group has newly applied the following<br>standards and interpretations.
1)	Korean IFRS 1109 ‘Financial Instruments’, Korean IFRS 1039 ‘Financial Instruments:Recognition and Measurement’, Korean IFRS 1107 ‘Financial Instruments: Disclosures’, Korean IFRS 1104 ‘Insurance Contracts’ and Korean IFRS 1116 ‘Lease’; Interest Rate Benchmark<br>Reform-Phase 2
---	---

The amendment indicates that the effective interest rate shall be adjusted rather than the carrying amount when changing the interest rate benchmark for financial instruments measured at amortized cost. In addition, it allows hedge accounting to continue without interruption even when changes to interest rate benchmark occur in the hedging relationship. The amendment does not have a significant impact on the consolidated financial statements.

The Group has applied ‘Interest Rate Benchmark Reform-Phase 2’, which is an amendment to Korean IFRS 1109, 1039, 1107 and 1116, beginning on January 1, 2021. In accordance with the transition provisions, the amendments were applied retrospectively to the hedging relationship and financial instruments. The comparative financial statements have not been restated and there is no effect of the adoption of the amendments on the beginning balance of reserves.

①	Hedging relationship

The Phase 2 amendments address issues arising from ‘Interest Rate Benchmark Reform-Phase 1’, including when the designation and documentation of hedges should be updated and when alternative rates are permitted as hedged risk.

The Phase 1 amendments include an exceptional regulation that temporarily mitigates the application of specific hedge accounting requirements to hedging relationships directly affected by ‘Interest Rate Benchmark Reform’. Due to this mitigation, ‘Interest Rate Benchmark Reform’ typically does not stop hedge accounting until there is a change of the contract. However, hedge ineffectiveness continues to be recorded in the income statement. It also suggests when the application of these exceptions should end, for instance, exceptional regulation should end when uncertainties due to ‘Interest Rate Benchmark Reform’ no longer appear.

• 23 -

For the period beginning January 1, 2021, the Group has applied the following hedge accounting mitigation provisions provided in the Phase 2 amendments:

Designation of a hedging relationship: When the Phase 1 amendments cause to apply, the Group will reflect the changes required by the Interest Rate Benchmark Reform by amending the formal designation of the hedging relationship as previously documented to make one or more of these changes: will amend the designation of a hedging relationship to reflect the changes required by the Interest Rate Benchmark Reform when there is a change in one or more of the followings:

•	Designating the alternative benchmark rate (contractually or<br>non-contractually specified) as a hedged risk;
•	Amending the description of the hedged item so it refers to the alternative benchmark rate; or<br>
---	---
•	Amending the description of the hedging instrument.
---	---

The Group will amend the hedging relationship documentation to reflect these amendments by the end of the reporting period during which the changes are made. These amendments do not require the discontinuance of the hedging relationship.

②	Financial instruments measured at amortized cost

For financial instruments measured at amortized cost (including financial assets at FVTOCI-debt instruments), the Phase 2 amendments do not require the financial instrument to recognize gains or losses from the change because the change in the contractual cash flow basis required by the interest rate reform is reflected by adjusting the effective interest rate.

A similar practical expedient exists for lease liabilities. This practical expedient is applicable only to changes required by interest rate indicator reform. When the changes are necessary as a direct result of Interest Rate Benchmark Reform and the new criteria for determining contractual cash flows are economically equivalent to the previous one, it is considered as a required change due to Interest Rate Benchmark Reform.

If some or all of the changes in the instrument’s contractual cash flow calculation criteria do not meet the above criteria, the Group shall first apply the practical expedient to the changes made under the Interest Rate Benchmark Reform and then apply the general financial instrument requirements(In other words, the entity shall determine whether a modification or elimination is made and recognizes immediately in profit or loss any modification on financial instrument which has not been eliminated).

For lease liabilities which basis for determining contractual cash flows is changed, as a practical expedient, the lease liabilities are remeasured at a discount rate that reflects the change in interest rates due to the Interest Rate Benchmark Reform. If an additional lease change is made in addition to the lease changes required by the Interest Rate Benchmark Reform, the general requirements of Korean IFRS 1116 apply to the accounting for all simultaneous lease changes, including those required by the Interest Rate Benchmark Reform.

• 24 -

The details of Woori Bank’s financial instruments that have not completed the conversion to interest rates benchmark at the end of the quarter are as follows: Non-derivative financial instrument is at the carrying amount, while the derivative financial instrument and commitments/financial guarantee is at the nominal amount.

					CHF		Total
Non-derivative financial assets
Financial assets at FVTOCI						—		620,409
Financial assets at amortized cost						—		3,878,907
Sub-total						—		4,499,316
Non-derivative financial liabilities
Financial liabilities at amortized cost						—		965,564
Derivative finance
Interest rate related(trading)						1,227		19,146,125
Currency related(trading)						—		27,128,429
Interest rate related(hedging)						—		2,090,500
Sub-total						1,227		48,365,054
Commitments and financial guarantee						—		7,742

All values are in US Dollars.

2)	Amendments to Korean IFRS 1116 Lease – COVID-19 related<br>rent concession continuously offered after June 30, 2021

As a practical expedient, a lessee may elect not to assess whether a rent concession occurring as a direct consequence of the COVID-19 pandemic is a lease modification. The scope of the practical expedient has been expanded to reduce lease fees that affect lease payments due on or before June 30, 2022. Lessee should consistently apply practical expedients to contracts with similar characteristics in similar circumstances.

(2)	The details of Korean IFRSs that have been issued and published since January 1, 2021 but have not yet<br>reached the effective date are as follows:
1)	Amendments to Korean IFRS 1103 Business Combination – Definition of a Business<br>
---	---

The amendments update a reference of definition of assets and liabilities qualify for recognition in revised Conceptual Framework for Financial Reporting. However, the amendments add an exception for the recognition of liabilities and contingent liabilities within the scope of Korean IFRS 1037 Provisions, Contingent Liabilities and Contingent Assets, and Korean IFRS 2121 Levies. The amendments also confirm that contingent assets should not be recognized at the acquisition date. The amendments should be applied for annual periods beginning on or after January 1, 2022, and earlier application is permitted. The Group does not expect that these amendments have a significant impact on the consolidated financial statements.

• 25 -

2)	Amendments to Korean IFRS 1016 Property, plant and equipment – Proceeds before intended use<br>

The amendments prohibit an entity from deducting from the cost of an item of property, plant and equipment any proceeds from selling items produced while the entity is preparing the asset for its intended use. Instead, the entity will recognize the proceeds from selling such items, and the costs of producing those items, in profit or loss. The amendments should be applied for annual periods beginning on or after January 1, 2022, and earlier application is permitted. The Group does not expect that these amendments have a significant impact on the consolidated financial statements.

3)	Amendments to Korean IFRS 1037 Provisions, Contingent Liabilities and Contingent Assets – Onerous<br>Contracts: Cost of Fulfilling a Contract

The amendments clarify that the direct costs of fulfilling a contract include both the incremental costs of fulfilling the contract and an allocation of other costs directly related to fulfilling contracts when assessing whether the contract is onerous. The amendments should be applied for annual periods beginning on or after January 1, 2022, and earlier application is permitted. The Group does not expect that these amendments have a significant impact on the consolidated financial statements.

4)	Annual Improvements to Korean IFRS 2018-2020

Annual improvements of Korean IFRS 2018-2020 Cycle should be applied for annual periods beginning on or after January 1, 2022, and earlier application is permitted. The Group does not expect that these amendments have a significant impact on the consolidated financial statements.

•	Korean IFRS 1101 First time Adoption of Korean International Financial Reporting Standards –<br>Subsidiaries that are first-time adopters
•	Korean IFRS 1109 Financial Instruments – Fees related to the 10% test for derecognition of financial<br>liabilities
---	---
•	Korean IFRS 1116 Leases – Lease incentives
---	---
•	Korean IFRS 1041 Agriculture – Measuring fair value
---	---
5)	Amendments to Korean IFRS 1001 Presentation of Financial Statements – Classification of Liabilities<br>as Current or Non-current
---	---

The amendments clarify that liabilities are classified as either current or non-current, depending on the substantive rights that exist at the end of the reporting period. Classification is unaffected by the likelihood that an entity will exercise right to defer settlement of the liability or the expectations of management. Also, the settlement of liability include the transfer of the entity’s own equity instruments, however, it would be excluded if an option to settle them by the entity’s own equity instruments if compound financial instruments is met the definition of equity instruments and recognized separately from the liability. The amendments should be applied for annual periods beginning on or after January 1, 2023, and earlier application is permitted. The Group does not expect that these amendments have a significant impact on the consolidated financial statements.

The above enacted or amended standards will not have a significant impact on the Group.

(3)	Significant accounting policies and method of computation used in the preparation of the condensed consolidated<br>interim financial statements are consistent with those of the consolidated financial statements for the year ended December 31, 2020, except for the one described below.
•	Income tax expense
---	---

Income tax expense for the interim period is recognized based on management’s best estimate of the weighted average annual income tax rate expected for the full financial year. The estimated average annual tax rate is applied to the pre-tax income.

• 26 -

3.	SIGNIFICANT ACCOUNTING ESTIMATES AND ASSUMPTIONS

The outbreak of COVID-19 has had a significant impact on the global economy including Korea. Financial and economic shocks may have negative impacts on the Group’s financial condition and results of operations in various forms both domestically and internationally, however, the Korean government is providing unprecedented financial and economic relief measures such as extension of maturity of loans. Despite the announcement of these various forms of government support policies, the negative impact of the COVID-19 on the global economy continues, and uncertainties in recovery or deterioration will persist.

The Group will continue to assess the adequacy of forward-looking information related to the duration of the impact of COVID-19 on economy and government policies.

<Woori Bank>

The Bank determined that the credit risk of loans affected by the loan deferment has significantly increased; and evaluated that the possibility of default is high. As a result, total loans (Loans, payment guarantees) that are subject to loan deferment and interest deferment amount to 2,064,566 million Won, and expected credit loss allowance have increased for 209,223 million Won (199,915 million Won of corporate loan).

Total loans (Loans, payment guarantees) that are subject to loan deferment and interest deferment consist of corporate loan of 1,908,095 million Won and retail loan of 156,471 million Won. Among total loans, loans changed its stage from 12-month to lifetime (Stage 2) expected credit losses amount to 1,723,997 million Won, which consist of corporate loan of 1,596,024 million Won and retail loan of 127,973 million Won.

<Woori Card>

Woori Card Co., Ltd. determined that the credit risk of obligors receiving financial support due to COVID-19 significantly increased, and transferred the loss allowance at the amount equivalent to lifetime expected credit loss. As of June 30, 2021, financial assets at amortized cost of obligors subject to loan deferment and interest deferment amount to 7,744 million Won, and the cumulative expected credit loss allowance have increased for 179 million Won

Management shall make judgments, estimates and assumptions that affect the application of accounting policies and application of assets, liabilities and revenues and expenses in preparing condensed consolidated interim financial statements. Therefore, the actual results may differ from these estimates.

The important decisions made by management on the application of accounting policy of the Group and the main sources of estimation uncertainty in preparing condensed consolidated interim financial statements are the same as those applied to the consolidated financial statements for the year ended December 31, 2020, unless otherwise stated.

• 27 -

4.	RISK MANAGEMENT

The Group’s operating activity is exposed to various financial risks and the and the main types of risks are credit risk, market risk, liquidity risk, etc. The risk management department analyze and assess the level of complex risks in order to manage the risks and the risk management standards such as policies, regulations, management systems and decision-making have been established and operated for sound management of the Group.

The risk management organization is operated by risk management committee, risk management responsible, and risk management department. The Board of Directors operates a risk management committee comprised of outside directors for professional risk management. The risk management committee plays a role as the top decision-making body in risk management by establishing basic policies for risk management that are in line with the Group’s management strategy and determining the risk level that the Group is willing to take. The risk management officer (CRO) assists the risk management committee and operates a group risk management council comprised of risk management managers of subsidiaries to periodically check and improve the risk burden of external environments and the Group. The risk management department is independent and is in charge of risk management of the Group. It also supports reporting and decision-making of key risk-related issues.

(1)	Credit risk

Credit risk represents the possibility of financial losses incurred due to the refusal of the transaction or when the counterparty fails to fulfill its contractual obligations. The goal of credit risk management is to maintain the Group’s credit risk exposure to a permissible degree and to optimize its rate of return considering such credit risk.

1)	Credit risk management

The Group considers the probability of failure in performing the obligation of its counterparties, credit exposure to the counterparty, the related default risk and the rate of default loss. The Group uses the credit rating model to assess the possibility of counterparty’s default risk; and when assessing the obligor’s credit grade, other than quantitative methods utilizing financial statements and others, and assessor’s judgement, the Group utilizes credit grades derived using statistical methods.

In order to manage credit risk limit, the Group establishes the appropriate credit line per obligor, company or industry. It monitors obligor’s credit line, total exposures and loan portfolios when approving the loan.

The Group mitigates credit risk resulting from the obligor’s credit condition by using financial and physical collateral, guarantees, netting agreements and credit derivatives. The Group has adopted the entrapment method to mitigate its credit risk. Credit risk mitigation is reflected in qualifying financial collateral, trade receivables, guarantees, residential and commercial real estate and other collaterals. The Group regularly performs a revaluation of collateral reflecting such credit risk mitigation.

• 28 -

2)	Maximum exposure

The Group’s maximum exposure to credit risk shows the uncertainties related to the maximum possible variation of financial assets’ net value as a result of changes in the specific risk factors, prior to the consideration of collaterals that are recorded at net book value after allowances and other credit enhancements. However, the maximum exposure is the fair value amount (recorded on the books) for derivatives, maximum contractual obligation for payment guarantees and unused amount of commitments for loan commitment.

The maximum exposure to credit risk as of June 30, 2021 and December 31, 2020 is as follows (Unit: Korean Won in millions):

		June 30, 2021		December 31, 2020
Loans and other financial assets at amortized cost (*1)	Korean treasury and government agencies		20,639,049		9,725,719
	Banks		18,674,050		19,493,188
	Corporates		122,677,013		114,131,996
	Consumers		183,160,313		176,755,175
	Sub-total		345,150,425		320,106,078
Financial assets at FVTPL (*2)	Deposit		70,150		48,796
	Debt securities		2,496,924		2,887,097
	Loans		431,137		676,291
	Derivative assets		4,024,668		6,901,742
	Sub-total		7,022,879		10,513,926
Financial assets at FVTOCI	Debt securities		29,050,792		28,948,141
Securities at amortized cost	Debt securities		15,725,241		17,020,839
Derivative assets	Derivative assets (Designated for hedging)		129,562		174,820
Off-balance accounts	Guarantees (*3)		12,354,750		11,809,456
	Loan commitments		114,270,804		112,088,680
	Sub-total		126,625,554		123,898,136
	Total		523,704,453		500,661,940
(*1)	Cash and cash equivalents are not included.
---	---
(*2)	Puttable financial instruments are not included.
---	---
(*3)	As of June 30, 2021 and December 31, 2020, the financial guarantee amounts of 4,014,532 million<br>Won and 4,163,382 million Won are included, respectively.
---	---

• 29 -

a)	Credit risk exposure by geographical areas

The following tables analyze credit risk exposure by geographical areas (Unit: Korean Won in millions):

	June 30, 2021
	Korea		China		USA		UK		Japan		Others (*)		Total
Loans and other financial assets at amortized cost		325,425,315		4,677,171		3,378,362		217,790		674,543		10,777,244		345,150,425
Securities at amortized cost		15,391,303		148,257		30,422		—		—		155,259		15,725,241
Financial assets at FVTPL		5,369,744		1,508		628,450		217,748		139,015		666,414		7,022,879
Financial assets at FVTOCI		25,613,240		820,168		1,179,589		11,749		22,641		1,403,405		29,050,792
Derivative assets (Designated for hedging)		—		—		129,562		—		—		—		129,562
Off-balance accounts		122,951,908		917,101		413,345		39,069		42,853		2,261,278		126,625,554
Total		494,751,510		6,564,205		5,759,730		486,356		879,052		15,263,600		523,704,453
(*)	Others consist of financial assets in Indonesia, Hong Kong, Germany, Australia, and other countries.<br>
---	---
	December 31, 2020
---	---	---	---	---	---	---	---	---	---	---	---	---	---	---
	Korea		China		USA		UK		Japan		Others (*)		Total
Loans and other financial assets at amortized cost		296,186,751		4,356,747		3,988,304		1,990,490		1,404,670		12,179,116		320,106,078
Securities at amortized cost		16,749,531		—		110,597		—		—		160,711		17,020,839
Financial assets at FVTPL		6,954,630		13,403		1,083,096		493,285		480,760		1,488,752		10,513,926
Financial assets at FVTOCI		25,966,333		608,893		1,092,636		5		5,460		1,274,814		28,948,141
Derivative assets (Designated for hedging)		—		—		165,458		3,740		—		5,622		174,820
Off-balance accounts		119,699,069		1,393,734		399,678		38,389		41,378		2,325,888		123,898,136
Total		465,556,314		6,372,777		6,839,769		2,525,909		1,932,268		17,434,903		500,661,940
(*)	Others consist of financial assets in Indonesia, Hong Kong, Germany, Australia, and other countries.<br>
---	---
b)	Credit risk exposure by industries
---	---
①	The following tables analyze credit risk exposure by industries, which are service, manufacturing, finance and<br>insurance, construction, individuals and others in accordance with the Korea Standard Industrial Classification Code as of June 30, 2021 and December 31, 2020 (Unit: Korean Won in millions):
---	---
	June 30, 2021
---	---	---	---	---	---	---	---	---	---	---	---	---	---	---
	Service		Manufacturing		Finance and<br>insurance		Construction		Individuals		Others		Total
Loans and other financial assets at amortized cost		62,980,002		36,761,821		45,463,487		4,412,769		179,199,921		16,332,425		345,150,425
Securities at amortized cost		421,425		2,700		7,707,605		261,702		—		7,331,809		15,725,241
Financial assets at FVTPL		126,142		118,741		5,535,461		16,617		6,069		1,219,849		7,022,879
Financial assets at FVTOCI		356,681		255,779		20,654,610		154,118		—		7,629,604		29,050,792
Derivative assets (Designated for hedging)		—		—		129,562		—		—		—		129,562
Off-balance accounts		17,636,178		20,621,091		10,945,462		4,010,107		66,958,956		6,453,760		126,625,554
Total		81,520,428		57,760,132		90,436,187		8,855,313		246,164,946		38,967,447		523,704,453
	December 31, 2020
---	---	---	---	---	---	---	---	---	---	---	---	---	---	---
	Service		Manufacturing		Finance and<br>insurance		Construction		Individuals		Others		Total
Loans and other financial assets at amortized cost		56,627,927		35,933,953		35,450,774		3,493,000		172,116,780		16,483,644		320,106,078
Securities at amortized cost		492,172		6,691		8,926,909		302,225		—		7,292,842		17,020,839
Financial assets at FVTPL		301,296		234,712		8,520,127		32,240		14,619		1,410,932		10,513,926
Financial assets at FVTOCI		475,881		207,903		23,017,149		142,396		—		5,104,812		28,948,141
Derivative assets (Designated for hedging)		—		—		174,820		—		—		—		174,820
Off-balance accounts		18,828,656		21,460,581		12,086,935		4,060,358		62,477,117		4,984,489		123,898,136
Total		76,725,932		57,843,840		88,176,714		8,030,219		234,608,516		35,276,719		500,661,940

• 30 -

②	The detailed industries of financial assets and corporate loans that might get affected by the spread of COVID-19 as of June 30, 2021 and December 31, 2020 are as follows and the industries that can be affected may change by future economic conditions (Unit: Korean Won in millions):

< Woori Bank >

			June 30, 2021
			Loans and other<br>financial assets at<br>amortized cost		Financial assets<br>at FVTPL		Financial assets<br>at FVTOCI
Service business	Distribution business	General retail<br>business		546,708		107		—
		General wholesale<br>business		718,486		207		—
		Sub-total		1,265,194		314		—
	Accommodation business			1,777,814		3,733		14,481
	Travel business			55,915		—		—
	Art/sports, leisure service			643,450		4,711		—
	Food business			1,180,054		488		—
	Transportation business			439,802		866		9,088
	Others			1,025,126		874		—
	Sub-total			6,387,355		10,986		23,569
Manufacturing	Textile			2,421,918		1,636		10,104
	Metal			181,613		99		—
	Non-metal			147,335		126		—
	Chemical			888,883		3,254		—
	Electronics			98,094		—		—
	Others			194,558		—		—
	Sub-total			3,932,401		5,115		10,104
	Total			10,319,756		16,101		33,673
			June 30, 2021
---	---	---	---	---	---	---
			Off-balance accounts		Total
Service business	Distribution business	General retail<br>business		283,262		830,077
		General wholesale<br>business		251,697		970,390
	Sub-total			534,959		1,800,467
	Accommodation business			187,491		1,983,519
	Travel business			14,495		70,410
	Art/sports, leisure service			67,745		715,906
	Food business			155,116		1,335,658
	Transportation business			174,635		624,391
	Others			138,743		1,164,743
	Sub-total			1,273,184		7,695,094
Manufacturing	Textile			1,006,559		3,440,217
	Metal			34,275		215,987
	Non-metal			48,747		196,208
	Chemical			887,763		1,779,900
	Electronics			37,802		135,896
	Others			96,818		291,376
	Sub-total			2,111,964		6,059,584
	Total			3,385,148		13,754,678

• 31 -

			December 31, 2020
			Loans and other<br>financial assets at<br>amortized cost		Financial assets<br>at FVTPL		Financial assets<br>at FVTOCI
Service business	Distribution business	General retail<br>business		1,070,789		11,944		5,461
		General wholesale<br>business		1,407,563		3,573		—
		Sub-total		2,478,352		15,517		5,461
	Accommodation business			1,525,157		9,305		5,471
	Travel business			59,858		—		—
	Art/sports, leisure service			1,467,643		17,739		—
	Food business			1,078,832		2,515		—
	Transportation business			395,873		461		8,752
	Education business			367,701		489		—
	Others			1,286,578		2,691		—
	Sub-total			8,659,994		48,717		19,684
Manufacturing	Textile			2,281,344		6,608		6,559
	Metal			1,390,290		47,903		—
	Non-metal			698,478		8,357		—
	Chemical			1,819,207		19,161		—
	Transportation			3,268,095		2,060		—
	Electronics			1,424,297		19,280		—
	Cosmetics			323,231		217		—
	Others			368,123		277		—
	Sub-total			11,573,065		103,863		6,559
	Total			20,233,059		152,580		26,243
			December 31, 2020
---	---	---	---	---	---	---
			Off-balance accounts		Total
Service business	Distribution business	General retail<br>business		897,101		1,985,295
		General wholesale<br>business		483,360		1,894,496
	Sub-total			1,380,461		3,879,791
	Accommodation business			152,059		1,691,992
	Travel business			21,350		81,208
	Art/sports, leisure service			114,388		1,599,770
	Food business			135,680		1,217,027
	Transportation business			193,578		598,664
	Education business			48,064		416,254
	Others			318,641		1,607,910
	Sub-total			2,364,221		11,092,616
Manufacturing	Textile			1,064,005		3,358,516
	Metal			1,581,887		3,020,080
	Non-metal			377,506		1,084,341
	Chemical			3,233,405		5,071,773
	Transportation			2,183,616		5,453,771
	Electronics			1,789,605		3,233,182
	Cosmetics			54,518		377,966
	Others			1,483,551		1,851,951
	Sub-total			11,768,093		23,451,580
	Total			14,132,314		34,544,196

• 32 -

< Woori Card Co., Ltd. >

	June 30, 2021
	Loans and other<br>financial assets at<br>amortized cost		Financial assets<br>at FVTPL		Financial assets<br>at FVTOCI		Off-balance<br>accounts		Total
Accommodation business		2,401		—		—		11,885		14,286
Travel business		2,143		—		—		23,108		25,251
Aviation		401		—		—		4,207		4,608
Cosmetics industry		2,889		—		—		12,168		15,057
Distribution business		6,986		—		—		39,566		46,552
Food industry		29,960		—		—		138,292		168,252
Art/sports, leisure service		6,991		—		—		47,150		54,141
Total		51,771		—		—		276,376		328,147
	December 31, 2020
---	---	---	---	---	---	---	---	---	---	---
	Loans and other<br>financial assets at<br>amortized cost		Financial assets<br>at FVTPL		Financial assets<br>at FVTOCI		Off-balance<br>accounts		Total
Accommodation business		4,959		—		—		12,315		17,274
Travel business		2,175		—		—		25,367		27,542
Aviation		479		—		—		4,179		4,658
Cosmetics industry		2,462		—		—		13,376		15,838
Distribution business		8,050		—		—		44,354		52,404
Food industry		33,084		—		—		163,711		196,795
Art/sports, leisure service		6,156		—		—		51,962		58,118
Total		57,365		—		—		315,264		372,629

• 33 -

<Woori Financial Capital Co., Ltd.>

			June 30, 2021
			Loans and other<br>financial assets at<br>amortized cost		Financial assets<br>at FVTPL		Financial assets<br>at FVTOCI
Service business	Distribution business	General retail<br>business		103,009		—		—
		General wholesale<br>business		388,532		—		—
		Sub-total		491,541		—		—
	Accommodation business			8,213		—		—
	Travel business			67		—		—
	Art/sports, leisure service			9,434		—		—
	Food business			25,926		—		—
	Transportation business			63,857		—		—
	Education business			2,317		—		—
	Others			46,756		—		—
	Sub-total			648,111		—		—
Manufacturing	Textile			85		—		—
	Metal			10,333		—		—
	Non-metal			7,748		—		—
	Chemical			2,777		—		—
	Transportation			1,533		—		—
	Electronics			1,122		—		—
	Others			192,100		—		—
	Sub-total			215,698		—		—
Total COVID-19 vulnerable business				863,809		—		—
Other business	Others			5,902,636		20,100		—
	Total			6,766,445		20,100		—
			June 30, 2021
---	---	---	---	---	---	---
			Off-balance accounts		Total
Service business	Distribution business	General retail<br>business		—		103,009
		General wholesale<br>business		—		388,532
	Sub-total			—		491,541
	Accommodation business			—		8,213
	Travel business			—		67
	Art/sports, leisure service			—		9,434
	Food business			—		25,926
	Transportation business			—		63,857
	Education business			—		2,317
	Others			800		47,556
	Sub-total			800		648,911
Manufacturing	Textile			—		85
	Metal			—		10,333
	Non-metal			—		7,748
	Chemical			—		2,777
	Transportation			—		1,533
	Electronics			—		1,122
	Others			2,766		194,866
	Sub-total			2,766		218,464
Total COVID-19 vulnerable business				3,566		867,375
Other business	Others			931,395		6,854,131
	Total			934,961		7,721,506

• 34 -

			December 31, 2020
			Loans and other<br>financial assets at<br>amortized cost		Financial assets<br>at FVTPL		Financial assets<br>at FVTOCI
Service business	Distribution business	General retail<br>business		8,978		—		—
		General wholesale<br>business		57,587		—		—
		Sub-total		66,565		—		—
	Accommodation business			6,292		—		—
	Travel business			1,293		—		—
	Art/sports, leisure service			615		—		—
	Food business			21,774		—		—
	Transportation business			28,270		—		—
	Education business			1,132		—		—
	Others			365,860		27,364		—
	Sub-total			491,801		27,364		—
Manufacturing	Textile			29,415		—		—
	Metal			17,963		—		—
	Non-metal			4,780		—		—
	Chemical			2,501		—		—
	Transportation			52,514		—		—
	Electronics			12,665		—		—
	Others			5,335		—		—
	Sub-total			125,173		—		—
Total COVID-19 vulnerable business				616,974		27,364		—
Other business	Others			6,202,754		225,078		—
	Total			6,819,728		252,442		—
			December 31, 2020
---	---	---	---	---	---	---
			Off-balance accounts		Total
Service business	Distribution business	General retail<br>business		—		8,978
		General wholesale<br>business		—		57,587
	Sub-total			—		66,565
	Accommodation business			—		6,292
	Travel business			—		1,293
	Art/sports, leisure service			—		615
	Food business			—		21,774
	Transportation business			—		28,270
	Education business			—		1,132
	Others			38,681		431,905
	Sub-total			38,681		557,846
Manufacturing	Textile			—		29,415
	Metal			3,365		21,328
	Non-metal			—		4,780
	Chemical			—		2,501
	Transportation			—		52,514
	Electronics			—		12,665
	Others			—		5,335
	Sub-total			3,365		128,538
Total COVID-19 vulnerable business				42,046		686,384
Other business	Others			333,766		6,761,598
	Total			375,812		7,447,982

• 35 -

< Woori Investment Bank Co., Ltd. >

	June 30, 2021
	Loans and other<br>financial assets at<br>amortized cost		Financial assets<br>at FVTPL		Financial assets<br>at FVTOCI		Off-balance<br>accounts		Total
Accommodation business		43,498		—		—		—		43,498
Distribution business		25,156		—		—		—		25,156
Art/sports, leisure service		21,349		—		—		—		21,349
Total		90,003		—		—		—		90,003
	December 31, 2020
---	---	---	---	---	---	---	---	---	---	---
	Loans and other<br>financial assets at<br>amortized cost		Financial assets<br>at FVTPL		Financial assets<br>at FVTOCI		Off-balance<br>accounts		Total
Accommodation business		44,900		—		—		—		44,900
Distribution business		15,716		20,000		—		—		35,716
Art/sports, leisure service		28,000		—		—		—		28,000
Total		88,616		20,000		—		—		108,616

• 36 -

3)	Credit risk exposure
a)	Financial assets
---	---

The maximum exposure to credit risk by asset quality, except for financial assets at FVTPL and derivative asset (Designated for hedging) as of June 30, 2021 and December 31, 2020 is as follows (Unit: Korean Won in millions):

	June 30, 2021
	Stage 1				Stage 2				Stage 3		Total		Loss<br>allowance			Total, net
	Above<br>appropriate<br>credit rating<br>(*1)		Less than a<br>limited credit<br>rating<br>(*2)		Above<br>appropriate<br>credit rating<br>(*1)		Less than a<br>limited<br>credit rating<br>(*2)
Loans and other financial assets at amortized cost		302,137,318		20,725,851		11,776,942		10,941,452		1,534,040		347,115,603		(1,965,178	)		345,150,425
Korean treasury and government agencies		20,641,949		2,131		—		—		—		20,644,080		(5,032	)		20,639,048
Banks		18,509,797		81,109		59,884		—		36,223		18,687,013		(12,962	)		18,674,051
Corporates		102,330,464		14,241,769		2,100,146		4,412,048		755,720		123,840,147		(1,163,131	)		122,677,016
General business		66,323,106		7,027,239		1,550,692		3,093,642		580,577		78,575,256		(871,875	)		77,703,381
Small- and medium-sized enterprise		30,234,554		6,597,387		549,454		1,278,247		157,763		38,817,405		(257,336	)		38,560,069
Project financing and others		5,772,804		617,143		—		40,159		17,380		6,447,486		(33,920	)		6,413,566
Consumers		160,655,108		6,400,842		9,616,912		6,529,404		742,097		183,944,363		(784,053	)		183,160,310
Securities at amortized cost		15,729,515		—		—		—		—		15,729,515		(4,274	)		15,725,241
Financial assets at FVTOCI (*3)		28,892,167		158,625		—		—		—		29,050,792		(10,192	)		29,050,792
Total		346,759,000		20,884,476		11,776,942		10,941,452		1,534,040		391,895,910		(1,979,644	)		389,926,458
	June 30, 2021
---	---	---	---	---	---	---	---	---
	Collateral value
	Stage 1		Stage 2		Stage 3		Total
Loans and other financial assets at amortized cost		197,236,246		17,471,180		690,363		215,397,789
Korean treasury and government agencies		19,195		—		—		19,195
Banks		1,230,122		—		—		1,230,122
Corporates		69,593,805		4,653,583		398,205		74,645,593
General business		38,074,043		3,192,489		314,136		41,580,668
Small- and medium-sized enterprise		28,644,410		1,461,094		83,854		30,189,358
Project financing and others		2,875,352		—		215		2,875,567
Consumers		126,393,124		12,817,597		292,158		139,502,879
Securities at amortized cost		—		—		—		—
Financial assets at FVTOCI (*3)		—		—		—		—
Total		197,236,246		17,471,180		690,363		215,397,789
(*1)	Credit grade of corporates are AAA ~ BBB, and consumers are grades 1 ~ 6.
---	---
(*2)	Credit grade of corporates are BBB- ~ C, and consumers are grades 7 ~<br>10.
---	---
(*3)	Financial assets at FVTOCI has been disclosed as the amount before deducting allowance for credit losses<br>because allowance for credit losses does not reduce the carrying amount.
---	---

• 37 -

	December 31, 2020
	Stage 1				Stage 2				Stage 3		Total		Loss<br>allowance			Total, net
	Above<br>appropriate<br>credit rating<br>(*1)		Less than a<br>limited credit<br>rating<br>(*2)		Above<br>appropriate<br>credit rating<br>(*1)		Less than a<br>limited<br>credit rating<br>(*2)
Loans and other financial assets at amortized cost		278,729,012		21,249,885		10,356,251		10,143,839		1,623,276		322,102,263		(1,996,185	)		320,106,078
Korean treasury and government agencies		9,674,891		1,063		52,279		—		—		9,728,233		(2,514	)		9,725,719
Banks		19,301,570		105,890		75,876		—		25,598		19,508,934		(15,745	)		19,493,189
Corporates		93,889,922		14,873,376		1,890,564		3,860,389		839,234		115,353,485		(1,221,491	)		114,131,994
General business		61,082,336		9,013,955		1,349,053		2,585,868		576,078		74,607,290		(869,744	)		73,737,546
Small- and medium-sized enterprise		27,504,992		5,415,312		538,909		1,207,706		227,003		34,893,922		(304,077	)		34,589,845
Project financing and others		5,302,594		444,109		2,602		66,815		36,153		5,852,273		(47,670	)		5,804,603
Consumers		155,862,629		6,269,556		8,337,532		6,283,450		758,444		177,511,611		(756,435	)		176,755,176
Securities at amortized cost		17,025,405		—		—		—		—		17,025,405		(4,566	)		17,020,839
Financial assets at FVTOCI (*3)		28,789,281		158,860		—		—		—		28,948,141		(9,631	)		28,948,141
Total		324,543,698		21,408,745		10,356,251		10,143,839		1,623,276		368,075,809		(2,010,382	)		366,075,058
	December 31, 2020
---	---	---	---	---	---	---	---	---
	Collateral value
	Stage 1		Stage 2		Stage 3		Total
Loans and other financial assets at amortized cost		187,731,443		15,677,871		696,709		204,106,023
Korean treasury and government agencies		19,280		—		—		19,280
Banks		1,003,971		—		—		1,003,971
Corporates		62,817,305		3,963,101		400,340		67,180,746
General business		35,578,470		2,670,480		271,815		38,520,765
Small- and medium-sized enterprise		25,404,002		1,290,941		118,265		26,813,208
Project financing and others		1,834,833		1,680		10,260		1,846,773
Consumers		123,890,887		11,714,770		296,369		135,902,026
Securities at amortized cost		—		—		—		—
Financial assets at FVTOCI (*3)		—		—		—		—
Total		187,731,443		15,677,871		696,709		204,106,023
(*1)	Credit grade of corporates are AAA ~ BBB, and consumers are grades 1 ~ 6.
---	---
(*2)	Credit grade of corporates are BBB- ~ C, and consumers are grades 7 ~<br>10.
---	---
(*3)	Financial assets at FVTOCI has been disclosed as the amount before deducting allowance for credit losses<br>because allowance for credit losses does not reduce the carrying amount.
---	---

• 38 -

b)	Guarantees and commitments

The credit quality of the guarantees and loan commitments as of June 30, 2021 and December 31, 2020 are as follows (Unit: Korean Won in millions):

	June 30, 2021
Financial assets	Stage 1				Stage 2				Stage 3		Total
	Above<br>appropriate<br>credit rating<br>(*1)		Less than a<br>limited<br>credit rating<br>(*2)		Above<br>appropriate<br>credit rating<br>(*1)		Less than a<br>limited<br>credit rating<br>(*2)
Off-balance accounts
Guarantees		11,582,985		498,333		24,308		171,575		77,549		12,354,750
Loan Commitments		108,309,688		2,766,775		2,156,009		1,035,607		2,725		114,270,804
Total		119,892,673		3,265,108		2,180,317		1,207,182		80,274		126,625,554
(*1)	Credit grade of corporates are AAA ~ BBB, and consumers are grades 1 ~ 6.
---	---
(*2)	Credit grade of corporate are BBB- ~ C, and consumers are grades 7 ~<br>10.
---	---
	December 31, 2020
---	---	---	---	---	---	---	---	---	---	---	---	---
Financial assets	Stage 1				Stage 2				Stage 3		Total
	Above<br>appropriate<br>credit rating<br>(*1)		Less than a<br>limited<br>credit rating<br>(*2)		Above<br>appropriate<br>credit rating<br>(*1)		Less than a<br>limited<br>credit rating<br>(*2)
Off-balance accounts
Guarantees		10,152,900		1,382,592		11,504		191,962		70,498		11,809,456
Loan Commitments		105,108,967		4,045,595		1,951,649		977,185		5,284		112,088,680
Total		115,261,867		5,428,187		1,963,153		1,169,147		75,782		123,898,136
(*1)	Credit grade of corporates are AAA ~ BBB, and consumers are grades 1 ~ 6.
---	---
(*2)	Credit grade of corporate are BBB- ~ C, and consumers are grades 7 ~<br>10.
---	---
4)	Collateral and other credit enhancements
---	---

For the six-month period ended June 30, 2021 and for the year ended December 31, 2020, there have been no significant changes in the value of collateral or other credit enhancements held by the Group and there have been no significant changes in collateral or other credit enhancements due to changes in the collateral policy of the Group.

• 39 -

(2)	Market risk

Market risk is the possible risk of loss arising from trading position and non-trading position as a result of the volatility of market factors such as interest rates, stock prices and foreign exchange rates.

1)	Market risk management

Market risk management refers to the process of making and implementing decisions for the avoidance, acceptance or mitigation of risks by identifying the underlying source of the risks and measuring its level, and evaluating the appropriateness of the level of accepted market risks.

a)	Trading activities

The Group uses the standard method and the internally developed model (the Bank) in measuring market risk for trading positions, and allocates market risk capital through the Risk Management Committee. Risk management departments of the Group and its subsidiaries manage limits in detail including those on risk and loss with their management result regularly reported to the Risk Management Committee.

Woori Bank, a subsidiary of the Group, uses the internal model approved by the Financial Supervisory Service to measure the VaR using the Historical Simulation Method based on a 99% confidence level and a 10-day retention period, and calculates the required capital risk for calculating the BIS ratio. For internal management purposes, limit management is performed on a daily basis measuring VaR based on a 99% confidence and 1-day retention period. In addition, Woori Bank perform a daily verification that compares VaR measurement and profit and loss to verify the suitability of the model.

The minimum, maximum and average VaR of the Bank for the six-month period June 30, 2021 and for the year ended December 31, 2020, and the VaR of the Bank as of June 30, 2021 and December 31, 2020 are as follows (Unit: Korean Won in millions):

	June 30,<br>2021				For the six-month period ended<br>June 30, 2021									December 31,<br>2020			For the year ended<br>December 31, 2020
Risk factor				Average				Maximum			Minimum				Average				Maximum		Minimum
Interest rate		4,702				5,277			14,017			2,405			6,815			7,959		15,065		2,427
Stock price		3,955				3,350			6,423			1,797			2,283			5,783		14,394		1,982
Foreign currencies		5,412				7,799			13,144			4,767			11,160			8,814		11,233		4,613
Diversification		(7,006	)			(8,565	)		(19,753	)		(3,835	)		(11,087	)		(11,175	)	(18,796	)	(3,452	)
Total VaR(*)		7,063				7,861			13,831			5,134			9,171			11,381		21,896		5,570
(*)	VaR (Value at Risk): Retention period of 1-day, Maximum expected losses<br>under 99% level of confidence.
---	---

• 40 -

b)	Non-trading activities

From the end of 2019 for the Bank and the beginning of 2021 for non-banking subsidiaries, the Bank and its subsidiaries manage and measure interest risk for non-trading activities through DNII(Change in Net Interest Income) and DEVE(Change in Economic Value of Equity) in accordance with IRRBB(Interest Rate Risk in the Banking Book).

DNII represents a change in net interest income that may occur over a certain period (e.g. one year) due to changes in net interest income, and DEVE indicates the economic value changes in equity capital that could be caused by changes in interest rates affecting the present value of asset, liabilities, and others.

DEVE and DNII calculated on interest risk in banking book(IRRBB) basis for assets and liabilities by subsidiary as of the end of June 30, 2021 and December 31, 2020 are as follows(Unit: Korean Won in millions):

	June 30, 2021				December 31, 2020 (*3)
	DEVE<br>(*1)		DNII<br>(*2)		DEVE<br>(*1)		DNII<br>(*2)
Woori Bank		865,853		51,578		634,596		66,138
Woori Card Co., Ltd.		119,363		31,024		—		—
Woori Financial Capital Co., Ltd.		53,691		2,433		—		—
Woori Investment Bank Co., Ltd.		7,442		18,171		—		—
Woori Asset Trust Co., Ltd.		1,642		903		—		—
Woori Asset Management Corp.		1,486		265		—		—
Woori Savings Bank		13,047		86		—		—
Woori Private Equity Asset Management Co., Ltd.		1,367		47		—		—
Woori Global Asset Management Co., Ltd.		353		68		—		—
(*1)	DEVE: change in Economic Value of Equity
---	---
(*2)	DNII: change in Net Interest Income
---	---
(*3)	As of December 31, 2020, for the remaining subsidiaries except the bank, consolidated trusts, and<br>consolidated subsidiaries of the bank, EVE and NII were not calculated.
---	---

For the remaining subsidiaries except the Bank, consolidated trusts, and consolidated subsidiaries of the Bank as of December 31, 2020, the interest rate EaR and VaR calculated based on the BIS Framework are as follows (Unit: Korean Won in millions):

	December 31, 2020
	EaR (*1)		VaR (*2)
Woori Card Co., Ltd.		106,645		157,085
Woori Financial Capital Co., Ltd.		3,701		12,550
Woori Investment Bank Co., Ltd.		1,479		5,005
Woori Asset Trust Co., Ltd.		3,211		398
Woori Asset Management Corp.		64		493
Woori Private Equity Asset Management Co., Ltd.		193		37
Woori Global Asset Management Co., Ltd.		119		318
(*1)	EaR (Earning at Risk): Change of maximum expected income and expense
---	---
(*2)	VaR (Value at Risk): Maximum expected losses
---	---

• 41 -

The Group estimates and manages risks related to changes in interest rate due to the difference in the maturities of interest-bearing assets and liabilities and discrepancies in the terms of interest rates. Cash flows (both principal and interest), interest bearing assets and liabilities, presented by each re-pricing date, are as follows (Unit: Korean Won in millions):

	June 30, 2021
	Within 3<br>months		4 to 6<br>months		7 to 9<br>months		10 to 12<br>months		1 to 5<br>years		Over 5<br>years		Total
Asset:
Loans and other financial assets at amortized cost		185,900,839		50,720,981		16,577,249		16,808,522		64,967,665		4,504,350		339,479,606
Financial assets at FVTPL		743,809		85,804		53,502		53,270		339,354		16,857		1,292,596
Financial assets at FVTOCI		4,166,280		1,972,127		2,833,413		4,080,867		15,978,972		551,087		29,582,746
Securities at amortized cost		1,219,155		1,864,315		1,120,867		952,209		9,974,120		1,262,559		16,393,225
Total		192,030,083		54,643,227		20,585,031		21,894,868		91,260,111		6,334,853		386,748,173
Liability:
Deposits due to customers		132,225,484		53,393,496		38,059,940		19,876,450		58,716,564		59,095		302,331,029
Borrowings		11,797,382		3,164,618		1,032,689		1,498,079		4,710,877		463,998		22,667,643
Debentures		4,317,821		3,343,191		2,739,535		3,306,657		25,574,575		3,303,981		42,585,760
Total		148,340,687		59,901,305		41,832,164		24,681,186		89,002,016		3,827,074		367,584,432
	December 31, 2020
---	---	---	---	---	---	---	---	---	---	---	---	---	---	---
	Within 3<br>months		4 to 6<br>months		7 to 9<br>months		10 to 12<br>months		1 to 5<br>years		Over 5<br>years		Total
Asset:
Loans and other financial assets at amortized cost		177,214,415		54,035,826		12,410,513		11,140,520		64,799,854		5,170,572		324,771,700
Financial assets at FVTPL		609,542		263,510		91,791		94,879		150,148		13,239		1,223,109
Financial assets at FVTOCI		4,344,718		3,339,086		3,751,882		2,915,238		14,648,033		473,124		29,472,081
Securities at amortized cost		1,372,094		1,471,309		933,715		1,869,352		11,080,632		1,018,002		17,745,104
Total		183,540,769		59,109,731		17,187,901		16,019,989		90,678,667		6,674,937		373,211,994
Liability:
Deposits due to customers		127,557,303		46,471,099		35,455,403		29,354,652		52,395,811		50,655		291,284,923
Borrowings		11,223,338		2,832,846		1,126,728		949,892		3,828,384		452,495		20,413,683
Debentures		3,246,233		3,396,427		3,929,346		3,495,915		21,899,788		3,257,026		39,224,735
Total		142,026,874		52,700,372		40,511,477		33,800,459		78,123,983		3,760,176		350,923,341
2)	Currency risk
---	---

Currency risk arises from the financial instruments denominated in foreign currencies other than the functional currency. Therefore, no currency risk arises from non-monetary items or financial instruments denominated in the functional currency.

