Edgar Filing: SHINHAN FINANCIAL GROUP CO LTD

Date of Birth

Service Term

Eung Chan Ra

Nov. 25, 1938

Chairman of BOD
Board Steering Committee Head

3 years starting from March 20, 2007

Nov. 2, 1943

President & CEO
Board Steering Committee member

2 years starting from March 20, 2007

SHINHAN FINANCIAL GROUP CO., LTD.

SECURITIES AND EXCHANGE COMMISSION

Washington, DC 20549

FORM 6-K

REPORT OF FOREIGN PRIVATE ISSUER
Pursuant to Rule 13a-16 or 15d-16 of
the Securities Exchange Act of 1934

For the Month of August 2007

SHINHAN FINANCIAL GROUP CO., LTD.

(Translation of registrant’s name into English)

120, 2-Ga, Taepyung-Ro, Jung-Gu, Seoul 100-102, Korea
(Address of principal executive offices)

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 þ Form 40-F o

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):

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):

Indicate by check mark whether the registrant by furnishing the information contained in this form is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934. Yes o No þ

If “Yes” is marked, indicate below the file number assigned to the registrant in connection with Rule 12g3-2(b): 82- .

Summary of 2007 1H Business Report

On August 14, 2007, Shinhan Financial Group (“SFG”) filed the 2007 1H Business Report (the “Business Report”) with the Financial Supervisory Service of the Republic of Korea (“Korea”) pursuant to the Securities and Exchange Act of Korea. This is the summary of the Business Report translated into English. Non-material or previously disclosed information are omitted or abridged.

The financial information in this report has been prepared in accordance with accounting principles generally accepted in Korea.

Table of Contents


1. Introduction of the Group
2. Business Results
3. Independent Auditor
4. Directors, Executive Officers and Employees
5. Activities of Board of Directors and Sub-committees
6. Market Price Information of Our Common Shares and ADRs
7. Related Party Transactions
EX-99 INDEPENDENT ACCOUNTANT'S REVIEW REPORT

Exhibit 99

Independent Accountant’s Review Report (Non Consolidated Financial Statements) of Shinhan Financial Group as of June 30, 2007

1. Introduction of the Group

Company History in 2007

	•		March 2007: LG Card joined Shinhan Financial Group as subsidiary

	•		July 2007: Good Morning Shinhan Securities Asia Ltd., an overseas subsidiary of Good Morning Shinhan Securities, joined Shinhan Financial Group as indirect subsidiary

Principal Subsidiaries under Korean Law as of August 14, 2007

Direct Subsidiaries


Subsidiaries	Ownership by SFG
Shinhan Bank		100.0	%
LG Card ^{1) 2)}		86.3	%
Good Morning Shinhan Securities		100.0	%
Shinhan Life Insurance		100.0	%
Shinhan Card		100.0	%
Shinhan Capital		100.0	%
Shinhan BNP Paribas ITMC		50.0	%
Jeju Bank ²⁾		62.4	%
SH&C Life Insurance		50.0	%
Shinhan Macquarie Financial Advisory		51.0	%
Shinhan Credit Information		100.0	%
Shinhan Private Equity		100.0	%


1)		LG Card joined Shinhan Financial Group as a subsidiary on March 23, 2007.

		At the time of acquisition, Shinhan Financial Group owned 85.7% of total LG Card shares. Following the second tender offer, consummated on July 6, 2007, Shinhan Financial Group currently owns 86.3% of total LG Card shares.

2)		Jeju Bank and LG Card are currently listed on the Korea Exchange.

Indirect subsidiaries held through direct subsidiaries

(As of August 14, 2007)


		Ownership by
Direct Subsidiaries	Indirect Subsidiaries	the Parent
Shinhan Bank	Shinhan Data System		100.0	%
	Shinhan Finance Ltd.(Hong Kong)¹⁾		100.0	%
	SH Asset Management		99.97	%⁴⁾
	Shinhan Asia Limited		100.0	%
	Shinhan Bank America		100.0	%
	Shinhan Bank Europe GmbH		100.0	%
	Shinhan Vina Bank		50.0	%
	CHB Valuemeet 2001 year 1^st Securitization		50.0	%
	CHB Valuemeet 2001 year 2^nd Securitization		50.0	%
	CHB Valuemeet 2002 year 1^st Securitization		50.0	%


		Ownership by
Direct Subsidiaries	Indirect Subsidiaries	the Parent
Good Morning Shinhan Securities	Good Morning Shinhan Securities Europe Ltd.		100.0	%
	Good Morning Shinhan Securities USA Inc.		100.0	%
	Good Morning Shinhan Securities Asia Ltd. ³⁾		100.0	%

Shinhan Private Equity	Shinhan NPS Private Equity Fund 1^st		5.0	% ²⁾


1)		On November 1, 2006, Shinhan Finance Limited, Shinhan Financial Group’s indirect subsidiary, was transferred to a branch of Shinhan Bank. The liquidation process is currently taking place and is expected to be finalized during the first half of 2007.

2)		Shinhan Financial Group and its subsidiaries currently own 36.7% of Shinhan NPS Private Equity Fund 1^st.

3)		Good Morning Shinhan Securities Asia Ltd., an overseas subsidiary of Good Morning Shinhan Securities, joined the Group as an indirect subsidiary on July 19, 2007.

4)		On July 13 2007, Shinhan Bank acquired an additional 20.2% of SH Asset Management from minority shareholders and as a result, the bank’s ownership in SH Asset Management increased to 99.97 %.

Number of Shares by Type

Number of issued and outstanding shares of the Group as of June 30, 2007


Types of Shares	Number of Shares
Common Shares		381,567,614
Redeemable Preferred Shares		68,757,169
Redeemable Convertible Preferred Shares		14,721,000

Total		465,045,783


*		The Group will redeem its series 2 preferred shares (9,316,792 shares) on August 20, 2007.