• 42 -

Financial instruments in foreign currencies exposed to currency risk as of June 30, 2021 and December 31, 2020 are as follows (Unit: USD in millions, JPY in millions, CNY in millions, EUR in millions, and Korean Won in millions):

		June 30, 2021
								CNY							Others		Total
		Foreigncurrency	Korean Won<br>equivalent		Foreigncurrency	Korean<br>Won<br>equivalent		Foreign<br>currency		Korean<br>Won<br>equivalent		Foreigncurrency	Korean<br>Won<br>equivalent		Korean<br>Won<br>equivalent		Korean Won<br>equivalent
Asset	Cash and cash equivalents			6,264,205			146,557		2,607		455,813			151,698		581,084		7,599,357
	Loans and other financial assets at amortized cost			27,113,097			1,578,243		23,349		4,082,294			2,612,078		5,769,496		41,155,208
	Financial assets at FVTPL			418,617			203,877		14		2,451			499,227		32,939		1,157,111
	Financial assets at FVTOCI			3,101,436			—		4,658		814,484			54,024		630,325		4,600,269
	Securities at amortized cost			275,919			—		848		148,306			27,945		123,937		576,107
Total				37,173,274			1,928,677		31,476		5,503,348			3,344,972		7,137,781		55,088,052
Liability	Financial liabilities at FVTPL			397,497			288,145		—		—			312,517		154,762		1,152,921
	Deposits due to customers			20,988,030			2,280,380		22,724		3,973,125			1,846,816		4,089,854		33,178,205
	Borrowings			5,719,103			158,661		1,305		228,173			600,023		1,577,613		8,283,573
	Debentures			4,564,641			—		—		—			—		338,742		4,903,383
	Other financial liabilities			2,686,674			81,094		5,877		1,027,595			272,021		429,277		4,496,661
Total				34,355,945			2,808,280		29,906		5,228,893			3,031,377		6,590,248		52,014,743
Off-balance accounts				9,366,070			310,213		2,316		404,936			689,299		725,560		11,496,078

All values are in US Dollars.

		December 31, 2020
								CNY							Others		Total
		Foreigncurrency	Korean Won<br>equivalent		Foreigncurrency	Korean<br>Won<br>equivalent		Foreign<br>currency		Korean<br>Won<br>equivalent		Foreigncurrency	Korean<br>Won<br>equivalent		Korean<br>Won<br>equivalent		Korean Won<br>equivalent
Asset	Cash and cash equivalents			6,074,879			240,710		4,580		764,686			154,154		501,900		7,736,329
	Loans and other financial assets at amortized cost			23,595,957			1,821,554		24,230		4,045,435			2,678,382		4,857,438		36,998,766
	Financial assets at FVTPL			304,146			198,781		73		11,989			332,182		88,745		935,843
	Financial assets at FVTOCI			2,981,832			—		2,601		434,258			49,789		565,893		4,031,772
	Securities at amortized cost			347,570			—		—		—			45,197		115,534		508,301
Total				33,304,384			2,261,045		31,484		5,256,368			3,259,704		6,129,510		50,211,011
Liability	Financial liabilities at FVTPL			463,678			152,792		—		—			211,525		115,429		943,424
	Deposits due to customers			18,130,448			2,320,983		26,733		4,463,300			2,050,400		3,443,631		30,408,762
	Borrowings			6,154,464			510,750		—		—			789,955		697,234		8,152,403
	Debentures			4,322,800			—		—		—			—		444,711		4,767,511
	Other financial liabilities			2,590,147			70,690		1,853		309,319			85,553		193,128		3,248,837
Total				31,661,537			3,055,215		28,586		4,772,619			3,137,433		4,894,133		47,520,937
Off-balance accounts				8,095,297			263,478		3,007		502,106			712,846		556,988		10,130,715

All values are in US Dollars.

• 43 -

(3)	Liquidity risk

Liquidity risk refers to the risk that the Group may encounter difficulties in meeting obligations from its financial liabilities.

1)	Liquidity risk management

Liquidity risk management is to prevent potential cash shortages as a result of mismatching the use of funds (assets) and sources of funds (liabilities) or unexpected cash outflows. The financial liabilities that are relevant to liquidity risk are incorporated within the scope of risk management. Derivatives instruments are excluded from those financial liabilities as they reflect expected cash flows for a pre-determined period.

Assets and liabilities are grouped by account under Asset Liability Management (“ALM”) in accordance with the characteristics of the account. The Group manages liquidity risk by identifying the maturity gap and such gap ratio through various cash flows analysis (i.e. based on remaining maturity and contract period, etc.), while maintaining the gap ratio at or below the target limit.

2)	Maturity analysis of non-derivative financial liabilities<br>

a) Cash flows of principals and interests by remaining contractual maturities of non-derivative financial liabilities as of June 30, 2021 and December 31, 2020 are as follows (Unit: Korean Won in millions):

	June 30, 2021
	Within 3<br>months		4 to 6<br>months		7 to 9<br>months		10 to 12<br>months		1 to 5<br>years		Over 5<br>years		Total
Financial liabilities at FVTPL		80,452		21,069		21,927		147,028		—		—		270,476
Deposits due to customers		205,113,826		39,145,113		25,694,469		23,401,034		9,267,620		1,727,436		304,349,498
Borrowings		9,742,709		3,703,637		1,731,057		2,158,344		4,861,940		475,298		22,672,985
Debentures		4,317,821		3,343,191		2,739,535		3,306,657		25,574,575		3,303,981		42,585,760
Lease liabilities		45,250		39,167		30,682		41,017		150,566		37,238		343,920
Other financial liabilities		15,726,252		64,108		14,760		31,107		615,457		1,510,559		17,962,243
Total		235,026,310		46,316,285		30,232,430		29,085,187		40,470,158		7,054,512		388,184,882
	December 31, 2020
---	---	---	---	---	---	---	---	---	---	---	---	---	---	---
	Within 3<br>months		4 to 6<br>months		7 to 9<br>months		10 to 12<br>months		1 to 5<br>years		Over 5<br>years		Total
Financial liabilities at FVTPL		64,183		135,232		42,418		112,102		—		—		353,935
Deposits due to customers		191,660,253		34,349,298		25,213,410		31,144,452		9,230,904		1,793,143		293,391,460
Borrowings		10,159,819		2,524,572		1,714,490		1,866,810		4,177,634		463,376		20,906,701
Debentures		3,246,233		3,396,427		3,929,346		3,495,915		21,899,788		3,257,228		39,224,937
Lease liabilities		53,429		44,551		40,809		34,761		201,113		34,780		409,443
Other financial liabilities		8,121,978		70,277		10,294		10,897		451,096		2,142,772		10,807,314
Total		213,305,895		40,520,357		30,950,767		36,664,937		35,960,535		7,691,299		365,093,790

• 44 -

b) Cash flows of principals and interests by expected maturities of non-derivative financial liabilities as of June 30, 2021 and December 31, 2020 are as follows (Unit: Korean Won in millions):

	June 30, 2021
	Within 3<br>months		4 to 6<br>months		7 to 9<br>months		10 to 12<br>months		1 to 5<br>years		Over 5<br>years		Total
Financial liabilities at FVTPL		80,452		21,069		21,927		147,028		—		—		270,476
Deposits due to customers		212,294,262		40,187,821		24,220,703		19,252,790		7,886,088		109,812		303,951,476
Borrowings		9,742,709		3,703,637		1,731,057		2,158,344		4,861,940		475,298		22,672,985
Debentures		4,317,821		3,343,191		2,739,535		3,306,657		25,574,575		3,303,981		42,585,760
Lease liabilities		45,391		39,480		32,078		41,768		155,891		38,947		353,555
Other financial liabilities		15,721,019		63,646		14,951		30,385		622,564		1,510,142		17,962,707
Total		242,201,654		47,358,844		28,760,251		24,936,972		39,101,058		5,438,180		387,796,959
	December 31, 2020
---	---	---	---	---	---	---	---	---	---	---	---	---	---	---
	Within 3<br>months		4 to 6<br>months		7 to 9<br>months		10 to 12<br>months		1 to 5<br>years		Over 5<br>years		Total
Financial liabilities at FVTPL		68,909		131,496		41,428		112,102		—		—		353,935
Deposits due to customers		199,931,480		35,912,096		23,924,403		25,477,917		7,582,278		105,413		292,933,587
Borrowings		10,159,819		2,524,572		1,714,490		1,866,810		4,177,634		463,376		20,906,701
Debentures		3,246,233		3,396,427		3,929,346		3,495,915		21,899,788		3,257,228		39,224,937
Lease liabilities		53,429		44,894		40,949		35,074		208,125		36,950		419,421
Other financial liabilities		8,121,978		70,277		10,294		10,897		451,096		2,142,772		10,807,314
Total		221,581,848		42,079,762		29,660,910		30,998,715		34,318,921		6,005,739		364,645,895
3)	Maturity analysis of derivative financial liabilities
---	---

Derivatives held for trading purpose are not managed in accordance with their contractual maturity, since the Group holds such financial instruments with the purpose of disposing or redemption before their maturity. As such, those derivatives are incorporated as “within 3 months” in the table below. Derivatives designated for hedging purpose are estimated by offsetting cash inflows and cash outflows.

The cash flow by the maturity of derivative financial liabilities as of June 30, 2021 and December 31, 2020 is as follows (Unit: Korean Won in millions):

		Remaining maturity
		Within 3<br>months			4 to 6<br>months			7 to 9<br>months			10 to 12<br>months			1 to 5<br>years		Over 5<br>years			Total
June 30, 2021	Cash flow risk hedge		723			595			(94	)		2,742			30,554		(16	)		34,504
	Fair value risk hedge		(1,446	)		347			(1,406	)		418			12,548		—			10,461
	Trading purpose		3,657,360			—			—			—			—		—			3,657,360
December 31, 2020	Cash flow risk hedge		2,655			6,004			515			239			55,744		—			65,157
	Fair value risk hedge		255			(302	)		233			(287	)		126		—			25
	Trading purpose		6,460,472			—			—			—			—		—			6,460,472
4)	Maturity analysis of off-balance accounts (Guarantees loan commitments<br>and others)
---	---

A financial guarantee represents an irrevocable undertaking that the Group should meet a customer’s obligations to third parties if the customer fails to do so. The loan commitment represents the limit if the Group has promised a credit to the customer. Commitments to lend include commercial standby facilities and credit lines, liquidity facilities to commercial paper conduits and utilized overdraft facilities. The maximum limit to be paid by the Group in accordance with guarantees and loan commitment only applies to principal amounts. There are contractual maturities for financial guarantees, such as guarantees for debentures issued or loans, unused loan commitments, and other guarantees, however, under the terms of the guarantees and unused loan commitments, funds should be paid upon demand from the counterparty. Details of off-balance accounts are as follows (Unit: Korean Won in millions):

	June 30, 2021		December 31, 2020
Guarantees		12,354,750		11,809,456
Loan commitments		114,270,804		112,088,680
Other commitments		3,788,926		4,933,086

• 45 -

(4)	Operational risk

The Group defines the operational risk that could cause a negative effect on capital resulting from inadequate internal process, labor work and systematic problem or external factors.

1)	Operational risk management

The Group has established and operated an operating risk management system to strengthen external competitiveness, reduce risk capital volume, enhance operational risk management capacity and prevent accidents through compliance with Basel II, and has obtained approval from the Financial Supervisory Service for “Advanced Measurement Approaches”(AMA) based on self-compliance verification and independent third-party inspection results.

2)	Operational risk measurement

The Group is applying the basic indicator method for the purpose of calculating the regulatory capital of operation risk, and the Bank is applying the advanced measurement method. The Bank applies AMA using internal and external loss data, business environment and internal control factors, and scenario analysis.

• 46 -

5.	OPERATING SEGMENTS

In evaluating the results of the Group and allocating resources, the Group’s Chief Operation Decision Maker (“CODM”) utilizes the information per type of customers. This financial information of the segments is regularly reviewed by the CODM to make decisions about resources to be allocated to each segment and evaluate its performance.

(1)	Segment by type of organization

The Group’s reporting segments consist of banking, credit card, capital, investment banking and other sectors, and the composition of such reporting segments was divided based on internal report data periodically reviewed by the management to evaluate the performance of the segment and make decisions on the resources to be distributed.

	Operational scope
Banking	Loans/deposits, financial services and other relevant services for customers of Woori Bank
Credit card	Credit card, cash services, card loans and other relevant services of Woori Card Co., Ltd.
Capital	Installments, loans including lease financing and other relevant services of Woori Financial Capital Co., Ltd.
Investment banking	Securities operation, sale of financial instruments, project financing and other related services for comprehensive financing of Woori Investment Bank Co., Ltd.
Others	Woori Financial Group Inc., Woori Asset Trust Co., Ltd., Woori Asset Management Corp., Ltd., Woori Savings Bank, Woori Credit Information Co., Ltd., Woori Fund Services Inc., Woori Private Equity Asset Management Co., Ltd., Woori<br>Global Asset Management Co., Ltd., Woori FIS Co., Ltd. and Woori Finance Research Institute
(2)	The details of income (expense) by each segment are as follows (Unit: Korean Won in millions):<br>
---	---
	For the six-month period ended June 30, 2021
---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---
	Banking (*1)			Credit<br>card			Capital			Investment<br>banking			Others (*2)			Sub-total			Adjustments (*3)			Total
Net interest income		2,455,888			289,977			144,326			51,365			12,114			2,953,670			368,949			3,322,619
Non-interest income(expense)		880,871			43,409			41,251			27,751			889,701			1,882,983			(1,161,693	)		721,290
Impairment losses due to credit loss		(76,945	)		(66,694	)		(31,589	)		2,566			(3,646	)		(176,308	)		(28,268	)		(204,576	)
General and administrative expense		(1,604,531	)		(102,815	)		(41,224	)		(24,014	)		(216,169	)		(1,988,753	)		133,260			(1,855,493	)
Net operating income(expense)		1,655,283			163,877			112,764			57,668			682,000			2,671,592			(687,752	)		1,983,840
Non-operating income(expense)		32,073			(2,701	)		(15,851	)		(271	)		2,660			15,910			17,998			33,908
Net income(expense) before tax		1,687,356			161,176			96,913			57,397			684,660			2,687,502			(669,754	)		2,017,748
Tax income(expense)		(403,630	)		(39,741	)		(14,386	)		(13,362	)		(8,811	)		(479,930	)		(567	)		(480,497	)
Net income(loss)		1,283,726			121,435			82,527			44,035			675,849			2,207,572			(670,321	)		1,537,251
Total assets		393,520,653			12,645,157			8,761,211			4,860,424			24,906,508			444,693,953			(23,423,347	)		421,270,606
Total liabilities		369,318,152			10,467,730			7,831,718			4,296,271			2,680,272			394,594,143			(1,483,711	)		393,110,432
(*1)	The banking sector includes banks and their consolidated subsidiaries (such as overseas subsidiaries)<br>
---	---
(*2)	Other segments include gains and losses from Woori Financial Group Inc., Woori Asset Trust Co., Ltd., Woori<br>Asset Management Corp., Woori Savings Bank, Woori Credit Information Co., Ltd., Woori Fund Service Inc., Woori Private Equity Asset Management Co., Ltd., Woori Global Asset Management Co., Ltd., Woori FIS Co., Ltd. and Woori Finance Research<br>Institute.
---	---
(*3)	Adjustments were made for the presentation of profit or loss in accordance with the Accounting Standards from<br>the reporting segments in accordance with the Managerial Accounting Standards.
---	---

• 47 -

	For the six-month period ended June 30, 2020
	Banking (*1)			Credit card			Investment<br>banking			Others (*2)			Sub-total			Adjustments (*3)			Total
Net interest income		2,271,005			280,777			35,066			737			2,587,585			353,264			2,940,849
Non-interest income(expense)		721,678			16,935			18,328			864,510			1,621,451			(1,153,465	)		467,986
Impairment losses due to credit loss		(337,796	)		(94,537	)		(727	)		(211	)		(433,271	)		(13,408	)		(446,679	)
General and administrative expense		(1,615,836	)		(96,684	)		(17,132	)		(189,974	)		(1,919,626	)		130,068			(1,789,558	)
Net operating income(expense)		1,039,051			106,491			35,535			675,062			1,856,139			(683,541	)		1,172,598
Non-operating expense		(125,655	)		(2,208	)		(294	)		(97	)		(128,254	)		(10,495	)		(138,749	)
Net income(expense) before tax		913,396			104,283			35,241			674,965			1,727,885			(694,036	)		1,033,849
Tax income(expense)		(222,569	)		(24,629	)		(3,806	)		(10,278	)		(261,282	)		1,466			(259,816	)
Net income(loss)		690,827			79,654			31,435			664,687			1,466,603			(692,570	)		774,033
Total assets (*4)		374,120,064			11,366,596			4,332,474			31,872,690			421,691,824			(22,610,807	)		399,081,017
Total liabilities (*4)		348,706,682			9,312,986			3,803,594			9,606,742			371,430,004			925,168			372,355,172
(*1)	Banking includes gains and losses from separate Bank and local subsidiaries abroad.
---	---
(*2)	Other subsidiaries include gains and losses from Woori Financial Group Inc., Woori Asset Trust Co., Ltd., Woori<br>Asset Management Corp., Woori Credit Information Co., Ltd., Woori Fund Service Inc., Woori Private Equity Asset Management Co., Ltd., Woori Global Asset Management Co., Ltd., Woori FIS Co., Ltd. and Woori Finance Research Institute.<br>
---	---
(*3)	Adjustments were made for the presentation of profit or loss in accordance with the Accounting Standards from<br>the reporting segments in accordance with the Managerial Accounting Standards.
---	---
(*4)	Total assets and liabilities are amounts at the end of the previous year.
---	---
(3)	Operating profit or loss from external customers for the six-month<br>periods ended June 30, 2021 and 2020 are as follows (Unit: Korean Won in millions):
---	---
	For the six-month period<br>ended June 30
---	---	---	---	---
	2021		2020
Domestic		1,834,105		1,108,347
Foreign		149,735		64,251
Total		1,983,840		1,172,598
(4)	Major non-current assets as of June 30, 2021 and December 31,<br>2020 are as follows (Unit: Korean Won in millions):
---	---
	June 30, 2021 (*)		December 31, 2020 (*)
---	---	---	---	---
Domestic		5,097,802		5,026,161
Foreign		429,930		433,869
Total		5,527,732		5,460,030
(*)	Major non-current assets included investments in joint ventures and<br>associates, investment properties, property, plant and equipment, and intangible assets.
---	---
(5)	Information about major customers
---	---

The Group does not have any single customer that generates 10% or more of the Group’s total revenue for the six-month periods ended June 30, 2021 and 2020.

• 48 -

6.	CASH AND CASH EQUIVALENTS

Details of cash and cash equivalents are as follows (Unit: Korean Won in millions):

	June 30, 2021		December 31, 2020
Cash		1,847,971		1,611,282
Foreign currencies		477,167		514,565
Demand deposits		7,413,388		7,314,353
Fixed deposits		672,820		550,783
Total		10,411,346		9,990,983
7.	FINANCIAL ASSETS AT FVTPL
---	---
(1)	Details of financial assets at FVTPL as of June 30, 2021 and December 31, 2020 are as follows (Unit:<br>Korean Won in millions):
---	---
	June 30, 2021		December 31, 2020
---	---	---	---	---
Financial assets at fair value through profit or loss measured at fair value		12,264,521		14,762,941
(2)	Financial assets at fair value through profit or loss measured at fair value are as follows (Unit: Korean Won<br>in millions):
---	---
	June 30, 2021		December 31, 2020
---	---	---	---	---
Deposits:
Gold banking asset		70,150		48,796
Securities:
Debt securities
Korean treasury and government agencies		905,866		1,020,418
Financial institutions		872,516		873,031
Corporates		698,529		761,681
Others		20,013		231,967
Equity securities		458,923		485,793
Capital contributions		987,813		865,685
Beneficiary certificates		3,701,141		2,812,558
Others		93,765		84,979
Sub-total		7,738,566		7,136,112
Loans		431,137		676,291
Derivatives assets		4,024,668		6,901,742
Total		12,264,521		14,762,941

The Group does not have financial assets at fair value through profit or loss designated as upon initial recognition as of June 30, 2021 and December 31, 2020.

• 49 -

8.	FINANCIAL ASSETS AT FVTOCI
(1)	Details of financial assets at FVTOCI as of June 30, 2021 and December 31, 2020 are as follows (Unit:<br>Korean Won in millions):
---	---
	June 30, 2021		December 31,<br>2020
---	---	---	---	---
Debt securities:
Korean treasury and government agencies		4,635,775		2,922,671
Financial institutions		15,467,380		17,996,660
Corporates		3,952,257		3,896,744
Bond denominated in foreign currencies		4,600,217		4,031,721
Securities loaned		395,163		100,345
Sub-total		29,050,792		28,948,141
Equity securities		1,234,099		1,080,788
Total		30,284,891		30,028,929
(2)	Details of equity securities designated as financial assets at FVTOCI as of June 30, 2021 and<br>December 31, 2020 are as follows (Unit: Korean Won in millions):
---	---
Purpose of acquisition	June 30, 2021		December 31, 2020		Remarks
---	---	---	---	---	---	---
Investment for strategic business partnership purpose		847,132		778,657
Debt-equity swap		386,961		302,090
Others		6		41		Development Trust management purpose, etc.
Total		1,234,099		1,080,788
(3)	Changes in the allowance for credit losses and gross carrying amount of financial assets at FVTOCI are as<br>follows (Unit: Korean Won in millions):
---	---
1)	Allowance for credit losses
---	---
	For the six-month period ended June 30, 2021
---	---	---	---	---	---	---	---	---	---	---
	Stage 1			Stage 2		Stage 3		Total
Beginning balance		(9,631	)		—		—		(9,631	)
Transfer to 12-month expected credit losses		—			—		—		—
Transfer to lifetime expected credit losses		—			—		—		—
Transfer to credit-impaired financial assets		—			—		—		—
Net provision of allowance for credit losses		(2,097	)		—		—		(2,097	)
Disposal		1,670			—		—		1,670
Others (*)		(134	)		—		—		(134	)
Ending balance		(10,192	)		—		—		(10,192	)
(*)	Others consist of foreign currencies translation, etc.
---	---
	For the six-month period ended June 30, 2020
---	---	---	---	---	---	---	---	---	---	---
	Stage 1			Stage 2		Stage 3		Total
Beginning balance		(8,569	)		—		—		(8,569	)
Transfer to 12-month expected credit losses		—			—		—		—
Transfer to lifetime expected credit losses		—			—		—		—
Transfer to credit-impaired financial assets		—			—		—		—
Net provision of allowance for credit losses		(782	)		—		—		(782	)
Disposal		337			—		—		337
Others (*)		(170	)		—		—		(170	)
Ending balance		(9,184	)		—		—		(9,184	)
(*)	Others consist of foreign currencies translation, etc.
---	---

• 50 -

2)	Gross carrying amount
	For the six-month period ended June 30, 2021
---	---	---	---	---	---	---	---	---	---	---
	Stage 1			Stage 2		Stage 3		Total
Beginning balance		28,948,141			—		—		28,948,141
Transfer to 12-month expected credit losses		—			—		—		—
Transfer to lifetime expected credit losses		—			—		—		—
Transfer to credit-impaired financial assets		—			—		—		—
Acquisition		13,505,927			—		—		13,505,927
Disposal/ Recovery		(13,436,584	)		—		—		(13,436,584	)
Loss on valuation		(109,965	)		—		—		(109,965	)
Amortization based on effective interest method		(7,024	)		—		—		(7,024	)
Others (*)		150,297			—		—		150,297
Ending balance		29,050,792			—		—		29,050,792
(*)	Changes due to foreign currencies translation, etc.
---	---
	For the six-month period ended June 30, 2020
---	---	---	---	---	---	---	---	---	---	---
	Stage 1			Stage 2		Stage 3		Total
Beginning balance		26,795,161			—		—		26,795,161
Transfer to 12-month expected credit losses		—			—		—		—
Transfer to lifetime expected credit losses		—			—		—		—
Transfer to credit-impaired financial assets		—			—		—		—
Acquisition		12,879,766			—		—		12,879,766
Disposal/ Recovery		(11,051,251	)		—		—		(11,051,251	)
Gain on valuation		114,000			—		—		114,000
Amortization based on effective interest method		4,073			—		—		4,073
Others (*)		63,060			—		—		63,060
Ending balance		28,804,809			—		—		28,804,809
(*)	Changes due to foreign currencies translation, etc.
---	---
(4)	During the six-month periods ended June 30, 2021, the Group sold<br>its equity securities, designated as financial assets at FVTOCI in accordance with decision of disposal by the creditors, and the fair values at disposal dates were 84,460 million Won, and cumulative gains at disposal dates were<br>46,135 million Won.
---	---
9.	SECURITIES AT AMORTIZED COST
---	---
(1)	Details of securities at amortized cost as of June 30, 2021 and December 31, 2020 are as follows<br>(Unit: Korean Won in millions):
---	---
	June 30, 2021			December 31, 2020
---	---	---	---	---	---	---
Korean treasury and government agencies		6,959,361			6,947,495
Financial institutions		3,472,495			4,843,534
Corporates		4,721,552			4,726,075
Bond denominated in foreign currencies		576,107			508,301
Allowance for credit losses		(4,274	)		(4,566	)
Total		15,725,241			17,020,839

• 51 -

(2)	Changes in the allowance for credit losses and gross carrying amount of securities at amortized cost are as<br>follows (Unit: Korean Won in millions):
1)	Loss allowance
---	---
	For the six-month period ended June 30, 2021
---	---	---	---	---	---	---	---	---	---	---
	Stage 1			Stage 2		Stage 3		Total
Beginning balance		(4,566	)		—		—		(4,566	)
Transfer to 12-month expected credit losses		—			—		—		—
Transfer to lifetime expected credit losses		—			—		—		—
Transfer to credit-impaired financial assets		—			—		—		—
Net reversal of allowance for credit losses		293			—		—		293
Others (*)		(1	)		—		—		(1	)
Ending balance		(4,274	)		—		—		(4,274	)
(*)	Changes due to foreign currencies translation, etc.
---	---
	For the six-month period ended June 30, 2020
---	---	---	---	---	---	---	---	---	---	---
	Stage 1			Stage 2		Stage 3		Total
Beginning balance		(5,511	)		—		—		(5,511	)
Transfer to 12-month expected credit losses		—			—		—		—
Transfer to lifetime expected credit losses		—			—		—		—
Transfer to credit-impaired financial assets		—			—		—		—
Net provision of allowance for credit losses		(47	)		—		—		(47	)
Others (*)		1			—		—		1
Ending balance		(5,557	)		—		—		(5,557	)
(*)	Changes due to foreign currencies translation, etc.
---	---
2)	Gross carrying amount
---	---
	For the six-month period ended June 30, 2021
---	---	---	---	---	---	---	---	---	---	---
	Stage 1			Stage 2		Stage 3		Total
Beginning balance		17,025,405			—		—		17,025,405
Transfer to 12-month expected credit losses		—			—		—		—
Transfer to lifetime expected credit losses		—			—		—		—
Transfer to credit-impaired financial assets		—			—		—		—
Acquisition		1,496,443			—		—		1,496,443
Disposal/ Recovery		(2,812,675	)		—		—		(2,812,675	)
Amortization based on effective interest method		4,416			—		—		4,416
Others (*)		15,926			—		—		15,926
Ending balance		15,729,515			—		—		15,729,515
(*)	Changes due to foreign currencies translation, etc.
---	---
	For the six-month period ended June 30, 2020
---	---	---	---	---	---	---	---	---	---	---
	Stage 1			Stage 2		Stage 3		Total
Beginning balance		20,326,050			—		—		20,326,050
Transfer to 12-month expected credit losses		—			—		—		—
Transfer to lifetime expected credit losses		—			—		—		—
Transfer to credit-impaired financial assets		—			—		—		—
Acquisition		1,678,871			—		—		1,678,871
Disposal/ Recovery		(3,406,644	)		—		—		(3,406,644	)
Amortization based on effective interest method		388			—		—		388
Others (*)		17,494			—		—		17,494
Ending balance		18,616,159			—		—		18,616,159
(*)	Changes due to foreign currencies translation, etc.
---	---

• 52 -

10.	LOANS AND OTHER FINANCIAL ASSETS AT AMORTIZED COST
(1)	Details of loans and other financial assets at amortized cost as of June 30, 2021 and December 31,<br>2020 are as follows (Unit: Korean Won in millions):
---	---
	June 30, 2021		December 31, 2020
---	---	---	---	---
Due from banks		21,733,419		9,863,160
Loans		313,781,194		302,794,182
Other financial assets		9,635,812		7,448,736
Total		345,150,425		320,106,078
(2)	Details of due from banks are as follows (Unit: Korean Won in millions):
---	---
	June 30, 2021			December 31, 2020
---	---	---	---	---	---	---
Due from banks in local currency:
Due from Bank of Korea (“BOK”)		17,283,604			6,519,226
Due from depository banks		106,475			84,195
Due from non-depository institutions		6,477			266
Due from the Korea Exchange		162			227
Others		127,625			172,914
Loss allowance		(4,094	)		(1,576	)
Sub-total		17,520,249			6,775,252
Due from banks in foreign currencies:
Due from banks on demand		2,692,865			1,608,126
Due from banks on time		207,724			296,489
Others		1,316,117			1,186,083
Loss allowance		(3,536	)		(2,790	)
Sub-total		4,213,170			3,087,908
Total		21,733,419			9,863,160
(3)	Details of restricted due from banks are as follows (Unit: Korean Won in millions):
---	---
	Counterparty	June 30, 2021		Reason of restriction
---	---	---	---	---
Due from banks in local currency:
Due from BOK	BOK		17,283,604	Reserve deposits<br><br><br>under BOK Act
Due from KSFC	KB Securities Co. Ltd.		162	Futures trading margin
Others	Korea Federation of Savings Banks and others		81,375	Guarantees, mortgage of domestic exchange transactions and others
Sub-total			17,365,141
Due from banks in foreign currencies:
Due from banks on demand	BOK and others		2,656,462	Reserve deposits under BOK Act and others
Due from banks on time	National Bank Cambodia		226	Reserve deposits and others
Others	Korea Investment & Securities and others		1,301,770	Overseas futures and options trade deposits and others
Sub-total			3,958,458
Total			21,323,599

• 53 -

	Counterparty	December 31, 2020		Reason of restriction
Due from banks in local currency:
Due from BOK	BOK		6,519,226	Reserve deposits<br><br><br>under BOK Act
Due from KSFC	KB Securities Co. Ltd.		227	Futures trading margin
Others	Korea Federation of Savings Banks and others		89,562	Guarantees, mortgage of domestic exchange transactions and others
Sub-total			6,609,015
Due from banks in foreign currencies:
Due from banks on demand	BOK and others		1,544,492	Reserve deposits under BOK Act and others
Due from banks on time	National Bank Cambodia		54	Reserve deposits and others
Others	Korea Investment & Securities and others		1,180,570	Overseas futures and options trade deposits and others
Sub-total			2,725,116
Total			9,334,131
(4)	Changes in the allowance for credit losses and gross carrying amount of due from banks are as follows (Unit:<br>Korean Won in millions):
---	---
1)	Allowance for credit losses
---	---
	For the six-month period ended June 30, 2021
---	---	---	---	---	---	---	---	---	---	---
	Stage 1			Stage 2		Stage 3		Total
Beginning balance		(4,366	)		—		—		(4,366	)
Transfer to 12-month expected credit losses		—			—		—		—
Transfer to lifetime expected credit losses		—			—		—		—
Transfer to credit-impaired financial assets		—			—		—		—
Provision for allowance for credit loss		(3,235	)		—		—		(3,235	)
Others (*)		(29	)		—		—		(29	)
Ending balance		(7,630	)		—		—		(7,630	)
(*)	Changes due to foreign currencies translation, etc.
---	---
	For the six-month period ended June 30, 2020
---	---	---	---	---	---	---	---	---	---	---
	Stage 1			Stage 2		Stage 3		Total
Beginning balance		(4,860	)		—		—		(4,860	)
Transfer to 12-month expected credit losses		—			—		—		—
Transfer to lifetime expected credit losses		—			—		—		—
Transfer to credit-impaired financial assets		—			—		—		—
Provision for allowance for credit loss		(1,305	)		—		—		(1,305	)
Others (*)		103			—		—		103
Ending balance		(6,062	)		—		—		(6,062	)
(*)	Changes due to foreign currencies translation, etc.
---	---

• 54 -

2)	Gross carrying amount
	For the six-month period ended June 30, 2021
---	---	---	---	---	---	---	---	---
	Stage 1		Stage 2		Stage 3		Total
Beginning balance		9,867,526		—		—		9,867,526
Transfer to 12-month expected credit losses		—		—		—		—
Transfer to lifetime expected credit losses		—		—		—		—
Transfer to credit-impaired financial assets		—		—		—		—
Net increase		11,845,544		—		—		11,845,544
Others (*)		27,979		—		—		27,979
Ending balance		21,741,049		—		—		21,741,049
(*)	Changes due to foreign currencies translation, etc.
---	---
	For the six-month period ended June 30, 2020
---	---	---	---	---	---	---	---	---	---	---
	Stage 1			Stage 2		Stage 3		Total
Beginning balance		14,497,083			—		—		14,497,083
Transfer to 12-month expected credit losses		—			—		—		—
Transfer to lifetime expected credit losses		—			—		—		—
Transfer to credit-impaired financial assets		—			—		—		—
Net decrease		(1,523,664	)		—		—		(1,523,664	)
Others (*)		(20,148	)		—		—		(20,148	)
Ending balance		12,953,271			—		—		12,953,271
(*)	Changes due to foreign currencies translation, etc.
---	---
(5)	Details of loans are as follows (Unit: Korean Won in millions):
---	---
	June 30, 2021			December 31, 2020
---	---	---	---	---	---	---
Loans in local currency		260,510,080			249,264,947
Loans in foreign currencies		21,852,277			20,025,092
Domestic banker’s usance		3,099,279			2,240,830
Credit card accounts		9,378,956			8,542,619
Bills bought in foreign currencies		4,993,964			5,763,427
Bills bought in local currency		134,426			133,650
Factoring receivables		40,715			38,017
Advances for customers on guarantees		28,024			31,300
Private placement bonds		604,005			353,585
Securitized loans		2,688,827			2,561,914
Call loans		2,086,802			2,352,034
Bonds purchased under resale agreements		6,139,390			10,145,749
Financial lease receivables		948,026			586,216
Installment financial bond		2,372,550			1,925,493
Others		170			380
Loan origination costs and fees		781,393			744,109
Discounted present value		(7,023	)		(6,656	)
Allowance for credit losses		(1,870,667	)		(1,908,524	)
Total		313,781,194			302,794,182

• 55 -

(6)	Changes in the allowance for credit losses of loans are as follows (Unit: Korean Won in millions):<br>
	For the six-month period ended June 30, 2021
---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---
	Consumers									Corporates
	Stage 1			Stage 2			Stage 3			Stage 1			Stage 2			Stage 3
Beginning balance		(121,527	)		(84,463	)		(205,693	)		(327,460	)		(521,907	)		(388,744	)
Transfer to 12-month expected credit losses		(17,090	)		16,288			802			(96,884	)		67,540			29,344
Transfer to lifetime expected credit losses		10,008			(12,300	)		2,292			15,840			(38,334	)		22,494
Transfer to credit-impaired financial assets		2,240			14,716			(16,956	)		1,733			24,473			(26,206	)
Net reversal (provision) of allowance for credit losses		(3,047	)		(26,459	)		(52,462	)		82,307			(49,412	)		(86,337	)
Recovery		—			—			(37,106	)		—			—			(25,508	)
Charge-off		—			—			81,855			—			—			133,534
Disposal		—			—			7,224			—			—			15,486
Interest income from impaired loans		—			—			7,126			—			—			6,634
Others		93			364			3,288			(7,112	)		(2,499	)		6,450
Ending balance		(129,323	)		(91,854	)		(209,630	)		(331,576	)		(520,139	)		(312,853	)
	For the six-month period ended June 30, 2021
---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---
	Credit card accounts									Total
	Stage 1			Stage 2			Stage 3			Stage 1			Stage 2			Stage 3
Beginning balance		(62,712	)		(90,481	)		(105,537	)		(511,699	)		(696,851	)		(699,974	)
Transfer to 12-month expected credit losses		(22,258	)		22,110			148			(136,232	)		105,938			30,294
Transfer to lifetime expected credit losses		7,774			(8,529	)		755			33,622			(59,163	)		25,541
Transfer to credit-impaired financial assets		714			3,830			(4,544	)		4,687			43,019			(47,706	)
Net reversal (provision) of allowance for credit losses		8,752			(22,880	)		(63,397	)		88,012			(98,751	)		(202,196	)
Recovery		—			—			(33,196	)		—			—			(95,810	)
Charge-off		—			—			94,160			—			—			309,549
Disposal		—			—			—			—			—			22,710
Interest income from impaired loans		—			—			—			—			—			13,760
Others		(1	)		—			—			(7,020	)		(2,135	)		9,738
Ending balance		(67,731	)		(95,950	)		(111,611	)		(528,630	)		(707,943	)		(634,094	)

• 56 -

	For the six-month period ended June 30, 2020
	Consumers									Corporates
	Stage 1			Stage 2			Stage 3			Stage 1			Stage 2			Stage 3
Beginning balance		(85,148	)		(77,962	)		(125,588	)		(324,258	)		(297,718	)		(390,045	)
Transfer to 12-month expected credit losses		(19,356	)		18,821			535			(30,128	)		22,088			8,040
Transfer to lifetime expected credit losses		8,766			(10,576	)		1,810			16,628			(73,095	)		56,467
Transfer to credit-impaired financial assets		2,225			9,617			(11,842	)		12,976			12,525			(25,501	)
Net reversal (provision) of allowance for credit losses		6,109			(13,315	)		(61,278	)		(74,693	)		(30,747	)		(142,540	)
Recovery		—			—			(33,774	)		—			—			(43,300	)
Charge-off		—			—			91,333			—			—			101,899
Disposal		48			2			346			—			—			22,255
Interest income from impaired loans		—			—			4,735			—			—			7,622
Others		(124	)		(5	)		(131	)		(7,593	)		(84	)		24,127
Ending balance		(87,480	)		(73,418	)		(133,854	)		(407,068	)		(367,031	)		(380,976	)
	For the six-month period ended June 30, 2020
---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---
	Credit card accounts									Total
	Stage 1			Stage 2			Stage 3			Stage 1			Stage 2			Stage 3
Beginning balance		(74,726	)		(71,533	)		(128,042	)		(484,132	)		(447,213	)		(643,675	)
Transfer to 12-month expected credit losses		(13,837	)		13,795			42			(63,321	)		54,704			8,617
Transfer to lifetime expected credit losses		7,041			(7,438	)		397			32,435			(91,109	)		58,674
Transfer to credit-impaired financial assets		22,209			59,874			(82,083	)		37,410			82,016			(119,426	)
Net reversal (provision) of allowance for credit losses		(17,597	)		(59,668	)		(22,731	)		(86,181	)		(103,730	)		(226,549	)
Recovery		—			—			(31,690	)		—			—			(108,764	)
Charge-off		—			—			138,351			—			—			331,583
Disposal		—			—			23,653			48			2			46,254
Interest income from impaired loans		—			—			—			—			—			12,357
Others		(2	)		—			—			(7,719	)		(89	)		23,996
Ending balance		(76,912	)		(64,970	)		(102,103	)		(571,460	)		(505,419	)		(616,933	)

• 57 -

(7)	Changes in the gross carrying amount of loans are as follows (Unit: Korean Won in millions):<br>
	For the six-month period ended June 30, 2021
---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---
	Consumers									Corporates
	Stage 1			Stage 2			Stage 3			Stage 1			Stage 2			Stage 3
Beginning balance		125,990,038			12,016,711			537,106			149,574,932			7,328,741			717,909
Transfer to 12-month expected credit losses		3,730,443			(3,721,667	)		(8,776	)		1,534,004			(1,501,081	)		(32,923	)
Transfer to lifetime expected credit losses		(6,030,431	)		6,053,085			(22,654	)		(3,097,859	)		3,143,555			(45,696	)
Transfer to credit-impaired financial assets		(64,415	)		(86,834	)		151,249			(166,253	)		(149,253	)		315,506
Charge-off		—			—			(81,855	)		—			—			(133,534	)
Disposal		—			—			(26,261	)		—			—			(66,527	)
Net increase (decrease)		4,935,139			(931,914	)		(25,244	)		7,239,175			(673,197	)		(122,212	)
Ending balance		128,560,774			13,329,381			523,565			155,083,999			8,148,765			632,523
	For the six-month period ended June 30, 2021
---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---
	Credit card accounts									Total
	Stage 1			Stage 2			Stage 3			Stage 1			Stage 2			Stage 3
Beginning balance		7,278,975			1,078,220			180,074			282,843,945			20,423,672			1,435,089
Transfer to 12-month expected credit losses		307,122			(306,941	)		(181	)		5,571,569			(5,529,689	)		(41,880	)
Transfer to lifetime expected credit losses		(473,197	)		474,086			(889	)		(9,601,487	)		9,670,726			(69,239	)
Transfer to credit-impaired financial assets		(27,962	)		(27,424	)		55,386			(258,630	)		(263,511	)		522,141
Charge-off		—			—			(94,160	)		—			—			(309,549	)
Disposal		—			—			—			—			—			(92,788	)
Net increase (decrease)		973,542			(88,350	)		44,553			13,147,856			(1,693,461	)		(102,903	)
Ending balance		8,058,480			1,129,591			184,783			291,703,253			22,607,737			1,340,871
	For the six-month period ended June 30, 2020
---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---
	Consumers									Corporates
	Stage 1			Stage 2			Stage 3			Stage 1			Stage 2			Stage 3
Beginning balance		111,253,283			12,448,807			417,674			134,443,979			4,910,598			740,257
Transfer to 12-month expected credit losses		4,318,903			(4,310,929	)		(7,974	)		1,067,885			(1,046,149	)		(21,736	)
Transfer to lifetime expected credit losses		(4,980,916	)		5,002,670			(21,754	)		(2,571,677	)		2,646,989			(75,312	)
Transfer to credit-impaired financial assets		(77,204	)		(118,765	)		195,969			(235,257	)		(115,332	)		350,589
Charge-off		—			—			(91,333	)		—			—			(101,899	)
Disposal		(3,920,591	)		(3,971	)		(16,378	)		—			—			(42,390	)
Net increase (decrease)		8,332,255			(1,442,779	)		(35,155	)		8,840,031			(833,148	)		(105,787	)
Ending balance		114,925,730			11,575,033			441,049			141,544,961			5,562,958			743,722
	For the six-month period ended June 30, 2020
---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---
	Credit card accounts									Total
	Stage 1			Stage 2			Stage 3			Stage 1			Stage 2			Stage 3
Beginning balance		7,278,467			885,832			228,367			252,975,729			18,245,237			1,386,298
Transfer to 12-month expected credit losses		266,322			(266,266	)		(56	)		5,653,110			(5,623,344	)		(29,766	)
Transfer to lifetime expected credit losses		(305,371	)		305,870			(499	)		(7,857,964	)		7,955,529			(97,565	)
Transfer to credit-impaired financial assets		(51,913	)		(75,435	)		127,348			(364,374	)		(309,532	)		673,906
Charge-off		—			—			(138,351	)		—			—			(331,583	)
Disposal		—			—			(43,781	)		(3,920,591	)		(3,971	)		(102,549	)
Net increase (decrease)		(296,819	)		(50,674	)		9,399			16,875,467			(2,326,601	)		(131,543	)
Ending balance		6,890,686			799,327			182,427			263,361,377			17,937,318			1,367,198
(8)	Details of other financial assets are as follows (Unit: Korean Won in millions):
---	---
	June 30, 2021			December 31, 2020
---	---	---	---	---	---	---
Cash Management Account asset (CMA asset)		215,000			210,000
Receivables		6,325,406			3,809,929
Accrued income		934,797			864,107
Telex and telephone subscription rights and refundable deposits		885,906			936,878
Domestic exchange settlement debit		1,149,524			1,518,775
Other assets		212,060			192,342
Allowance for credit losses		(86,881	)		(83,295	)
Total		9,635,812			7,448,736

• 58 -

(9)	Changes in the allowances for credit losses on other financial assets are as follows (Unit: Korean Won in<br>millions):
	For the six-month period ended June 30, 2021
---	---	---	---	---	---	---	---	---	---	---	---	---
	Stage 1			Stage 2			Stage 3			Total
Beginning balance		(3,666	)		(5,450	)		(74,179	)		(83,295	)
Transfer to 12-month expected credit losses		(204	)		196			8			—
Transfer to lifetime expected credit losses		156			(173	)		17			—
Transfer to credit-impaired financial assets		178			414			(592	)		—
Reversal (Provision) of allowance for credit losses		564			(930	)		(4,179	)		(4,545	)
Charge-off		—			—			987			987
Disposal		—			—			557			557
Others		(1,873	)		(4	)		1,292			(585	)
Ending balance		(4,845	)		(5,947	)		(76,089	)		(86,881	)
	For the six-month period ended June 30, 2020
---	---	---	---	---	---	---	---	---	---	---	---	---
	Stage 1			Stage 2			Stage 3			Total
Beginning balance		(3,196	)		(1,666	)		(72,277	)		(77,139	)
Transfer to 12-month expected credit losses		(140	)		131			9			—
Transfer to lifetime expected credit losses		536			(150	)		(386	)		—
Transfer to credit-impaired financial assets		26			142			(168	)		—
Provision of allowance for credit losses		(767	)		(262	)		(3,272	)		(4,301	)
Charge-off		—			—			248			248
Disposal		—			—			489			489
Others		545			—			(11	)		534
Ending balance		(2,996	)		(1,805	)		(75,368	)		(80,169	)
(10)	Changes in the gross carrying amount of other financial assets are as follows (Unit: Korean Won in millions):<br>
---	---
	For the six-month period ended June 30, 2021
---	---	---	---	---	---	---	---	---	---	---	---	---
	Stage 1			Stage 2			Stage 3			Total
Beginning balance		7,267,426			76,418			188,187			7,532,031
Transfer to 12-month expected credit losses		7,997			(7,984	)		(13	)		—
Transfer to lifetime expected credit losses		(13,729	)		13,759			(30	)		—
Transfer to credit-impaired financial assets		(800	)		(1,038	)		1,838			—
Charge-off		—			—			(987	)		(987	)
Disposal		—			—			(686	)		(686	)
Net increase (decrease)		2,157,975			26,038			8,322			2,192,335
Ending balance		9,418,869			107,193			196,631			9,722,693
	For the six-month period ended June 30, 2020
---	---	---	---	---	---	---	---	---	---	---	---	---
	Stage 1			Stage 2			Stage 3			Total
Beginning balance		8,059,844			92,647			117,874			8,270,365
Transfer to 12-month expected credit losses		8,420			(8,404	)		(16	)		—
Transfer to lifetime expected credit losses		(12,735	)		12,752			(17	)		—
Transfer to credit-impaired financial assets		(1,743	)		(1,096	)		2,839			—
Charge-off		—			—			(248	)		(248	)
Disposal		—			—			(549	)		(549	)
Net increase (decrease)		4,288,900			(31,361	)		51,841			4,309,380
Ending balance		12,342,686			64,538			171,724			12,578,948

• 59 -

11.	FAIR VALUE OF FINANCIAL ASSETS AND LIABILITIES
(1)	The fair value hierarchy
---	---

The fair value hierarchy for financial instruments is determined by the amount of observable market data. The specific financial instruments characteristics and market condition such as the existence of the transactions among market participants and transparency are reflected to the market observable inputs. The fair value hierarchy gives the highest priority to quoted prices (unadjusted) in active markets for identical assets or liabilities. The Group maximizes the use of observable inputs and minimizes the use of unobservable inputs when measuring fair value of its financial assets and financial liabilities. Fair value is measured based on the perspective of a market participant. As such, even when market assumptions are not readily available, the Group’s own assumptions reflect those that market participants would use for measuring the assets or liabilities at the measurement date.

The fair value measurement is described in the one of the following three levels used to classify fair value measurements:

•	Level 1—fair value measurements are those derived from quoted prices (unadjusted) in active markets for<br>identical assets or liabilities. The types of financial assets or liabilities generally included in Level 1 are publicly traded equity securities, derivatives, and debt securities issued by governmental bodies.
•	Level 2— fair value measurements are those derived from inputs other than quoted prices included within<br>Level 1 that are observable for the asset or liability, either directly (i.e. prices) or indirectly (i.e. derived from prices). The types of financial assets or liabilities generally included in Level 2 are debt securities not traded in<br>active markets and derivatives traded in OTC but not required significant judgment.
---	---
•	Level 3— fair value measurements are those derived from valuation technique that include inputs for the<br>assets or liabilities that are not based on observable market data (unobservable inputs). The types of financial assets or liabilities generally included in Level 3 are non-public securities and<br>derivatives and debt securities of which valuation techniques require significant judgments and subjectivity.
---	---

The inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, the level within the fair value hierarchy is based on the lowest level of input that is significant to the fair value measurement. The Group’s assessment of the significance of a particular input to a fair value measurement in its entirety requires judgment and consideration of inherent factors of the asset or liability.

• 60 -

(2)	Fair value hierarchy of financial assets and liabilities measured at fair value are as follows (Unit: Korean<br>Won in millions):
	June 30, 2021
---	---	---	---	---	---	---	---	---
	Level 1 (*)		Level 2 (*)		Level 3		Total
Financial assets:
Financial assets at FVTPL
Deposits		70,150		—		—		70,150
Debt securities		717,328		1,775,743		3,853		2,496,924
Equity securities		32,950		—		425,973		458,923
Capital contributions		—		—		987,813		987,813
Beneficiary certificates		31,313		1,635,007		2,034,821		3,701,141
Loans		—		139,666		291,471		431,137
Derivative assets (Designated for trading)		2,702		4,021,433		533		4,024,668
Others		—		—		93,765		93,765
Sub-total		854,443		7,571,849		3,838,229		12,264,521
Financial assets at FVTOCI
Debt securities		5,240,322		23,810,470		—		29,050,792
Equity securities		664,816		—		569,283		1,234,099
Sub-total		5,905,138		23,810,470		569,283		30,284,891
Derivative assets (Designated for hedging)		—		129,562		—		129,562
Total		6,759,581		31,511,881		4,407,512		42,678,974
Financial liabilities:
Financial liabilities at FVTPL
Deposits due to customers		70,394		—		—		70,394
Derivative liabilities (Designated for trading)		4,867		3,630,190		22,647		3,657,704
Securities sold		200,083		—		—		200,083
Sub-total		275,344		3,630,190		22,647		3,928,181
Derivative liabilities (Designated for hedging)		—		44,045		—		44,045
Total		275,344		3,674,235		22,647		3,972,226
(*)	There were no transfers between Level 1 and Level 2 of financial assets and liabilities measured at<br>fair value. The Group recognizes transfers among levels at the end of reporting period in which events have occurred or conditions have changed.
---	---

• 61 -

	December 31, 2020
	Level 1 (*)		Level 2 (*)		Level 3		Total
Financial assets:
Financial assets at FVTPL
Deposits		48,796		—		—		48,796
Debt securities		516,597		2,365,882		4,618		2,887,097
Equity securities		35,422		—		450,371		485,793
Capital contributions		—		—		865,685		865,685
Beneficiary certificates		24,895		869,852		1,917,811		2,812,558
Loans		—		467,229		209,062		676,291
Derivative assets (Designated for trading)		18,416		6,875,454		7,872		6,901,742
Others		—		—		84,979		84,979
Sub-total		644,126		10,578,417		3,540,398		14,762,941
Financial assets at FVTOCI
Debt securities		3,092,237		25,855,904		—		28,948,141
Equity securities		510,073		—		570,715		1,080,788
Sub-total		3,602,310		25,855,904		570,715		30,028,929
Derivative assets (Designated for hedging)		—		174,820		—		174,820
Total		4,246,436		36,609,141		4,111,113		44,966,690
Financial liabilities:
Financial liabilities at FVTPL
Deposits due to customers		49,279		—		—		49,279
Derivative liabilities (Designated for trading)		6,024		6,433,727		20,136		6,459,887
Securities sold		285,026		—		—		285,026
Sub-total		340,329		6,433,727		20,136		6,794,192
Financial liabilities at FVTPL designated as upon initial recognition
Equity-linked securities		—		—		19,630		19,630
Derivative liabilities (Designated for hedging)		—		64,769		—		64,769
Total		340,329		6,498,496		39,766		6,878,591
(*)	There were no transfers between Level 1 and Level 2 of financial assets and liabilities measured at<br>fair value. The Group recognizes transfers among levels at the end of reporting period in which events have occurred or conditions have changed.
---	---

• 62 -

Financial assets and liabilities at FVTPL, financial liabilities at FVTPL designated as upon initial recognition, financial assets at FVTOCI, and derivative assets and liabilities are recognized at fair value. Fair value is the amount that would be received to sell an asset, or paid to transfer a liability, in an orderly transaction between market participants at the measurement date.

Financial instruments are measured at fair value using a quoted market price in active markets. If there is no active market for a financial instrument, the Group determines the fair value using valuation methods. Valuation methods and input variables for each type of financial instruments are as follows:

1)	Valuation methods and input variables for each type of financial instrument classified into level 2 in<br>June 30, 2021 and December 31, 2020 are as follows:
	Valuation methods	Input variables
---	---	---
Debt securities	Fair value is measured by discounting the future cash flows of debt securities applying the<br>risk-free market rate with credit spread.	Risk-free market rate and credit spread
Beneficiary certificates	The beneficiary certificates classified as Level 2 are MMF and are measured at the standard<br>price.	Standard price
Derivatives	Fair value is measured by models such as option model (Closed form), DCF model, FDM and Monte<br>Carlo Simulation.	Discount rate, values of underlying assets such as foreign exchange rate and stock prices,<br>volatility, risk-free market rate, forward rate, etc.
Loans	The future cash flows of debt instruments are measured at a discount by applying the market<br>interest rate applied to entities with similar creditworthiness to the debtor.	Risk-free market rate and credit spread
2)	Valuation methods and input variables for each type of financial instrument classified into level 3 in<br>June 30, 2021 and December 31, 2020 are as follows:
---	---
	Valuation methods	Input variables
---	---	---
Loans	Fair value is calculated by using the Binomial Tree, which is a valuation technique commonly used<br>in the market taking into account the price and variability of the underlying asset, and LSMC. The future cash flows of debt instruments are measured at a discount by applying the market interest rate applied to entities with similar<br>creditworthiness to the debtor.	Values of underlying assets, volatility, risk-free market rate and credit spread
Debt securities	The future cash flows of debt instruments are measured at a discount by applying the market<br>interest rate applied to entities with similar creditworthiness to debt securities issuers.	Risk-free market rate and credit spread
Equity securities, capital contributions and Beneficiary certificates	Among DCF (Discounted Cash Flow) Model, FCFE (Free Cash Flow to Equity) Model, Comparable Company<br>Analysis, Dividend Discount Model, Risk-adjusted Rate of Return Method, Net Asset Value Method, LSMC, and Binomial Tree, more than one method is used given the characteristic of the subject of fair value measurement.	Risk-free market rate, market risk premium, corporate Beta, stock prices, volatility of underlying<br>asset, net asset of the investment association and discount rate
Derivatives	Fair value is measured by models such as option model (Closed form), DCF model, FDM and Monte<br>Carlo Simulation.	Risk-free market rate, discount rate, values of underlying assets such as foreign exchange rate<br>and stock prices, volatility, etc.
Others	Fair value is measured by DCF model, LSMC, etc.	Stock prices, volatility of underlying assets, etc.

• 63 -

Valuation methods of financial assets and liabilities measured at fair value and classified into Level 3 and significant but unobservable inputs are as follows:

	Fair value<br>measurement<br>technique	Type	Input variable	Range(%)	Impact of changes in significant<br>unobservable inputs on fair value<br>measurement
Loans	Binomial Tree		Stock prices, Volatility of underlying asset	34.96%	Variation of fair value increases as volatility of underlying asset increases.
	LSMC		Stock prices, Volatility of underlying asset	16.63%	Variation of fair value increases as volatility of underlying asset increases.
Derivative assets	Option valuation model and others	Interest rate related	Correlation coefficient	0.90~0.98	Variation of fair value increases as correlation coefficient increases.
			Volatility of underlying asset	21.78~103.13%	Variation of fair value increases as volatility of underlying assets increases.
		Equity related	Correlation coefficient	0.25~0.76	Variation of fair value increases as correlation coefficient increases.
			Volatility of underlying asset	—	Variation of fair value increases as volatility of underlying assets increases.
	DCF model	Interest rate related	Credit risk adjustment ratio	100.00%	Variation of fair value decreases as credit risk adjustment ratio increases.
Derivative liabilities	Option valuation model and others	Interest rate related	Correlation coefficient	0.90~0.98	Variation of fair value increases as correlation coefficient increases.
			Volatility of underlying asset	21.78~103.13%	Variation of fair value increases as volatility of underlying assets increases.
		Equity related	Correlation coefficient	0.25~0.76	Variation of fair value increases as correlation coefficient increases.
			Volatility of underlying asset	—	Variation of fair value increases as volatility of underlying assets increases.
Equity securities, capital contributions, and beneficiary certificates	LSMC		Stock prices, Volatility of underlying<br><br><br>asset	17.20%	Variation of fair value increases as volatility of underlying asset<br><br><br>increases.
	DCF model and others		Discount rate	0.00~37.98%	Fair value increases as discount rate decreases.
			Terminal growth rate	1.00%	Fair value increases as terminal growth rate increases.
			Liquidation value	0.00%	Variation of liquidation value increases as volatility of underlying assets increases

• 64 -

	Fair value<br>measurement<br>technique	Type	Input variable	Range(%)	Impact of changes in significant<br>unobservable inputs on fair value<br>measurement
Others	Income approach		Discount rate	12.69%	Fair value increases as discount rate decreases.
			Growth rate	1.00%	Fair value increases as growth rate increases.
	LSMC		Stock prices, Volatility of underlying asset	16.63~37.31%	Variation of fair value increases as volatility of underlying asset increases.

Fair value of financial assets and liabilities classified into Level 3 is measured by the Group using its own valuation methods or using external specialists. Unobservable inputs used in the fair value measurements are produced by the internal system of the Group, and the appropriateness of inputs is reviewed regularly.

(3)	Changes in financial assets and liabilities measured at fair value classified into Level 3 are as follows<br>(Unit: Korean Won in millions):
	For the six-month period ended June 30, 2021
---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---
	Beginning<br>balance		Net Income<br>(loss)<br>(*1)			Other<br>comprehensive<br>income			Purchases/<br>issuances			Disposals /<br>settlements			Transfer to<br>or out of Level 3<br>(*2)			Ending<br>balance
Financial assets:
Financial assets at FVTPL
Debt securities		4,618		(765	)		—			—			—			—			3,853
Equity securities		450,371		(12,065	)		—			13,083			(25,416	)		—			425,973
Capital contributions		865,685		35,844			—			209,861			(123,577	)		—			987,813
Beneficiary certificates		1,917,811		23,203			—			166,461			(72,654	)		—			2,034,821
Loans		209,062		9,231			—			444,975			(371,797	)		—			291,471
Derivative assets		7,872		(243	)		—			512			(1,770	)		(5,838	)		533
Others		84,979		6,944			—			6,998			(5,156	)		—			93,765
Sub-total		3,540,398		62,149			—			841,890			(600,370	)		(5,838	)		3,838,229
Financial assets at FVTOCI
Equity securities		570,715		—			(1,555	)		242			(119	)		—			569,283
Total		4,111,113		62,149			(1,555	)		842,132			(600,489	)		(5,838	)		4,407,512
Financial liabilities:
Financial liabilities at FVTPL
Derivative liabilities		20,136		25,916			—			(4,642	)		(12,509	)		(6,254	)		22,647
Financial liabilities at FVTPL designated as upon initial recognition
Equity-linked securities		19,630		(102	)		—			—			(19,528	)		—			—
Derivative liabilities (Designated for hedging)		—		—			—			—			—			—			—
Total		39,766		25,814			—			(4,642	)		(32,037	)		(6,254	)		22,647
(*1)	The losses that increase financial liabilities are presented as positive amounts, and the gains that decrease<br>financial liabilities are presented as negative amounts. The gain amounting to 27,221 million Won for the six-month period ended June 30, 2021, which is from financial assets and liabilities that the<br>Group holds as at the end of the period, has been recognized in net gain(loss) on financial assets at FVTPL and net gain(loss) on financial assets at FVTOCI in the consolidated statement of comprehensive income.
---	---
(*2)	The Group recognizes transfers between levels at the end of reporting period within such events have occurred<br>or conditions have changed.
---	---

• 65 -

	For the six-month period ended June 30, 2020
	Beginning<br>balance		Net<br>Income (loss)<br>(*1)			Other<br>comprehensive<br>income			Purchases/<br>issuances		Disposals /<br>settlements			Transfer to or<br>out of Level 3<br>(*2)			Ending<br>balance
Financial assets:
Financial assets at FVTPL
Debt securities		5,826		(9	)		—			—		(52	)		—			5,765
Equity securities		528,621		13,220			—			10,472		(13,714	)		31			538,630
Capital contributions		515,199		12,324			—			98,219		(12,006	)		—			613,736
Beneficiary certificates		1,275,734		15,939			—			315,069		(138,319	)		—			1,468,423
Loans		152,629		4,556			—			93,987		(62,274	)		—			188,898
Derivative assets		25,048		95,112			—			10,891		(19,233	)		(8,387	)		103,431
Sub-total		2,503,057		141,142			—			528,638		(245,598	)		(8,356	)		2,918,883
Financial assets at FVTOCI
Equity securities		493,698		—			(56,593	)		3,698		(630	)		2,192			442,365
Total		2,996,755		141,142			(56,593	)		532,336		(246,228	)		(6,164	)		3,361,248
Financial liabilities:
Financial liabilities at FVTPL
Derivative liabilities		72,039		495			—			11,001		(49,806	)		(14,308	)		19,421
Financial liabilities at FVTPL designated as upon initial recognition
Equity-linked securities		87,626		(8,421	)		—			—		(54,719	)		—			24,486
Derivative liabilities (Designated for hedging)		321		—			—			—		(321	)		—			—
Total		159,986		(7,926	)		—			11,001		(104,846	)		(14,308	)		43,907
(*1)	The losses that increase financial liabilities are presented as positive amounts, and the gains that decrease<br>financial liabilities are presented as negative amounts. The gain amounting to 140,315 million Won for the six-month period ended June 30, 2020, which is from financial assets and liabilities that<br>the Group holds as at the end of the period, has been recognized in net gain(loss) on financial assets at FVTPL and net gain(loss) on financial assets at FVTOCI in the consolidated statement of comprehensive income.
---	---
(*2)	The Group recognizes transfers between levels at the end of reporting period within such events have occurred<br>or conditions have changed.
---	---

• 66 -

(4)	Sensitivity analysis results on reasonable fluctuation of the significant unobservable input variables for the<br>fair value of Level 3 financial instruments are as follows.

The sensitivity analysis of the financial instruments has been performed by classifying with favorable and unfavorable changes based on how changes in unobservable assumptions would have effects on the fluctuations of financial instruments’ value. When the fair value of a financial instrument is affected by more than one unobservable assumption, the below table reflects the most favorable or the most unfavorable changes which resulted from varying the assumptions individually. The sensitivity analysis was performed for two types of level 3 financial instruments: (1) interest rate related derivatives, currency related derivatives, equity related derivatives, equity-linked securities beneficiary certificates and loans of which fair value changes are recognized as net income; (2) equity securities of which fair value changes are recognized as other comprehensive income.

Meanwhile, among the financial instruments that are classified as Level 3 amounting to 4,430,159 million Won and 4,150,879 million Won as of June 30, 2021 and December 31, 2020 respectively, equity instruments of 3,270,072 million Won and 3,052,432 million Won whose carrying amount are considered to represent the reasonable approximation of fair value are excluded from the sensitivity analysis.

The sensitivity on fluctuation of input variables by financial instruments as of June 30, 2021 and December 31, 2020 is as follows (Unit: Korean Won in millions):

	June 30, 2021
	Net income (loss)					Other comprehensive income (loss)
	Favorable		Unfavorable			Favorable		Unfavorable
Financial assets:
Financial assets at FVTPL
Derivative assets (*1)		620		97			—		—
Loans (*2)		1,490		(1,466	)		—		—
Debt securities		11		(9	)		—		—
Equity securities (*2) (*3) (*4)		6,679		(6,779	)		—		—
Beneficiary certificates (*4)		1,321		(1,211	)		—		—
Others (*2)		1,066		(1,014	)		—		—
Financial assets at FVTOCI
Equity securities (*3) (*4)		—		—			33,395		(25,335	)
Total		11,187		(10,382	)		33,395		(25,335	)
Financial liabilities:
Financial liabilities at FVTPL
Derivative liabilities (*1)		292		(384	)		—		—
Total		292		(384	)		—		—
(*1)	Fair value changes of equity related derivatives assets and liabilities are calculated by increasing or<br>decreasing historical volatility of the stock price and correlation, which are major unobservable variables, by 10%, respectively. In the case of interest rate related derivative assets and liabilities, fair value changes are calculated by<br>increasing or decreasing the volatility of interest rate, which are major unobservable variables, by 10%.
---	---
(*2)	Fair value changes of equity securities are calculated by increasing or decreasing stock prices (-10%~10%) and volatility (-10~10%). The stock prices and volatility are major unobservable variables.
---	---
(*3)	Fair value changes of equity securities are calculated by increasing or decreasing terminal growth rate (-0.5%~0.5%) and discount rate (-1~1%) or liquidation value (-1~1%). The growth rate, discount rate, and liquidation value are major<br>unobservable variables.
---	---
(*4)	Even if the sensitivity analysis of the capital contributions and beneficiary certificates is not possible in<br>practice, fair value changes of beneficiary certificates and other securities whose major unobservable variables are composed of the real estate are calculated by increasing or decreasing price fluctuation rate of real estate which is underlying<br>assets and discount rate by 1%.
---	---

• 67 -

	December 31, 2020
	Net income (loss)					Other comprehensive income (loss)
	Favorable		Unfavorable			Favorable		Unfavorable
Financial assets:
Financial assets at FVTPL
Derivative assets (*1)		110		(257	)		—		—
Loans (*2)		933		(932	)		—		—
Debt securities		13		(10	)		—		—
Equity securities (*2) (*3) (*4)		8,539		(7,337	)		—		—
Beneficiary certificates (*4)		1,403		(1,537	)		—		—
Others (*2)		640		(547	)		—		—
Financial assets at FVTOCI
Equity securities (*3) (*4)		—		—			21,587		(16,740	)
Total		11,638		(10,620	)		21,587		(16,740	)
Financial liabilities:
Financial liabilities at FVTPL
Derivative liabilities (*1)		776		(405	)		—		—
Financial liabilities at FVTPL designated as upon initial recognition
Equity-linked securities (*1)		57		(45	)		—		—
Total		833		(450	)		—		—
(*1)	Fair value changes of equity related derivatives assets and liabilities and equity-linked securities are<br>calculated by increasing or decreasing historical volatility of the stock price and correlation, which are major unobservable variables, by 10%, respectively. In the case of interest rate related derivative assets and liabilities, fair value changes<br>are calculated by increasing or decreasing the volatility of interest rate, which are major unobservable variables, by 10%.
---	---
(*2)	Fair value changes of equity securities are calculated by increasing or decreasing stock prices (-10%~10%) and volatility (-10~10%). The stock prices and volatility are major unobservable variables.
---	---
(*3)	Fair value changes of equity securities are calculated by increasing or decreasing terminal growth rate (-0.5%~0.5%) and discount rate (-1~1%) or liquidation value (-1~1%). The growth rate, discount rate, and liquidation value are major<br>unobservable variables.
---	---
(*4)	Even if the sensitivity analysis of the capital contributions and beneficiary certificates is not possible in<br>practice, fair value changes of beneficiary certificates and other securities whose major unobservable variables are composed of the real estate are calculated by increasing or decreasing price fluctuation rate of real estate which is underlying<br>assets and discount rate by 1%.
---	---

• 68 -

(5)	Fair value and carrying amount of financial assets and liabilities that are recorded at amortized cost are as<br>follows (Unit: Korean Won in millions):
	June 30, 2021
---	---	---	---	---	---	---	---	---	---	---
	Fair value								Book<br>value
	Level 1		Level 2		Level 3		Total
Financial assets:
Securities at amortized cost		2,328,704		13,475,532		—		15,804,236		15,725,241
Loans and other financial assets at amortized cost		—		—		342,946,182		342,946,182		345,150,425
Financial liabilities:
Deposits due to customers		—		302,658,752		—		302,658,752		302,492,676
Borrowings		—		22,086,961		433,613		22,520,574		22,545,862
Debentures		—		40,871,588		—		40,871,588		40,917,952
Other financial liabilities		—		20,670,368		290,368		20,960,736		21,208,340
	December 31, 2020
---	---	---	---	---	---	---	---	---	---	---
	Fair value								Book<br>value
	Level 1		Level 2		Level 3		Total
Financial assets:
Securities at amortized cost		2,968,875		14,299,748		—		17,268,623		17,020,839
Loans and other financial assets at amortized cost		—		—		318,144,845		318,144,845		320,106,078
Financial liabilities:
Deposits due to customers		—		291,767,282		—		291,767,282		291,477,279
Borrowings		—		20,586,930		176,745		20,763,675		20,745,466
Debentures		—		37,931,989		—		37,931,989		37,479,358
Other financial liabilities		—		13,305,067		286,489		13,591,556		13,808,386

The fair values of financial instruments are measured using quoted market price in active markets. In case there is no active market for financial instruments, the Group determines the fair value by using valuation methods. Valuation methods and input variables for financial assets and liabilities that are measured at amortized cost are given as follows:

	Valuation methods	Input variables
Securities at amortized cost	The fair value is measured by discounting the projected cash flows of debt securities by applying<br>risk-free market rate with credit spread.	Risk-free market rate and credit spread
Loans and other financial assets at amortized cost	The fair value is measured by discounting the projected cash flows of loan products by applying<br>the market discount rate that has been applied to a proxy company that has similar credit rating to the debtor.	Risk-free market rate, credit spread and prepayment rate
Deposits due to customers, borrowings, debentures and other financial liabilities	The fair value is measured by discounting the projected cash flows of debt products by applying<br>the market discount rate that is reflecting credit rating of the Group.	Risk-free market rate, credit spread and forward rate

• 69 -

(6)	Financial instruments by category

Carrying amounts of financial assets and liabilities by each category are as follows (Unit: Korean Won in millions):

	June 30, 2021
	Financial<br>assets at<br>FVTPL		Financial<br>assets at<br>FVTOCI		Financial<br>assets at<br>amortized<br>cost		Derivatives<br>assets<br>(Designated<br>for hedging)		Total
Financial assets
Deposits		70,150		—		21,733,419		—		21,803,569
Securities		7,738,566		30,284,891		15,725,241		—		53,748,698
Loans		431,137		—		313,781,194		—		314,212,331
Derivative assets		4,024,668		—		—		129,562		4,154,230
Other financial assets		—		—		9,635,812		—		9,635,812
Total		12,264,521		30,284,891		360,875,666		129,562		403,554,640
	June 30, 2021
---	---	---	---	---	---	---	---	---
	Financial<br>liabilities at<br>FVTPL		Financial<br>liabilities at<br>amortized cost		Derivatives<br>liabilities<br>(Designated<br>for hedging)		Total
Financial liabilities
Deposits due to customers		70,394		302,492,676		—		302,563,070
Borrowings		200,083		22,545,862		—		22,745,945
Debentures		—		40,917,952		—		40,917,952
Derivative liabilities		3,657,704		—		44,045		3,701,749
Other financial liabilities		—		21,208,340		—		21,208,340
Total		3,928,181		387,164,830		44,045		391,137,056
	December 31, 2020
---	---	---	---	---	---	---	---	---	---	---
	Financial<br>assets at<br>FVTPL		Financial<br>assets at<br>FVTOCI		Financial<br>assets at<br>amortized<br>cost		Derivatives<br>assets<br>(Designated for<br>hedging)		Total
Financial assets
Deposits		48,796		—		9,863,160		—		9,911,956
Securities		7,136,112		30,028,929		17,020,839		—		54,185,880
Loans		676,291		—		302,794,182		—		303,470,473
Derivative assets		6,901,742		—		—		174,820		7,076,562
Other financial assets		—		—		7,448,736		—		7,448,736
Total		14,762,941		30,028,929		337,126,917		174,820		382,093,607
	December 31, 2020
---	---	---	---	---	---	---	---	---	---	---
	Financial<br>liabilities at<br>FVTPL		Financial<br>liabilities<br>designated<br>at FVTPL		Financial<br>liabilities at<br>amortized cost		Derivatives<br>liabilities<br>(Designated for<br>hedging)		Total
Financial liabilities
Deposits due to customers		49,279		—		291,477,279		—		291,526,558
Borrowings		285,026		19,630		20,745,466		—		21,050,122
Debentures		—		—		37,479,358		—		37,479,358
Derivative liabilities		6,459,887		—		—		64,769		6,524,656
Other financial liabilities		—		—		13,808,386		—		13,808,386
Total		6,794,192		19,630		363,510,489		64,769		370,389,080

• 70 -

(7)	Income or expense from financial instruments by category

Income or expense from financial assets and liabilities by each category during the six-month periods ended June 30, 2021 and 2020 are as follows (Unit: Korean Won in millions):

	For the six-month period ended June 30, 2021
	Interest<br>income<br>(expense)			Fees and<br>commissions<br>income			Reversal<br>(provision) of<br>credit loss			Gain (loss) on<br>valuation and<br>transactions		Others		Total
Financial assets at FVTPL		22,420			(42	)		—			136,407		114,442		273,227
Financial assets at FVTOCI		175,607			840			(2,097	)		45,059		16,296		235,705
Securities at amortized cost		161,372			—			293			—		—		161,665
Loans and other financial assets at amortized cost		4,351,072			244,135			(220,715	)		38,680		—		4,413,172
Financial liabilities at amortized cost		(1,384,080	)		1,114			—			—		—		(1,382,966	)
Net derivatives (designated for hedging)		—			—			—			34,380		—		34,380
Total		3,326,391			246,047			(222,519	)		254,526		130,738		3,735,183
	For the six-month period ended June 30, 2020
---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---
	Interest<br>income<br>(expense)			Fees and<br>commissions<br>income			Reversal<br>(provision) of<br>credit loss			Gain (loss) on<br>valuation and<br>transactions		Others		Total
Financial assets at FVTPL		26,210			(613	)		—			401,589		54,382		481,568
Financial assets at FVTOCI		241,000			102			(782	)		11,027		16,620		267,967
Securities at amortized cost		202,060			—			(47	)		—		—		202,013
Loans and other financial assets at amortized cost		4,446,733			197,667			(422,066	)		32,662		—		4,254,996
Financial liabilities at amortized cost		(1,969,872	)		1,133			—			—		—		(1,968,739	)
Net derivatives (designated for hedging)		—			—			—			14,942		—		14,942
Total		2,946,131			198,289			(422,895	)		460,220		71,002		3,252,747

• 71 -

12.	INVESTMENTS IN JOINT VENTURES AND ASSOCIATES
(1)	Investments in associates accounted for using the equity method of accounting are as follows:<br>
---	---
		Percentage of ownership<br>(%)
---	---	---	---	---	---	---	---	---	---
Joint ventures and associates	Main business	June 30,<br>2021		December 31,<br>2020		Location		Financial<br>statements as of
Woori Bank
W Service Networks Co., Ltd. (*1)	Freight & staffing services		4.9		4.9		Korea		2021.5.31(*4)
Korea Credit Bureau Co., Ltd. (*2)	Credit information		9.9		9.9		Korea		2021.6.30
Korea Finance Security Co., Ltd. (*1)	Security service		15.0		15.0		Korea		2021.5.31(*4)
Wongwang Co., Ltd. (*3)	Wholesale and real estate		29.0		29.0		Korea		—
Sejin Construction Co., Ltd. (*3)	Construction		29.6		29.6		Korea		—
ARES-TECH Co., Ltd. (*3)	Electronic component manufacturing		23.4		23.4		Korea		—
Sinseong Trading Co., Ltd. (*3)	Manufacturing		27.2		27.9		Korea		—
Reading Doctors Co., Ltd. (*3)	Other services		35.4		35.4		Korea		—
Cultizm Korea LTD Co., Ltd. (*3)	Wholesale and retail sales		31.3		31.3		Korea		—
NK Eng Co., Ltd. (*3)	Manufacturing		23.1		23.1		Korea		—
Beomgyo., Ltd. (*3)	Telecommunication equipment retail sales		23.1		23.1		Korea		—
Woori Growth Partnerships New Technology Private Equity Fund	Other financial services		23.1		23.1		Korea		2021.6.30
2016KIF-IMM Woori Bank Technology Venture Fund	Other financial services		20.0		20.0		Korea		2021.6.30
K BANK Co., Ltd. (*2)	Finance		26.2		26.2		Korea		2021.5.31(*4)
Smart Private Equity Fund No. 2 (*3)	Other financial services		—		20.0		Korea		—
Woori Bank-Company K Korea Movie Asset Fund	Other financial services		25.0		25.0		Korea		2021.6.30
Well to Sea No. 3 Private Equity Fund (*3)	Finance		—		50.0		Korea		—
Partner One Value Up I Private Equity Fund	Other financial services		23.3		23.3		Korea		2021.6.30
IBK KIP Seongjang Dideemdol 1st Private Investment Limited Partnership	Other financial services		20.0		20.0		Korea		2021.6.30
Crevisse Raim Impact 1st Startup Venture Specialist Private Equity Fund	Other financial services		25.0		25.0		Korea		2021.6.30
LOTTE CARD Co., Ltd.	Credit card and installment financing		20.0		20.0		Korea		2021.3.31(*4)
Together-Korea Government Private Pool Private Securities Investment Trust No. 3	Other financial services		100.0		100.0		Korea		2021.6.30
Genesis Environmental Energy Company 1st Private Equity Fund	Trust and collective investment		24.8		24.8		Korea		2021.3.31(*4)
Union Technology Finance Investment Association	Trust and collective investment		29.7		29.7		Korea		2021.3.31(*4)
Woori Bank (*5)
Japanese Hotel Real Estate Private Equity Fund 2	Other financial services		19.9		19.9		Korea		2021.6.30
Woori G Clean Energy No. 1	Investment trust and discretionary investment business		29.3		29.3		Korea		2021.6.30
Woori Goseong Power EBL Private Special Asset Fund	Trust and collective investment		16.7		16.7		Korea		2021.6.30

• 72 -

		Percentage of ownership<br>(%)
Joint ventures and associates	Main business	June 30,<br>2021		December 31,<br>2020		Location		Financial<br>statements as of
Woori Seoul Beltway Private Special Asset Fund	Trust and collective investment		25.0		25.0		Korea	2021.6.30
Woori Corporate Private Securities Fund 1 (Bond)	Collective investment business		20.0		—		Korea	2021.6.30
Woori G Star Private Placement Investment Trust No. 33 [FI]	Collective investment business		15.8		—		Korea	2021.6.30
Woori Multi Return Private Securities Investment Trust 3 (Balanced Bond)	Collective investment business		20.0		—		Korea	2021.6.30
Woori Short-term Bond Securities Investment Trust (Bond) Class<br>C-F	Collective investment business		3.4		—		Korea	2021.6.30
Woori Financial Capital Co., Ltd.
AJU TAERIM 1st Fund	Other financial services		25.6		25.6		Korea	2021.6.30
Portone-Cape Fund No. 1	Other financial services		20.0		20.0		Korea	2021.6.30
KIWOOM PE AJU Investment Fund (*6)	Other financial services		9.1		9.1		Korea	2021.6.30
Woori Investment Bank Co., Ltd. (*5)
Woori FirstValue Private Real Estate Fund No. 2	Real estate business		12.0		12.0		Korea	2021.6.30
Woori Asset Management Co. Ltd.
Woori High plus G.B. Securities Feeder Fund 1 (G.B.)	Collective investment business		27.2		21.8		Korea	2021.6.30
Woori Star50 Master Fund Class C-F (*7)	Collective investment business		45.1		24.5		Korea	—
Woori Private Equity Asset Management Co., Ltd.
Uri Hanhwa Eureka Private Equity Fund (*2)	Other financial services		0.8		0.8		Korea	2021.6.30
Aarden Woori Apparel 1st Private Equity Fund (*2)	Other financial services		0.5		—		Korea	2021.6.30
Japanese Hotel Real Estate Private Equity Fund 1
Godo Kaisha Oceanos 1	Other financial services		47.8		47.8		Japan	2021.4.30(*4)
Woori bank and Woori card Co., Ltd. (*5)
Dongwoo C & C Co., Ltd. (*3)	Construction		24.5		24.5		Korea	—
SJCO Co., Ltd. (*3)	Aggregate transportation and wholesale		28.7		28.7		Korea	—
G2 Collection Co., Ltd. (*3)	Wholesale and retail sales		29.2		29.2		Korea	—
The Base Enterprise Co., Ltd. (*3)	Manufacturing		48.4		48.4		Korea	—
Kyesan Engineering Co., Ltd. (*3)	Construction		23.3		23.3		Korea	—
Good Software Lap Co., Ltd. (*3)	Service		29.4		29.4		Korea	—
QTS Shipping Co., Ltd. (*3)	Complex transportation brokerage		49.8		49.8		Korea	—
DAEA SNC Co., Ltd. (*3)	Wholesale and retail sales		25.5		25.5		Korea	—
Force TEC Co., Ltd.	Manufacturing		24.5		25.8		Korea	2021.3.31(*4)
PREXCO Co., Ltd. (*3)	Manufacturing		28.1		28.1		Korea	—
JiWon Plating Co., Ltd. (*3)	Plating		20.8		20.8		Korea	—

• 73 -

		Percentage of ownership<br>(%)
Joint ventures and associates	Main business	June 30,<br>2021		December 31,<br>2020		Location		Financial<br>statements as of
Youngdong Sea Food Co., Ltd. (*3)	Processed sea food manufacturing		24.5		24.5		Korea	—
KUM HWA Co., Ltd.	Telecommunication equipment retail sales		20.1		—		Korea	2020.12.31(*4)
Woori bank and Woori Financial Capital Co., Ltd. (*5)
JC Assurance No. 2 Private Equity Fund	Collective investment business		29.3		29.3		Korea	2021.6.30
Dream Company Growth no. 1 PEF	Collective investment business		27.8		27.8		Korea	2021.6.30
HMS-Oriens 1st Fund	Trust and collective investment		22.8		22.8		Korea	2021.6.30
Woori G Senior Loan No. 1	Investment trust and discretionary investment business		21.7		21.7		Korea	2021.6.30
Genesis Eco No. 1 Private Equity Fund	Other financial services		29		—		Korea	2021.6.30
PARATUSWOORI MATERIALS PARTS EQUIPMENT PRIVATE EQUITY FUND	Other financial services		29.9		—		Korea	2021.6.30
Woori Bank and Woori Investment Bank Co., Ltd. (*5)
PCC-Woori LP Secondary Fund	Other financial services		38.8		38.8		Korea	2021.6.30
Woori bank and Woori Asset Management Co., Ltd. (*5)
Woori High Plus Short-term High Graded ESG Bond Sec Feeder Inv Trust 1	Collective investment business		26.5		23.3		Korea	2021.6.30
Woori Bank and Woori Private Equity Asset Management Co., Ltd. (*5)
Woori-Q Corporate Restructuring Private Equity<br>Fund	Trust and collective investment		37.8		38.4		Korea	2021.6.30
Woori Bank, Woori Financial Capital Co., Ltd., Woori Investment Bank Co., Ltd. and Woori Private<br>Equity Asset Management Co., Ltd. (*5)
Woori-Shinyoung Growth-Cap Private Equity Fund I	Other financial services		35.0		35.0		Korea	2021.6.30
(*1)	Most of the significant business transactions of associates are with the Group as of June 30, 2021 and<br>December 31, 2020.
---	---
(*2)	The Group can participate in decision-making body and exercise significant influence over financial policies<br>and operational policies decision making of the associates.
---	---
(*3)	There is no investment balance as of June 30, 2021 and December 31, 2020.
---	---
(*4)	The equity method was applied using the most recent financial statements available from the settlement date<br>because no financial statements were available at the end of December and the significant transactions or events that occurred between the end of the reporting period of the associate and the end of the reporting period of the subsidiary were duly<br>reflected.
---	---
(*5)	Two or more subsidiaries may invest or operate to exert significant influence on the decision-making process<br>for activities related to the investee.
---	---
(*6)	The Group can participate as a co-operator to exert significant<br>influence.
---	---
(*7)	It has been reclassified as a subsidiary from an associate due to an increase in ownership interest.<br>
---	---
(*8)	Woori G IPO10 [FI_Bal][F]C(F) can exercise significant influence but was classified as an item measured at fair<br>value through profit or loss.
---	---

• 74 -

(2)	Changes in the carrying value of investments in associates accounted for using the equity method of accounting<br>are as follows (Unit: Korean Won in millions):
	For the six-month period ended June 30, 2021
---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---
	Acquisition<br>cost		January 1,<br>2021		Share of<br>profits<br>(losses)			Acquisi-<br>tion		Disposal/<br>Reclassification			Dividends			Change<br>in<br>capital			June 30,<br>2021
W Service Networks Co., Ltd.		108		191		(21	)		—		—			(4	)		—			166
Korea Credit Bureau Co., Ltd.		3,313		8,125		458			—		—			(90	)		—			8,493
Korea Finance Security Co., Ltd.		3,267		3,066		(56	)		—		—			—			—			3,010
Woori Growth Partnerships New Technology Private Equity Fund		16,371		15,032		(614	)		—		(567	)		—			(7	)		13,844
2016KIF-IMM Woori Bank Technology Venture Fund		11,060		13,238		(182	)		—		(833	)		—			—			12,223
K BANK Co., Ltd.		236,232		174,097		(8,332	)		—		—			—			(1,772	)		163,993
Smart Private Equity Fund No. 2		—		1,481		(796	)		—		(685	)		—			—			—
Woori Bank-Company K Korea Movie Asset Fund		600		2,788		86			—		(1,500	)		—			—			1,374
Partner One Value Up I Private Equity Fund		10,000		9,816		(76	)		—		—			—			(16	)		9,724
IBK KIP Seongjang Dideemdol 1st Private Investment Limited Partnership		14,236		9,756		—			5,040		(560	)		—			—			14,236
Crevisse Raim Impact 1st Startup Venture Specialist Private Equity Fund		4,192		4,129		—			63		—			—			—			4,192
LOTTE CARD Co., Ltd		346,810		422,832		12,826			—		—			(10,374	)		3,248			428,532
Together-Korea Government Private Pool Private Securities Investment Trust No. 3		10,000		10,023		18			—		—			—			—			10,041
Genesis Environmental Energy Company 1st Private Equity Fund		3,738		3,979		28			—		—			—			—			4,007
Union Technology Finance Investment Association		10,500		4,485		(175	)		6,000		—			—			—			10,310
Japanese Hotel Real Estate Private Equity Fund 2		3,291		3,234		76			—		—			(104	)		(98	)		3,108
Woori G Clean Energy No. 1		2,477		1,024		138			1,462		—			—			—			2,624
Woori Goseong Power EBL Private Special Asset Fund		14,915		15,118		245			—		—			(246	)		—			15,117
Woori Seoul Beltway Private Special Asset Fund		6,273		5,613		54			831		—			(48	)		—			6,450
Woori Corporate Private Securities Fund 1 (Bond)		10,000		—		(27	)		10,000		—			—			—			9,973
Woori G Star Private Placement Investment Trust No. 33 [FI]		20,000		—		63			20,000		—			—			—			20,063
Woori Multi Return Private Securities Investment Trust 3 (Balanced Bond)		10,000		—		(28	)		10,000		—			—			—			9,972
Woori Short-term Bond Securities Investment Trust (Bond) Class<br>C-F		50,000		—		444			50,000		—			—			—			50,444
AJU TAERIM 1st Fund		1,100		283		(11	)		—		—			—			—			272
Portone-Cape Fund No. 1		340		960		189			—		(660	)		—			—			489
KIWOOM PE AJU Investment Fund		1,000		994		(10	)		—		—			—			—			984
Woori FirstValue Private Real Estate Fund No. 2		9,000		2,130		(637	)		—		—			—			—			1,493

• 75 -

	For the six-month period ended June 30, 2021
	Acquisition<br>cost		January 1,<br>2021		Share of<br>profits<br>(losses)			Acquisi-<br>tion		Disposal/<br>Reclassification			Dividends			Change<br>in<br>capital			June 30,<br>2021
Woori High plus G.B. Securities Feeder Fund 1 (G.B.)		6,000		6,076		(29	)		—		—			—			—			6,047
Woori Star50 Master Fund Class C-F		—		184		35			—		(219	)		—			—			—
Uri Hanhwa Eureka Private Equity Fund		350		403		(2	)		—		—			—			—			401
Aarden Woori Apparel 1st Private Equity Fund		100		—		—			100		—			—			—			100
Godo Kaisha Oceanos 1		10,800		10,193		(2	)		—		—			(370	)		(32	)		9,789
Force TEC Co., Ltd.		—		393		(393	)		—		—			—			—			—
KUM HWA Co., Ltd.		—		—		1			—		—			—			—			1
JC Assurance No. 2 Private Equity Fund		29,349		29,050		(370	)		299		—			—			—			28,979
Dream Company Growth no. 1 PEF		8,000		7,705		234			—		—			—			—			7,939
HMS-Oriens 1st Fund		12,000		12,000		250			—		—			—			—			12,250
Woori G Senior Loan No. 1		64,950		52,045		1,289			12,991		—			(562	)		—			65,763
Genesis Eco No. 1 Private Equity Fund		10,704		—		(683	)		10,704		—			—			—			10,021
PARATUSWOORI MATERIALS PARTS EQUIPMENT PRIVATE EQUITY FUND		16,400		—		(2	)		16,400		—			—			—			16,398
PCC-Woori LP Secondary Fund		10,100		8,128		160			2,525		—			—			—			10,813
Woori High Plus Short-term High Graded ESG Bond Sec Feeder Inv Trust 1		110,221		93,474		490			20,000		—			(2,503	)		—			111,461
Woori-Q Corporate Restructuring Private Equity<br>Fund		20,148		22,904		1,068			—		(2,996	)		—			—			20,976
Woori-Shinyoung Growth-Cap Private Equity Fund I		41,622		38,342		20,537			10,420		—			—			(96	)		69,202
		1,139,567		993,291		26,241			176,835		(8,020	)		(14,301	)		1,227			1,175,274

• 76 -

	For the six-month period ended June 30, 2020
	Acquisition<br>cost		January 1,<br>2020		Share of<br>profits<br>(losses)			Acquisi-<br>tion		Disposal/<br>Reclassification			Dividends			Change<br>in<br>capital			June 30,<br>2020
W Service Networks Co., Ltd.		108		186		(19	)		—		—			(3	)		—			164
Korea Credit Bureau Co., Ltd.		3,313		6,845		743			—		—			(90	)		—			7,498
Korea Finance Security Co., Ltd.		3,267		3,287		(83	)		—		—			—			—			3,204
Saman Corporation		8,521		849		(418	)		—		—			—			37			468
Woori Growth Partnerships New Technology Private Equity Fund		18,666		19,212		(2,064	)		—		—			—			—			17,148
2016KIF-IMM Woori Bank Technology Venture Fund		12,385		15,141		1,176			—		—			—			(1,563	)		14,754
K BANK Co., Ltd.		73,150		31,254		(6,917	)		—		—			—			21			24,358
Smart Private Equity Fund No. 2		2,915		2,764		(21	)		—		—			—			—			2,743
Woori Bank-Company K Korea Movie Asset Fund		2,100		3,323		315			—		(900	)		—			—			2,738
Well to Sea No. 3 Private Equity Fund		101,483		209,023		16,385			—		—			(24,393	)		(1,085	)		199,930
Partner One Value Up I Private Equity Fund		10,000		9,908		(41	)		—		—			—			—			9,867
IBK KIP Seongjang Dideemdol 1st Private Investment Limited Partnership		6,596		4,576		—			2,020		—			—			—			6,596
Crevisse Raim Impact 1st Startup Venture Specialist Private Equity Fund		4,055		4,375		—			—		(321	)		—			—			4,054
LOTTE CARD Co., Ltd		346,810		409,444		13,822			810		—			(5,710	)		(3,343	)		415,023
Together-Korea Government Private Pool Private Securities Investment Trust No. 3		100,000		—		80			100,000		—			—			—			100,080
Japanese Hotel Real Estate Private Equity Fund 2		3,291		3,291		188			—		—			(56	)		—			3,423
Woori All-in-One<br>World EMP 40 [Bond Mixed-FOF]		5,000		—		(107	)		5,000		—			—			—			4,893
Uri Hanhwa Eureka Private Equity Fund		350		342		(2	)		—		—			—			—			340
Godo Kaisha Oceanos 1		10,800		10,952		209			—		—			(689	)		20			10,492
Force TEC Co., Ltd.		—		—		1,563			—		—			—			(442	)		1,121
Woori-Shinyoung Growth-Cap Private Equity Fund I		32,572		11,841		(61	)		19,906		—			—			—			31,686
Chin Hung International Inc.		130,779		51,176		(726	)		—		—			—			(22	)		50,428
PCC-Woori LP Secondary Fund		5,050		2,525		(124	)		2,525		—			—			—			4,926
Woori High plus G.B. Securities Feeder Fund 1 (G.B.)		6,141		—		120			6,141		—			—			—			6,261
Woori-Q Corporate Restructuring Private Equity<br>Fund		6,129		6,046		(80	)		—		—			—			—			5,966
		893,481		806,360		23,938			136,402		(1,221	)		(30,941	)		(6,377	)		928,161

• 77 -

(3)	Summary financial information relating to investments in associates accounted for using the equity method of<br>accounting is as follows (Unit: Korean Won in millions):
	June 30, 2021
---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---
	Assets		Liabilities		Operating<br>revenue		Net income<br>(loss)			Other<br>comprehensive<br>income(loss)			Total<br>comprehensive<br>income(loss)
W Service Networks Co., Ltd.		5,860		2,497		7,874		499			—			499
Korea Credit Bureau Co., Ltd.		122,167		38,981		60,698		11,097			—			11,097
Korea Finance Security Co., Ltd.		33,906		13,840		27,036		(356	)		—			(356	)
Woori Growth Partnerships New Technology Private Equity Fund		60,229		240		1,354		(2,190	)		—			(2,190	)
2016KIF-IMM Woori Bank Technology Venture Fund		58,421		583		15		(665	)		—			(665	)
K BANK Co., Ltd.		13,851,753		13,380,340		84,541		(10,414	)		(6,943	)		(17,357	)
Woori Bank-Company K Korea Movie Asset Fund		5,532		35		375		339			—			339
Partner One Value Up I Private Equity Fund		41,807		—		3		(323	)		—			(323	)
IBK KIP Seongjang Dideemdol 1st Private Investment Limited Partnership		70,554		649		2,312		1,617			—			1,617
Crevisse Raim Impact 1st Startup Venture Specialist Private Equity Fund		15,762		—		—		(114	)		—			(114	)
LOTTE CARD Co., Ltd (*)		14,705,638		12,336,183		492,964		49,836			9,171			59,007
Together-Korea Government Private Pool Private Securities Investment Trust No. 3		10,044		1		10		8			—			8
Genesis Environmental Energy Company 1st Private Equity Fund		20,601		4,411		3,375		199			—			199
Union Technology Finance Investment Association		35,002		290		6		(587	)		—			(587	)
Japanese Hotel Real Estate Private Equity Fund 2		15,659		14		431		382			(1,434	)		(1,052	)
Woori G Clean Energy No. 1		8,972		19		488		470			—			470
Woori Goseong Power EBL Private Special Asset Fund		90,721		21		1,517		1,472			—			1,472
Woori Seoul Beltway Private Special Asset Fund		25,802		1		234		217			—			217
Woori Corporate Private Securities Fund 1 (Bond)		49,891		42		13		13			—			13
Woori G Star Private Placement Investment Trust No. 33 [FI]		126,585		28		472		399			—			399
Woori Multi Return Private Securities Investment Trust 3(Balanced Bond)		135,992		86,130		29		27			—			27
Woori Short-term Bond Securities Investment Trust (Bond) Class<br>C-F		1,608,203		125,716		110		107			—			107
AJU TAERIM 1st Fund		1,192		129		—		(43	)		—			(43	)
Portone-Cape Fund No. 1		2,447		—		1,050		947			—			947
KIWOOM PE AJU Investment Fund		10,929		109		—		(109	)		—			(109	)
Woori FirstValue Private Real Estate Fund No. 2		14,918		2,471		—		—			—			—
Woori High plus G.B. Securities Feeder Fund 1 (G.B.)		22,278		—		7		7			—			7
Uri Hanhwa Eureka Private Equity Fund		50,159		232		20		(220	)		—			(220	)
Aarden Woori Apparel 1st Private Equity Fund		21,200		27		—		(27	)		—			(27	)
Godo Kaisha Oceanos 1		66,038		45,562		1,497		(3	)		—			(3	)
Force TEC Co., Ltd.		29,045		37,358		7,239		1,056			—			1,056
KUM HWA Co., Ltd.		34		175		25		5			—			5
JC Assurance No. 2 Private Equity Fund		98,921		15		—		(533	)		—			(533	)
Dream Company Growth no. 1 PEF		30,327		1,744		—		1,594			—			1,594
HMS-Oriens 1st Fund		53,702		6		1,364		1,065			—			1,065
Woori G Senior Loan No. 1		303,775		16		6,342		5,953			—			5,953
Genesis Eco No. 1 Private Equity Fund		34,574		—		—		367			—			367
PARATUSWOORI MATERIALS PARTS EQUIPMENT PRIVATE EQUITY FUND		54,900		7		—		(7	)		—			(7	)
PCC-Woori LP Secondary Fund		27,842		4		750		415			—			415
Woori High Plus Short-term High Graded ESG Bond Sec Feeder Inv Trust 1		426,689		—		1,850		1,850			—			1,850
Woori-Q Corporate Restructuring Private Equity<br>Fund		55,986		439		280		(693	)		—			(693	)
Woori-Shinyoung Growth-Cap Private Equity Fund I		198,494		602		81,046		80,193			—			80,193
(*)	The amount is after reflecting the fair value adjustment that occurred when acquiring the shares and the<br>adjustments that occurred by difference of accounting policies with the Group.
---	---

• 78 -

	December 31, 2020
	Assets		Liabilities		Operating<br>revenue		Net income<br>(loss)			Other<br>comprehensive<br>income(loss)			Total<br>comprehensive<br>income(loss)
W Service Networks Co., Ltd.		6,305		2,448		18,525		1,197			—			1,197
Korea Credit Bureau Co., Ltd.		117,077		37,599		107,810		13,391			—			13,391
Korea Finance Security Co., Ltd.		36,978		16,536		60,599		(1,985	)		—			(1,985	)
Woori Growth Partnerships New Technology Private Equity Fund		65,390		252		1,589		(9,601	)		—			(9,601	)
2016KIF-IMM Woori Bank Technology Venture Fund		64,109		1,198		7,425		6,201			—			6,201
K BANK Co., Ltd.		4,040,051		3,530,074		68,144		(83,989	)		(1,354	)		(85,343	)
Smart Private Equity Fund No. 2		13,667		51		1		(204	)		—			(204	)
Woori Bank-Company K Korea Movie Asset Fund		11,273		119		1,926		1,461			—			1,461
Well to Sea No. 3 Private Equity Fund		22,001		3,102		610,535		16,061			3,976			20,037
Partner One Value Up I Private Equity Fund		42,205		—		308		(329	)		—			(329	)
IBK KIP Seongjang Dideemdol 1st Private Investment Limited Partnership		46,542		655		1,024		(411	)		—			(411	)
Crevisse Raim Impact 1st Startup Venture Specialist Private Equity Fund		15,747		—		284		(85	)		—			(85	)
LOTTE CARD Co., Ltd (*)		14,578,716		12,238,805		1,255,593		78,781			(9,040	)		69,741
Together-Korea Government Private Pool Private Securities Investment Trust No. 3		10,025		1		187		23			—			23
Genesis Environmental Energy Company 1st Private Equity Fund		16,192		118		1,400		974			—			974
Union Technology Finance Investment Association		15,151		51		1		(50	)		—			(50	)
Japanese Hotel Real Estate Private Equity Fund 2		16,293		15		1,359		1,271			(940	)		331
Woori G Clean Energy No. 1		3,496		1		33		32			—			32
Woori Goseong Power EBL Private Special Asset Fund		90,728		21		3,060		2,969			—			2,969
Woori Seoul Beltway Private Special Asset Fund		22,452		1		352		323			—			323
AJU TAERIM 1st Fund		1,192		86		—		(22	)		—			(22	)
Portone-Cape Fund No. 1		4,800		—		—		—			—			—
KIWOOM PE AJU Investment Fund		10,986		57		—		(71	)		—			(71	)
Woori FirstValue Private Real Estate Fund No. 2		20,220		2,467		9		(9	)		—			(9	)
Woori High plus G.B. Securities Feeder Fund 1 (G.B.)		27,870		—		148		148			—			148
Woori Star50 Master Fund Class C-F		1,011		246		11		11			—			11
Uri Hanhwa Eureka Private Equity Fund		50,382		235		8,150		7,676			—			7,676
Godo Kaisha Oceanos 1		66,793		45,472		1,425		14			—			14
Force TEC Co., Ltd.		47,077		45,552		25,914		(415	)		(2,745	)		(3,160	)
JC Assurance No. 2 Private Equity Fund		98,431		13		—		(732	)		—			(732	)
Dream Company Growth no. 1 PEF		28,727		43		—		(116	)		—			(116	)
HMS-Oriens 1st Fund		52,685		53		90		20			—			20
Woori G Senior Loan No. 1		240,414		15		1,721		1,584			—			1,584
PCC-Woori LP Secondary Fund		20,927		4		2,082		1,425			—			1,425
Woori High Plus Short-term High Graded ESG Bond Sec Feeder Inv Trust 1		402,015		—		10,727		10,727			—			10,727
Woori-Q Corporate Restructuring Private Equity<br>Fund		58,355		433		206		(1,590	)		—			(1,590	)
Woori-Shinyoung Growth-Cap Private Equity Fund I		110,452		825		23,875		21,106			—			21,106
(*)	The amount is after reflecting the fair value adjustment that occurred when acquiring the shares and the<br>adjustments that occurred by difference of accounting policies with the Group.
---	---

• 79 -

(4)	The entities that the Group has not applied equity method of accounting although the Group’s ownership<br>interest is more than 20% as of June 30, 2021 and December 31, 2020 are as follows:
	June 30, 2021
---	---	---	---	---
Associate (*)	Number of<br>shares owned		Ownership (%)
Orient Shipyard Co., Ltd.		464,812		21.4
Yuil PESC Co., Ltd.		8,642		24.0
CL Tech Co., Ltd.		13,759		38.6
(*)	Even though the Group’s ownership interest of the entity is more than 20%, the Group does not have<br>significant influence over the entity since it is going through work-out process under receivership, thus it is excluded from the investment in joint ventures and associates.
---	---
	December 31, 2020
---	---	---	---	---
Associate (*)	Number of<br>shares owned		Ownership (%)
Orient Shipyard Co., Ltd.		464,812		21.4
Yuil PESC Co., Ltd.		8,642		24.0
CL Tech Co., Ltd.		13,759		38.6
(*)	Even though the Group’s ownership interest of the entity is more than 20%, the Group does not have<br>significant influence over the entity since it is going through work-out process under receivership, thus it is excluded from the investment in joint ventures and associates.
---	---
(5)	As of June 30, 2021 and December 31, 2020, the reconciliations from the net assets of the associates<br>to the book value of the shares of the investment in joint ventures and associates are as follows (Unit: Korean Won in millions except for ownership):
---	---
	June 30, 2021
---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---
	Total net<br>asset		Ownership<br>(%)		Ownership<br>portion of net<br>assets		Basis<br>difference		Impairment			Intercompany<br>transaction			Book<br>value
W Service Networks Co., Ltd.		3,363		4.9		166		—		—			—			166
Korea Credit Bureau Co., Ltd.		83,186		9.9		8,244		246		—			3			8,493
Korea Finance Security Co., Ltd.		20,066		15.0		3,010		—		—			—			3,010
Woori Growth Partnerships New Technology Private Equity Fund		59,989		23.1		13,846		—		—			(2	)		13,844
2016KIF-IMM Woori Bank Technology Venture Fund		57,838		20.0		11,568		—		—			655			12,223
K BANK Co., Ltd. (*1) (*2)		471,412		26.2		123,510		44,117		(3,634	)		—			163,993
Woori Bank-Company K Korea Movie Asset Fund		5,497		25.0		1,374		—		—			—			1,374
Partner One Value Up Ist Private Equity Fund		41,807		23.3		9,724		—		—			—			9,724
IBK KIP Seongjang Dideemdol 1st Private Investment Limited Partnership		69,905		20.0		13,981		—		—			255			14,236
Crevisse Raim Impact 1st Startup Venture Specialist Private Equity Fund		15,762		25.0		3,940		—		—			252			4,192
LOTTE CARD Co., Ltd (*1)		2,142,659		20.0		428,532		—		—			—			428,532
Together-Korea Government Private Pool Private Securities Investment Trust No. 3		10,043		100.0		10,043		—		—			(2	)		10,041
Genesis Environmental Energy Company 1st Private Equity Fund		16,190		24.8		4,007		—		—			—			4,007
Union Technology Finance Investment Association		34,712		29.7		10,309		—		—			1			10,310
Japanese Hotel Real Estate Private Equity Fund 2		15,645		19.9		3,108		—		—			—			3,108
Woori G Clean Energy No. 1		8,953		29.3		2,624		—		—			—			2,624

• 80 -

	June 30, 2021
	Total net<br>asset			Ownership<br>(%)		Ownership<br>portion of net<br>assets			Basis<br>difference		Impairment		Intercompany<br>transaction		Book<br>value
Woori Goseong Power EBL Private Special Asset Fund		90,700			16.7		15,117			—		—		—		15,117
Woori Seoul Beltway Private Special Asset Fund		25,801			25.0		6,450			—		—		—		6,450
Woori Corporate Private Securities Fund 1 (Bond)		49,849			20.0		9,973			—		—		—		9,973
Woori G Star Private Placement Investment Trust No. 33 [FI]		126,557			15.8		20,063			—		—		—		20,063
Woori Multi Return Private Securities Investment Trust 3(Balanced Bond)		49,862			20.0		9,972			—		—		—		9,972
Woori Short-term Bond Securities Investment Trust (Bond) Class<br>C-F		1,482,487			3.4		50,444			—		—		—		50,444
AJU TAERIM 1st Fund		1,063			25.6		272			—		—		—		272
Portone-Cape Fund No. 1		2,447			20.0		489			—		—		—		489
KIWOOM PE AJU Investment Fund		10,820			9.1		984			—		—		—		984
Woori FirstValue Private Real Estate Fund No. 2		12,447			12.0		1,493			—		—		—		1,493
Woori High plus G.B. Securities Feeder Fund 1 (G.B.)		22,278			27.2		6,047			—		—		—		6,047
Uri Hanhwa Eureka Private Equity Fund		49,927			0.8		401			—		—		—		401
Aarden Woori Apparel 1st Private Equity Fund		21,173			0.5		100			—		—		—		100
Godo Kaisha Oceanos 1		20,476			47.8		9,789			—		—		—		9,789
Force TEC		(8,313	)		24.5		(2,040	)		—		—		2,040		—
KUM HWA Co., Ltd.		(141	)		20.1		(28	)		—		—		29		1
JC Assurance No. 2 Private Equity Fund		98,906			29.3		28,979			—		—		—		28,979
Dream Company Growth no. 1 PEF		28,583			27.8		7,939			—		—		—		7,939
HMS-Oriens 1st Fund		53,696			22.8		12,250			—		—		—		12,250
Woori G Senior Loan No. 1		303,759			21.7		65,763			—		—		—		65,763
Genesis Eco No. 1 Private Equity Fund		34,574			29.0		10,021			—		—		—		10,021
PARATUSWOORI MATERIALS PARTS EQUIPMENT PRIVATE EQUITY FUND		54,893			29.9		16,398			—		—		—		16,398
PCC-Woori LP Secondary Fund		27,837			38.8		10,812			—		—		1		10,813
Woori High Plus Short-term High Graded ESG Bond Sec Feeder Inv Trust 1		426,689			26.5		111,461			—		—		—		111,461
Woori-Q Corporate Restructuring Private Equity<br>Fund		55,547			37.8		20,976			—		—		—		20,976
Woori-Shinyoung Growth-Cap Private Equity Fund I		197,892			35.0		69,202			—		—		—		69,202
(*1)	The net asset equity amount is after the<br>debt-for-equity swap, non-controlling etc.
---	---
(*2)	As a result of conducting an impairment test on the investment stocks of the related companies, the recoverable<br>value was less than the carrying amount and thus the impairment loss was recognized.
---	---

• 81 -

	December 31, 2020
	Total net<br>asset		Ownership<br>(%)		Ownership<br>portion of net<br>assets		Basis<br>difference		Impairment			Intercompany<br>transaction			Book<br>value
W Service Networks Co., Ltd.		3,857		4.9		191		—		—			—			191
Korea Credit Bureau Co., Ltd.		79,478		9.9		7,876		246		—			3			8,125
Korea Finance Security Co., Ltd.		20,442		15.0		3,066		—		—			—			3,066
Woori Growth Partnerships New Technology Private Equity Fund		65,138		23.1		15,034		—		—			(2	)		15,032
2016KIF-IMM Woori Bank Technology Venture Fund		62,911		20.0		12,582		—		—			656			13,238
K BANK Co., Ltd. (*1) (*2)		509,978		26.2		133,614		44,117		(3,634	)		—			174,097
Smart Private Equity Fund No. 2 (*2)		13,616		20.0		2,723		—		(1,242	)		—			1,481
Woori Bank-Company K Korea Movie Asset Fund		11,154		25.0		2,788		—		—			—			2,788
Well to Sea No.3 Private Equity Fund (*3)		18,899		50.0		—		—		—			—			—
Partner One Value Up Ist Private Equity Fund		42,205		23.3		9,817		—		—			(1	)		9,816
IBK KIP Seongjang Dideemdol 1st Private Investment Limited Partnership		45,888		20.0		9,178		—		—			578			9,756
Crevisse Raim Impact 1st Startup Venture Specialist Private Equity Fund		15,747		25.0		3,937		—		—			192			4,129
LOTTE CARD Co., Ltd (*1)		2,114,159		20.0		422,832		—		—			—			422,832
Together-Korea Government Private Pool Private Securities Investment Trust No. 3		10,024		100.0		10,024		—		—			(1	)		10,023
Genesis Environmental Energy Company 1st Private Equity Fund		16,074		24.8		3,979		—		—			—			3,979
Union Technology Finance Investment Association		15,100		29.7		4,485		—		—			—			4,485
Japanese Hotel Real Estate Private Equity Fund 2		16,278		19.9		3,234		—		—			—			3,234
Woori G Clean Energy No. 1		3,495		29.3		1,024		—		—			—			1,024
Woori Goseong Power EBL Private Special Asset Fund		90,707		16.7		15,118		—		—			—			15,118
Woori Seoul Beltway Private Special Asset Fund		22,451		25.0		5,613		—		—			—			5,613
AJU TAERIM 1st Fund		1,106		25.6		283		—		—			—			283
Portone-Cape Fund No. 1		4,800		20.0		960		—		—			—			960
KIWOOM PE AJU Investment Fund		10,929		9.1		994		—		—			—			994
Woori FirstValue Private Real Estate Fund No. 2		17,753		12.0		2,130		—		—			—			2,130
Woori High plus G.B. Securities Feeder Fund 1 (G.B.)		27,870		21.8		6,076		—		—			—			6,076
Woori Star50 Master Fund Class C-F		765		24.5		184		—		—			—			184
Uri Hanhwa Eureka Private Equity Fund		50,147		0.8		403		—		—			—			403
Godo Kaisha Oceanos 1		21,321		47.8		10,193		—		—			—			10,193
Force TEC		1,526		25.8		393		—		—			—			393
JC Assurance No. 2 Private Equity Fund		98,418		29.3		29,050		—		—			—			29,050
Dream Company Growth no. 1 PEF		28,684		27.8		7,705		—		—			—			7,705
HMS-Oriens 1st Fund		52,632		22.8		12,000		—		—			—			12,000
Woori G Senior Loan No. 1		240,399		21.7		52,045		—		—			—			52,045
PCC-Woori LP Secondary Fund		20,923		38.8		8,126		—		—			2			8,128

• 82 -

	December 31, 2020
	Total net<br>asset		Ownership<br>(%)		Ownership<br>portion of net<br>assets		Basis<br>difference		Impairment		Intercompany<br>transaction		Book<br>value
Woori High Plus Short-term High Graded ESG Bond Sec Feeder Inv Trust 1		402,015		23.3		93,474		—		—		—		93,474
Woori-Q Corporate Restructuring Private Equity<br>Fund		57,922		38.4		22,220		—		—		684		22,904
Woori-Shinyoung Growth-Cap Private Equity Fund I		109,627		35.0		38,342		—		—		—		38,342
(*1)	The net asset equity amount is after the<br>debt-for-equity swap, non-controlling etc.
---	---
(*2)	As a result of conducting an impairment test on the investment stocks of the related companies, the recoverable<br>value was less than the carrying amount and thus the impairment loss was recognized.
---	---
(*3)	The estimated recoverable amount of 15,687 million Won at the time of liquidation was classified as<br>receivable.
---	---
13.	INVESTMENT PROPERTIES
---	---
(1)	Details of investment properties are as follows (Unit: Korean Won in millions):
---	---
	June 30, 2021			December 31, 2020
---	---	---	---	---	---	---
Acquisition cost		410,586			409,702
Accumulated depreciation		(23,850	)		(22,152	)
Accumulated impairment losses		(86	)		(86	)
Net carrying value		386,650			387,464
(2)	Changes in investment properties are as follows (Unit: Korean Won in millions):
---	---
	For the six-month period ended June 30
---	---	---	---	---	---	---
	2021			2020
Beginning balance		387,464			280,239
Acquisition		—			1,514
Disposal		—			(354	)
Depreciation		(1,411	)		(1,087	)
Transfer		2,497			31,681
Foreign currencies translation adjustments		(1,954	)		430
Others		54			383
Ending balance		386,650			312,806

• 83 -

14.	PREMISES AND EQUIPMENT
(1)	Details of premises and equipment as of June 30, 2021 and December 31, 2020 are as follows (Unit:<br>Korean Won in millions):
---	---
	June 30, 2021
---	---	---	---	---	---	---	---	---	---	---	---	---	---	---
	Land		Building		Equipment<br>and vehicles		Leasehold<br>improvement		Construction<br>in progress		Structures		Total
Premises and equipment (owned)		1,725,871		771,429		240,710		46,782		15,002		1		2,799,795
Right-of-use<br>asset		—		377,388		13,011		—		—		—		390,399
Carrying value		1,725,871		1,148,817		253,721		46,782		15,002		1		3,190,194
	December 31, 2020
---	---	---	---	---	---	---	---	---	---	---	---	---	---	---
	Land		Building		Equipment<br>and vehicles		Leasehold<br>improvement		Construction<br>in progress		Structures		Total
Premises and equipment (owned)		1,726,045		787,040		268,225		50,085		8,246		2		2,839,643
Right-of-use<br>asset		—		435,132		12,423		—		—		—		447,555
Carrying value		1,726,045		1,222,172		280,648		50,085		8,246		2		3,287,198
(2)	Details of premises and equipment (owned) as of June 30, 2021 and December 31, 2020 are as follows<br>(Unit: Korean Won in millions):
---	---
	June 30, 2021
---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---
	Land			Building			Equipment<br>and vehicles			Leasehold<br>improvement			Construction<br>in progress		Structures			Total
Acquisition cost		1,726,531			1,076,347			1,126,536			467,066			15,002		20			4,411,502
Accumulated depreciation		—			(304,918	)		(885,826	)		(420,284	)		—		(19	)		(1,611,047	)
Accumulated impairment losses		(660	)		—			—			—			—		—			(660	)
Net carrying value		1,725,871			771,429			240,710			46,782			15,002		1			2,799,795
	December 31, 2020
---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---
	Land			Building			Equipment<br>and vehicles			Leasehold<br>improvement			Construction<br>in progress		Structures			Total
Acquisition cost		1,726,705			1,076,647			1,142,653			478,290			8,246		20			4,432,561
Accumulated depreciation		—			(289,607	)		(874,428	)		(428,205	)		—		(18	)		(1,592,258	)
Accumulated impairment losses		(660	)		—			—			—			—		—			(660	)
Net carrying value		1,726,045			787,040			268,225			50,085			8,246		2			2,839,643

• 84 -

(3)	Details of changes in premises and equipment (owned) are as follows (Unit: Korean Won in millions):<br>
	For the six-month period ended June 30, 2021
---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---
	Land			Building			Equipment<br>and vehicles			Leasehold<br>improvement			Construction<br>in progress			Structures			Total
Beginning balance		1,726,045			787,040			268,225			50,085			8,246			2			2,839,643
Acquisitions		—			5,583			18,651			7,898			7,909			—			40,041
Disposals		—			(7	)		(534	)		(767	)		—			—			(1,308	)
Depreciation		—			(16,926	)		(46,511	)		(10,636	)		—			(1	)		(74,074	)
Classified as<br>held-for-sale		(759	)		(1,412	)		—			—			—			—			(2,171	)
Transfer		(2,558	)		61			191			—			(191	)		—			(2,497	)
Foreign currencies translation adjustments		113			125			984			630			33			—			1,885
Others		3,030			(3,035	)		(296	)		(428	)		(995	)		—			(1,724	)
Ending balance		1,725,871			771,429			240,710			46,782			15,002			1			2,799,795
	For the six-month period ended June 30, 2020
---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---
	Land			Building			Equipment<br>and vehicles			Leasehold<br>improvement			Construction<br>in progress			Structures		Total
Beginning balance		1,761,159			802,299			278,016			54,839			1,287			2		2,897,602
Acquisitions		55			9,068			37,525			10,528			90			—		57,266
Disposals		(6,422	)		(332	)		(804	)		(304	)		—			—		(7,862	)
Depreciation		—			(17,708	)		(46,975	)		(13,822	)		—			—		(78,505	)
Transfer		(30,518	)		(1,163	)		—			—			—			—		(31,681	)
Foreign currencies translation adjustments		207			178			1,529			583			25			—		2,522
Others		—			(3,638	)		984			1,236			(539	)		—		(1,957	)
Ending balance		1,724,481			788,704			270,275			53,060			863			2		2,837,385
(4)	Details of right-of-use assets<br>as of June 30, 2021 and December 31, 2020 are as follows (Unit: Korean Won in millions):
---	---
	June 30, 2021
---	---	---	---	---	---	---	---	---	---
	Building			Equipment and vehicles			Total
Acquisition cost		687,241			29,248			716,489
Accumulated depreciation		(309,853	)		(16,237	)		(326,090	)
Net carrying value		377,388			13,011			390,399
	December 31, 2020
---	---	---	---	---	---	---	---	---	---
	Building			Equipment and vehicles			Total
Acquisition cost		720,417			28,463			748,880
Accumulated depreciation		(285,285	)		(16,040	)		(301,325	)
Net carrying value		435,132			12,423			447,555

• 85 -

(5)	Details of changes in<br>right-of-use assets for the six-month periods ended June 30, 2021 and 2020 are as follows (Unit: Korean Won in millions):<br>
	For the six-month period ended June 30, 2021
---	---	---	---	---	---	---	---	---	---
	Building			Equipment and vehicles			Total
Beginning balance		435,132			12,423			447,555
New contracts		79,493			6,969			86,462
Changes in contract		1,385			—			1,385
Termination		(36,763	)		(793	)		(37,556	)
Depreciation		(117,665	)		(5,396	)		(123,061	)
Others		15,806			(192	)		15,614
Ending balance		377,388			13,011			390,399
	For the six-month period ended June 30, 2020
---	---	---	---	---	---	---	---	---	---
	Building			Equipment and vehicles			Total
Beginning balance		449,878			17,236			467,114
New contracts		111,610			3,158			114,768
Changes in contract		5,922			13			5,935
Termination		(3,020	)		(282	)		(3,302	)
Depreciation		(114,536	)		(5,026	)		(119,562	)
Others		8,598			73			8,671
Ending balance		458,452			15,172			473,624
15.	INTANGIBLE ASSETS
---	---
(1)	Details of intangible assets are as follows (Unit: Korean Won in millions):
---	---
	June 30, 2021
---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---
	Goodwill		Industrial<br>property<br>rights			Development<br>cost			Other<br>intangible<br>assets			Membership<br>deposit			Construction<br>in<br>progress		Total
Acquisition cost		336,980		1,810			620,549			1,139,462			40,161			740		2,139,702
Accumulated amortization		—		(1,212	)		(414,315	)		(911,497	)		—			—		(1,327,024	)
Accumulated impairment losses		—		—			—			(33,552	)		(3,512	)		—		(37,064	)
Net carrying value		336,980		598			206,234			194,413			36,649			740		775,614
	December 31, 2020
---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---
	Goodwill		Industrial<br>property<br>rights			Development<br>cost			Other<br>intangible<br>assets			Membership<br>deposit			Construction<br>in<br>progress		Total
Acquisition cost		334,290		1,810			582,998			1,114,615			39,454			6,669		2,079,836
Accumulated amortization		—		(1,101	)		(374,125	)		(875,636	)		—			—		(1,250,862	)
Accumulated impairment losses		—		—			—			(33,534	)		(3,363	)		—		(36,897	)
Net carrying value		334,290		709			208,873			205,445			36,091			6,669		792,077

• 86 -

(2)	Details of changes in intangible assets are as follows (Unit: Korean Won in millions):
	For the six-month period ended June 30, 2021
---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---
	Goodwill			Industrial<br>property<br>rights			Development<br>cost			Other<br>intangible<br>assets			Membership<br>deposit			Construction<br>in<br>progress			Total
Beginning balance		334,290			709			208,873			205,445			36,091			6,669			792,077
Acquisitions		—			—			33,807			18,253			1,097			237			53,394
Disposal		—			—			—			(9	)		(316	)		—			(325	)
Amortization (*)		—			(111	)		(40,196	)		(33,871	)		—			—			(74,178	)
Impairment losses		—			—			—			(18	)		(116	)		—			(134	)
Transfer		—			—			3,749			2,920			—			(6,669	)		—
Foreign currencies translation adjustments		3,193			—			—			878			92			—			4,163
Others		(503	)		—			1			815			(199	)		503			617
Ending balance		336,980			598			206,234			194,413			36,649			740			775,614
(*)	Amortization of other intangible assets amounting to 6,808 million Won is included in other operating<br>expenses.
---	---
	For the six-month period ended June 30, 2020
---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---
	Goodwill			Industrial<br>property<br>rights			Development<br>cost			Other<br>intangible<br>assets			Membership<br>deposit			Construction<br>in<br>progress			Total
Beginning balance		350,682			692			225,193			234,147			29,330			4,066			844,110
Acquisitions		—			123			27,060			15,124			3,903			273			46,483
Disposal		—			—			—			—			(300	)		—			(300	)
Amortization (*)		—			(104	)		(34,872	)		(32,706	)		—			—			(67,682	)
Impairment losses		—			—			—			(7,687	)		—			—			(7,687	)
Transfer		—			—			428			—			—			(428	)		—
Foreign currencies translation adjustments		5,348			—			—			891			63			(3	)		6,299
Others		(1,626	)		—			—			828			(45	)		—			(843	)
Ending balance		354,404			711			217,809			210,597			32,951			3,908			820,380
(*)	Amortization of other intangible assets amounting to 6,786 million Won is included in other operating<br>expenses.
---	---
16.	ASSETS HELD FOR SALE
---	---

Assets held for sale are as follows (Unit: Korean Won in millions):

Assets (*)	June 30, 2021		December 31, 2020
Premises and equipment		1,507		2,130
Investments of associates		27,389		50,411
Others		6,599		7,461
Total		35,495		60,002
(*)	The Group classifies assets as held for sale that are highly likely to be sold within one year from<br>June 30, 2021 and December 31, 2020.
---	---

The Group measured assets held for sale at the lower of their net fair value or carrying amount.

• 87 -

17.	OTHER ASSETS

Details of other assets are as follows (Unit: Korean Won in millions):

	June 30, 2021		December 31, 2020
Lease assets		1,309,466		1,116,175
Prepaid expenses		202,771		170,820
Advance payments		80,337		28,256
Assets for non-business use		11,797		12,135
Others		64,242		21,608
Total		1,668,613		1,348,994
18.	FINANCIAL LIABILITIES AT FVTPL
---	---
(1)	Financial liabilities at FVTPL are as follows (Unit: Korean Won in millions):
---	---
	June 30, 2021		December 31, 2020
---	---	---	---	---
Financial instruments at fair value through profit or loss measured at fair value		3,928,181		6,794,192
Financial liabilities at fair value through profit or loss designated as upon initial<br>recognition		—		19,630
Total		3,928,181		6,813,822
(2)	Financial liabilities at fair value through profit or loss measured at fair value are as follows (Unit: Korean<br>Won in millions):
---	---
	June 30, 2021		December 31, 2020
---	---	---	---	---
Deposits
Gold banking liabilities		70,394		49,279
Borrowings
Securities sold		200,083		285,026
Derivative liabilities		3,657,704		6,459,887
Total		3,928,181		6,794,192
(3)	Financial liabilities at fair value through profit or loss designated as upon initial recognition as of<br>June 30, 2021 and December 31, 2020 are as follows (Unit: Korean Won in millions):
---	---
	June 30, 2021		December 31, 2020
---	---	---	---	---
Equity-linked securities
Equity-linked securities in short position		—		19,630

The Group designated the financial liability at a fair value through profit or loss since the financial liability is a compound contract that includes one or more embedded derivatives which IFRS 1109 ‘Financial Instruments’ allows designation of fair value through profit or loss.

(4)	There are no accumulated changes in credit risk adjustments to financial liabilities at fair value through<br>profit or loss designated as upon initial recognition.

The adjustment to reflect the Group’s credit risk is considered in measuring the fair value of equity-linked securities index. The Group’s credit risk is determined by adjusting credit spread observed in credit rating of the Group.

• 88 -

(5)	The difference between carrying amount and maturity amount of financial liabilities at fair value through<br>profit or loss designated as upon initial recognition (Financial liabilities designated as at FVTPL) are as follows (Unit: Korean Won in millions):
	June 30, 2021		December 31, 2020
---	---	---	---	---	---
Carrying amount		—		19,630
Nominal amount at maturity		—		25,780
Difference		—		(6,150	)
19.	DEPOSITS DUE TO CUSTOMERS
---	---

Details of deposits due to customers by type are as follows (Unit: Korean Won in millions):

	June 30, 2021			December 31, 2020
Deposits in local currency
Deposits on demand		15,488,268			12,454,024
Deposits at termination		246,597,694			242,397,664
Mutual installment		25,255			26,319
Deposits on notes payables		2,853,778			2,647,492
Deposits on CMA		109,792			110,413
Certificate of deposits		2,917,776			2,072,389
Other deposits		1,333,476			1,372,461
Sub-total		269,326,039			261,080,762
Deposits in foreign currencies
Deposits in foreign currencies		33,178,205			30,408,762
Present value discount		(11,568	)		(12,245	)
Total		302,492,676			291,477,279
20.	BORROWINGS AND DEBENTURES
---	---
(1)	Details of borrowings are as follows (Unit: Korean Won in millions):
---	---
	June 30, 2021
---	---	---	---	---	---	---
	Lenders	Interest rate (%)		Amount
Borrowings in local currency
Borrowings from BOK	BOK		0.3		3,080,866
Borrowings from government funds	Small Enterprise And Market Service and others		0.0 ~ 3.5		2,134,443
Others	The Korea Development Bank and others		0.0 ~ 4.0		8,446,343
Sub-total					13,661,652
Borrowings in foreign currencies
Borrowings in foreign currencies	JPMorgan Chase & Co. and others		(0.5) ~ 7.3		7,755,408
Sub-total					7,755,408
Bills sold	Others		0.0 ~ 0.9		8,530
Call money	Bank and others		0.0 ~ 2.2		274,484
Bonds sold under repurchase agreements	Other financial institutions		(0.5) ~ 10.6		856,544
Present value discount					(10,756	)
Total					22,545,862

• 89 -

	December 31, 2020
	Lenders	Interest rate (%)		Amount
Borrowings in local currency
Borrowings from BOK	BOK		0.3		2,678,120
Borrowings from government funds	Small Enterprise And Market Service and others		0.0 ~ 5.0		2,155,129
Others	The Korea Development Bank and others		0.0 ~ 5.5		7,255,938
Sub-total					12,089,187
Borrowings in foreign currencies
Borrowings in foreign currencies	JPMorgan Chase & Co. and others		(0.4) ~ 7.3		7,573,722
Bills sold	Others		0.0 ~ 0.9		8,924
Call money	Bank and others		(0.3) ~ 3.8		416,370
Bonds sold under repurchase agreements	Other financial institutions		(0.5) ~ 10.6		657,823
Present value discount					(560	)
Total					20,745,466
(2)	Details of debentures are as follows (Unit: Korean Won in millions):
---	---
	June 30, 2021					December 31, 2020
---	---	---	---	---	---	---	---	---	---	---
	Interest rate<br>(%)		Amount			Interest rate<br>(%)		Amount
Face value of bond (*):
Ordinary bonds		0.8 ~ 4.5		33,386,279			0.8 ~ 4.5		29,623,445
Subordinated bonds		1.9 ~ 5.1		6,726,101			1.9 ~ 5.9		6,955,515
Other bonds		0.6 ~ 17.0		835,107			0.6 ~ 17.0		925,677
Sub-total				40,947,487					37,504,637
Discounts on bonds				(29,535	)				(25,279	)
Total				40,917,952					37,479,358
(*)	Included debentures under fair value hedge amounting to 2,862,453 million Won and 2,767,208 million<br>Won as of June 30, 2021 and December 31, 2020 respectively. Also, debentures under cash flow hedge amounting to 792,563 million Won and 857,531 million Won are included as of June 30, 2021 and December 31, 2020<br>respectively.
---	---

• 90 -

21.	PROVISIONS
(1)	Details of provisions are as follows (Unit: Korean Won in millions):
---	---
	June 30, 2021		December 31, 2020
---	---	---	---	---
Asset retirement obligation		80,976		68,402
Provisions for guarantees (*1)		76,735		89,592
Provisions for unused loan commitments		111,858		122,155
Other provisions (*2)		230,928		221,494
Total		500,497		501,643
(*1)	Provisions for guarantees includes provision for financial guarantee of 59,925 million Won and<br>66,232 million Won as of June 30, 2021 and December 31, 2020, respectively.
---	---
(*2)	Other provisions consist of provision for litigation, loss compensation and others.
---	---
(2)	Changes in provisions for guarantees and unused loan commitments are as follows (Unit: Korean Won in millions):<br>
---	---
1)	Provisions for guarantees
---	---
	For the six-month period ended June 30, 2021
---	---	---	---	---	---	---	---	---	---	---	---
	Stage 1			Stage 2			Stage 3		Total
Beginning balance		64,804			16,745			8,043		89,592
Transfer to 12-month expected credit loss		2,219			(2,219	)		—		—
Transfer to expected credit loss for the entire period		(218	)		218			—		—
Transfer to credit-impaired financial assets		(39	)		—			39		—
Provisions used		(3,155	)		—			—		(3,155	)
Net provision (reversal) of unused amount		(3,177	)		(6,423	)		2,003		(7,597	)
Others (*)		(2,109	)		4			—		(2,105	)
Ending balance		58,325			8,325			10,085		76,735
(*)	Others have occurred as a result of new financial guarantee contract valued at initial fair value.<br>
---	---
	For the six-month period ended June 30, 2020
---	---	---	---	---	---	---	---	---	---	---	---	---
	Stage 1			Stage 2			Stage 3			Total
Beginning balance		50,801			26,303			15,382			92,486
Transfer to 12-month expected credit loss		120			(120	)		—			—
Transfer to expected credit loss for the entire period		(718	)		1,961			(1,243	)		—
Transfer to credit-impaired financial assets		(40	)		(32	)		72			—
Net provision (reversal) of unused amount		2,184			(3,807	)		5,595			3,972
Others (*)		(1,788	)		—			—			(1,788	)
Ending balance		50,559			24,305			19,806			94,670
(*)	Others have occurred as a result of new financial guarantee contract valued at initial fair value.<br>
---	---

• 91 -

2)	Provisions for unused loan commitment
	For the six-month period ended June 30, 2021
---	---	---	---	---	---	---	---	---	---	---	---	---
	Stage 1			Stage 2			Stage 3			Total
Beginning balance		63,240			55,726			3,189			122,155
Transfer to 12-month expected credit loss		12,672			(12,348	)		(324	)		—
Transfer to expected credit loss for the entire period		(2,834	)		3,489			(655	)		—
Transfer to credit-impaired financial assets		(120	)		(299	)		419			—
Net provision (reversal) of unused amount		(12,007	)		2,001			(340	)		(10,346	)
Others		49			—			—			49
Ending balance		61,000			48,569			2,289			111,858
	For the six-month period ended June 30, 2020
---	---	---	---	---	---	---	---	---	---	---	---
	Stage 1			Stage 2			Stage 3			Total
Beginning balance		65,038			43,164			4,352			112,554
Transfer to 12-month expected credit loss		5,533			(5,387	)		(146	)		—
Transfer to expected credit loss for the entire period		(1,880	)		2,374			(494	)		—
Transfer to credit-impaired financial assets		(134	)		(194	)		328			—
Net provision (reversal) of unused amount		4,336			16,159			(683	)		19,812
Others		43			—			—			43
Ending balance		72,936			56,116			3,357			132,409
(3)	Changes in asset retirement obligation for the six-month periods ended<br>June 30, 2021 and 2020, obligation are as follows (Unit: Korean Won in millions):
---	---
	For the six-month period ended June 30
---	---	---	---	---	---	---
	2021			2020
Beginning balance		68,402			66,485
Provisions provided		612			2,442
Provisions used		(3,055	)		(548	)
Reversal of provisions unused		(112	)		(94	)
Unwinding of discount		218			234
Increase in recovery cost and others		14,911			—
Ending balance		80,976			68,519

The amount of the asset retirement obligation is the present value of the best estimate of future expected expenditure to settle the obligation – arising from leased premises as of June 30, 2021, discounted by appropriate discount rate. The restoration cost is expected to occur by the end of each premise’s lease period, and the Group has used average lease period of each category of leases terminated during the past years in order to rationally estimate the lease period. In addition, the Group used average amount of actual recovery cost for the past 3 years and the inflation rate for last year in order to estimate future recovery cost.

• 92 -

(4)	Changes in other provisions for the six-month periods ended<br>June 30, 2021 and 2020, are as follows (Unit: Korean Won in millions):
	For the six-month period ended June 30
---	---	---	---	---	---	---
	2021			2020
Beginning balance		221,494			172,455
Provisions provided		14,651			169,338
Provisions used		(7,899	)		(87,260	)
Reversal of provisions unused		(537	)		(30	)
Foreign currencies translation adjustments		3,113			1,374
Others		106			(86	)
Ending balance		230,928			255,791
(5)	Others
---	---
1)	The Group has been offering Korean Won settlement services for trade with Korea and Iran; however, the Group<br>has stopped the services for trade in line with U.S. economic sanctions on September 23, 2019. The Group resumed the service humanitarian goods trade only since July 13, 2020. In connection with these services, the Group is currently being<br>investigated by the U.S. government agencies including the U.S. prosecutors (United States Attorney’s Office and New York State Attorney General’s Office) and New York State Financial Supervisory Service as to whether the Group has<br>violated United States laws by participating in prohibited transactions involving the following countries: Iran, Sudan, Syria and Cuba, which have been sanctioned by the U.S. In this regard, Office of Foreign Assets Control concluded its<br>investigation in December 2020 without taking any additional sanctions, but the investigation procedures of the U.S. Public Prosecutors’ Office and the New York State Financial Supervisory Service have yet to be completed.<br>
---	---
2)	The Group recognized the provision of the estimated compensation amount related to the miss-selling of the<br>Derivative Linked Fund (DLF) incurred during 2019 and a fine expected to be imposed by the Financial Supervisory Service as the best estimate for the expenditure required to meet its obligations at the end of the reporting period.<br>
---	---
3)	For the six-month period ended June 30, 2021, the Group recognized<br>the provisions for the required expenditure as the best estimate to fulfill its obligations as of June 30, 2021 due to the expected losses of clients arising from the delay in the redemption of funds by Lime Asset Management and the dispute<br>settlement by the Financial Supervisory Service. As of June 30, 2021, the provision for this case is 117.8 billion Won and the advance payment is 124.8 billion Won.
---	---

• 93 -

22.	NET DEFINED BENEFIT LIABILITY (ASSET)

The characteristics of the Group’s defined benefit retirement pension plans are as follows:

Employees and directors with one or more years of service are entitled to receive a payment upon termination of their employment, based on their length of service and rate of salary at the time of termination. The assets of the plans are measured at their fair value at the end of reporting date. The plan liabilities are measured using the projected unit method, which takes account of projected earnings increases, using actuarial assumptions that give the best estimate of the future cash flows that will arise under the plan liabilities.

The Group is exposed to various risks through defined benefit retirement pension plan, and the most significant risks are as follows:

Volatility of asset	The defined benefit obligation was estimated with an interest rate calculated based on blue chip corporate bonds earnings. A deficit may occur if the rate of return of plan assets falls short of the interest rate.
Decrease in profitability of blue-chip bonds	A decrease in profitability of blue-chip bonds will be offset by some increase in the value of debt securities that the employee benefit plan owns but will bring an increase in the defined benefit obligation.
Risk of inflation	Defined benefit obligations are related to inflation rate; the higher the inflation rate is, the higher the level of liabilities. Therefore, deficit occurs in the system if an inflation rate increases.
(1)	Details of net defined benefit liability are as follows (Unit: Korean Won in millions):
---	---
	June 30, 2021			December 31, 2020
---	---	---	---	---	---	---
Present value of defined benefit obligation		1,600,644			1,610,680
Fair value of plan assets		(1,544,717	)		(1,564,101	)
Net defined benefit liabilities (*)		55,927			46,579
(*)	Net defined benefit liability of 55,927 million Won and 46,579 million Won as of June 30, 2021<br>and December 31, 2020 is the subtracted amount of the net defined benefit asset of 1,809 million Won 5,658 million Won from the net defined benefit liability of 57,736 million Won and 52,237 million Won.<br>
---	---
(2)	Changes in the carrying value of defined benefit obligation are as follows (Unit: Korean Won in millions):<br>
---	---
		For the six-month period ended June 30
---	---	---	---	---	---	---	---
		2021			2020
Beginning balance			1,610,680			1,442,859
Current service cost			89,184			86,569
Interest cost			19,897			16,768
Remeasurements	Financial assumption		(57,040	)		15,857
	Demographic assumptions		—			—
	Experience adjustments		30,247			16,264
Retirement benefit paid			(92,981	)		(47,118	)
Foreign currencies translation adjustments			22			43
Others			635			1,253
Ending balance			1,600,644			1,532,495

• 94 -

(3)	Changes in the plan assets are as follows (Unit: Korean Won in millions):
	For the six-month period ended June 30
---	---	---	---	---	---	---
	2021			2020
Beginning balance		1,564,101			1,352,971
Interest income		20,418			17,152
Remeasurements		(8,030	)		(4,073	)
Employer’s contributions		61,009			66,809
Retirement benefit paid		(92,811	)		(46,725	)
Others		30			36
Ending balance		1,544,717			1,386,170
(4)	Fair value of plan assets as of June 30, 2021 and December 31, 2020 is as follows (Unit: Korean Won<br>in millions):
---	---
	June 30, 2021		December 31, 2020
---	---	---	---	---
Cash and due from banks		1,544,717		1,564,101

Meanwhile, among plan assets, realized returns on plan assets amount to 12,388 million Won and 13,079 million Won for the six-month periods ended June 30, 2021 and 2020, respectively.

(5)	Current service cost, net interest income, loss(gain) on the curtailment or settlement and remeasurements<br>recognized in the consolidated statements comprehensive income are as follows (Unit: Korean Won in millions):
	For the six-month period ended June 30
---	---	---	---	---	---	---
	2021			2020
Current service cost		89,184			86,569
Net interest expense(income)		(521	)		(384	)
Cost recognized in net income		88,663			86,185
Remeasurements (*)		(18,763	)		36,194
Cost recognized in total comprehensive income		69,900			122,379
(*)	Amount before tax
---	---

Meanwhile, retirement benefits related to defined contribution plans recognized as expenses are 2,339 million Won and 2,022 million Won for the six-month periods ended June 30, 2021 and 2020, respectively.

• 95 -

23.	OTHER FINANCIAL LIABILITIES AND OTHER LIABILITIES

Other financial liabilities and other liabilities are as follows (Unit: Korean Won in millions):

	June 30, 2021			December 31, 2020
Other financial liabilities:
Accounts payable		6,597,639			4,028,639
Accrued expenses		1,595,324			2,049,401
Borrowings from trust accounts		2,986,765			2,984,031
Agency business revenue		500,048			466,485
Foreign exchange payables		738,204			789,189
Domestic exchange settlement credits		5,289,346			180,251
Lease liabilities		341,419			407,431
Other miscellaneous financial liabilities		3,512,757			3,317,358
Present value discount		(11,748	)		(6,968	)
Sub-total		21,549,754			14,215,817
Other liabilities:
Unearned income		260,785			254,702
Other miscellaneous liabilities		210,749			219,111
Sub-total		471,534			473,813
Total		22,021,288			14,689,630

• 96 -

24.	DERIVATIVES
(1)	Derivative assets and derivative liabilities are as follows (Unit: Korean Won in millions):<br>
---	---
	June 30, 2021
---	---	---	---	---	---	---	---	---	---	---	---	---	---	---
			Assets						Liabilities
	Nominal<br>amount		For cash<br>flow hedge		For fair<br>value<br>hedge		For trading		For cash<br>flow hedge		For fair<br>value<br>hedge		For trading
Interest rate:
Futures		278,086		—		—		—		—		—		—
Swaps		134,262,286		—		129,562		188,490		205		10,112		397,788
Purchase options		210,000		—		—		4,485		—		—		—
Written options		340,000		—		—		—		—		—		8,334
Currency:
Futures		36,126		—		—		—		—		—		—
Forwards		111,145,688		—		—		1,460,534		—		479		913,417
Swaps		95,610,795		—		—		1,569,192		33,249		—		1,372,358
Purchase options		1,186,337		—		—		6,841		—		—		—
Written options		1,990,306		—		—		—		—		—		7,646
Equity:
Futures		364,673		—		—		—		—		—		—
Forwards		11		—		—		—		—		—		—
Swaps		553,138		—		—		351		—		—		22,151
Purchase options		13,727,313		—		—		794,775		—		—		—
Written options		14,878,040		—		—		—		—		—		936,010
Total		374,582,799		—		129,562		4,024,668		33,454		10,591		3,657,704
	December 31, 2020
---	---	---	---	---	---	---	---	---	---	---	---	---	---	---
			Assets						Liabilities
	Nominal<br>amount		For cash<br>flow hedge		For fair<br>value<br>hedge		For trading		For cash<br>flow hedge		For fair<br>value<br>hedge		For trading
Interest rate:
Futures		184,413		—		—		—		—		—		—
Swaps		137,057,240		—		174,820		318,545		1,476		28		524,190
Purchase options		330,000		—		—		6,271		—		—		—
Written options		285,440		—		—		—		—		—		5,419
Currency:
Futures		2,546		—		—		—		—		—		—
Forwards		105,146,634		—		—		2,541,957		—		—		2,848,980
Swaps		87,249,320		—		—		3,325,135		63,265		—		2,415,610
Purchase options		1,147,877		—		—		59,329		—		—		—
Written options		1,632,048		—		—		—		—		—		23,271
Equity:
Futures		123,742		—		—		—		—		—		—
Forwards		11		—		—		—		—		—		—
Swaps		269,039		—		—		—		—		—		12,533
Purchase options		9,863,110		—		—		650,505		—		—		—
Written options		10,369,009		—		—		—		—		—		629,884
Total		353,660,429		—		174,820		6,901,742		64,741		28		6,459,887

Derivatives held for trading are classified into financial assets at FVTPL (Note 7) and financial liabilities at FVTPL (Note 18), and derivatives designated for hedging are presented as a separate line item in the consolidated statements of financial position.

• 97 -

(2)	Overview of the Group’s hedge accounting

The hedging relationships that the Group applies fair value hedge accounting and cash flow hedge accounting to are affected by interest rate which is related with Interest Rate Benchmark Reform. The interest rates to which the hedging relationships are exposed are USD 1M LIBOR, USD 3M LIBOR and AUD 3M BBSW. The nominal amounts of hedging instruments related to 1M LIBOR, 3M LIBOR and 3M BBSW in the hedging relationships of the Group are USD 470,000,000, USD 2,350,000,000 and AUD 150,000,000, respectively. The Group pays close attention to discussions in the market and industry regarding the applicable alternative benchmark interest rates for the exposed interest rate. The Group determined that such uncertainty is expected to be no longer exist when the exposed interest rates are replaced by the applicable benchmark interest rates.

1)	Fair value hedge

As of the June 30, 2021, the Group has applied fair value hedge on fixed interest rate foreign currency denominated debentures amounting to 2,862,453 million Won. It is the Group’s hedging strategy to hedge changes in fair value of fixed rate debentures denominated in foreign currency attributable to fluctuations in market interest rates, and as such the Group entered into interest rate swap agreements designated as hedging instruments.

Pursuant to the interest rate swap agreement, by swapping the calculated difference between the fixed interest rate and floating interest rate applied to the nominal value, the fair value fluctuation risk is hedged as the foreign currency denominated debentures fixed interest rate terms are converted to floating interest rate. Pursuant to the interest rate swap agreement, hedge ratio is determined by matching the nominal value of hedging instrument to the face value of the hedged item.

In this hedging relationship, only the market interest rate fluctuation, which is the most significant part of the fair value change of the hedged item, is designated as the hedged risk, and other risk factors including credit risk are not included in the hedged risk. Therefore, the ineffective portion of the hedge could arise from fluctuations in the timing of the cash flow of the hedged item, price margin set by counterparty of hedging instrument, and unilateral change in credit risk of any party of hedging instrument.

The interest rate swap agreements and the hedged items are subject to fluctuations in the underlying market rate of interest and the Group expects the fair value of the interest rate swap contract and the value of the hedged item to generally change in the opposite direction.

The fair value of the interest rate swap at the end of the reporting period is determined by discounting future cash flows estimated by using the yield curve at the end of the reporting period and the credit risk embedded in the contract and the average interest rate is determined based on the outstanding balance at the end of the reporting period. The variable interest rate applied to the interest rate swap is USD Libor 3M plus spread and AUD BBSW 3M plus spread. In accordance with the terms of each interest rate swap contract designated as a hedging instrument, the Group receives interest at a fixed interest rate and pays interest at a variable interest rate.

In addition, as of June 30, 2021, the Group has applied fair value hedge for 13,874 million Won of equity securities in foreign currencies. It is the Group’s hedging strategy to hedge changes in fair value of equity securities in foreign currencies invested in EUR attributable to fluctuations in spot exchange rates (USD/EUR), and as such the Group entered into forward exchange agreements designated as hedging instruments. By recognizing the difference calculated by applying the difference in spot exchange rate to a predetermined nominal amount under a forward exchange agreement, the resulting nominal amount is converted from EUR to USD at maturity and the risk of changes in fair value is eliminated. In this hedging relationship, only changes in the fair value of the hedged item are designated as the hedged risk, and other risk factors, including credit risk, are not included in the hedged risk. Consequently, changes in the price margins of the hedging instrument counterparty and the credit risk of either party to the hedging instrument may result in hedge ineffectiveness. Forward exchange agreements and hedged items are affected by changes in spot exchange rates, which are fundamental variables.

• 98 -

2)	Cash Flow Hedge

As of the June 30, 2021, the Group has applied cash flow hedge on local currency denominated debentures amounting to 149,957 million Won, debentures on foreign currency amounting to 642,606 million Won. The Group’s hedging strategies are to ① Mitigate risks of cash flow fluctuation from variable interest rate debentures on local currency due to changes in market interest rate by entering into an interest rate swap contract and thereby designating it as hedging instrument; ② Mitigate the risks of cash flow fluctuation from principal and interest of variable interest rate debentures denominated in foreign currency due to changes in foreign exchange rates and interest rates by entering into a currency swap contract and thereby designating it as hedging instrument; ③ Mitigate the risks of cash flow fluctuation from principal and interest of fixed interest rate debentures denominated in foreign currency due to changes in foreign exchange rates by entering into a currency swap contract and thereby designating it as hedging instrument and ④ Mitigate the risks of cash flow fluctuation in variable interest rate foreign currency borrowings resulting from changes in market interest rates and designate it as a hedging instrument through entering into currency swap contracts and interest rate swap contracts.

This means exchanging a predetermined nominal amount as set forth in the interest rate swap contract adjusted by the differences between the fixed and variable interest rates, which results in the conversion of interest rates of debentures in local currency from variable interest into fixed interest, eliminating the cash flow fluctuation risk.

In addition, this also means a payment of predetermined principal amount as set forth in the currency swap adjusted by fixed interest rate, an exchange of an amount calculated by applying variable interest rate to USD or applying fixed interest rate to SGD, and an exchange of the principal denominated in KRW and principal denominated in foreign currency at maturity eliminating cash flow fluctuation risk on principal and interest.

The hedge ratio is determined by matching the nominal amount of the hedging instrument to the face amount of the hedged item in accordance with interest rate swap and currency swap.

Only interest rate and foreign exchange rate fluctuation risk, which is the most significant factor in the cash flow fluctuation of the hedged item, is addressed in this hedging relationship, and other risk factors such as credit risk are not subject to hedging.

Accordingly, hedge ineffectiveness may arise from price margin set by the counterparty of hedging instruments and unilateral change in credit risk of any party in the transaction.

The interest rate swap, currency swap contract and the hedged item are all affected by the changes in market interest rate and foreign exchange rates which are basic factors of the derivative. The Group expects that the value of interest rate swap contract, currency swap contract and value of the hedged item will generally fluctuate in opposite direction.

• 99 -

(3)	The nominal amounts of the hedging instrument are as follows (Unit: USD, AUD, EUR, SGD and Korean Won in<br>millions):
---	---	---	---	---	---	---	---
		1 year to 5 years		More than 5<br>years		Total
Fair value hedge
Interest rate risk
Interest rate swap ()	500,000,000		1,550,000,000		300,000,000		2,350,000,000
Interest rate swap (AUD)	—		150,000,000		—		150,000,000
Foreign exchange rate risk
Currency forward (/)	—		—		10,313,901		10,313,901
Cash flow hedge
Interest rate risk
Interest rate swap (KRW)	100,000		50,000		—		150,000
Foreign currencies translation risk and interest rate risk
Currency swap ()	—		470,000,000		—		470,000,000
Foreign currencies translation risk
Currency swap ()	—		100,000,000		—		100,000,000

All values are in US Dollars.

		1 year to 5 years		More than 5<br>years		Total
Fair value hedge
Interest rate risk
Interest rate swap ()	1,000,000,000		1,000,000,000		300,000,000		2,300,000,000
Interest rate swap (AUD)	—		150,000,000		—		150,000,000
Cash flow hedge
Interest rate risk
Interest rate swap (KRW)	100,000		50,000		—		150,000
Foreign currencies translation risk and interest rate risk
Currency swap ()	130,000,000		470,000,000		—		600,000,000
Foreign currencies translation risk
Currency swap (SGD)	68,000,000		—		—		68,000,000

All values are in US Dollars.

• 100 -

(4)	The average interest rate and average currency rate of the hedging instrument as of June 30, 2021 and<br>December 31, 2020 are as follows:
	June 30, 2021
---	---
	Average interest rate and average exchange rate
Fair value hedge
Interest rate risk
Interest rate swap (USD)	Fixed 3.41%% receipt and Libor 3M + 1.51% floating paid
Interest rate swap (AUD)	Fixed 0.84% receipt and BBSW 3M+0.72% paid
Foreign exchange rate risk
Currency forward (EUR/USD)	USD 13,369,910 receipt and EUR 10,313,901 paid
Cash flow hedge
Interest rate risk
Interest rate swap (KRW)	KRW 3Y CMS+0.40% receipt, 2.38% paid<br><br><br>KRW CD+0.73% receipt, 1.90% paid
Foreign currencies translation risk and interest rate risk
Currency swap (USD)	USD 1M Libor+0.70% receipt, KRW 0.93% paid, USD/KRW = 1,207
Foreign currencies translation risk
Currency swap (USD)	USD 1.75% receipt, KRW 1.63% paid, USD/KRW = 1,139
	December 31, 2020
---	---
	Average interest rate and average exchange rate
Fair value hedge
Interest rate risk
Interest rate swap (USD)	Fixed 4.22% receipt and Libor 3M+1.71% floating paid<br><br><br>Fixed 5.88% receipt and Libor 6M+2.15% floating paid
Interest rate swap (AUD)	Fixed 0.84% receipt and BBSW 3M+0.72% paid
Cash flow hedge
Interest rate risk
Interest rate swap (KRW)	KRW 3Y CMS+0.40% receipt, 2.38% paid<br><br><br>KRW CD+0.69% receipt, 2.06% paid<br><br><br>KRW CD+0.33% receipt, 1.68% paid
Foreign currencies translation risk and interest rate risk
Currency swap (USD)	USD 3M Libor+0.80% receipt, KRW 1.45% paid, USD/KRW = 1,155<br><br><br>USD 1M Libor+0.67% receipt, KRW 1.14% paid, USD/KRW = 1,190<br><br><br>USD 1M Libor+0.69% receipt, KRW 1.02% paid, USD/KRW = 1,199
Foreign currencies translation risk
Currency swap (SGD)	SGD 1.91% receipt, KRW 1.98% paid, SGD/KRW = 827

• 101 -

(5)	The amounts related to items designated as hedging instruments are as follows (Unit: Korean Won in millions,<br>USD, AUD, EUR and SGD):
	June 30, 2021
---	---	---	---	---	---	---	---	---	---	---	---
	Nominal amounts of<br>the hedging<br>instrument		Carrying amounts of the hedging<br>instrument				Line item in<br>the statement of financial position<br>where the hedging instrument <br>is located		Changing in fair<br>value used for<br>calculating hedge<br>ineffectiveness
					Liabilities
Fair value hedge
Interest rate risk
Interest rate swap		2,350,000,000						Derivative assets<br> <br>(designated for hedging)
Interest rate swap		AUD 150,000,000		129,562		10,112		Derivative liabilities<br> <br>(designated for hedging)		(47,455	)
Foreign exchange rate risk
Forward exchange		10,313,901		—		479		Derivative liabilities<br> <br>(designated for hedging)		479
Cash flow hedge
Interest rate risk
Interest rate swap		KRW 150,000		—		205		Derivative liabilities<br> <br>(designated for hedging)		1,271
Foreign currency translation risk and interest rate risk
Currency swap		470,000,000		—		32,431		Derivative liabilities<br> <br>(designated for hedging)		31,127
Foreign currency translation risk
Currency swap		100,000,000		—		818		Derivative liabilities<br> <br>(designated for hedging)		359

All values are in US Dollars.

	December 31, 2020
	Nominal amounts of<br>the hedging<br>instrument		Carrying amounts of the hedging<br>instrument				Line item<br>in<br>the statement of financial position<br>where the hedging instrument is located		Changing in fair<br>value used for<br>calculating hedge<br>ineffectiveness
					Liabilities
Fair value hedge
Interest rate risk
Interest rate swap		2,300,000,000						Derivative assets<br> <br>(designated for hedging)
Interest rate swap		AUD 150,000,000		174,820		28		Derivative liabilities<br> <br>(designated for hedging)		57,221
Cash flow hedge
Interest rate risk
Interest rate swap		KRW 150,000		—		1,476		Derivative liabilities<br> <br>(designated for hedging)		(196	)
Foreign currency translation risk and interest rate risk
Currency swap		600,000,000		—		62,893		Derivative liabilities<br> <br>(designated for hedging)		(69,319	)
Foreign currency translation risk
Currency swap		SGD 68,000,000		—		373		Derivative liabilities<br> <br>(designated for hedging)		(4,699	)

All values are in US Dollars.

• 102 -

(6)	Details of carrying amount to hedge and amount due to hedge accounting are as follows (Unit: Korean Won in<br>millions):
	June 30, 2021
---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---
	Carrying amounts of<br>the hedged item				Accumulated amount of fair<br>value hedge adjustments on<br>the hedged item included in<br>the carrying amount of the<br>hedged item				Line item in the<br>statement of<br>financial position<br>in which the<br>hedged item is<br>included		Changing in<br>fair value used<br>for calculating<br>hedge<br>ineffectiveness			Cash flow<br>hedge<br>reserve (*)
	Assets		Liabilities		Assets		Liabilities
Fair value hedge
Interest rate risk
Debentures		—		2,862,453		—		89,039		Debentures		55,352			—
Foreign exchange rate risk
Equity securities in foreign currencies		13,874		—		479		—		Equity<br>securities<br>in foreign<br>currencies		479			—
Cash flow hedge
Interest rate risk
Debentures		—		149,957		—		—		Debentures		(1,236	)		(7	)
Foreign currencies translation risk and interest rate risk
Debentures		—		530,279		—		—		Debentures		(24,395	)		3,202
Foreign currencies translation risk
Debentures		—		112,327		—		—		Debentures		251			23
(*)	After tax amount
---	---
	December 31, 2020
---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---
	Carrying amounts of<br>the hedged item				Accumulated amount of fair<br>value hedge adjustments on<br>the hedged item included in<br>the carrying amount of the<br>hedged item				Line item in the<br>statement of<br>financial position<br>in which the<br>hedged item is<br>included		Changing in<br>fair value used<br>for calculating<br>hedge<br>ineffectiveness			Cash flow<br>hedge<br>reserve (*)
	Assets		Liabilities		Assets		Liabilities
Fair value hedge
Interest rate risk
Debentures		—		2,767,208		—		144,741		Debentures		(59,073	)		—
Cash flow hedge
Interest rate risk
Debentures		—		149,936		—		—		Debentures		188			(909	)
Foreign currencies translation risk and interest rate risk
Debentures		—		651,704		—		—		Debentures		61,823			(95	)
Foreign currencies translation risk
Debentures		—		55,891		—		—		Debentures		6,564			(268	)
(*)	After tax amount
---	---

• 103 -

(7)	Amounts recognized in profit or loss due to the ineffective portion of fair value hedges are as follows (Unit:<br>Korean Won in millions):
		For the six-month period ended June 30, 2021
---	---	---	---	---
		Hedge ineffectiveness<br>recognized in profit or loss		Line item in the profit or loss that<br>includes hedge ineffectiveness
Fair value hedge	Interest rate risk		7,897	Other net operating<br>    income (expense)
	Foreign exchange<br>rate risk		479	Other net operating<br>    income (expense)
		For the six-month period ended June 30, 2020
---	---	---	---	---
		Hedge ineffectiveness<br>recognized in profit or loss		Line item in the profit or loss that<br>includes hedge ineffectiveness
Fair value hedge	Interest rate risk		2,584	Other net operating<br>    income (expense)
(8)	Reclassification of profit or loss from other comprehensive income and equity related to cash flow hedges are<br>as follows (Unit: Korean Won in millions):
---	---
		For the six-month period ended June 30, 2021
---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---
		Changes in<br>the value of<br>hedging<br>instruments<br>recognized in OCI			Hedge<br>ineffectiveness<br>recognized in<br>profit or loss			Changes in<br>the value<br>of foreign<br>basis<br>spread<br>recognized<br>in OCI			Line item<br>recognized<br>in the profit<br>or loss	Amounts<br>reclassified<br>from cash<br>flow hedge<br>reserve to<br>profit or<br>loss			Line item affected in<br>profit or loss due to<br>reclassification
Cash flow hedge	Interest rate risk		1,243			28			—		Other net<br>operating<br>income<br>(expense)		—		Other net operating<br>income (expense)
	Foreign currencies<br>translation risk<br>and interest rate<br>risk		30,957			169			(1,628	)	Other net<br>operating<br>income<br>(expense)		(26,041	)	Other net operating<br>income (expense)
	Foreign currencies<br>translation risk		617			(258	)		(223	)	Other net<br>operating<br>income<br>(expense)		(95	)	Other net operating<br>income (expense)
		For the six-month period ended June 30, 2020
		Changes in<br>the value of<br>hedging<br>instruments<br>recognized in OCI			Hedge<br>ineffectiveness<br>recognized in<br>profit or loss			Changes in<br>the value<br>of foreign<br>basis<br>spread<br>recognized<br>in OCI			Line item<br>recognized<br>in the profit<br>or loss	Amounts<br>reclassified<br>from cash<br>flow hedge<br>reserve to<br>profit or<br>loss			Line item affected in<br>profit or loss due to<br>reclassification
Cash flow hedge	Interest rate risk		(1,133	)		(54	)		—		Other net<br>operating<br>income<br>(expense)		—		Other net operating<br>income (expense)
	Foreign currencies<br>translation risk<br>and interest rate<br>risk		1,581			673			(1,812	)	Other net<br>operating<br>income<br>(expense)		(9,816	)	Other net operating<br>income (expense)
	Foreign currencies<br>translation risk		1,172			306			7		Other net<br>operating<br>income<br>(expense)		(651	)	Other net operating<br>income (expense)

• 104 -

25.	DEFERRED DAY 1 PROFITS OR LOSSES

Changes in deferred day 1 profits or losses are as follows (Unit: Korean Won in millions):

	For the six-month period ended June 30
	2021			2020
Beginning balance		6,939			52,260
New transactions		37,040			26,267
Amounts recognized in losses		(12,564	)		(35,306	)
Ending balance		31,415			43,221

In case some variables to measure fair values of financial instruments are not observable in the market, valuation techniques are utilized to evaluate such financial instruments. Those financial instruments are recorded the transaction price as at the time of acquisition, even though there are difference noted between the transaction price and the fair value, which is deferred and amortized to maturity using the effective interest method and reflected in profit and loss. The table above presents the difference yet to be realized as profit or loss at the end of June 30, 2021 and 2020.

26.	EQUITY
(1)	Details of equity as of June 30, 2021 and December 31, 2020 are as follows (Unit: Korean Won in<br>millions):
---	---
	June 30, 2021			December 31, 2020
---	---	---	---	---	---	---
Capital
Common stock capital		3,611,338			3,611,338
Hybrid securities		2,094,818			1,895,366
Capital surplus
Paid in capital in excess of par		608,348			608,348
Others		23,020			17,763
Sub-total		631,368			626,111
Capital adjustments
Treasury stock		—			—
Other adjustments (*1)		(1,721,091	)		(1,775,312	)
Sub-total		(1,721,091	)		(1,775,312	)
Accumulated other comprehensive income
Financial assets at FVTOCI		2,430			(9,833	)
Changes in capital due to equity method		64			(2,609	)
Loss from foreign business translation		(213,724	)		(298,363	)
Remeasurements of defined benefit plan		(247,577	)		(261,195	)
Loss on evaluation of cash flow hedge		2,503			(1,386	)
Capital related to noncurrent assets held for sale		666			1,226
Sub-total		(455,638	)		(572,160	)
Retained earnings (*2) (*3)		20,398,356			19,268,265
Non-controlling interest (*4)		3,601,023			3,672,237
Total		28,160,174			26,725,845
(*1)	Included 178,060 million Won in capital transaction gains and losses recognized by Woori Bank and<br>(formerly) Woori Financial Group in 2014 and 2,238,228 million Won due to the spin-off of Gyeongnam Bank and Gwangju Bank.
---	---
(*2)	The regulatory reserve for credit losses in retained earnings amounted to 2,568,367 million Won and<br>2,547,547 million Won as of June 30, 2021 and December 31, 2020, respectively in accordance with the relevant article.
---	---
(*3)	The earned surplus reserve in retained earnings amounted to 122,370 million Won and 62,830 million<br>Won as of June 30, 2021 and December 31, 2020 in accordance with the Article 53 of the Financial Holding Company Act.
---	---
(*4)	The hybrid securities issued by Woori Bank amounting to 3,105,070 million Won as of June 30, 2021 and<br>December 31, 2020, respectively, are recognized as non-controlling interests. 71,537 million Won and 90,091 million Won of dividends for the hybrid securities issued by Woori Bank are allocated<br>to net profit and loss of the non-controlling interests for the six-month period ended June 30, 2021 and 2020, respectively.
---	---

• 105 -

(2)	The number of authorized shares and others of the Group are as follows:
	June 30, 2021		December 31, 2020
---	---	---	---	---
Shares of common stock authorized		4,000,000,000 Shares		4,000,000,000 Shares
Par value		5,000 Won		5,000 Won
Shares of common stock issued		722,267,683 Shares		722,267,683 Shares
Capital stock		3,611,338 million Won		3,611,338 million Won
(3)	Hybrid securities
---	---

The bond-type hybrid securities classified as owner’s equity are as follows (Unit: Korean Won in millions):

	Issue date		Maturity	Interest rate<br>(%)		June 30,<br>2021			December 31,<br>2020
Securities in local currency		2019-07-18	—		3.49		500,000			500,000
Securities in local currency		2019-10-11	—		3.32		500,000			500,000
Securities in local currency		2020-02-06	—		3.34		400,000			400,000
Securities in local currency		2020-06-12	—		3.23		300,000			300,000
Securities in local currency		2020-10-23	—		3.00		200,000			200,000
Securities in local currency		2021-04-08	—		3.15		200,000			—
Issuance cost							(5,182	)		(4,634	)
Total							2,094,818			1,895,366

The hybrid securities mentioned above do not have maturity date but are redeemable after 5 years from date of issuance.

(4)	Accumulated other comprehensive income

Changes in the accumulated other comprehensive income are as follows (Unit: Korean Won in millions):

	For the six-month period ended June 30, 2021
	Beginning<br>balance			Increase<br>(decrease) (*)			Reclassification<br>adjustments			Income tax<br>effect (*)			Ending<br>balance
Net gain(loss) on valuation of financial assets at FVTOCI		(9,833	)		63,949			(45,059	)		(6,627	)		2,430
Changes in capital due to equity method		(2,609	)		2,495			—			178			64
Gain(loss) on foreign currency translation of foreign operations		(298,363	)		85,763			—			(1,124	)		(213,724	)
Remeasurement gain(loss) related to defined benefit plan		(261,195	)		18,782			—			(5,164	)		(247,577	)
Gain(loss) on valuation of derivatives designated as cash flow hedges		(1,386	)		3,084			896			(91	)		2,503
Capital related to noncurrent assets held for sale		1,226			(772	)		—			212			666
Total		(572,160	)		173,301			(44,163	)		(12,616	)		(455,638	)
(*)	The increase and decrease of financial asset valuation profit or loss at fair value through other comprehensive<br>income and capital related to noncurrent assets held for sale is a change due to the period evaluation and the reclassification adjustments amounting to 33,448 million Won, (797) million Won and 560 million Won are due to disposal of<br>equity securities at FVTOCI, investment stocks accounted for using the equity method and assets held for sale during the period.
---	---

• 106 -

	For the six-month period ended June 30, 2020
	Beginning<br>balance			Increase<br>(decrease) (*)			Reclassification<br>adjustments			Income tax<br>effect			Ending<br>balance
Net gain (loss) on valuation of financial assets at FVTOCI		(71,914	)		(20,412	)		(13,587	)		8,880			(97,033	)
Changes in capital due to equity method		915			(6,374	)		—			1,753			(3,706	)
Gain(loss) on foreign currency translation of foreign operations		(152,987	)		58,028			—			(3,583	)		(98,542	)
Remeasurement gain(loss) related to defined benefit plan		(270,977	)		(36,194	)		—			9,953			(297,218	)
Gain(loss) on valuation of derivatives designated as cash flow hedges		(5,692	)		(11,032	)		—			1,002			(15,722	)
Total		(500,655	)		(15,984	)		(13,587	)		18,005			(512,221	)
(*)	The increase and decrease of financial asset valuation profit or loss at fair value through other comprehensive<br>income is a change due to the period evaluation and the reclassification adjustments amounting to 578 million Won are due to disposal of equity securities during the period.
---	---
(5)	Regulatory Reserve for Credit Loss
---	---

In accordance with Article 26 ~ 28 of the Financial holding company Supervision Regulations, the Group calculates and discloses the regulatory reserve for credit loss.

1)	Balance of the regulatory reserve for credit loss

Balance of the planned regulatory reserve for credit loss is as follows (Unit: Korean Won in millions):

	June 30,<br>2021		December 31,<br>2020
Beginning balance		2,568,367		2,547,547
Planned provision(reversal) of regulatory reserve for credit loss		163,847		20,820
Ending balance		2,732,214		2,568,367
2)	Provision of regulatory reserve for credit loss, adjusted income after the provision of regulatory reserve and<br>others
---	---

Planned reserves provided, adjusted net income after the planned reserves provided and adjusted EPS after the planned reserves provided are as follows (Unit: Korean Won in millions, except for EPS amount):

	Periods ended June 30, 2021						Periods ended June 30, 2020
	Three-month			Six-month			Three-month			Six-month
Net income before regulatory reserve		818,384			1,537,251			216,262			774,033
Provision(reversal) of regulatory reserve for credit loss		80,767			163,847			(80,155	)		(12,236	)
Adjusted net income after the provision of regulatory reserve		737,617			1,373,404			296,417			786,269
Dividends to hybrid securities		(15,775	)		(31,550	)		(11,852	)		(20,365	)
Adjusted net income after regulatory reserve and dividends to hybrid securities		721,842			1,341,854			284,565			765,904
Adjusted EPS after regulatory reserve and the dividends to hybrid securities (Unit: Korean<br>Won)		1,000			1,858			394			1,061

• 107 -

27.	DIVIDENDS
(1)	Dividends per share and the total dividends for the fiscal year ending December 31, 2020 were 360 Won and<br>260,016 million Won, respectively, and the dividends were approved at the regular general shareholders’ meeting held on March 26, 2021, and were paid in April, 2021.
---	---
(2)	On July 23, 2021, the Group declared the interim dividend of 150 Won per share (total dividend of<br>108,340 million Won) with July 30, 2021 as the record date, in accordance with a resolution of the Board of Directors.
---	---
28.	NET INTEREST INCOME
---	---
(1)	Interest income recognized is as follows (Unit: Korean Won in millions):
---	---
	Periods ended June 30, 2021				Periods ended June 30, 2020
---	---	---	---	---	---	---	---	---
	Three-month		Six-month		Three-month		Six-month
Financial assets at FVTPL		11,046		22,420		13,681		26,210
Financial assets at FVTOCI		83,821		175,607		114,823		241,000
Financial assets at amortized cost
Securities at amortized cost		79,129		161,372		98,001		202,060
Loans and other financial assets at amortized cost
Interest on due from banks		10,484		19,938		9,866		32,735
Interest on loans		2,191,158		4,315,503		2,168,347		4,398,249
Interest of other receivables		7,648		15,631		7,471		15,749
Subtotal		2,209,290		4,351,072		2,185,684		4,446,733
Total		2,383,286		4,710,471		2,412,189		4,916,003
(2)	Details of interest expense recognized are as follows (Unit: Korean Won in millions):
---	---
	Periods ended June 30, 2021				Periods ended June 30, 2020
---	---	---	---	---	---	---	---	---
	Three-month		Six-month		Three-month		Six-month
Interest on deposits due to customers		444,895		912,346		664,329		1,413,501
Interest on borrowings		47,311		95,865		80,915		165,586
Interest on debentures		177,528		359,156		178,699		367,192
Other interest expense		8,788		16,713		8,232		23,593
Interest on lease liabilities		1,811		3,772		2,124		5,282
Total		680,333		1,387,852		934,299		1,975,154

• 108 -

29.	NET FEES AND COMMISSIONS INCOME
(1)	Details of fees and commissions income recognized are as follows (Unit: Korean Won in millions):<br>
---	---
	Periods ended June 30, 2021				Periods ended June 30, 2020
---	---	---	---	---	---	---	---	---
	Three-month		Six-month		Three-month		Six-month
Fees and commission received for brokerage		48,867		95,991		40,910		81,136
Fees and commission received related to credit		57,328		106,809		43,976		96,904
Fees and commission received for electronic finance		34,739		66,696		30,081		61,764
Fees and commission received on foreign exchange handling		14,275		27,539		13,407		27,798
Fees and commission received on foreign exchange		18,356		31,939		15,359		32,034
Fees and commission received for guarantee		18,535		36,072		18,940		37,068
Fees and commission received on credit card		141,129		278,523		125,980		249,267
Fees and commission received on securities business		33,684		57,745		22,465		38,896
Fees and commission from trust management		51,231		98,435		35,929		86,292
Fees and commission received on credit information		2,676		5,099		3,791		7,194
Fees and commission received related to lease		86,442		168,634		—		—
Other fees		39,789		92,434		46,444		89,640
Total		547,051		1,065,916		397,282		807,993
(2)	Details of fees and commissions expense incurred are as follows (Unit: Korean Won in millions):<br>
---	---
	Periods ended June 30, 2021				Periods ended June 30, 2020
---	---	---	---	---	---	---	---	---
	Three-month		Six-month		Three-month		Six-month
Fees and commissions paid		67,143		126,989		52,045		93,405
Credit card commission		105,766		203,516		118,647		211,784
Brokerage commission		317		556		156		217
Others		2,832		5,401		2,065		4,238
Total		176,058		336,462		172,913		309,644
30.	DIVIDEND INCOME
---	---
(1)	Details of dividend income recognized are as follows (Unit: Korean Won in millions):
---	---
	Periods ended June 30, 2021				Periods ended June 30, 2020
---	---	---	---	---	---	---	---	---
	Three-month		Six-month		Three-month		Six-month
Dividend income related to financial assets at FVTPL		61,125		114,442		21,576		54,382
Dividend income related to financial assets at FVTOCI		3,023		16,296		1,657		16,620
Total		64,148		130,738		23,233		71,002
(2)	Details of dividends related to financial assets at FVTOCI are as follows (Unit: Korean Won in millions):<br>
---	---
	Periods ended June 30, 2021				Periods ended June 30, 2020
---	---	---	---	---	---	---	---	---
	Three-month		Six-month		Three-month		Six-month
Dividend income recognized from assets held
Equity securities		3,023		16,296		1,657		16,620

• 109 -

31.	NET GAIN OR LOSS ON FINANCIAL INSTRUMENTS AT FAIR VALUE THROUGH PROFIT OR LOSS MANDATORILY MEASURED AT FAIRVALUE
(1)	Details of gains or losses related to net gain or loss on financial instruments at FVTPL are as follows (Unit:<br>Korean Won in millions):
---	---
	Periods ended June 30, 2021					Periods ended June 30, 2020
---	---	---	---	---	---	---	---	---	---	---
	Three-month			Six-month		Three-month			Six-month
Gain(loss) on financial instruments at FVTPL measured at fair value		55,184			136,305		(64,135	)		393,168
Gain(loss) on financial instruments at FVTPL designated as upon initial recognition		(860	)		102		(2,351	)		8,421
Total		54,324			136,407		(66,486	)		401,589
(2)	Details of net gain or loss on financial instruments at fair value through profit or loss measured at fair<br>value and financial instruments held for trading are as follows (Unit: Korean Won in millions):
---	---
			Periods ended June 30, 2021						Periods ended June 30, 2020
---	---	---	---	---	---	---	---	---	---	---	---	---	---	---
			Three-month			Six-month			Three-month			Six-month
Financial<br>assets at FVTPL	Securities	Gain on transactions and valuation		66,625			145,444			48,576			97,202
		Loss on transactions and valuation		(47,607	)		(99,481	)		(2,851	)		(71,218	)
		Sub-total		19,018			45,963			45,725			25,984
	Loans	Gain on transactions and valuation		8,592			14,089			1,660			1,730
		Loss on transactions and valuation		(2,686	)		(4,081	)		(100	)		(862	)
		Sub-total		5,906			10,008			1,560			868
	Other financial assets	Gain on transactions and valuation		2,520			7,819			1,638			4,505
		Loss on transactions and valuation		(1,858	)		(5,412	)		(1,508	)		(4,195	)
		Sub-total		662			2,407			130			310
Sub-total				25,586			58,378			47,415			27,162
Derivatives<br>(Held for trading)	Interest rates derivatives	Gain on transactions and valuation		391,344			845,923			356,000			986,560
		Loss on transactions and valuation		(370,337	)		(745,974	)		(375,781	)		(1,320,559	)
		Sub-total		21,007			99,949			(19,781	)		(333,999	)
	Currency derivatives	Gain on transactions and valuation		398,232			4,532,105			45,273			6,200,908
		Loss on transactions and valuation		(395,527	)		(4,567,000	)		(110,208	)		(5,497,798	)
		Sub-total		2,705			(34,895	)		(64,935	)		703,110
	Equity derivatives	Gain on transactions and valuation		255,081			1,064,630			(41,433	)		1,107,537
		Loss on transactions and valuation		(249,095	)		(1,050,952	)		14,755			(1,110,279	)
		Sub-total		5,986			13,678			(26,678	)		(2,742	)
	Other derivatives	Gain on transactions and valuation		—			—			—			—
		Loss on transactions and valuation		(100	)		(805	)		(156	)		(363	)
		Sub-total		(100	)		(805	)		(156	)		(363	)
Sub-total				29,598			77,927			(111,550	)		366,006
Net, total				55,184			136,305			(64,135	)		393,168

• 110 -

(3)	Details of net gain(loss) on financial instruments at fair value through profit or loss designated as upon<br>initial recognition and Losses on financial instruments designated as at fair value through profit or loss are as follows (Unit: Korean Won in millions):
	Periods ended June 30, 2021					Periods ended June 30, 2020
---	---	---	---	---	---	---	---	---	---	---
	Three-month			Six-month		Three-month			Six-month
Gain(loss) on equity-linked securities		(860	)		102		(2,351	)		8,421
32.	NET GAIN OR LOSS ON FINANCIAL ASSETS AT FVTOCI
---	---

Details of net gain or loss on financial assets at FVTOCI recognized are as follows (Unit: Korean Won in millions):

	Periods ended June 30, 2021						Periods ended June 30, 2020
	Three-month			Six-month			Three-month			Six-month
Gain on redemption of securities		(11	)		(10	)		(35	)		(74	)
Gain on transactions of securities		8,059			45,069			8,462			11,101
Total		8,048			45,059			8,427			11,027
33.	REVERSAL OF(PROVISION FOR) IMPAIRMENT LOSSES DUE TO CREDIT LOSS
---	---

Reversal of (provision for) impairment losses due to credit loss are as follows (Unit: Korean Won in millions):

	Periods ended June 30, 2021						Periods ended June 30, 2020
	Three-month			Six-month			Three-month			Six-month
Impairment loss due to credit loss on financial assets measured at FVTOCI		(1,079	)		(2,097	)		(770	)		(782	)
Reversal of(provision for) impairment loss due to credit loss on securities at amortized<br>cost		106			293			(190	)		(47	)
Provision for impairment loss due to credit loss on loan and other financial assets at amortized<br>cost		(83,507	)		(220,715	)		(319,532	)		(422,066	)
Reversal of(provision for) provision on guarantee		8,454			7,597			2,435			(3,972	)
Reversal of(provision for) unused loan commitment		7,443			10,346			(17,730	)		(19,812	)
Total		(68,583	)		(204,576	)		(335,787	)		(446,679	)

• 111 -

34.	GENERAL AND ADMINISTRATIVE EXPENSES AND OTHER NET OPERATING INCOME(EXPENSES)
(1)	Details of general and administrative expenses recognized are as follows (Unit: Korean Won in millions):<br>
---	---
			Periods ended June 30, 2021				Periods ended June 30, 2020
---	---	---	---	---	---	---	---	---	---	---
			Three-month		Six-month		Three-month		Six-month
Employee benefits	Short-term employee benefits	Salaries		390,030		794,269		374,978		770,314
		Employee fringe benefits		139,143		269,252		126,905		248,461
	Share based payment			5,505		7,858		2,745		2,316
	Retirement benefit service costs			45,369		91,002		43,860		88,207
	Termination			274		555		558		221
		Subtotal		580,321		1,162,936		549,046		1,109,519
Depreciation and amortization				129,080		264,505		124,289		258,964
Other general and administrative expenses	Rent			21,430		40,736		20,246		35,172
	Taxes and public dues			41,373		78,529		40,080		74,268
	Service charges			60,657		113,715		59,737		116,624
	Computer and IT related			28,724		55,234		26,416		52,839
	Telephone and communication			19,475		37,612		18,266		35,091
	Operating promotion			9,756		18,959		9,696		20,718
	Advertising			18,786		28,351		19,060		28,412
	Printing			1,370		3,020		1,481		3,376
	Traveling			1,665		3,369		1,521		3,698
	Supplies			1,704		3,412		3,670		6,907
	Insurance premium			2,486		5,040		2,746		5,551
	Reimbursement			1,815		1,289		4,185		4,855
	Maintenance			4,873		9,778		4,088		7,994
	Water, light, and heating			2,969		7,327		3,188		7,640
	Vehicle maintenance			2,856		5,202		2,346		4,821
	Others			8,546		16,479		6,971		13,109
		Sub-total		228,485		428,052		223,697		421,075
	Total			937,886		1,855,493		897,032		1,789,558
(2)	Details of other operating income recognized are as follows (Unit: Korean Won in millions):<br>
---	---
	Periods ended June 30, 2021				Periods ended June 30, 2020
---	---	---	---	---	---	---	---	---	---
	Three-month		Six-month		Three-month			Six-month
Gain on transactions of foreign exchange		210,908		332,740		191,767			269,151
Gain related to derivatives<br>(Designated for hedging)		478		26,477		(7,637	)		132,356
Gain on fair value hedged items		2,609		61,262		—			—
Others		27,874		52,215		23,948			32,754
Total		241,869		472,694		208,078			434,261
(3)	Details of other operating expenses recognized are as follows (Unit: Korean Won in millions):<br>
---	---
	Periods ended June 30, 2021				Periods ended June 30, 2020
---	---	---	---	---	---	---	---	---
	Three-month		Six-month		Three-month		Six-month
Losses on transactions of foreign exchange		101,259		217,299		47,544		464,540
KDIC deposit insurance premium		100,673		198,218		91,319		180,530
Contribution to miscellaneous funds		90,455		176,601		78,335		156,969
Losses related to derivatives (Designated for hedging)		2,970		53,359		8,950		9,324
Losses on fair value hedged items		—		—		2,322		108,090
Others (*)		94,185		186,265		20,877		61,451
Total		389,542		831,742		249,347		980,904
(*)	Other expense includes such expenses amounting to 6,808 million Won and 6,786 million Won,<br>respectively, of intangible asset amortization expense for the six-month periods ended June 30, 2021 and 2020, respectively.
---	---

• 112 -

(4)	Share-based payment

Details of performance condition share-based payment granted to executives as of June 30, 2021 and December 31, 2020 are as follows.

1)	Performance condition share-based payment
Subject to		Shares granted for the year 2019
---	---	---
Type of payment		Cash-settled
Vesting period		January 1, 2019 ~ December 31, 2022
Date of payment		2023-01-01
Fair value (*1)		10,808 Won
Valuation method		Black-Scholes Model
Expected dividend rate		4.28%
Expected maturity date		1.5 years
Number of shares remaining	As of June 30, 2021	602,474 shares
	As of December 31, 2020	602,474 shares
Number of shares granted (*2)	As of June 30, 2021	602,474 shares
	As of December 31, 2020	602,474 shares
Subject to		Shares granted for the year 2020
Type of payment		Cash-settled
Vesting period		January 1, 2020 ~ December 31, 2023
Date of payment		2024-01-01
Fair value (*1)		10,356 Won
Valuation method		Black-Scholes Model
Expected dividend rate		4.28%
Expected maturity date		2.5 years
Number of shares remaining	As of June 30, 2021	944,343 shares
	As of December 31, 2020	944,343 shares
Number of shares granted (*2)	As of June 30, 2021	944,343 shares
	As of December 31, 2020	944,343 shares
Subject to		Shares granted for the year 2021
Type of payment		Cash-settled
Vesting period		January 1, 2021 ~ December 31, 2024
Date of payment		2025-01-01
Fair value (*1)		9,922 Won
Valuation method		Black-Scholes Model
Expected dividend rate		4.28%
Expected maturity date		3.5 years
Number of shares remaining	As of June 30, 2021	543,176 shares
	As of December 31, 2020	—
Number of shares granted (*2)	As of June 30, 2021	543,176 shares
	As of December 31, 2020	—
(*1)	As the amount of payment varies according to the base price (the arithmetic average of the weighted average<br>stock price of transactions in the past one week, the past one month, and the past two months) at the date of payment, the fair value is calculated to measure the liability according to the Black Scholes model based on the base price at the time of<br>each settlement.
---	---
(*2)	It is a system in which the amount of stock payable is determined at the beginning, and the payment rate is<br>determined in accordance with the degree of achievement of the pre-set performance target. Performance is evaluated by long-term performance indicators such as relative shareholder return, net profit, return<br>on equity (ROE), non-performing loan ratio, and job performance.
---	---

• 113 -

2)	The Group accounts for performance condition share-based payments according to the cash-settled method and the<br>fair value of the liabilities is reflected in the compensation costs by re-measuring every closing period. As of June 30, 2021 and December 31, 2020, the book value of the liabilities related to the<br>performance condition share-based payments recognized by the Group amounts to 21,681 million Won and 13,823 million Won, respectively.
35.	NON-OPERATING INCOME(EXPENSES)
---	---
(1)	Details of gains or losses on valuation of investments in joint ventures and associates are as follows (Unit:<br>Korean Won in millions):
---	---
	Periods ended June 30, 2021						Periods ended June 30, 2020
---	---	---	---	---	---	---	---	---	---	---	---	---
	Three-month			Six-month			Three-month			Six-month
Gains on valuation of investments in joint ventures and associates		32,617			38,702			20,620			35,683
Losses on valuation of investments in joint ventures and associates		(794	)		(11,671	)		(3,822	)		(11,731	)
Impairment losses of investments in joint ventures and associates		9			(790	)		—			—
Total		31,832			26,241			16,798			23,952
(2)	Details of other non-operating income and expenses recognized are as<br>follows (Unit: Korean Won in millions):
---	---
	Periods ended June 30, 2021						Periods ended June 30, 2020
---	---	---	---	---	---	---	---	---	---	---	---	---
	Three-month			Six-month			Three-month			Six-month
Other non-operating incomes		41,503			66,330			17,890			37,114
Other non-operating expenses		(47,677	)		(58,663	)		(152,712	)		(199,815	)
Total		(6,174	)		7,667			(134,822	)		(162,701	)
(3)	Details of other non-operating income recognized are as follows (Unit:<br>Korean Won in millions):
---	---
	Periods ended June 30, 2021					Periods ended June 30, 2020
---	---	---	---	---	---	---	---	---	---
	Three-month			Six-month		Three-month		Six-month
Rental fee income		5,501			9,164		3,996		7,577
Gains on disposal of premises and equipment, intangible assets and other assets		28,886			33,345		126		6,575
Reversal of impairment loss of premises and equipment, intangible assets and other assets		(48	)		96		20		55
Others		7,164			23,725		13,748		22,907
Total		41,503			66,330		17,890		37,114
(4)	Details of other non-operating expenses recognized are as follows<br>(Unit: Korean Won in millions):
---	---
	Periods ended June 30, 2021				Periods ended June 30, 2020
---	---	---	---	---	---	---	---	---
	Three-month		Six-month		Three-month		Six-month
Depreciation on investment properties		837		1,411		540		1,087
Operating expenses on investment properties		383		567		158		382
Losses on disposal of premises and equipment, intangible assets and other assets		1,178		1,798		491		821
Impairment losses of premises and equipment, intangible assets and other assets		418		639		7,687		8,254
Donation		19,456		22,043		6,767		11,305
Others		25,405		32,205		137,069		177,966
Total		47,677		58,663		152,712		199,815

• 114 -

36.	INCOME TAX EXPENSE

Details of income tax expenses are as follows (Unit: Korean Won in millions):

	For the six-month periods ended June 30
	2021			2020
Current tax expense
Current tax expense with respect to the current period		399,935			180,059
Adjustments recognized in the current period in relation to the tax expense of prior<br>periods		(18,331	)		(4,292	)
Sub-total		381,604			175,767
Deferred tax expense
Change in deferred tax assets(liabilities) due to temporary differences		111,509			66,044
Income tax expense directly attributable to equity		(12,616	)		18,005
Sub-total		98,893			84,049
Income tax expense		480,497			259,816

Income tax expense was recognized based on the estimate of the best weighted average annual effective tax rate expected for the interim period. The weighted average annual effective tax rate for the June 30, 2021, is 23.8% (The weighted average annual effective tax rate for the June 30, 2020, is 25.1%).

• 115 -

37.	EARNINGS PER SHARE (“EPS”)
(1)	Basic EPS is calculated by dividing net income attributable to common shareholders by weighted-average number<br>of common shares outstanding (Unit: Korean Won in millions, except for EPS and number of shares):
---	---
	Periods ended June 30, 2021						Periods ended June 30, 2020
---	---	---	---	---	---	---	---	---	---	---	---	---
	Three-month			Six-month			Three-month			Six-month
Net income attributable to common shareholders		752,595			1,419,698			142,348			660,564
Dividends to hybrid securities		(15,775	)		(31,550	)		(11,852	)		(20,365	)
Net income attributable to common shareholders		736,820			1,388,148			130,496			640,199
Weighted average number of common shares outstanding (Unit: million shares)		722			722			722			722
Basic EPS (Unit: Korean Won)		1,020			1,922			181			887
(2)	The weighted average number of common shares outstanding is as follows (Unit: number of shares, days)<br>
---	---
	For the six-month period ended June 30, 2021
---	---	---	---	---	---	---	---	---	---	---
	Period		Number of<br>shares			Dates<br>(Unit:<br>Day)		Accumulated number<br>of shares outstanding<br>during period
Common shares issued at the beginning of the period		2021-01-01 ~ 2021-06-30		722,267,683			181		130,730,450,623
Treasury stock		2021-01-01 ~ 2021-06-30		(2	)		181		(362	)
Sub-total (①)									130,730,450,261
Weighted average number of common shares outstanding (②=(①/181)									722,267,681
	For the six-month period ended June 30, 2020
	Period		Number of<br>shares			Dates		Accumulated number<br>of shares outstanding<br>during period
Common shares issued at the beginning of the period		2020-01-01 ~ 2020-06-30		722,267,683			182		131,452,718,306
Treasury stock		2020-01-01 ~ 2020-06-30		(2	)		182		(364	)
Sub-total (①)									131,452,717,942
Weighted average number of common shares outstanding (②=(①/182)									722,267,681

Diluted EPS is equal to basic EPS because there is no dilution effect for the six-month periods ended June 30, 2021 and 2020.

• 116 -

38.	CONTINGENT LIABILITIES AND COMMITMENTS
(1)	Details of guarantees are as follows (Unit: Korean Won in millions):
---	---
	June 30, 2021		December 31, 2020
---	---	---	---	---
Confirmed guarantees
Guarantee for loans		37,749		103,229
Acceptances		557,743		602,014
Guarantees in acceptances of imported goods		97,178		78,395
Other confirmed guarantees		6,885,062		6,491,608
Sub-total		7,577,732		7,275,246
Unconfirmed guarantees
Local letters of credit		238,209		187,146
Letters of credit		3,074,284		3,025,923
Other unconfirmed guarantees		582,906		403,652
Sub-total		3,895,399		3,616,721
Commercial paper purchase commitments and others		881,619		917,489
Total		12,354,750		11,809,456
(2)	Details of unused loan commitments and others are as follows (Unit: Korean Won in millions):<br>
---	---
	June 30, 2021		December 31, 2020
---	---	---	---	---
Loan commitments		114,270,804		112,088,680
Other commitments (*)		7,041,920		7,827,774
(*)	As of June 30, 2021 and December 31, 2020, the amount of unsecured bills (purchase note sales) and<br>discounts on electronic short-term bond sales (purchase) are 3,252,994 million Won and 2,894,688 million Won, respectively.
---	---
(3)	Litigation case
---	---

Legal cases where the Group is involved are as follows (Unit: Korean Won in millions):

	June 30, 2021				December 31, 2020
	As plaintiff		As defendant		As plaintiff		As defendant
Number of cases (*)		165 cases		478 cases		138 cases		460 cases
Amount of litigation		314,746		371,526		413,852		413,744
Provisions for litigations		22,260				24,873
(*)	The number of lawsuits as of June 30, 2021 and December 31, 2020 do not include fraud lawsuits, etc.<br>and those lawsuits that are filed only to extend the statute of limitation.
---	---

• 117 -

(4)	Other commitments
1)	The Group decided to enter into a stock sales agreement with a major shareholder of Woori Asset Trust Co., Ltd.<br>(formerly, Kukje Asset Trust Co., Ltd.) to acquire 44.5% of interest (58.6% of voting rights) in July 2019, and to acquire additional 21.3% of interest (28.0% of voting rights) after a certain period. As a result, the Group acquired the interest of<br>the first sales agreement in December 2019 and is planning to acquire the interest of the second sales agreement after a certain period. In regard to this acquisition, the Group recognized 128,021 million Won as other financial liabilities for<br>the second sales agreement.
---	---
2)	Lime Asset Management Co., Ltd. announced the suspension of redemption of many funds in operation in October<br>2019. The Group’s total amount of sales of fund under management of Lime Asset Management Co., Ltd.’s subject to redemption suspension is 1,348 accounts and 263.8 billion Won at the end of June 2021. In December 2020, Lime Asset<br>Management Co., Ltd.’s business registration was revoked, and funds subject to redemption suspension were transferred to Wellbridge Asset Management Co., Ltd., which was jointly established by distributors. The Financial Supervisory Service<br>Dispute Mediation Committee was held on 23 February 2021 to discuss the incomplete sales of vendors. The consolidated company held a board meeting on March 15, 2021 to accept the decision of the Dispute Mediation Committee and resolve to expand<br>the application of autonomous mediation, and is currently in the process of confirming the validity and compensation.
---	---
3)	As of June 30, 2021, Woori Asset Trust Co., Ltd., a subsidiary, has agreed to carry out construction<br>completion obligations for 72 constructions, which includes the construction of residential and commercial complexes in Busan (U-dong, Haeundae-gu). Land Trust<br>responsible for Construction and Management is a trust that bears the obligation to fulfill the responsibility of the constructor and to compensate the loan financial institution for damages if the Group fails to fulfill the construction completion<br>obligation. As of June 30, 2021, the total PF loan amount of PF loan institutions invested in the project of the Land Trust responsible for Construction and Management is 2,019,384 million Won. Although additional losses may occur in<br>relation to the construction completion obligations, the financial statements at June 30, 2021 do not reflect these effects since losses are unlikely and the amount cannot be estimated reliably.
---	---
4)	Pursuant to some contracts related to asset securitization, the Group utilizes various prerequisites as<br>triggering events causing early redemption, limiting risks that investors bear due to change in asset quality. Breach of such triggering clause leads to an early redemption of the securitized bonds.
---	---

• 118 -

39.	RELATED PARTY TRANSACTIONS

Related parties of the Group as of June 30, 2021 and December 31, 2020, and assets and liabilities recognized, guarantees and commitments, major transactions with related parties and compensation to key management for the six-month periods ended June 30, 2021 and 2020 are as follows. Please see Note 12 for the details of joint ventures and associates.

(1)	Assets and liabilities from transactions with related parties are as follows (Unit: Korean Won in millions):<br>
Related parties		Account title	June 30,<br>2021			December 31,<br>2020
---	---	---	---	---	---	---	---	---
Associates	W Service Networks Co., Ltd.	Loans		14			21
		Deposits due to customers		2,498			2,183
		Accrued expenses		6			6
		Other liabilities		429			459
	Korea Credit Bureau Co., Ltd.	Loans		1			1
		Deposits due to customers		911			2,311
		Other liabilities		—			5
	Korea Finance Security Co., Ltd.	Loans		3,423			3,440
		Loss allowance		(6	)		(6	)
		Deposits due to customers		3,952			1,927
		Other liabilities		1			1
	Chin Hung International Inc.	Loans		—			257
		Loss allowance		—			(3	)
		Deposits due to customers		—			8,715
		Other liabilities		—			171
	LOTTE CARD Co. Ltd.	Loans		5,625			7,500
		Loss allowance		(57	)		(77	)
		Other assets		7			12
		Deposits due to customers		12,120			2,697
		Other liabilities		113			113
	K BANK Co., Ltd.	Loans		62			104
		Account receivables		67			26
		Other assets		—			2
	Well to Sea No.3 Private Equity Fund	Deposits due to customers		—			4,997
	Others (*1) (*2)	Loans		42,694			44,036
		Loss allowance		(122	)		(126	)
		Other assets		580			651
		Deposits due to customers		5,743			5,831
		Other liabilities		—			5
(*1)	Others include KUM HWA Co., Ltd., Aarden Woori Apparel 1st Private Equity Fund, IBK KIP Seongjang Dideemdol 1st<br>Private Investment Limited Partnership, Woori G IPO10 [FI_Bal][F]C(F), Woori G Star Private Placement Investment Trust No.33 [FI], Woori G Senior Loan No.1, Woori G Clean Energy No.1, Dongwoo C & C Co., Ltd., Woori Growth Partnerships New<br>Technology Private Equity Fund, Woori-Shinyoung Growth-Cap Private Equity Fund, Woori-Q Corporate Restructuring Private Equity Fund, Woori High plus G.B. Securities<br>Feeder Fund1(G.B.), Uri Hanhwa Eureka Private Equity Fund, Japanese Hotel Real Estate Private Equity Fund 2, Cultizm Korea LTD Co., Ltd., Partner One Value Up I Private Equity Fund, Force TEC Co., Ltd., Godo Kaisha Oceanos 1 and etc., as of<br>June 30, 2021.
---	---
(*2)	Others include Smart Private Equity Fund No.2, IBK KIP Seongjang Dideemdol 1st Private Investment Limited<br>Partnership, Woori G IPO10 [FI_Bal][F]C(F), Woori G Senior Loan No.1, Woori G Egis Bond[FI][F](C(F)), Woori G Clean Energy No.1, Woori Star50 Feeder Fund(H), Dongwoo C & C Co., Ltd., Woori Growth Partnerships New Technology Private Equity<br>Fund, Woori-Shinyoung Growth-Cap Private Equity Fund, Woori-Q Corporate Restructuring Private Equity Fund, Woori High plus G.B. Securities Feeder Fund1(G.B.), Uri Hanhwa<br>Eureka Private Equity Fund, Japanese Hotel Real Estate Private Equity Fund 2, Partner One Value Up I Private Equity Fund, Godo Kaisha Oceanos 1 and etc., as of December 31, 2020.
---	---

• 119 -

(2)	Gain or loss from transactions with related parties are as follows (Unit: Korean Won in millions):<br>
			For the six-month period ended June 30
---	---	---	---	---	---	---	---	---
Related parties		Account title	2021			2020
Associates	W Service Network Co., Ltd.	Other income		17			16
		Interest expenses		3			9
		Fees expenses		349			226
		Reversal of allowance for credit loss		—			(4	)
		Other expenses		921			1,001
	Korea Credit Bureau Co., Ltd.	Interest expenses		4			1
		Fees expenses		1,746			1,544
	Korea Finance Security Co., Ltd.	Interest income		38			—
		Interest expenses		1			2
		Provision for allowance for credit loss		—			6
		Other expenses		46			51
	Chin Hung International Inc	Interest expenses		—			11
		Provision for allowance for credit loss		—			90
	LOTTE CARD Co., Ltd.	Interest income		159			150
		Fees income		4,874			1,330
		Interest expenses		112			53
		Reversal of allowance for credit loss		(19	)		—
	K BANK Co., Ltd.	Fees income		1,025			851
		Fees expenses		16			—
	Well to Sea No.3 Private Equity Fund	Interest income		—			1,328
		Interest expenses		—			2
		Provision for allowance for credit loss		—			77
	Others (*1) (*2)	Interest income		213			233
		Fees income		1,483			1,261
		Other income		—			8
		Interest expenses		5			15
		Provision for (reversal of) allowance for credit loss		(4	)		42
(*1)	Others include Aarden Woori Apparel 1st Private Equity Fund, IBK KIP Seongjang Dideemdol 1st Private Investment<br>Limited Partnership, AJU TAERIM 1st Fund, Woori G IPO10 [FI_Bal][F]C(F), Woori G Star Private Placement Investment Trust No.33 [FI], Woori G Senior Loan No.1, Woori G Clean Energy No.1, Woori Star50 Feeder Fund(H), Woori Growth Partnerships New<br>Technology Private Equity Fund, Woori-Shinyoung Growth-Cap Private Equity Fund, Woori-Q Corporate Restructuring Private Equity Fund, Woori High plus G.B. Securities<br>Feeder Fund1(G.B.), Uri Hanhwa Eureka Private Equity Fund, Japanese Hotel Real Estate Private Equity Fund 2, Partner One Value Up I Private Equity Fund, PCC-Woori LP Secondary Fund, Godo Kaisha Oceanos 1 and<br>etc., as of June 30, 2021.
---	---
(*2)	Others include Smart Private Equity Fund No.2, IBK KIP Seongjang Dideemdol 1st Private Investment Limited<br>Partnership, AJU TAERIM 1st Fund, Woori G IPO10 [FI_Bal][F]C(F),Woori G Senior Loan No.1, Woori G Egis Bond[FI][F](C(F)), Woori G Clean Energy No.1, Woori Star50 Feeder Fund(H), Saman Corporation, Woori Growth Partnerships New Technology Private<br>Equity Fund, Woori-Shinyoung Growth-Cap Private Equity Fund, Woori-Q Corporate Restructuring Private Equity Fund, Woori High plus G.B. Securities Feeder Fund1(G.B.), Uri<br>Hanhwa Eureka Private Equity Fund, Japanese Hotel Real Estate Private Equity Fund 2, Partner One Value Up I Private Equity Fund, PCC-Woori LP Secondary Fund, Godo Kaisha Oceanos 1 and etc., as of June 30,<br>2020.
---	---

• 120 -

(3)	Major loan transactions with related parties for the six-month periods<br>ended June 30, 2021 and 2020 are as follows (Unit: Korean Won in millions):
		For the six-month period ended June 30, 2021
---	---	---	---	---	---	---	---	---	---	---	---	---
Related parties		Beginning<br>balance		Loan		Collection		Others			Ending<br>balance<br>(*)
Associates	W Service Network Co., Ltd.		21		121		128		—			14
	Korea Credit Bureau Co., Ltd.		1		4		4		—			1
	Korea Finance Security Co., Ltd.		3,440		178		195		—			3,423
	LOTTE CARD Co., Ltd.		7,500		—		1,875		—			5,625
	K BANK Co., Ltd.		104		933		975		—			62
	Godo Kaisha Oceanos 1		44,036		—		—		(1,342	)		42,694
(*)	Payments that occurred for business reasons among related parties are excluded and net increase or decrease was<br>used for limited credit loan.
---	---
		For the six-month period ended June 30, 2020
---	---	---	---	---	---	---	---	---	---
Related parties		Beginning<br>balance		Loan		Collection		Ending<br>balance<br>(*)
Associates	W Service Network Co., Ltd.		23		190		192		21
	Korea Credit Bureau Co., Ltd.		3		8		10		1
	Korea Finance Security Co., Ltd.		1,860		2,356		277		3,939
	Chin Hung International Inc		244		1,095		1,192		147
	LOTTE CARD Co., Ltd.		7,500		—		—		7,500
	K BANK Co., Ltd.		141		896		946		91
	Well to Sea No. 3 Private Equity Fund		4,490		66,710		—		71,200
(*)	Payments that occurred for business reasons among related parties are excluded and net increase or decrease was<br>used for limited credit loan.
---	---
(4)	Details of changes in major deposits due to customers with related parties for the six-month period June 30, 2021 and 2020 are as follows (Unit: Korean Won in millions):
---	---
		For the six-month period ended June 30, 2021
---	---	---	---	---	---	---	---	---	---
Related parties		Beginning<br>balance		Increase		Decrease		Ending<br>balance<br>(*)
Associates	W Service Networks Co., Ltd		1,180		—		—		1,180
	Partner One Value Up I Private Equity Fund		863		637		914		586
	Korea Credit Bureau Co., Ltd.		1,000		—		1,000		—
(*)	Details of payment between related parties, demand deposit due to customers and etc. are excluded.<br>
---	---
		For the six-month period ended June 30, 2020
---	---	---	---	---	---	---	---	---	---
Related parties		Beginning<br>balance		Borrowings		Repayment<br>and others		Ending<br>balance<br>(*1)
Associates	Saman Corporation (*2)		2,522		94		—		2,616
	W Service Networks Co., Ltd		1,180		—		—		1,180
	Chin Hung International Inc		400		—		400		—
	Partner One Value Up I Private Equity Fund		1,150		1,356		1,303		1,203
	Korea Credit Bureau Co., Ltd.		—		1,000		—		1,000
(*1)	Details of payment between related parties, demand deposit due to customers and etc. are excluded.<br>
---	---
(*2)	Excluded from the related parties due to the loss of significant influence for the six-month period ended June 30, 2020.
---	---
(5)	There are no major borrowing transactions with related parties for the<br>six-month periods ended June 30, 2021 and 2020.
---	---

• 121 -

(6)	Guarantees provided to the related parties are as follows (Unit: Korean Won in millions):<br>
Warrantee	June 30, 2021		December 31, 2020		Warranty
---	---	---	---	---	---
Korea Finance Security Co., Ltd.		837		820	Unused loan commitment
Korea Credit Bureau Co., Ltd.		34		34	Unused loan commitment
W Service Network Co., Ltd.		186		179	Unused loan commitment
Chin Hung International Inc.		—		16,167	Unused loan commitment
K BANK Co., Ltd.		238		196	Unused loan commitment
LOTTE CARD Co. Ltd.		500,000		500,000	Unused loan commitment

As of June 30, 2021 and December 31, 2020, the recognized payment guarantee provisions are 114 million Won and 284 million Won, respectively, in relation to the guarantees provided to the related parties above.

(7)	Amount of commitments with the related parties
Warrantee	June 30, 2021		December 31, 2020		Warranty
---	---	---	---	---	---
Together-Korea Government Private Pool Private Securities Investment Trust No. 3		—		990,000	Securities purchase commitment
IBK KIP Seongjang Dideemdol 1st Private Investment Limited Partnership		4,664		9,704	Securities purchase commitment
Woori G Senior Loan No. 1		40,050		53,041	Securities purchase commitment
Woori G Clean Energy No. 1		6,023		7,485	Securities purchase commitment
Woori Seoul Beltway Private Special Asset Fund		40,558		41,393	Securities purchase commitment
Woori-Shinyoung Growth-Cap Private Equity Fund I		2,378		12,799	Securities purchase commitment
Woori-Q Corporate Restructuring Private Equity<br>Fund		36,355		36,355	Securities purchase commitment
Union Technology Finance Investment Association		4,500		10,500	Securities purchase commitment
Genesis Eco No. 1 Private Equity Fund		1,296		—	Securities purchase commitment
Genesis Environmental Energy Company 1st Private Equity Fund		916		916	Securities purchase commitment
JC Assurance No. 2 Private Equity Fund		1,351		1,650	Securities purchase commitment
Crevisse Raim Impact 1st Startup Venture Specialist Private Equity Fund		488		550	Securities purchase commitment
PCC-Woori LP Secondary Fund		—		2,525	Securities purchase commitment
(8)	Compensation for key management is as follows (Unit: Korean Won in millions):
---	---
	For the six-month period ended<br>June 30
---	---	---	---	---
	2021		2020
Short-term employee salaries		10,335		8,084
Retirement benefit service costs		409		311
Share-based compensation		3,079		1,054
Total		13,823		9,449

Key management includes executives and directors of Woori Financial Group and major subsidiaries, and also includes CEO of other subsidiaries. Outstanding assets from transactions with key management amount to 3,576 million Won and 3,888 million Won, as of June 30, 2021 and December 31, 2020, respectively and with respect to the assets, the Group has not recognized any allowance nor related impairment loss due to credit losses. Also, liabilities from transaction with key management amount to 12,995 million Won and 11,155 million Won, respectively, as of June 30, 2021 and December 31, 2020.

• 122 -

40.	LEASES
(1)	Lessor
---	---
1)	Finance lease
---	---
①	The total investment in finance lease and the present value of the minimum lease payments to be recovered are<br>as follows (Unit: Korean Won in millions):
---	---
	June 30, 2021
---	---	---	---	---
	Total investment in lease		Net investment in lease
Within one year		45,432		44,203
After one year but within two years		85,409		79,693
After two years but within three years		192,757		175,280
After three years but within four years		280,326		251,129
After four years but within five years		449,155		397,566
After five years		44		35
Total		1,053,123		947,906
	December 31, 2020
---	---	---	---	---
	Total investment in lease		Net investment in lease
Within one year		24,649		23,957
After one year but within two years		48,781		45,575
After two years but within three years		132,894		120,414
After three years but within four years		171,137		151,756
After four years but within five years		277,282		244,481
After five years		16		12
Total		654,759		586,195
②	The unrealized interest income of the finance lease is as follows (Unit: Korean Won in millions):<br>
---	---
	June 30, 2021		December 31, 2020
---	---	---	---	---
Total investment in lease		1,053,123		654,759
Net investment in lease		947,906		586,195
Present value of minimum lease payments		947,906		586,133
Present value of unguaranteed residual value		—		62
Unearned interest income		105,217		68,564
2)	Operating lease
---	---
①	The details of operating lease assets are as follows (Unit: Korean Won in millions):
---	---
	June 30, 2021			December 31, 2020
---	---	---	---	---	---	---
Prepaid lease assets		3,272			199
Operating lease assets
Acquisition cost		1,749,061			1,506,957
Accumulated depreciation		(439,659	)		(390,981	)
Net carrying value		1,309,402			1,115,976
Total		1,312,674			1,116,175

• 123 -

②	The details of changes in operating lease assets as of June 30, 2021 are as follows and there is no<br>details of changes in operating lease assets as of June 30, 2020 (Unit: Korean Won in millions):
	Amount
---	---	---	---
Beginning balance		1,116,175
Acquisition		349,216
Disposal		(48,682	)
Depreciation		(112,279	)
Others		4,972
Ending balance		1,309,402
③	The future lease payments to be received under the lease contracts are as follows (Unit: Korean Won in<br>millions):
---	---
	June 30, 2021		December 31, 2020
---	---	---	---	---
Within one year		281,821		240,005
After one year but within two years		258,541		223,074
After two years but within three years		179,794		156,859
After three years but within four years		102,071		80,174
After four years but within five years		41,582		24,992
Total		863,809		725,104
④	There is no adjusted lease payments recognized as profit or loss for the<br>six-month periods ended June 30, 2021 and 2020.
---	---
(2)	Lessee
---	---
1)	The future lease payments under the lease contracts are as follows (Unit: Korean Won in millions):<br>
---	---
	June 30, 2021		December 31, 2020
---	---	---	---	---
Lease payments
Within one year		156,276		173,885
After one year but within five years		150,455		200,844
After five years		37,241		34,787
Total		343,972		409,516
2)	Total cash outflows from lease are as follows (Unit: Korean Won in millions):
---	---
	For the six-month periods ended<br>June 30
---	---	---	---	---
	2021		2020
Total cash outflows from lease		93,758		103,985
3)	Details of lease payments that are not included in the measurement of lease liabilities due to the fact that<br>they are short-term leases or leases for which the underlying asset is of low value are as follows (Unit: Korean Won in millions):
---	---
	For the six-month periods ended<br>June 30
---	---	---	---	---
	2021		2020
Lease payments for short-term leases		814		743
Lease payments for which the underlying asset is of low value		721		274
Total		1,535		1,017
4)	The Group uses a practical expedient for rent concession as a direct consequence of COVID-19. Accordingly, the amount recognized in profit or loss during the reporting period is 19,311 million Won, to reflect changes in lease payments arising from the rent concession.
---	---

• 124 -

41.	EVENTS AFTER THE REPORTING PERIOD
(1)	On June 4, 2021, the Group signed a share exchange agreement to exchange 1.0567393 share of Woori<br>Financial Group Inc. for 1 share of each shareholders (excluding the Group) of Woori Financial Capital Co., Ltd. on August 10, 2021. On July 23, 2021, the Board of Directors on behalf of the shareholders’ meeting of the Group and<br>Woori Financial Capital Co., Ltd. approved the comprehensive exchange of shares under the above share exchange agreement and share exchange contract amendment. The Company’s new shares will go on public on August 27, 2021.<br>
---	---
(2)	On July 23, 2021, the Board of Directors resolved to pay an interim dividend of 150 Won per share (total<br>dividend of 108,340 million Won) with July 30, 2021 as the dividend base date.
---	---

• 125 -

EX-99.2

Exhibit 99.2

WOORI FINANCIAL GROUP INC.

SEPARATE INTERIM FINANCIAL STATEMENTS

AS OF AND FOR THE THREE-MONTH AND SIX-MONTH

PERIODS ENDED JUNE 30, 2021 AND 2020

WOORI FINANCIAL GROUP INC.

	Page(s)
Report on Review of Separate Interim Financial Statements		1-2
Separate Interim Financial Statements
Separate Interim Statements of Financial Position		4
Separate Interim Statements of Comprehensive Income		5
Separate Interim Statements of Changes in Equity		6
Separate Interim Statements of Cash Flows		7
Notes to the Separate Interim Financial Statements		8-45

Report on Review of Separate Interim Financial Statements

English Translation of a Report Originally Issued in Korean on August 13, 2021

To the Shareholders and the Board of Directors of Woori Financial Group Inc.

Reviewed Financial Statements

We have reviewed the accompanying separate interim financial statements of Woori Financial Group Inc. (the “Company”). These financial statements consist of the separate interim statement of financial position of the Company as at June 30, 2021 and the related separate interim statements of comprehensive income for the three-month and six-month periods ended June 30, 2021 and 2020, and separate interim statements of changes in equity and cash flows for the six-month periods ended June 30, 2021 and 2020, and a summary of significant accounting policies and other explanatory notes, expressed in Korean Won.

Management’s Responsibility for the Financial Statements

Management is responsible for the preparation and fair presentation of these separate interim financial statements in accordance with International Financial Reporting Standards as adopted by the Republic of Korea (“Korean IFRS”) 1034 Interim Financial Reporting, and for such internal control as management determines is necessary to enable the preparation of separate interim financial statements that are free from material misstatement, whether due to fraud or error.

Auditor’s Responsibility

Our responsibility is to issue a report on these separate interim financial statements based on our review.

We conducted our review in accordance with quarterly or semi-annual review standards established by the Securities and Futures Commission of the Republic of Korea. A review of interim financial information consists of making inquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with Korean Standards on Auditing and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.

Conclusion

Based on our review, nothing has come to our attention that causes us to believe the accompanying separate interim financial statements are not presented fairly, in all material respects, in accordance with Korean IFRS 1034 Interim Financial Reporting.

• 1 -

Emphasis of Matters

Without qualifying our conclusion, we draw attention to Note 3 of the financial statements, which indicates that the outbreak of COVID-19 may have a negative impact on the Company’s financial condition and results of operations.

Other Matters

We have audited the separate statement of financial position of the Company as at December 31, 2020, and the related separate statements of comprehensive income, changes in equity and cash flows for the year then ended, in accordance with Korean Standards on Auditing. We expressed an unqualified opinion on those financial statements, not presented herein, in our audit report dated March 12, 2021. The separate statement of financial position as at December 31, 2020, presented herein for comparative purposes, is consistent, in all material respects, with the above audited statement of financial position as at December 31, 2020.

Review standards and their application in practice vary among countries. The procedures and practices used in the Republic of Korea to review such financial statements may differ from those generally accepted and applied in other countries.

/s/ Samil PricewaterhouseCoopers

Seoul, Korea

August 13, 2021

Notice to Readers

This report is effective as of August 13, 2021, the review report date. Certain subsequent events or circumstances, which may occur between the review report date and the time of reading this report, could have a material impact on the accompanying separate interim financial statements and notes thereto. Accordingly, the readers of the review report should understand that there is a possibility that the above review report may have to be revised to reflect the impact of such subsequent events or circumstances, if any.

• 2 -

WOORI FINANCIAL GROUP INC.<br><br><br>SEPARATE INTERIM FINANCIAL STATEMENTS<br><br><br>AS OF AND FOR THE THREE-MONTH AND SIX-MONTH<br><br><br>PERIODS ENDED JUNE 30, 2021 AND 2020

The accompanying separate interim financial statements including all footnote disclosures

were prepared by, and are the responsibility of, the management of Woori Financial Group Inc.

Tae Seung Son

Presidentand Chief Executive Officer

Main Office Address: (Road Name Address) 51, Sogong-ro, Jung-gu, Seoul

(Phone Number)    02-2125-2000

• 3 -

WOORI FINANCIAL GROUP INC.

SEPARATE INTERIM STATEMENTS OF FINANCIAL POSITION

AS OF JUNE 30, 2021 (UNAUDITED) AND DECEMBER 31, 2020

	June 30, 2021			December 31, 2020
	(Korean Won in millions)
ASSETS
Cash and cash equivalents (Notes 5 and 30)		253,265			69,176
Financial assets at fair value through profit or loss (“FVTPL”) (Notes 4, 6, 9 and<br>18)		7,247			7,247
Financial assets at fair value through other comprehensive income (“FVTOCI”) (Notes 4, 7<br>and 9)		149,151			149,614
Loans and other financial assets at amortized cost (Notes 4, 8, 9 and 30)		714,944			619,117
Investments in subsidiaries (Notes 10 and 30)		21,880,614			21,562,229
Premises and equipment (Notes 11 and 30)		10,068			12,538
Intangible assets (Note 12)		5,211			5,282
Net defined benefit asset (Note 16)		—			3,509
Current tax assets		18,213			307
Deferred tax assets		1,188			964
Other assets (Note 13)		93			—
Total assets		23,039,994			22,429,983
LIABILITIES
Debentures (Notes 4, 9 and 14)		1,147,688			1,147,503
Provisions (Note 15)		392			782
Net defined benefit liability (Note 16)		903			—
Current tax liabilities		261,230			215,071
Other financial liabilities (Notes 4, 9, 17, 30 and 31)		34,736			22,085
Other liabilities (Note 17)		678			570
Total liabilities		1,445,627			1,386,011
EQUITY (Note 19)
Capital stock		3,611,338			3,611,338
Hybrid securities		2,094,745			1,895,322
Capital surplus		10,874,084			14,874,084
Other equity		(2,324	)		(1,518	)
Retained earnings		5,016,524			664,746
Total equity		21,594,367			21,043,972
Total liabilities and equity		23,039,994			22,429,983

The accompanying notes are part of this interim financial statement.

• 4 -

WOORI FINANCIAL GROUP INC.

SEPARATE INTERIM STATEMENTS OF COMPREHENSIVE INCOME

FOR THE THREE-MONTH AND SIX-MONTH PERIODS ENDED JUNE 30, 2021 AND 2020

(UNAUDITED)

	Periods ended June 30, 2021						Periods ended June 30, 2020
	Three-month			Six-month			Three-month			Six-month
	(Korean Won in millions,<br><br><br>except for per share data)
Interest income		1,025			1,585			3,185			7,699
Interest expense		(6,141	)		(12,313	)		(5,495	)		(11,031	)
Net interest income (Notes 9, 21 and 30)	****	(5,116	)	****	(10,728	)	****	(2,310	)	****	(3,332	)
Fees and commissions income		201			402			—			—
Fees and commissions expense		(3,451	)		(7,011	)		(5,529	)		(8,168	)
Net fees and commissions loss (Notes 22 and 30)	****	(3,250	)	****	(6,609	)	****	(5,529	)	****	(8,168	)
Dividend income (Notes 23 and 30)		1,290			690,025			—			677,795
Reversal (Provision) of impairment losses due to credit loss (Notes 24 and 30)		(56	)		(19	)		9			9
General and administrative expenses (Notes 25 and 30)		(15,064	)		(29,339	)		(15,829	)		(28,154	)
Operating income (expense)	****	(22,196	)	****	643,330	****	****	(23,659	)	****	638,150	****
Non-operating income (expense) (Note<br>26)	****	93	****	****	95	****	****	180	****	****	(20	)
Net income before income tax expense	****	(22,103	)	****	643,425	****	****	(23,479	)	****	638,130	****
Income tax income (expense) (Note 27)		109			(81	)		221			(1,058	)
Net income (loss)	****	(21,994	)	****	643,344	****	****	(23,258	)	****	637,072	****
Net gain (loss) on valuation of equity securities at FVTOCI		(44	)		(336	)		192			192
Remeasurement gain (loss) related to defined benefit plan		263			(470	)		253			(961	)
Items that will not be reclassified to profit or loss:	****	219	****	****	(806	)	****	445	****	****	(769	)
Other comprehensive income(loss), net of tax	****	219	****	****	(806	)	****	445	****	****	(769	)
Total comprehensive income(loss)	****	(21,775	)	****	642,538	****	****	(22,813	)	****	636,303	****
Earnings (Loss) per share (Note 28)
Basic and diluted earnings (loss) per share (Unit: In Korean Won)		(52	)		847			(49	)		854

The accompanying notes are part of this interim financial statement.

• 5 -

WOORI FINANCIAL GROUP INC.

SEPARATE INTERIM STATEMENTS OF CHANGES IN EQUITY

FOR THE SIX-MONTH PERIODS ENDED JUNE 30, 2021 AND 2020 (UNAUDITED)

	Capital<br>stock		Hybrid<br>securities		Capital<br>surplus			Other<br>equity			Retained<br>earnings			Total<br>equity
	(Korean Won in millions)
January 01, 2020		3,611,338		997,544		14,874,084			(631	)		623,930			20,106,265
Total comprehensive income
Net income		—		—		—			—			637,072			637,072
Net gain on valuation of equity securities at FVTOCI		—		—		—			192			—			192
Remeasurement loss related to defined benefit plan		—		—		—			(961	)		—			(961	)
Transactions with owners
Dividends to common stocks		—		—		—			—			(505,587	)		(505,587	)
Issuance of hybrid securities		—		698,277		—			—			—			698,277
Dividends to hybrid securities		—		—		—			—			(20,365	)		(20,365	)
June 30, 2020 (Unaudited)		3,611,338		1,695,821		14,874,084			(1,400	)		735,050			20,914,893
January 01, 2021		3,611,338		1,895,322		14,874,084			(1,518	)		664,746			21,043,972
Total comprehensive income
Net income		—		—		—			—			643,344			643,344
Net loss on valuation of equity securities at FVTOCI		—		—		—			(336	)		—			(336	)
Remeasurement loss related to defined benefit plan		—		—		—			(470	)		—			(470	)
Transactions with owners
Dividends to common stocks		—		—		—			—			(260,016	)		(260,016	)
Issuance of hybrid securities		—		199,423		—			—			—			199,423
Dividends to hybrid securities		—		—		—			—			(31,550	)		(31,550	)
Transfer of capital surplus to retained earnings		—		—		(4,000,000	)		—			4,000,000			—
June 30, 2021 (Unaudited)		3,611,338		2,094,745		10,874,084			(2,324	)		5,016,524			21,594,367

The accompanying notes are part of this interim financial statement.

• 6 -

WOORI FINANCIAL GROUP INC.

SEPARATE INTERIM STATEMENTS OF CASH FLOWS

FOR THE SIX-MONTH PERIODS ENDED JUNE 30, 2021 AND 2020 (UNAUDITED)

	For the six-month periods ended June 30
	2021			2020
	(Korean Won in millions)
Cash flows from operating activities:
Net income		643,344			637,072
Adjustments to net income:
Income tax expense		81			1,058
Interest income		(1,585	)		(7,699	)
Interest expense		12,313			11,031
Dividend income		(690,025	)		(677,795	)
		(679,216	)		(673,405	)
Adjustments for profit/loss items not involving cash flows:
Provision(Reversal) of impairment losses due to credit loss		19			(9	)
Retirement benefit		1,136			2,204
Depreciation and amortization		2,890			2,513
		4,045			4,708
Changes in operating assets and liabilities:
Loans and other financial assets at amortized cost		730			(156	)
Other assets		(93	)		(15	)
Net defined benefit liability		2,628			554
Other financial liabilities		(3,547	)		(1,074	)
Other liabilities		108			(3,819	)
		(174	)		(4,510	)
Interest income received		1,167			10,002
Interest expense paid		(12,200	)		(10,973	)
Dividends received		690,025			677,795
Income tax paid		(397	)		—
		678,595			676,824
Net cash provided by operating activities		646,594			640,689
Cash flows from investing activities:
Net decrease on other investment assets		(50,000	)		430,000
Acquisition of investments in subsidiaries		(318,385	)		(1,000,000	)
Acquisition of financial assets at FVTOCI		—			(150,000	)
Acquisition of premises and equipment		(31	)		(2,626	)
Acquisition of intangible assets		(503	)		(2,857	)
Increase on guarantee deposits for leases		—			(709	)
		(368,919	)		(726,192	)
Cash flows from financing activities:
Issuance of hybrid securities		199,423			698,277
Redemption of lease liabilities		(1,443	)		(967	)
Dividends paid to hybrid securities		(31,550	)		(20,365	)
Dividends paid		(260,016	)		(505,587	)
		(93,586	)		171,358
Net increase in cash and cash equivalents		184,089			85,855
Cash and cash equivalents, beginning of the period		69,176			43,670
Cash and cash equivalents, end of the period (Note 5)		253,265			129,525

The accompanying notes are part of this interim financial statement.

• 7 -

WOORI FINANCIAL GROUP INC.

NOTES TO SEPARATE INTERIM FINANCIAL STATEMENTS

AS OF JUNE 30, 2021 AND 2020 (UNAUDITED)

1.	GENERAL
(1)	Summary of the parent company
---	---

Woori Financial Group, Inc. (hereinafter referred to the “Company”) is primarily aimed at controlling subsidiaries that operate in the financial industry or those that are closely related to the financial industry through the ownership of shares and was established on January 11, 2019 under the Financial Holding Company Act through the comprehensive transfer with shareholders of Woori Bank, Woori FIS Co., Ltd., Woori Finance Research Institute Co., Ltd., Woori Credit Information Co., Ltd., Woori Fund Services Co., Ltd. and Woori Private Equity Asset Management Co. Ltd. The headquarters of the Company is located at 51, Sogong-ro, Jung-gu, Seoul, Korea, and the capital is 3,611,338 million Won as of June 30, 2021 while the Korea Deposit Insurance Corp. (“KDIC”), the Company’s largest shareholder, owns 110,159,443 shares (15.25%) of the Company’s stocks issued. The Company’s stocks were listed on the Korea Exchange on February 13, 2019, and its American Depository Shares (“ADS”) are also being traded as the underlying common stock on the New York Stock Exchange since the same date.

The details of stock transfer from the Company and subsidiaries as of incorporation are as follows (Unit: Number of shares):

Stock transfer company	Total number of<br>issued shares		Exchange ratio<br>per share		Number of Parent<br>company’s stocks
Woori Bank		676,000,000		1.0000000		676,000,000
Woori FIS Co., Ltd.		4,900,000		0.2999708		1,469,857
Woori Finance Research Institute Co., Ltd.		600,000		0.1888165		113,289
Woori Credit Information Co., Ltd.		1,008,000		1.1037292		1,112,559
Woori Fund Service Co., Ltd.		2,000,000		0.4709031		941,806
Woori Private Equity Asset Management Co., Ltd.		6,000,000		0.0877992		526,795

As of August 1, 2019, the Company acquired a 73% interest in Woori Asset Management Co. (Formerly Tongyang Asset Management Corp.). The remaining payment was completed in August, 2019 after the request for the change of major shareholder was approved by the Financial Service Commission in July, 2019 and the Company gained 100% control of Woori Global Asset Management Co., Ltd. (formerly ABL Global Asset Management Co., Ltd), and added it as a consolidated subsidiary.

The Company paid 598,391 million Won in cash and 42,103,377 new shares of the parent company to acquire 100% interest of Woori Card Co., Ltd. from its subsidiary Woori Bank on September 10, 2019. On the same date, the Company also acquired 59.8% interest of Woori Investment Bank Co., Ltd. from Woori Bank with 392,795 million Won in cash.

As of December 30, 2019, the Company acquired 67.2% interests (excluding treasury stock, 51.0% when including treasury stock) in Woori Asset Trust Co. (formerly Kukje Asset Trust Co.)

As of December 10, 2020, the Company acquired 76.8% interests (excluding treasury stock, 74% when including treasury stock) in Woori Financial Capital Co., Ltd. (formerly Aju Capital Co., Ltd.). In addition, as of April 15, 2021, the company acquired 13.3% interests (excluding treasury stock, 12.9% when including treasury stock) in Woori Financial Capital Co., Ltd., and as of May 24, 2021, the company additionally acquired treasury stock (3.6%) which Woori Financial Capital Co., Ltd. possessed.

As of March 12, 2021, the Company paid 113,238 million Won in cash to acquire 100% interests on Woori Savings Bank from Woori Financial Capital Co., Ltd., our subsidiary.

• 8 -

2.	BASIS OF PREPARATION AND SIGNIFICANT ACCOUNTING POLICIES

The Company’s financial statements are condensed interim financial statements prepared in accordance with Korean IFRS 1034, Interim FinancialReporting for some of periods in which the annual separate financial statements belong. They are also separate financial statements prepared in accordance with Korean IFRS 1027 Separate Financial Statements. It is necessary to use the Company’s annual separate financial statements for the year ended December 31, 2020 for understanding of the accompanying condensed interim financial statements.

(1)	Except for the impacts on the newly adopted standards and interpretations explained below, the accounting<br>policies applied in preparing the accompanying condensed interim financial statements have been applied consistently with the annual financial statements as of and for the year ended December 31, 2020.
1)	Korean IFRS 1109 ‘Financial Instruments’, Korean IFRS 1039 ‘Financial Instruments:Recognition and Measurement’, Korean IFRS 1107 ‘Financial Instruments: Disclosures’, Korean IFRS 1104 ‘Insurance Contracts’ and Korean IFRS 1116 ‘Lease’; Interest Rate Benchmark<br>Reform-Phase 2
---	---

The amendment indicates that the effective interest rate shall be adjusted rather than the carrying amount when changing the interest rate benchmark for financial instruments measured at amortized cost. In addition, it allows hedge accounting to continue without interruption even when changes to interest rate benchmark occur in the hedging relationship. The amendment does not have a significant impact on the financial statements.

2)	Amendments to Korean IFRS 1116 Lease - COVID-19 related rent<br>concession continuously offered after June 30, 2021

As a practical expedient, a lessee may elect not to assess whether a rent concession occurring as a direct consequence of the COVID-19 pandemic is a lease modification. The scope of the practical expedient has been expanded to reduce lease fees that affect lease payments due on or before June 30, 2022. Lessee should consistently apply practical expedients to contracts with similar characteristics in similar circumstances. The amendment does not have a significant impact on the financial statements.

(2)	The details of Korean IFRSs that have been issued and published since January 1, 2021 but have not yet<br>reached the effective date are as follows:
1)	Amendments to Korean IFRS 1103 Business Combination – Definition of a Business The amendments<br>update a reference of definition of assets and liabilities qualify for recognition in revised Conceptual Framework for Financial Reporting. However, the amendments add an exception for the recognition of liabilities and contingent liabilities within<br>the scope of Korean IFRS 1037 Provisions, Contingent Liabilities and Contingent Assets, and Korean IFRS 2121 Levies. The amendments also confirm that contingent assets should not be recognized at the acquisition date. The amendments<br>should be applied for annual periods beginning on or after January 1, 2022, and earlier application is permitted. The Company does not expect that these amendments have a significant impact on the financial statements.
---	---
2)	Amendments to Korean IFRS 1016 Property, Plant and Equipment – Proceeds before intended use<br>
---	---

The amendments prohibit an entity from deducting from the cost of an item of property, plant and equipment any proceeds from selling items produced while the entity is preparing the asset for its intended use. Instead, the entity will recognize the proceeds from selling such items, and the costs of producing those items, in profit or loss. The amendments should be applied for annual periods beginning on or after January 1, 2022, and earlier application is permitted. The Company does not expect that these amendments have a significant impact on the financial statements.

• 9 -

3)	Amendments to Korean IFRS 1037 Provisions, Contingent Liabilities and Contingent Assets – Onerous<br>Contracts: Cost of Fulfilling a Contract

The amendments clarify that the direct costs of fulfilling a contract include both the incremental costs of fulfilling the contract and an allocation of other costs directly related to fulfilling contracts when assessing whether the contract is onerous. The amendments should be applied for annual periods beginning on or after January 1, 2022, and earlier application is permitted. The Company does not expect that these amendments have a significant impact on the financial statements.

4)	Annual Improvements to Korean IFRS 2018-2020

Annual improvements of Korean IFRS 2018-2020 Cycle should be applied for annual periods beginning on or after January 1, 2022, and earlier application is permitted. The Company does not expect that these amendments have a significant impact on the financial statements.

•	Korean IFRS 1101 First time Adoption of Korean International Financial Reporting Standards- Subsidiaries<br>that are first-time adopters
•	Korean IFRS 1109 Financial Instruments - Fees related to the 10% test for derecognition of financial<br>liabilities
---	---
•	Korean IFRS 1116 Leases- Lease incentives
---	---
•	Korean IFRS 1041 Agriculture - Measuring fair value
---	---
5)	Amendments to Korean IFRS 1001 Presentation of Financial Statements – Classification of Liabilities<br>as Current or Non-current
---	---

The amendments clarify that liabilities are classified as either current or non-current, depending on the substantive rights that exist at the end of the reporting period. Classification is unaffected by the likelihood that an entity will exercise right to defer settlement of the liability or the expectations of management. Also, the settlement of liability include the transfer of the entity’s own equity instruments, however, it would be excluded if an option to settle them by the entity’s own equity instruments if compound financial instruments is met the definition of equity instruments and recognized separately from the liability. The amendments should be applied for annual periods beginning on or after January 1, 2023, and earlier application is permitted. The Company does not expect that these amendments have a significant impact on the financial statements.

The above enacted or amended standards will not have a significant impact on the Company.

(3)	Significant accounting policies and method of computation used in the preparation of the condensed interim<br>financial statements are consistent with those of the annual financial statements for the year ended December 31, 2020, except for the one described below.
•	Income tax expense
---	---

Income tax expense for the interim period is recognized based on management’s best estimate of the weighted average annual income tax rate expected for the full financial year. The estimated average annual tax rate is applied to the pre-tax income.

• 10 -

3.	SIGNIFICANT ACCOUNTING ESTIMATES AND ASSUMPTIONS

The outbreak of COVID-19 has had a significant impact on the global economy including Korea. Financial and economic shocks may have negative impacts on the Company’s financial condition and results of operations in various forms both domestically and internationally. The Company will continue to evaluate future prospects related to the duration of COVID-19’s economic impact and the government’s policies.

The management shall make judgements, estimates and assumptions that affect the application of accounting policies and application of assets, liabilities and revenues and expenses in preparing condensed interim financial statements. Therefore, the actual results may differ from these estimates.

The important judgements by the management on accounting policies and the main sources of estimation uncertainty for preparing condensed interim financial statements are identical to ones used in the Company’s annual separate financial statements for the year ended December 31, 2020, except for the methods of estimation used to determine income tax expense.

• 11 -

4.	RISK MANAGEMENT

The Company is exposed to various risks that may arise from its operating activities and credit risk, market risk and liquidity risk are the main types of risks. In order to manage such risks, the Risk Management Committee analyzes, assesses, and establishes risk management standards, including policies, guidelines, management systems and decision-making to ensure sound management of the Company.

The Risk Management Committee, Chief Risk Officer (“CRO”) and the Risk Management Department are operated as risk management organizations. The board of directors operates the Risk Management Committee, composed of nonexecutive directors for professional risk management. The Risk Management Committee performs as the top decision-making body for risk management by establishing fundamental risk management policies that are consistent with the Company’s management strategy and by determining the Company’s acceptable level of risk.

CRO assists the Risk Management Committee and operates the Company Risk Management Council, which is composed of the risk management managers of the subsidiaries, to periodically check and improve the external environment and the Company’s risk burden. The Risk Management Department which is independently structured, controls the risk management matter of the Company and reports key risks and assists decision-making.

(1)	Credit risk

Credit risk represents the possibility of financial losses incurred when the counterparty fails to fulfill its contractual obligations. The goal of credit risk management is to maintain the Company’s credit risk exposure to a permissible degree and to optimize its rate of return considering such credit risk.

1) Credit risk management

The Company measures expected loss on assets subject to credit risk management and uses it as a management indicator.

2) Maximum exposure

The maximum exposure to credit risk is as follows (Unit: Korean Won in millions):

		June 30, 2021		December 31, 2020
Loans and other financial assets at amortized cost (*)	Banks		680,462		598,398
	Corporates		34,482		20,719
	Sub-total		714,944		619,117
Financial assets at FVTPL	Derivative assets		7,247		7,247
	Total		722,191		626,364

(*) Cash and cash equivalents are not included.

a) Credit risk exposure by geographical areas

The following tables analyze credit risk exposure by geographical areas (Unit: Korean Won in millions):

	June 30, 2021		December 31, 2020
	Korea		Korea
Loans and other financial assets at amortized cost		714,944		619,117
Financial assets at FVTPL		7,247		7,247
Total		722,191		626,364

• 12 -

b) Credit risk exposure by industries

The following tables analyze credit risk exposure by industries, which are finance and insurance, and others in accordance with the Korea Standard Industrial Classification Code as of June 30, 2021 and December 31, 2020 (Unit: Korean Won in millions):

	June 30, 2021
	Finance and<br>insurance		Others		Total
Loans and other financial assets at amortized cost		714,416		528		714,944
Financial assets at FVPTL		7,247		—		7,247
Total		721,663		528		722,191
	December 31, 2020
---	---	---	---	---	---	---
	Finance and<br>insurance		Others		Total
Loans and other financial assets at amortized cost		617,024		2,093		619,117
Financial assets at FVPTL		7,247		—		7,247
Total		624,271		2,093		626,364

3) Credit risk exposure

The maximum exposure to credit risk by asset quality, except for financial assets at FVTPL as of June 30, 2021 and December 31, 2020 is as follows (Unit: Korean Won in millions):

	June 30, 2021
	Stage 1				Stage 2				Stage 3		Total		Loss<br>allowance			Total, net
Financial assets	Above<br>appropriate<br>credit rating<br>(*1)		Less than a<br>limited<br>credit rating<br>(*3)		Above<br>appropriate<br>credit rating<br>(*2)		Less than a<br>limited<br>credit rating<br>(*3)
Loans and other financial assets at amortized cost		715,110		—		—		—		—		715,110		(166	)		714,944
Banks		680,628		—		—		—		—		680,628		(166	)		680,462
Corporates		34,482		—		—		—		—		34,482		—			34,482
General business		34,482		—		—		—		—		34,482		—			34,482
Total		715,110		—		—		—		—		715,110		(166	)		714,944
(*1)	Credit grade of corporates are AAA ~ BBB.
---	---
(*2)	Credit grade of corporates are A- ~ BBB.
---	---
(*3)	Credit grade of corporates are BBB- ~ C.
---	---
	December 31, 2020
---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---
	Stage 1				Stage 2				Stage 3		Total		Loss<br>allowance			Total, net
Financial assets	Above<br>appropriate<br>credit rating<br>(*1)		Less than a<br>limited<br>credit rating<br>(*3)		Above<br>appropriate<br>credit rating<br>(*2)		Less than a<br>limited<br>credit rating<br>(*3)
Loans and other financial assets at amortized cost		619,264		—		—		—		—		619,264		(147	)		619,117
Banks		598,545		—		—		—		—		598,545		(147	)		598,398
Corporates		20,719		—		—		—		—		20,719		—			20,719
General business		20,719		—		—		—		—		20,719		—			20,719
Total		619,264		—		—		—		—		619,264		(147	)		619,117
(*1)	Credit grade of corporates are AAA ~ BBB.
---	---
(*2)	Credit grade of corporates are A- ~ BBB.
---	---
(*3)	Credit grade of corporates are BBB- ~ C.
---	---

• 13 -

(2)	Market risk

Market risk is the possible risk of loss arising from trading position and non-trading position as a result of the volatility of market factors such as interest rates, stock prices and foreign exchange rates, and the Company’s main market risk is interest rate risk.

The Company estimates and manages risks related to changes in interest rate due to the difference in the maturities of interest-bearing assets and liabilities and discrepancies in the terms of interest rates. Cash flows (both principal and interest), interest bearing assets and liabilities, presented by each re-pricing date, are as follows (Unit: Korean Won in millions):

	June 30, 2021
	Within 3<br>months (*1)		4 to 6<br>months		7 to 9<br>months		10 to 12<br>months		1 to 5<br>years		Over 5<br>years		Total
Asset:
Loans and other financial assets at amortized cost (*1)		554,435		150,450		—		—		—		—		704,885
Financial assets at FVTOCI (*2)		—		—		—		—		—		149,151		149,151
Sub-total		554,435		150,450		—		—		—		149,151		854,036
Liability:
Debentures		6,100		6,100		6,100		6,100		290,848		1,016,944		1,332,192
	December 31, 2020
	Within 3<br>months (*1)		4 to 6<br>months		7 to 9<br>months		10 to 12<br>months		1 to 5<br>years		Over 5<br>years		Total
Asset:
Loans and other financial assets at amortized cost (*1)		469,756		—		—		—		—		—		469,756
Financial assets at FVTOCI (*2)		—		—		—		—		—		149,614		149,614
Sub-total		469,756		—		—		—		—		149,614		619,370
Liability:
Debentures		6,100		6,100		6,100		6,100		292,074		1,027,917		1,344,391
(*1)	The principal and interest cash flows of cash and cash equivalents are included in the cash flows within three<br>months, with 253,535 million Won and 69,206 million Won as of June 30, 2021 and December 31, 2020, respectively.
---	---
(*2)	Due to the uncertain timing of the sale, it is included in the section for over 5 years in accordance with the<br>expiration of the remaining contract
---	---
(3)	Liquidity risk
---	---

Liquidity risk refers to the risk that the Company may encounter difficulties in meeting obligations from its financial liabilities.

1)	Liquidity risk management

Liquidity risk management is to prevent damages from potential liquidity shortages with effective risk management that could arise from mismatching the assets and liabilities or unexpected cash outflows. The financial liabilities in the statement of financial position that are relevant to liquidity risk are incorporated within the scope of risk management.

The Company manages liquidity risk by identifying the maturity gap and such gap ratio through various cash flows analysis (i.e. based on remaining maturity and contract period, etc.).

• 14 -

2)	Maturity analysis of non-derivative financial liabilities<br>
a)	Cash flows of principals and interests by remaining contractual maturities of<br>non-derivative financial liabilities are as follows (Unit: Korean Won in millions):
---	---
	June 30, 2021
---	---	---	---	---	---	---	---	---	---	---	---	---	---	---
	Within 3<br>months		4 to 6<br>months		7 to 9<br>months		10 to 12<br>months		1 to 5<br>years		Over<br>5 years		Total
Debentures		6,100		6,100		6,100		6,100		290,848		1,016,944		1,332,192
Lease liabilities		703		710		689		679		1,589		—		4,370
Other financial liabilities		5,400		635		—		19,952		4,420		—		30,407
Total		12,203		7,445		6,789		26,731		296,857		1,016,944		1,366,969
	December 31, 2020
---	---	---	---	---	---	---	---	---	---	---	---	---	---	---
	Within 3<br>months		4 to 6<br>months		7 to 9<br>months		10 to 12<br>months		1 to 5<br>years		Over<br>5 years		Total
Debentures		6,100		6,100		6,100		6,100		292,074		1,027,917		1,344,391
Lease liabilities		722		705		705		704		2,768		—		5,604
Other financial liabilities		10,247		3,304		—		391		2,604		—		16,546
Total		17,069		10,109		6,805		7,195		297,446		1,027,917		1,366,541
b)	Cash flows of principals and interests by expected maturities of<br>non-derivative financial liabilities are as follows (Unit: Korean Won in millions):
---	---
	June 30, 2021
---	---	---	---	---	---	---	---	---	---	---	---	---	---	---
	Within 3<br>months		4 to 6<br>months		7 to 9<br>months		10 to 12<br>months		1 to 5<br>years		Over 5<br>years		Total
Debentures		6,100		6,100		6,100		6,100		290,848		1,016,944		1,332,192
Lease liabilities		703		710		689		679		1,589		—		4,370
Other financial liabilities		5,400		635		—		19,952		4,420		—		30,407
Total		12,203		7,445		6,789		26,731		296,857		1,016,944		1,366,969
	December 31, 2020
---	---	---	---	---	---	---	---	---	---	---	---	---	---	---
	Within 3<br>months		4 to 6<br>months		7 to 9<br>months		10 to 12<br>months		1 to 5<br>years		Over 5<br>years		Total
Debentures		6,100		6,100		6,100		6,100		292,074		1,027,917		1,344,391
Lease liabilities		722		705		705		704		2,768		—		5,604
Other financial liabilities		10,247		3,304		—		391		2,604		—		16,546
Total		17,069		10,109		6,805		7,195		297,446		1,027,917		1,366,541

• 15 -

5.	STATEMENTS OF CASH FLOWS
(1)	Details of cash and cash equivalents are as follows (Unit: Korean Won in millions):
---	---
	June 30, 2021		December 31, 2020
---	---	---	---	---
Demand deposits		23,265		19,176
Fixed deposits		230,000		50,000
Total		253,265		69,176
(2)	Significant transactions of investing activities and financing activities not involving cash inflows and<br>outflows are as follows (Unit: Korean Won in millions):
---	---
	For the six-month periods ended June 30
---	---	---	---	---	---
	2021			2020
Changes in other comprehensive income related to valuation of financial assets at FVTOCI		(336	)		192
Increase in account payables related to acquisition of premises and equipment		—			8
Increase in account payables related to acquisition of intangible assets		—			10
Changes in<br>right-of-use assets due to new contract		267			1,311
Changes in lease liabilities due to new contract		267			1,197
6.	FINANCIAL ASSETS AT FVTPL
---	---
(1)	Details of financial assets at FVTPL as of June 30, 2021 and December 31, 2020 are as follows (Unit:<br>Korean Won in millions):
---	---
	June 30, 2021		December 31, 2020
---	---	---	---	---
Financial assets at fair value through profit or loss mandatorily measured at fair value		7,247		7,247
(2)	Financial assets at fair value through profit or loss mandatorily measured at fair value are as follows (Unit:<br>Korean Won in millions):
---	---
	June 30, 2021		December 31, 2020
---	---	---	---	---
Derivatives assets		7,247		7,247
(3)	Financial assets at FVTPL designated as upon initial recognition is nil among financial assets at FVTPL as of<br>June 30, 2021 and December 31, 2020.
---	---

• 16 -

7.	FINANCIAL ASSETS AT FVTOCI
(1)	Details of financial assets at FVTOCI as of June 30, 2021 and December 31, 2020 are as follows (Unit:<br>Korean Won in millions):
---	---
	June 30, 2021		December 31, 2020
---	---	---	---	---
Hybrid securities		149,151		149,614
(2)	Details of equity securities designated as financial assets at FVTOCI as of June 30, 2021 and<br>December 31, 2020 are as follows (Unit: Korean Won in millions):
---	---
Purpose of acquisition	June 30, 2021		December 31, 2020
---	---	---	---	---
Investment for political purpose		149,151		149,614
8.	LOANS AND OTHER FINANCIAL ASSETS AT AMORTIZED COST
---	---
(1)	Details of loans and other financial assets at amortized cost as of June 30, 2021 and December 31,<br>2020 are as follows (Unit: Korean Won in millions):
---	---
	June 30, 2021		December 31, 2020
---	---	---	---	---
Due from banks		449,834		399,853
Other financial assets		265,110		219,264
Total		714,944		619,117
(2)	Details of due from banks are as follows (Unit: Korean Won in millions):
---	---
	June 30, 2021			December 31, 2020
---	---	---	---	---	---	---
Due from banks in local currency:
Due from depository banks		450,000			400,000
Loss allowance		(166	)		(147	)
Total		449,834			399,853
(3)	Changes in the allowance for credit losses and gross carrying amount of due from banks are as follows (Unit:<br>Korean Won in millions):
---	---
1)	Allowance for credit losses
---	---
	For the six-month period ended June 30, 2021
---	---	---	---	---	---	---	---	---	---	---
	Stage 1			Stage 2		Stage 3		Total
Beginning balance		(147	)		—		—		(147	)
Provision of allowance for credit loss		(19	)		—		—		(19	)
Ending balance		(166	)		—		—		(166	)
	For the six-month period ended June 30, 2020
---	---	---	---	---	---	---	---	---	---	---
	Stage 1			Stage 2		Stage 3		Total
Beginning balance		(262	)		—		—		(262	)
Reversal of allowance for credit loss		8			—		—		8
Ending balance		(254	)		—		—		(254	)

• 17 -

2)	Gross carrying amount
	For the six-month period ended June 30, 2021
---	---	---	---	---	---	---	---	---
	Stage 1		Stage 2		Stage 3		Total
Beginning balance		400,000		—		—		400,000
Net increase(decrease)		50,000		—		—		50,000
Ending balance		450,000		—		—		450,000
	For the six-month period ended June 30, 2020
---	---	---	---	---	---	---	---	---	---	---
	Stage 1			Stage 2		Stage 3		Total
Beginning balance		1,130,000			—		—		1,130,000
Net increase(decrease)		(430,000	)		—		—		(430,000	)
Ending balance		700,000			—		—		700,000
(4)	Details of other financial assets are as follows (Unit: Korean Won in millions):
---	---
	June 30, 2021		December 31, 2020
---	---	---	---	---
Receivables		261,650		215,819
Accrued income		1,423		1,419
Lease deposits		2,037		2,026
Allowance for credit losses		—		—
Total		265,110		219,264
(5)	Changes in the allowances for credit losses and gross carrying amount of other financial assets are as follows<br>(Unit: Korean Won in millions).
---	---
1)	Allowance for credit losses
---	---
	For the six-month period ended June 30, 2021
---	---	---	---	---	---	---	---	---
	Stage 1		Stage 2		Stage 3		Total
Beginning balance		—		—		—		—
Provision of allowance for credit loss		—		—		—		—
Ending balance		—		—		—		—
	For the six-month period ended June 30, 2020
---	---	---	---	---	---	---	---	---	---	---
	Stage 1			Stage 2		Stage 3		Total
Beginning balance		(1	)		—		—		(1	)
Reversal of allowance for credit loss		1			—		—		1
Ending balance		—			—		—		—
2)	Gross carrying amount
---	---
	For the six-month period ended June 30, 2021
---	---	---	---	---	---	---	---	---
	Stage 1		Stage 2		Stage 3		Total
Beginning balance		219,264		—		—		219,264
Net increase(decrease)		45,846		—		—		45,846
Ending balance		265,110		—		—		265,110
	For the six-month period ended June 30, 2020
---	---	---	---	---	---	---	---	---	---	---
	Stage 1			Stage 2		Stage 3		Total
Beginning balance		139,466			—		—		139,466
Net increase(decrease)		(77,417	)		—		—		(77,417	)
Ending balance		62,049			—		—		62,049

• 18 -

9.	FAIR VALUE OF FINANCIAL ASSETS AND LIABILITIES
(1)	The fair value hierarchy
---	---

The fair value hierarchy is determined by the levels of judgment involved in estimating fair values of financial assets and liabilities. The specific financial instruments characteristics and market condition such as volume of transactions and transparency are reflected to the market observable inputs. The fair value hierarchy gives the highest priority to quoted prices (unadjusted) in active markets for identical assets or liabilities. The Company maximizes the use of observable inputs and minimizes the use of unobservable inputs when measuring fair value of its financial assets and financial liabilities. Fair value is measured based on the perspective of a market participant. As such, even when market assumptions are not readily available, the Company’s own assumptions reflect those that market participants would use for measuring the assets or liabilities at the measurement date.

The fair value measurement is described in the one of the following three levels used to classify fair value measurements:

•	Level 1—fair value measurements are those derived from quoted prices (unadjusted) in active markets for<br>identical assets or liabilities. The types of financial assets or liabilities generally included in Level 1 are publicly traded equity securities, derivatives, and debt securities issued by governmental bodies.
•	Level 2— fair value measurements are those derived from inputs other than quoted prices included within<br>Level 1 that are observable for the asset or liability, either directly (i.e. prices) or indirectly (i.e. derived from prices). The types of financial assets or liabilities generally included in Level 2 are debt securities not traded in<br>active markets and derivatives traded in OTC but not required significant judgment.
---	---
•	Level 3— fair value measurements are those derived from valuation technique that include inputs for the<br>assets or liabilities that are not based on observable market data (unobservable inputs). The types of financial assets or liabilities generally included in Level 3 are non-public securities and<br>derivatives and debt securities of which valuation techniques require significant judgments and subjectivity.
---	---

The inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, the level within the fair value hierarchy is based on the lowest level of input that is significant to the fair value measurement. The Company’s assessment of the significance of a particular input to a fair value measurement in its entirety requires judgment and consideration of inherent factors of the asset or liability.

(2)	Fair value hierarchy of financial assets and liabilities measured at fair value are as follows (Unit: Korean<br>Won in millions):
	June 30, 2021
---	---	---	---	---	---	---	---	---
	Level 1		Level 2		Level 3		Total
Financial assets:
Financial assets at FVTPL
Derivative assets		—		—		7,247		7,247
Financial assets at FVTOCI
Hybrid securities		—		—		149,151		149,151
	December 31, 2020
---	---	---	---	---	---	---	---	---
	Level 1		Level 2		Level 3		Total
Financial assets:
Financial assets at FVTPL
Derivative assets		—		—		7,247		7,247
Financial assets at FVTOCI
Hybrid securities		—		—		149,614		149,614

• 19 -

Financial assets measured at FVTPL and financial assets measured at FVTOCI are recognized at fair value. Fair value is the amount that would be received to sell an asset, or paid to transfer a liability, in an orderly transaction between market participants at the measurement date.

Financial instruments are measured at fair value using a quoted market price in active markets. If there is no active market for a financial instrument, the Company determines the fair value using valuation methods. Valuation methods and input variables for each type of financial instruments as of June 30, 2021 and December 31, 2020 are as follows:

	Valuation methods	Input variables
Derivatives	The fair value is measured considering the price and volatility of the underlying assets using the Binomial Tree, a commonly used technique in the market	Values of underlying assets, Volatility, Risk-free market return, Corporate bond yield rate
Hybrid securities	The fair value is measured using the Hull and White model and the Monte Carlo Simulations.	YTM Matrix, Additive spread by grade, Risk spread by entity, Effective Credit rating, Issuing information by item, Interest rate volatility estimate

Valuation methods of financial assets and liabilities measured at fair value and classified into Level 3 and significant but unobservable inputs are as follows:

	Fair value<br><br><br>measurement<br> <br>technique	Type	Significant<br>unobservable<br>inputs	Range	Impact of changes in significant<br>unobservable inputs on fair value<br>measurement
Derivative assets	Option valuation model and others	Equity related	Value of underlying assets and volatility	22.49% ~ 27.49%	Variation of fair value increases as value of underlying assets and volatility increases.
Hybrid securities	Hull and White model and others	Hybrid securities related	Interest rate (YTM), Market rate	Interest rate<br><br><br>0.55 %~ 2.21%<br> <br>Market rate<br><br><br>1.13% ~ 4.84%	Variation of fair value increases as variation of interest rate (YTM) increases.

The fair value of financial assets classified as level 3 uses external valuation figures.

(3)	Changes in financial assets and liabilities measured at fair value classified into Level 3 are as follows<br>(Unit: Korean Won in millions):
	For the six-month period ended June 30, 2021
---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---
	Beginning<br>balance		Net<br>Income<br>(loss)		Other<br>comprehensive<br>income			Purchases/<br>issuances		Disposals/<br>settlements		Transfer to<br>or out of<br>Level 3		Ending<br>balance
Financial assets:
Financial assets at FVTPL
Derivative assets		7,247		—		—			—		—		—		7,247
Financial assets at FVTOCI
Hybrid securities		149,614		—		(463	)		—		—		—		149,151
	For the six-month period ended June 30, 2020
---	---	---	---	---	---	---	---	---	---	---	---	---	---	---
	Beginning<br>balance		Net<br>Income<br>(loss)		Other<br>comprehensive<br>income		Purchases/<br>issuances		Disposals/<br>settlements		Transfer to<br>or out of<br>Level 3		Ending<br>balance
Financial assets:
Financial assets at FVTPL
Derivative assets		9,434		—		—		—		—		—		9,434
Financial assets at FVTOCI
Financial assets:
Hybrid securities		—		—		265		150,000		—		—		150,265

• 20 -

(4)	Sensitivity analysis results on reasonable fluctuation of the significant unobservable input variables for the<br>fair value of Level 3 financial instruments are as follows.

The sensitivity analysis on financial instruments shows how changes in unobservable inputs affect changes in fair value of the instruments through favorable and unfavorable changes. When the fair value of a financial instrument is affected by more than one unobservable assumption, the below table reflects the most favorable or the most unfavorable changes which resulted from varying the assumptions individually. The sensitivity analysis was performed for equity related derivatives of which fair value changes are recognized as net income and hybrid securities of which fair value changes are recognized as other comprehensive income among level 3 financial instruments.

The following table presents the sensitivity analysis to disclose the effect of reasonably possible volatility on the fair value of a Level 3 financial instruments (Unit: Korean Won in millions):

	June 30, 2021
	Net income (loss)					Other comprehensive income (loss)
	Favorable		Unfavorable			Favorable		Unfavorable
Financial assets:
Financial assets at FVTPL
Derivative assets (*1)		724		(724	)		—		—
Financial assets at FVTOCI
Hybrid securities (*2)		—		—			5,908		(5,684	)
(*1)	Fair value changes of equity related derivatives are calculated by increasing or decreasing stock price<br>volatility rate of underlying assets and correlation, which are major unobservable variables, by 10%, respectively.
---	---
(*2)	Fair value changes of hybrid securities are calculated by increasing or decreasing market rate, which is the<br>major unobservable variable, by 1%, respectively.
---	---
	December 31, 2020
---	---	---	---	---	---	---	---	---	---	---
	Net income (loss)					Other comprehensive income (loss)
	Favorable		Unfavorable			Favorable		Unfavorable
Financial assets:
Financial assets at FVTPL
Derivative assets (*1)		724		(724	)		—		—
Financial assets at FVTOCI
Hybrid securities (*2)		—		—			6,647		(6,365	)
(*1)	Fair value changes of equity related derivatives are calculated by increasing or decreasing stock price<br>volatility rate of underlying assets and correlation, which are major unobservable variables, by 10%, respectively.
---	---
(*2)	Fair value changes of hybrid securities are calculated by increasing or decreasing market rate, which is the<br>major unobservable variable, by 1%, respectively.
---	---

• 21 -

(5)	Fair value and carrying amount of financial liabilities that are recorded at amortized cost are as follows<br>(Unit: Korean Won in millions):
	June 30, 2021
---	---	---	---	---	---	---	---	---	---	---
	Fair value								Carrying amount
	Level 1		Level 2		Level 3		Total
Financial assets:
Loans and other financial assets at amortized cost (*)		—		—		714,944		714,944		714,944
Financial liabilities:
Debentures		—		1,158,298		—		1,158,298		1,147,688
Other financial liabilities (*)		—		—		30,407		30,407		30,407
(*)	The carrying amount is disclosed at fair value considering the carrying amount as an approximation of fair<br>value.
---	---
	December 31, 2020
---	---	---	---	---	---	---	---	---	---	---
	Fair value								Carrying amount
	Level 1		Level 2		Level 3		Total
Financial assets:
Loans and other financial assets at amortized cost (*)		—		—		619,117		619,117		619,117
Financial liabilities:
Debentures		—		1,186,034		—		1,186,034		1,147,503
Other financial liabilities (*)		—		—		16,546		16,546		16,546
(*)	The carrying amount is disclosed at fair value considering the carrying amount as an approximation of fair<br>value.
---	---

The fair values of financial instruments are measured using quoted market price in active markets. In case there is no active market for financial instruments, the Company determines the fair value using valuation methods. For the disclosed items in which book value is considered to be the approximate value of fair value, valuation techniques and input variables are not disclosed. Valuation techniques and input variables for the fair value of financial liabilities that are recorded at amortized cost are as follows:

	Valuation methods	Input variables
Debentures	The fair value is measured by discounting the projected cash flows of debt products by applying the market discount rate that is reflecting credit rating of the Company.	Risk-free market rate, etc.

• 22 -

(6)	Financial instruments by category

Carrying amounts of financial assets and liabilities by each category are as follows (Unit: Korean Won in millions):

	June 30, 2021
Financial assets	Financial      <br>assets at<br>FVTPL		Financial<br>assets at<br>FVTOCI		Financial<br>assets at<br>amortized<br>cost		Total
Deposits		—		—		449,834		449,834
Hybrid securities		—		149,151		—		149,151
Derivative assets		7,247		—		—		7,247
Other financial assets		—		—		265,110		265,110
Total		7,247		149,151		714,944		871,342
	December 31, 2020
---	---	---	---	---	---	---	---	---
Financial assets	Financial      <br>assets at<br>FVTPL		Financial<br>assets at<br>FVTOCI		Financial<br>assets at<br>amortized<br>cost		Total
Deposits		—		—		399,853		399,853
Hybrid securities		—		149,614		—		149,614
Derivative assets		7,247		—		—		7,247
Other financial assets		—		—		219,264		219,264
Total		7,247		149,614		619,117		775,978
	June 30, 2021		December 31, 2020
---	---	---	---	---
Financial liabilities	Financial<br>liabilities at<br>amortized cost		Financial<br>liabilities at<br>amortized cost
Debentures		1,147,688		1,147,503
Other financial liabilities		30,407		16,546
Total		1,178,095		1,164,049

• 23 -

(7)	Income or expense from financial instruments by category

Income or expense from financial assets and liabilities by each category for the six-month periods ended June 30, 2021 and 2020 are as follows (Unit: Korean Won in millions):

	For the six-month period ended June 30, 2021
	Interest<br>Income (expense)			Reversal<br>(Provision) of credit<br>loss			Others		Total
Financial assets at FVTOCI		—			—			2,580		2,580
Loans and other financial assets at amortized cost (*)		1,585			(19	)		—		1,566
Financial liabilities at amortized cost		(12,282	)		—			—		(12,282	)
Total		(10,697	)		(19	)		2,580		(8,136	)
(*)	388 million Won interest income of cash and cash equivalents are included.
---	---
	For the six-month period ended June 30, 2020
---	---	---	---	---	---	---	---	---	---	---
	Interest<br>Income (expense)			Reversal<br>(Provision) of credit<br>loss		Others		Total
Loans and other financial assets at amortized cost (*)		7,699			9		—		7,708
Financial liabilities at amortized cost		(11,007	)		—		—		(11,007	)
Total		(3,308	)		9		—		(3,299	)
(*)	2,692 million Won interest income of cash equivalents is included.
---	---

• 24 -

10.	INVESTMENTS IN SUBSIDIARIES
(1)	Details of Investments in subsidiaries are as follows (Unit: Korean Won in millions and number of shares):<br>
---	---
Subsidiaries	Location		Capital<br>stock		Main business
---	---	---	---	---	---
Woori Bank		Korea		3,581,400	Finance
Woori Card Co., Ltd.		Korea		896,300	Finance
Woori Financial Capital Co., Ltd.		Korea		287,700	Finance
Woori Investment Bank Co., Ltd.		Korea		437,100	Other credit finance
Woori Asset Trust Co., Ltd		Korea		15,300	Finance
Woori Asset Management Corp.		Korea		20,000	Finance
Woori Savings Bank		Korea		124,000	Savings bank business
Woori Credit Information Co., Ltd.		Korea		5,000	Credit information
Woori Fund Service Co., Ltd.		Korea		10,000	Finance
Woori Private Equity Asset Management Co., Ltd.		Korea		30,000	Finance
Woori Global Asset Management Co., Ltd.		Korea		20,000	Finance
Woori FIS Co., Ltd.		Korea		24,500	System software development &<br>maintenance
Woori Finance Research Institute Co., Ltd.		Korea		3,000	Other service business
	June 30, 2021					December 31, 2020
---	---	---	---	---	---	---	---	---	---	---
Subsidiaries (*1)	Number of<br>shares		Percentage of<br>ownership<br>(%) (*2)		Financial<br>statements<br>date of use	Number of<br>shares		Percentage of<br>ownership<br>(%) (*2)		Financial<br>statements<br>date of use
Woori Bank		716,000,000		100.0	June 30,<br>2021		716,000,000		100.0	December<br>31, 2020
Woori Card Co., Ltd.		179,266,200		100.0	June 30,<br>2021		179,266,200		100.0	December<br>31, 2020
Woori Financial Capital Co., Ltd.		52,064,059		90.5	June 30,<br>2021		42,605,000		76.8	December<br>31, 2020
Woori Investment Bank Co., Ltd.		513,162,392		58.7	June 30,<br>2021		513,162,392		58.7	December<br>31, 2020
Woori Asset Trust Co., Ltd		1,560,000		67.2	June 30,<br>2021		1,560,000		67.2	December<br>31, 2020
Woori Asset Management Corp.		2,920,000		73.0	June 30,<br>2021		2,920,000		73.0	December<br>31, 2020
Woori Savings Bank		24,802,623		100.0	June 30,<br>2021		—		—	—
Woori Credit Information Co., Ltd.		1,008,000		100.0	June 30,<br>2021		1,008,000		100.0	December<br>31, 2020
Woori Fund Service Co., Ltd.		2,000,000		100.0	June 30,<br>2021		2,000,000		100.0	December<br>31, 2020
Woori Private Equity Asset Management Co., Ltd.		6,000,000		100.0	June 30,<br>2021		6,000,000		100.0	December<br>31, 2020
Woori Global Asset Management Co., Ltd.		4,000,000		100.0	June 30,<br>2021		4,000,000		100.0	December<br>31, 2020
Woori FIS Co., Ltd.		4,900,000		100.0	June 30,<br>2021		4,900,000		100.0	December<br>31, 2020
Woori Finance Research Institute Co., Ltd.		600,000		100.0	June 30,<br>2021		600,000		100.0	December<br>31, 2020
(*1)	Only subsidiaries invested directly by the Company are included.
---	---
(*2)	The percentage is based on the effective shareholding rate relative to the number of stocks outstanding.<br>
---	---

• 25 -

(2)	Changes in the carrying value of investments in subsidiaries are as follows (Unit: Korean Won in millions):<br>
	For the six-month period ended June 30, 2021
---	---	---	---	---	---	---	---	---
	Beginning<br>balance		Acquisition		Disposal		Ending<br>balance
Woori Bank		18,921,151		—		—		18,921,151
Woori Card Co., Ltd.		1,118,367		—				1,118,367
Woori Financial Capital Co., Ltd. (*1)		633,758		105,147		—		738,905
Woori Investment Bank Co., Ltd.		447,673		—		—		447,673
Woori Asset Trust Co., Ltd		224,198		—		—		224,198
Woori Asset Management Corp.		122,449		—		—		122,449
Woori Savings Bank (*2)		—		213,238		—		213,238
Woori Credit Information Co., Ltd.		16,466		—		—		16,466
Woori Fund Service Co., Ltd.		13,939		—		—		13,939
Woori Private Equity Asset Management Co., Ltd.		7,797		—		—		7,797
Woori Global Asset Management Co., Ltd.		33,000		—		—		33,000
Woori FIS Co., Ltd.		21,754		—		—		21,754
Woori Finance Research Institute Co., Ltd.		1,677		—		—		1,677
Total		21,562,229		318,385		—		21,880,614
(*1)	After the Company acquiring 76.8% interests of Aju Capital Co., Ltd. in December 2020, Aju Capital Co. changed<br>its name to Woori Financial Capital Co., Ltd. The Company acquired an additional 13.7% interests during the current period.
---	---
(*2)	The Company acquired 100% interests of Woori Savings Bank from its subsidiary, Woori Financial Capital Co.,<br>Ltd. in March 2021, and the capital increase of 100,000 million Won was made in May 2021.
---	---
	For the six-month period ended June 30, 2020
---	---	---	---	---	---	---	---	---
	Beginning<br>balance		Acquisition		Disposal		Ending<br>balance
Woori Bank (*)		17,921,151		1,000,000		—		18,921,151
Woori Card Co., Ltd.		1,118,367		—		—		1,118,367
Woori Investment Bank Co., Ltd.		392,795		—		—		392,795
Woori Asset Trust Co., Ltd		224,198		—		—		224,198
Woori Asset Management Corp.		122,449		—		—		122,449
Woori Credit Information Co., Ltd.		16,466		—		—		16,466
Woori Fund Service Co., Ltd.		13,939		—		—		13,939
Woori Private Equity Asset Management Co., Ltd.		7,797		—		—		7,797
Woori Global Asset Management Co., Ltd.		33,000		—		—		33,000
Woori FIS Co., Ltd.		21,754		—		—		21,754
Woori Finance Research Institute Co., Ltd.		1,677		—		—		1,677
Total		19,873,593		1,000,000		—		20,873,593
(*)	Capital increase of 1,000,000 million Won was made in June 2020.
---	---

• 26 -

11.	PREMISES AND EQUIPMENT
(1)	Details of premises and equipment as of June 30, 2021 and December 31, 2020 are as follows (Unit:<br>Korean Won in millions):
---	---
	June 30, 2021
---	---	---	---	---	---	---	---	---
	Building		Equipment and<br>Vehicles		Leasehold<br>improvements		Total
Premises and equipment(owned)		—		3,227		2,830		6,057
Right-of-use<br>asset		3,408		603		—		4,011
Total		3,408		3,830		2,830		10,068
	December 31, 2020
---	---	---	---	---	---	---	---	---
	Building		Equipment and<br>Vehicles		Leasehold<br>improvements		Total
Premises and equipment(owned)		—		3,779		3,233		7,012
Right-of-use<br>asset		4,936		590		—		5,526
Total		4,936		4,369		3,233		12,538
(2)	Details of premises and equipment(owned) as of June 30, 2021 and December 31, 2020 are as follows<br>(Unit: Korean Won in millions):
---	---
	June 30, 2021
---	---	---	---	---	---	---	---	---	---
	Equipment and Vehicles			Leasehold improvements			Total
Acquisition cost		5,577			4,309			9,886
Accumulated depreciation		(2,350	)		(1,479	)		(3,829	)
Net carrying amount		3,227			2,830			6,057
	December 31, 2020
---	---	---	---	---	---	---	---	---	---
	Equipment and Vehicles			Leasehold improvements			Total
Acquisition cost		5,572			4,283			9,855
Accumulated depreciation		(1,793	)		(1,050	)		(2,843	)
Net carrying amount		3,779			3,233			7,012
(3)	Details of changes in premises and equipment(owned) are as follows (Unit: Korean Won in millions):<br>
---	---
	For the six-month period ended June 30, 2021
---	---	---	---	---	---	---	---	---	---
	Equipment and Vehicles			Leasehold improvements			Total
Beginning balance		3,779			3,233			7,012
Acquisitions		5			26			31
Depreciation		(557	)		(429	)		(986	)
Ending balance		3,227			2,830			6,057
	For the six-month period ended June 30, 2020
---	---	---	---	---	---	---	---	---	---	---	---
	Equipment and Vehicles			Leasehold improvements			Construction in progress		Total
Beginning balance		3,767			1,797			—		5,564
Acquisition		845			1,782			7		2,634
Depreciation		(479	)		(255	)		—		(734	)
Ending balance		4,133			3,324			7		7,464

• 27 -

(4)	Details of right-of-use assets<br>as of June 30, 2021 and December 31, 2020 are as follows (Unit: Korean Won in millions):
	June 30, 2021
---	---	---	---	---	---	---	---	---	---
	Building			Equipment and Vehicles			Total
Acquisition cost		4,544			1,154			5,698
Accumulated depreciation		(1,136	)		(551	)		(1,687	)
Net carrying amount		3,408			603			4,011
	December 31, 2020
---	---	---	---	---	---	---	---	---	---
	Building			Equipment and Vehicles			Total
Acquisition cost		8,703			1,085			9,788
Accumulated depreciation		(3,767	)		(495	)		(4,262	)
Net carrying amount		4,936			590			5,526
(5)	Details of changes in<br>right-of-use assets for the six-month periods ended June 30, 2021 and 2020 are as follows (Unit: Korean Won in millions):<br>
---	---
	For the six-month period ended June 30, 2021
---	---	---	---	---	---	---	---	---	---
	Building			Equipment and Vehicles			Total
Beginning balance		4,936			590			5,526
New contracts		—			267			267
Termination		—			(60	)		(60	)
Depreciation		(1,136	)		(194	)		(1,330	)
Others		(392	)		—			(392	)
Ending balance		3,408			603			4,011
	For the six-month period ended June 30, 2020
---	---	---	---	---	---	---	---	---	---
	Building			Equipment and Vehicles			Total
Beginning balance		1,436			384			1,820
New contracts		833			478			1,311
Depreciation		(1,060	)		(151	)		(1,211	)
Ending balance		1,209			711			1,920
12.	INTANGIBLE ASSETS
---	---
(1)	Details of intangible assets are as follows (Unit: Korean Won in millions):
---	---
	June 30, 2021
---	---	---	---	---	---	---	---	---	---	---	---	---	---
	Software			Development<br>cost			Membership<br>deposit		Construction in progress		Total
Acquisition cost		3,363			2,231			2,371		237		8,202
Accumulated amortization		(2,184	)		(807	)		—		—		(2,991	)
Net carrying amount		1,179			1,424			2,371		237		5,211
	December 31, 2020
---	---	---	---	---	---	---	---	---	---	---	---
	Software			Development<br>cost			Membership<br>deposit		Total
Acquisition cost		3,097			2,231			2,371		7,699
Accumulated amortization		(1,832	)		(585	)		—		(2,417	)
Net carrying amount		1,265			1,646			2,371		5,282

• 28 -

(2)	Details of changes in intangible assets are as follows (Unit: Korean Won in millions):
	For the six-month period ended June 30, 2021
---	---	---	---	---	---	---	---	---	---	---	---	---	---
	Software			Development cost			Membership<br>deposit		Construction<br>in progress		Total
Beginning balance		1,265			1,646			2,371		—		5,282
Acquisitions		266			—			—		237		503
Amortization		(352	)		(222	)		—		—		(574	)
Ending balance		1,179			1,424			2,371		237		5,211
	For the six-month period ended June 30, 2020
---	---	---	---	---	---	---	---	---	---	---	---	---	---
	Software			Development cost			Membership<br>deposit		Construction<br>in progress		Total
Beginning balance		1,585			1,725			—		—		3,310
Acquisitions		270			216			2,371		10		2,867
Amortization		(374	)		(194	)		—		—		(568	)
Ending balance		1,481			1,747			2,371		10		5,609
13.	OTHER ASSETS
---	---

Details of other assets are as follows (Unit: Korean Won in millions):

	June 30, 2021		December 31, 2020
Prepaid expenses		93		—
14.	DEBENTURES
---	---

Details of debentures are as follows (Unit: Korean Won in millions):

	June 30, 2021					December 31, 2020
	Interest rate (%)		Amount			Interest rate (%)		Amount
Face value of bonds:
General bonds		1.23		200,000			1.23		200,000
Subordinated bonds		2.13 ~ 2.55		950,000			2.13 ~ 2.55		950,000
Sub-total				1,150,000					1,150,000
Deducted item:
Discounts on bonds				(2,312	)				(2,497	)
Total				1,147,688					1,147,503

• 29 -

15.	PROVISIONS
(1)	Details of provisions are as follows (Unit: Korean Won in millions):
---	---
	June 30, 2021		December 31, 2020
---	---	---	---	---
Asset retirement obligation		392		782
(2)	Changes in asset retirement obligation are as follows (Unit: Korean Won in millions):
---	---
	For the six-month periods ended June 30
---	---	---	---	---	---
	2021			2020
Beginning balance		782			600
Increase		—			108
Amortization		2			6
Others		(392	)		—
Ending balance		392			714
16.	NET DEFINED BENEFIT LIABILITY(ASSET)
---	---

The Company’s pension plan is based on the defined benefit retirement pension plan. Employees and directors with one or more years of service are entitled to receive a payment upon termination of their employment, based on their length of service and rate of salary at the time of termination. The assets of the plans are measured at their fair value at the end of reporting date. The plan liabilities are measured using the projected unit method, which takes into account of projected earnings’ increase, using actuarial assumptions that give the best estimate of the future cash flows that will arise under the plan liabilities.

The Company is exposed to various risks through defined benefit retirement pension plan, and the most significant risks are as follows:

Volatility of asset	The defined benefit obligation was estimated with an interest rate calculated based on blue chip<br>corporate bonds earnings. A deficit may occur if the rate of return of plan assets falls short of the interest rate.
Decrease in profitability of blue chip bonds	A decrease in profitability of blue chip bonds will be offset by some increase in the value of<br>debt securities that the employee benefit plan owns but will bring an increase in the defined benefit obligation.
Risk of inflation	Defined benefit obligations are related to inflation rate; the higher the inflation rate is, the<br>higher the level of liabilities. Therefore, deficit occurs in the system if an inflation rate increases.
(1)	Details of net defined benefit liability(asset) are as follows (Unit: Korean Won in millions):<br>
---	---
	June 30, 2021			December 31, 2020
---	---	---	---	---	---	---
Present value of defined benefit obligation		21,656			20,083
Fair value of plan assets		(20,753	)		(23,592	)
Net defined benefit liability(asset)		903			(3,509	)

• 30 -

(2)	Changes in the carrying value of defined benefit obligation are as follows (Unit: Korean Won in millions):<br>
	For the six-month periods ended June 30
---	---	---	---	---	---	---
	2021			2020
Beginning balance		20,083			14,174
Transfer-in / out		(204	)		4,246
Recruit / Transfer in		—			1,266
Current service cost		1,193			906
Interest cost		243			166
Remeasurements
Financial assumption		(698	)		255
Demographic assumptions		—			—
Experience adjustment		1,175			1,024
Retirement benefit paid		(43	)		(93	)
Others		(93	)		(72	)
Ending balance		21,656			21,872
(3)	Changes in the plan assets are as follows (Unit: Korean Won in millions):
---	---
	For the six-month periods ended June 30
---	---	---	---	---	---	---
	2021			2020
Beginning balance		23,592			10,692
Transfer-in / out		(2,115	)		3,673
Interest income		300			134
Remeasurements		(171	)		(46	)
Retirement benefit paid		(853	)		(147	)
Ending balance		20,753			14,306
(4)	The fair value of plan assets as of June 30, 2021 and December 31, 2020 is as follows (Unit: Korean<br>Won in millions):
---	---
	June 30, 2021		December 31, 2020
---	---	---	---	---
Cash and due from banks		20,753		23,592

Meanwhile, the actual revenue of plan assets for the six-month periods ended June 30, 2021 and 2020 is 129 million Won and 88 million Won, respectively.

(5)	The amount recognized in profit or loss and total comprehensive income related to the defined benefit plan for<br>the six-month periods ended June 30, 2021 and 2020 is as follows (Unit: Korean Won in millions):
	For the six-month periods ended June 30
---	---	---	---	---	---
	2021			2020
Current service cost		1,193			906
Recruit/Transfer in		—			1,266
Net interest expense(income)		(57	)		32
Cost recognized in net income		1,136			2,204
Remeasurements (*)		648			1,326
Cost recognized in total comprehensive income		1,784			3,530
(*)	The amount is before income tax expense effect.
---	---

• 31 -

17.	OTHER FINANCIAL LIABILITIES AND OTHER LIABILITIES

Other financial liabilities and other liabilities are as follows (Unit: Korean Won in millions):

	June 30, 2021		December 31, 2020
Other financial liabilities:
Accounts payable		19,511		6,102
Accrued expenses		10,896		10,444
Lease liabilities		4,329		5,539
Sub-total		34,736		22,085
Other liabilities:
Other miscellaneous liabilities		678		570
Total		35,414		22,655
18.	DERIVATIVES
---	---

Derivative assets and derivative liabilities are as follows (Unit: Korean Won in millions):

	June 30, 2021				December 31, 2020
	Nominal<br>amount		Assets		Nominal<br>amount		Assets
Equity Forwards		130,599		7,247		130,599		7,247

Derivatives are classified into financial assets at FVTPL in the statements of financial position (seeing Note 6).

19.	EQUITY
(1)	Details of equity as of June 30, 2021 and December 31, 2020 are as follows (Unit: Korean Won in<br>millions):
---	---
	June 30, 2021			December 31, 2020
---	---	---	---	---	---	---
Capital		3,611,338			3,611,338
Hybrid securities		2,094,745			1,895,322
Capital surplus (*1)		10,874,084			14,874,084
Accumulated other comprehensive income		(2,324	)		(1,518	)
Retained earnings (*1) (*2) (*3)		5,016,524			664,746
Total		21,594,367			21,043,972
(*1)	During the current period, 4,000,000 million Won was transferred from capital surplus to retained<br>earnings.
---	---
(*2)	The regulatory reserve for credit loss in retained earnings amounted to 1,086 million Won and<br>692 million Won as of June 30, 2021 and December 31, 2020 in accordance with the relevant regulation.
---	---
(*3)	The earned surplus reserve in retained earnings amounted to 122,370 million Won and 62,830 million<br>Won as of June 30, 2021 and December 31, 2020 in accordance with the Article 53 of the Financial Holding Company Act.
---	---
(2)	The number of authorized shares and others of the Company are as follows:
---	---
	June 30, 2021		December 31, 2020
---	---	---	---	---
Shares of common stock authorized		4,000,000,000 Shares		4,000,000,000 Shares
Par value		5,000 Won		5,000 Won
Shares of common stock issued		722,267,683 Shares		722,267,683 Shares
Capital stock		3,611,338 million Won		3,611,338 million Won

• 32 -

(3)	Hybrid securities

The bond-type hybrid securities classified as owner’s equity are as follows (Unit: Korean Won in millions):

	Issue date		Maturity		Interest rate<br>(%)		June 30,<br>2021			December 31,<br>2020
Securities in local currency		2019-07-18		—		3.49		500,000			500,000
Securities in local currency		2019-10-11		—		3.32		500,000			500,000
Securities in local currency		2020-02-06		—		3.34		400,000			400,000
Securities in local currency		2020-06-12		—		3.23		300,000			300,000
Securities in local currency		2020-10-23		—		3.00		200,000			200,000
Securities in local currency		2021-04-08		—		3.15		200,000			—
Issuance cost								(5,255	)		(4,678	)
Total								2,094,745			1,895,322

The hybrid securities mentioned above do not have maturity date but are redeemable after 5 years from the date of issuance.

(4)	Accumulated other comprehensive income

Changes in the accumulated other comprehensive income are as follows (Unit: Korean Won in millions):

	For the six-month period ended June 30, 2021
	Beginning<br>balance			Increase<br>(decrease)			Income tax<br>effect		Ending<br>balance
Net gain (loss) on valuation of financial assets at FVTOCI		(280	)		(463	)		127		(616	)
Remeasurement loss related to defined benefit plan		(1,238	)		(648	)		178		(1,708	)
Total		(1,518	)		(1,111	)		305		(2,324	)
	For the six-month period ended June 30, 2020
---	---	---	---	---	---	---	---	---	---	---	---	---
	Beginning<br>balance			Increase<br>(decrease)			Income tax<br>effect			Ending<br>balance
Net gain (loss) on valuation of financial assets at FVTOCI		—			265			(73	)		192
Remeasurement loss related to defined benefit plan		(631	)		(1,326	)		365			(1,592	)
Total		(631	)		(1,061	)		292			(1,400	)
(5)	Regulatory Reserve for Credit Loss
---	---

In accordance with Article 26 ~ 28 of the Financial holding company Supervision Regulations, the Company calculates and discloses the regulatory reserve for credit loss.

1)	Balance of the regulatory reserve for credit loss

Balance of the planned regulatory reserve for credit loss is as follows (Unit: Korean Won in millions):

	June 30,<br>2021		December 31,<br>2020
Beginning balance		1,086		692
Planned provision of regulatory reserve for credit loss		229		394
Ending balance		1,315		1,086

• 33 -

2)	Provision of regulatory reserve for credit loss, adjusted net income after the provision of regulatory reserve<br>and others

Planned reserves provided, adjusted net income after the planned reserves provided and adjusted EPS (Loss Per Share) after the planned reserves provided are as follows (Unit: Korean Won in millions, except for EPS (Loss Per Share) amount):

	Periods ended June 30, 2021						Periods ended June 30, 2020
	Three-month			Six-month			Three-month			Six-month
Net income (loss) before regulatory reserve		(21,994	)		643,344			(23,258	)		637,072
Provision (reversal) of regulatory reserve for credit loss		(581	)		229			(484	)		(390	)
Adjusted net income after the provision of regulatory reserve		(21,413	)		643,115			(22,774	)		637,462
Dividends to hybrid securities		(15,775	)		(31,550	)		(11,853	)		(20,365	)
Adjusted net income after regulatory reserve and dividends to hybrid securities		(37,188	)		611,565			(34,627	)		617,097
Adjusted EPS (Loss Per Share) after regulatory reserve and dividends to hybrid securities (Unit:<br>Korean Won)		(51	)		847			(48	)		855
20.	DIVIDENDS
---	---

(1) Dividends per share and the total dividends for the fiscal year ending December 31, 2020 were 360 Won and 260,016 million Won, respectively, approved at the regular general shareholders’ meeting held on March 26, 2021, and were paid in April, 2021.

(2) On July 23, 2021, the board of directors decided to pay an interim dividend of 150 Won per share (total dividend of 108,340 million Won) with July 30, 2021 as the dividend base date.

21.	NET INTEREST INCOME
(1)	Interest income recognized is as follows (Unit: Korean Won in millions):
---	---
	Periods ended June 30, 2021				Periods ended June 30, 2020
---	---	---	---	---	---	---	---	---
	Three-month		Six-month		Three-month		Six-month
Interest on due from banks		1,019		1,573		3,177		7,686
Other interest income		6		12		8		13
Total		1,025		1,585		3,185		7,699
(2)	Details of interest expense recognized are as follows (Unit: Korean Won in millions):
---	---
	Periods ended June 30, 2021				Periods ended June 30, 2020
---	---	---	---	---	---	---	---	---
	Three-month		Six-month		Three-month		Six-month
Interest on debentures		6,126		12,282		5,481		11,007
Other interest expense		1		2		4		6
Interest on lease liabilities		14		29		10		18
Total		6,141		12,313		5,495		11,031

• 34 -

22.	NET FEES AND COMMISSIONS INCOME
(1)	Details of fees and commissions income recognized are as follows (Unit: Korean Won in millions):<br>
---	---
	Periods ended June 30, 2021				Periods ended June 30, 2020
---	---	---	---	---	---	---	---	---
	Three-month		Six-month		Three-month		Six-month
Fees and commissions income		201		402		—		—
(2)	Details of fees and commissions expense incurred are as follows (Unit: Korean Won in millions):<br>
---	---
	Periods ended June 30, 2021				Periods ended June 30, 2020
---	---	---	---	---	---	---	---	---
	Three-month		Six-month		Three-month		Six-month
Fees and commissions paid		1,515		2,925		3,773		4,243
Others		1,936		4,086		1,756		3,925
Total		3,451		7,011		5,529		8,168
23.	DIVIDEND INCOME
---	---

Details of dividend income recognized are as follows (Unit: Korean Won in millions):

	Periods ended June 30, 2021				Periods ended June 30, 2020
	Three-month		Six-month		Three-month		Six-month
Dividend income recognized from investments in subsidiaries		—		687,445		—		677,795
Dividend income recognized from FVTOCI		1,290		2,580		—		—
Total		1,290		690,025		—		677,795
24.	REVERSAL (PROVISION) FOR IMPAIRMENT LOSSES DUE TO CREDIT LOSS
---	---

Details of reversal (provision) for impairment losses due to credit loss recognized are as follows (Unit: Korean Won in millions):

	Periods ended June 30, 2021						Periods ended June 30, 2020
	Three-month			Six-month			Three-month		Six-month
Reversal (Provision) of impairment loss due to credit loss on loans and other financial assets at<br>amortized cost		(56	)		(19	)		9		9

• 35 -

25.	GENERAL AND ADMINISTRATIVE EXPENSES
(1)	Details of general and administrative expenses recognized are as follows (Unit: Korean Won in millions):<br>
---	---
			Periods ended June 30, 2021						Periods ended June 30, 2020
---	---	---	---	---	---	---	---	---	---	---	---	---
			Three-month			Six-month			Three-month		Six-month
Employee benefits	Short-term Employee benefits	Salaries		6,268			13,158			6,545		12,591
		Employee fringe benefits		2,940			4,627			3,140		5,209
	Retirement benefit service costs			520			1,136			1,784		2,204
	Share based payments			1,083			1,573			517		493
		Sub-total		10,811			20,494			11,986		20,497
Depreciation and amortization				1,434			2,890			1,341		2,513
Other general and administrative expenses	Rent			361			697			318		493
	Taxes and public dues			65			266			53		214
	Service charges			592			1,563			642		1,666
	Computer and IT related			1,100			2,061			682		1,215
	Telephone and communication			69			176			64		190
	Operating promotion			291			526			293		502
	Advertising			16			46			29		101
	Printing			26			28			12		28
	Traveling			13			33			13		34
	Supplies			30			58			74		119
	Insurance premium			(79	)		(61	)		19		19
	Reimbursement			266			434			231		449
	Vehicle maintenance			63			115			52		87
	Others			6			13			20		27
		Sub-total		2,819			5,955			2,502		5,144
	Total			15,064			29,339			15,829		28,154

• 36 -

(2)	Share-based payment

Details of performance condition share-based payment granted to executives as of June 30, 2021 and 2020 are as follows.

1)	Performance condition share-based payment
Subject to		Shares granted for the year 2019
---	---	---
Type of payment		Cash-settled
Vesting period		January 11, 2019 ~<br>December 31, 2022
Date of payment		2023-01-01
Fair value (*1)		10,808 Won
Valuation method		Black-Scholes Model
Expected dividend rate		4.28%
Expected maturity date		1.5 years
Number of shares remaining	As of June 30, 2021	77,728 shares
	As of December 31, 2020	77,728 shares
Number of shares granted (*2)	As of June 30, 2021	77,728 shares
	As of December 31, 2020	77,728 shares
Subject to		Shares granted for the year 2020
---	---	---
Type of payment		Cash-settled
Vesting period		January 1, 2020 ~<br>December 31, 2023
Date of payment		2024-01-01
Fair value (*1)		10,356 Won
Valuation method		Black-Scholes Model
Expected dividend rate		4.28%
Expected maturity date		2.5 years
Number of shares remaining	As of June 30, 2021	189,270 shares
	As of December 31, 2020	189,270 shares
Number of shares granted (*2)	As of June 30, 2021	189,270 shares
	As of December 31, 2020	189,270 shares
Subject to		Shares granted for the year 2021
---	---	---
Type of payment		Cash-settled
Vesting period		January 1, 2021 ~<br>December 31, 2024
Date of payment		2025-01-01
Fair value (*1)		9,922 Won
Valuation method		Black-Scholes Model
Expected dividend rate		4.28%
Expected maturity date		3.5 years
Number of shares remaining	As of June 30, 2021	115,766 shares
	As of December 31, 2020	—
Number of shares granted (*2)	As of June 30, 2021	115,766 shares
	As of December 31, 2020	—
(*1)	As the amount of payment varies according to the base price (the arithmetic average of the weighted average<br>stock price of transactions in the past one week, the past one month, and the past two months) at the date of payment, the fair value is calculated and used to measure the liability according to the Black Shawls model based on the base price at the<br>time of each settlement.
---	---
(*2)	The number of payable stocks is granted at the initial contract date and the payment rate is determined based<br>on the achievement of the pre-determined performance targets. Performance is evaluated as long-term performance indication including relative shareholder return, net income, return on equity (ROE), non-performing loan ratio and job performance.
---	---
2)	The Company accounts for performance condition share-based payments according to the cash-settled method and<br>the fair value of the liabilities is reflected in the compensation costs by re-measuring every closing period. As of June 30, 2021 and December 31, 2020 the book value of the liabilities related to<br>the performance condition share-based payments recognized by the Company is 3,949 million Won and 2,376 million Won.
---	---

• 37 -

26.	NON-OPERATING INCOME(EXPENSES)
(1)	Details of non-operating income and expenses recognized are as follows<br>(Unit: Korean Won in millions):
---	---
	Periods ended June 30, 2021						Periods ended June 30, 2020
---	---	---	---	---	---	---	---	---	---	---	---	---
	Three-month			Six-month			Three-month			Six-month
Other non-operating income		124			126			181			181
Other non-operating expense		(31	)		(31	)		(1	)		(201	)
Total		93			95			180			(20	)
(2)	Details of other non-operating income recognized are as follows (Unit:<br>Korean Won in millions):
---	---
	Periods ended June 30, 2021				Periods ended June 30, 2020
---	---	---	---	---	---	---	---	---
	Three-month		Six-month		Three-month		Six-month
Others		124		126		181		181
(3)	Details of other non-operating expenses recognized are as follows<br>(Unit: Korean Won in millions):
---	---
	Periods ended June 30, 2021				Periods ended June 30, 2020
---	---	---	---	---	---	---	---	---
	Three-month		Six-month		Three-month		Six-month
Donations		30		30		1		201
Others		1		1		—		—
Total		31		31		1		201
27.	INCOME TAX EXPENSE
---	---

Details of income tax expense are as follows (Unit: Korean Won in millions):

	For the six-month periods ended June 30
	2021			2020
Current tax expense
Current tax expense with respect to the current period		—			—
Sub-total		—			—
Deferred tax expense(income)
Change in deferred tax assets(liabilities) due to temporary differences		(224	)		766
Income tax expense directly attributable to equity		305			292
Sub-total		81			1,058
Income tax expense		81			1,058

Income tax expense was recognized based on the estimate of the best weighted average annual effective tax rate expected for the interim period. The weighted average annual effective tax rate for the interim period ended June 30, 2021 and 2020, is 0.01% and 0.17%.

• 38 -

28.	EARNINGS (LOSS) PER SHARE (“EPS (LOSS PER SHARE)”)
(1)	Basic EPS (Loss Per Share) is calculated by dividing net income attributable to common shareholders by<br>weighted-average number of common shares outstanding (Unit: Korean Won in millions, except for EPS (Loss Per Share) and number of shares):
---	---
	Periods ended June 30, 2021						Periods ended June 30, 2020
---	---	---	---	---	---	---	---	---	---	---	---	---
	Three-month			Six-month			Three-month			Six-month
Net profit (loss) attributable to Owners		(21,994	)		643,344			(23,258	)		637,072
Dividends to hybrid securities		(15,775	)		(31,550	)		(11,853	)		(20,365	)
Net income attributable to common shareholders		(37,769	)		611,794			(35,111	)		616,707
Weighted average number of common shares outstanding (Unit: million shares)		722			722			722			722
Basic EPS (Loss Per Share) (Unit: Korean Won)		(52	)		847			(49	)		854
(2)	The weighted average number of common shares outstanding is as follows: (Unit: number of shares, days)<br>
---	---
	For the six-month period ended June 30, 2021
---	---	---	---	---	---	---	---	---	---	---
	Period		Number of<br>shares			Dates		Accumulated number<br>of shares outstanding<br>during period
Common shares issued at the beginning of the period		2021-01-01~2021-06-30		722,267,683			181		130,730,450,623
Treasury stock		2021-01-01~2021-06-30		(2	)		181		(362	)
Sub-total (①)									130,730,450,261
Weighted average number of common shares outstanding (②=(①/181)									722,267,681
	For the six-month period ended June 30, 2020
---	---	---	---	---	---	---	---	---	---	---
	Period		Number of<br>shares			Dates		Accumulated number<br>of shares outstanding<br>during period
Common shares issued at the beginning of the period		2020-01-01~2020-06-30		722,267,683			182		131,452,718,306
Treasury stock		2020-01-01~2020-06-30		(2	)		182		(364	)
Sub-total (①)									131,452,717,942
Weighted average number of common shares outstanding (②=(①/182)									722,267,681

Diluted EPS (Loss Per Share) is equal to basic EPS (Loss Per Share) because there is no dilution effect for the six-month periods ended June 30, 2021 and 2020.

• 39 -

29.	CONTINGENT LIABILITIES AND COMMITMENTS
(1)	Litigation case
---	---

As of June 30, 2021 and December 31, 2020, the Company has no litigation case in progress.

(2)	Details of loan commitments with financial institutions are as follows (Unit: Korean Won in millions):<br>
		June 30, 2021				December 31, 2020
---	---	---	---	---	---	---	---	---	---
	Financial institutions	Line of credit		Loan balance		Line of credit		Loan balance
Loans	Standard Chartered Bank Korea Ltd.		100,000		—		65,000		—
	Kookmin Bank		—		—		35,000		—
	Total		100,000		—		100,000		—
(3)	The Company decided to enter into a stock sales agreement with a major shareholder of Woori Asset Trust Co.,<br>Ltd (formerly Kukje Asset Trust Co., Ltd) to acquire 44.5% interest (58.6% of voting rights) during July, 2019, and to acquire additional 21.3% interest (28.0% of voting rights) after a certain period. As a result, the Company acquired the interest<br>of the first sales agreement in December 2019 and is planning to acquire the interest of the second sales agreement after a certain period.
---	---

In regards to this acquisition, the Company recognized 7,247 million Won as derivative assets as of June 30, 2021 and December 31, 2020 (seeing Note 18).

(4)

On June 4, 2021, the Company entered into the share exchange agreement for the shareholders of Woori<br>Financial Capital Co., Ltd. (excluding the Company) to exchange 1 share for 1.0567393 of the Company effective August 10, 2021. On July 23, 2021 the comprehensive stock exchange per the share exchange agreement was approved by the board<br>meeting of the Company and Woori Financial Capital Co., Ltd. in lieu of shareholders’ meeting. The Company’s new shares are going to be offered to public on August 27, 2021.

• 40 -

30.	RELATED PARTY TRANSACTIONS

Related parties of the Company as of June 30, 2021 and December 31, 2020, and assets and liabilities recognized, guarantees and commitments, major transactions with related parties and compensation to key management for the six-month periods ended June 30, 2021 and 2020 are as follows:

(1)	Assets and liabilities from transactions with related parties are as follows (Unit: Korean Won in millions):<br>
Related party	Title of account	June 30, 2021			December 31, 2020
---	---	---	---	---	---	---	---
Subsidiaries
Woori Bank	Cash and cash equivalents		253,265			69,176
	Other financial assets		680,628			598,505
	Allowance for credit losses		(166	)		(147	)
	Other financial liabilities		22,209			7,718
Woori Card Co., Ltd.	Other financial assets		33,430			17,983
	Other financial liabilities		264			299
Woori FIS Co., Ltd.	Other financial assets		—			1,538
	Other financial liabilities		687			259
Woori Finance Research Institute Co., Ltd.	Other financial assets		13			37
	Other financial liabilities		—			1,465
Woori Credit Information Co., Ltd.	Other financial assets		515			517
Woori Fund Service Co., Ltd.	Other financial assets		524			643
Associates of subsidiaries
W Service Networks Co., Ltd.	Other financial liabilities		96			122

• 41 -

(2)	Gain or loss from transactions with related parties are as follows (Unit: Korean Won in millions):<br>
		For the six-month periods<br>ended June 30
---	---	---	---	---	---	---
Related party	Title of account	2021		2020
Subsidiaries
Woori Bank	Interest income		1,585		7,699
	Fees and commissions income		402		—
	Dividend income		680,200		676,000
	Interest expenses (*2)		23		18
	Fees and commissions expense		8		9
	Provision (Reversal) of impairment loss due to credit loss		19		(9	)
	General and administrative expenses (*2)		1,803		1,533
Woori Card Co., Ltd.	Dividend income				—
			2,580
Woori Investment Bank Co., Ltd. (*1)	Dividend income				—
			5,132
Woori FIS Co., Ltd.	General and administrative expenses		1,861		1,105
Woori Finance Research Institute Co., Ltd.	Fees and commissions expenses		3,400		3,150
Woori Credit Information Co., Ltd.	Dividend income		564		494
Woori Fund Service Co., Ltd.	Dividend income		769		521
Woori Asset Trust Co., Ltd	Dividend income		780		780
Associates of subsidiaries
W Service Networks Co., Ltd.	General and administrative expenses		598		620
(*1)	Of the 200,000 million Won of hybrid securities issued during the current period, 19,000 million Won<br>was acquired by Woori Investment Bank Co., Ltd. and the Company paid 29 million Won as an acquisition fee which is included in the issuance cost of hybrid securities.
---	---
(*2)	The depreciation of<br>right-of-use assets and interest expense of lease liabilities arising from lease transactions during the current term and prior term are included.
---	---
(3)	The details of the right-of-use<br>assets and lease liabilities due to lease transactions with related parties as of June 30, 2021 and 2020 are as follows (Unit: Korea Won in millions):
---	---
Related parties		Title of account	June 30, 2021		December 31, 2020
---	---	---	---	---	---	---
Subsidiaries	Woori Bank	Right-of-use assets		3,408		4,936
		Lease liabilities (*)		3,697		4,920
(*)	Cash outflows of lease liabilities redemption for the six-month periods<br>ended June 30, 2021 and 2020 are 1,246 million Won and 820 million Won, respectively.
---	---

• 42 -

(4)	The details of loan and borrowing transactions with related parties for the<br>six-month periods ended June 30, 2021 and 2020 are as follows (Unit: Korea Won in millions):
			For the six-month period ended June 30, 2021
---	---	---	---	---	---	---	---	---	---	---
Related parties (*1)		Title of account	Beginning<br>balance		Increase		Decrease		Ending<br>balance
Subsidiaries	Woori Bank	Due from banks (*2)		450,000		880,000		650,000		680,000
(*1)	Of the 200,000 million Won of hybrid securities issued during the current period, 19,000 million Won<br>was acquired by Woori Investment Bank Co., Ltd. and the entire amount was sold to the market on the date of issuance.
---	---
(*2)	Excludes due from banks without withdrawal limitations.
---	---
			For the six-month period ended June 30, 2020
---	---	---	---	---	---	---	---	---	---	---
Related parties		Title of account	Beginning<br>balance		Increase		Decrease		Ending<br>balance
Subsidiaries	Woori Bank	Due from banks (*)		1,130,000		2,700,000		3,080,000		750,000
(*)	Excludes due from banks without withdrawal limitations.
---	---
(5)	The details of equity-related transactions with related parties for the<br>six-month periods ended June 30, 2021 and 2020 are as follows (Unit: Korean Won in million)
---	---
		For the six-month period ended June 30, 2021
---	---	---	---	---	---	---	---
Related parties		Interest of<br>Woori Savings<br>Bank (*1)		Interest<br>of Woori<br>Financial Capital<br>Co., Ltd (*2)		Investment
Subsidiaries	Woori Financial Capital Co., Ltd.		113,238		23,737		—
Subsidiaries	Woori Savings Bank		—		—		100,000
(*1)	The Company acquired 100% interest of Woori Savings Bank from its subsidiary, Woori Financial Capital Co., Ltd.<br>during the current period.
---	---
(*2)	During the current period, the Company acquired treasury stocks of Woori Financial Capital Co., Ltd.<br>
---	---
		For the six-month period ended June 30,<br>2020
---	---	---	---	---	---
Related parties		Investment		Acquisition of<br>hybrid securities
Subsidiaries	Woori Bank		1,000,000		—
Subsidiaries	Woori Card Co., Ltd.		—		150,000
(6)	There are no guarantees provided to the related parties. The unused commitments provided from the related<br>parties as of June 30, 2021 and December 31, 2020 are as follows (Unit: Korean Won in millions):
---	---
Related parties		June 30, 2021		December 31, 2020		Warranty
---	---	---	---	---	---	---	---
Subsidiaries	Woori Card Co., Ltd.		250		131		Unused loan commitment

• 43 -

(7)	Compensation for key management is as follows (Unit: Korean Won in millions):
	For the six-month periods ended June 30
---	---	---	---	---
	2021		2020
Short-term employee salaries		3,216		2,786
Retirement benefit service costs		105		108
Share-based compensation		1,146		397
Total		4,467		3,291

Key management includes registered executives and non-registered executives. The Company has not recognized any outstanding assets, allowance and related impairment loss due to credit losses from transaction with key management as of June 30, 2021 and December 31, 2020. Liabilities related to key management compensation are 4,672 million Won and 4,209 million Won as of as of June 30, 2021 and December 31, 2020, respectively.

• 44 -

31.	LEASES
(1)	The future lease payments under the lease contracts are as follows (Unit: Korean Won in millions):<br>
---	---
	June 30, 2021		December 31, 2020
---	---	---	---	---
Lease payments:
Within one year		2,781		2,836
After one year but within five years		1,589		2,768
Total		4,370		5,604
(2)	Total cash outflows from lease are as follows (Unit: Korean Won in millions):
---	---
	For the six-month periods ended June 30
---	---	---	---	---
	2021		2020
Cash outflows from lease		1,514		1,031
(3)	Details of lease payments that are not included in the measurement of lease liabilities due to the fact that<br>they are leases for which the underlying asset is of low value are as follows (Unit: Korean Won in millions):
---	---
	For the six-month periods ended June 30
---	---	---	---	---
	2021		2020
Lease payments for which the underlying asset is of low value		71		64

There are no lease payments not included in the lease liabilities measurement, resulting from short-term leases for the six-month periods ended June 30, 2021 and 2020.

32.	EVENTS AFTER THE REPORTING PERIOD
(1)	On June 4, 2021, the Company entered into the share exchange agreement for the shareholders of Woori<br>Financial Capital Co., Ltd. (excluding the Company) to exchange 1 share for 1.0567393 of the Company effective August 10, 2021. On July 23, 2021 the comprehensive stock exchange per the share exchange agreement was approved by the board<br>meeting of the Company and Woori Financial Capital Co., Ltd. in lieu of shareholders’ meeting. The Company’s new shares are going to be offered to public on August 27, 2021.
---	---
(2)	On July 23, 2021, the Company declared interim dividend of 150 Won per share (total dividend of<br>108,340 million Won) with July 30, 2021 as the record date.
---	---

• 45 -