*		On September 21, 2007, the number of the Group’s common shares will increase by 14,631, 973 shares, as a result of the small scale share swap with LG Card.

Employee Stock Ownership Plan (ESOP)

(1)

Contribution to ESOA (Employee Stock Ownership Association)


		Contribution
Employee		Amount
Accounts	Contribution Date	(KRW)		Contributor	Objective
Contributed by relevant companies
	March 23, 2007		2,049,000,000	Shinhan Card	Stock Purchase
	March 27, 2007		611,500,000	Shinhan Capital	Stock Purchase
	April 6, 2007		66,813,174	Shinhan Bank	Deposit Fees
Sub-total			2,727,313,174
Contributed by employees	—		—	—	—
Sub-total			—	—	—
Total			2,727,313,174

(2)

Changes in ESOA Share Ownership

(As of June 30, 2007, Unit: shares)


		Beginning
		Balance						Ending Balance
	Share type	(Jan.1, 2007)		Increase		Decrease		(June 30, 2007)
Association Accounts	Common Shares		1,939,973		—		431,571		1,508,402
Employee Accounts	Common Shares		2,786,962		936,272		112,707		3,610,527
Total	—		4,726,935		936,272		544,278		5,118,929


*		Subsequent events: On August 7, 2007 Shinhan Financial Group contributed KRW 336,457,052 to purchase 5,520 shares, in relation to 2006 operating results.

(3)

ESOA Share Ownership per each company

(As of June 30, 2007, Unit: shares)


Company	Association Accounts		Employee Accounts		Total Balance
Shinhan Financial Group		31,274		23,735		55,009
Shinhan Bank		1,465,568		3,391,262		4,856,830
Good Morning Shinhan Securities		—		20,280		20,280
Shinhan Capital		11,560		40,913		52,473
Shinhan Card		—		74,898		74,898
Shinhan Life Insurance		—		54,961		54,961
SH&C Life Insurance		—		947		947
Shinhan Credit Information		—		1,074		1,074
Shinhan Data System		—		2,457		2,457

Total		1,508,402		3,610,527		5,118,929

2. Business Results

Operational Results

(KRW million)


	2007 1H		2006		2005
	(Jan.1~June 30)		(Jan.1~Dec.31)		(Jan.1~Dec.31)

Operating Revenue		1,799,272		2,003,752		1,718,950
Gain using the equity method of accounting		1,720,137		1,917,268		1,618,314
Interest income		78,743		79,151		95,812
Gain on Foreign Currency Transaction		92		5,838		3,451
Other income		300		1,495		1,373
Operating Expense		175,795		182,889		158,321
Loss using the equity method of accounting		2,888		—		1,047
Interest Expense		142,538		129,644		114,544
Loss on Foreign Currency Transaction		93		5,838		3,449
Commission Expense		97		269		124
SG&A Expense		30,179		47,138		39,157
Operating Income		1,623,477		1,820,863		1,560,629

Source and Use of Funds

Source of Funds

(KRW million)


	2007 1H				2006				2005
	(Jan.1~June 30)				(Jan.1~Dec.31)				(Jan.1~Dec.31)
	Average		Ratio		Average		Ratio		Average		Ratio
	Balance ¹⁾		(%)		Balance ¹⁾		(%)		Balance ¹⁾		(%)

Stockholders’ Equity		12,875,083		73.18		10,376,235		76.70		8,463,137		77.36
Capital Stock		2,258,180		12.84		2,170,758		16.05		2,100,646		19.20
Capital Surplus		5,767,161		32.78		4,360,100		32.23		3,846,957		35.16
Capital Adjustment		30,434		0.17		25,520		0.19		11,475		0.10
Comprehensive Income		1,182,294		6.72		840,704		6.21		345,178		3.16
Retained Earnings		3,637,014		20.67		2,979,153		22.02		2,158,881		19.73
Liabilities		4,717,549		26.82		3,152,497		23.30		2,477,425		22.64
Borrowings		4,364,729		24.81		2,769,824		20.47		2,230,681		20.39
Other liabilities		352,820		2.01		382,673		2.83		246,744		2.26

Total		17,592,632		100.00		13,528,732		100.00		10,940,562		100.00


1)		The Average Balance was calculated by averaging the ending balance of each quarter.

Use of Funds

(KRW million)


	2007 1H				2006				2005
	(Jan.1~June 30)				(Jan.1~Dec.31)				(Jan.1~Dec.31)
	Average		Ratio		Average		Ratio		Average		Ratio
	Balance ¹⁾		(%)		Balance ¹⁾		(%)		Balance ¹⁾		(%)

Investments on equity stock		15,607,575		88.71		11,646,253		86.09		9,060,179		82.82
Shinhan Bank		9,721,661		55.26		8,997,565		66.50		7,591,397		69.39
LG Card		2,725,445		15.49		—		—		—		—
Shinhan Card		902,473		5.13		639,038		4.72		197,754		1.81
Good Morning Shinhan Securities		1,148,597		6.53		943,203		6.97		867,403		7.93
Shinhan Life Insurance		791,816		4.50		768,599		5.68		147,558		1.35
Shinhan Capital		184,153		1.05		170,264		1.26		139,108		1.27
Jeju Bank		71,119		0.40		66,809		0.49		57,606		0.53
Shinhan Credit Information		10,147		0.06		9,179		0.07		8,198		0.07
Shinhan Private Equity		9,174		0.05		8,987		0.07		9,300		0.09
Shinhan BNP Paribas ITMC		24,367		0.14		24,152		0.18		23,139		0.21
SH&C Life Insurance		18,113		0.10		17,322		0.13		14,879		0.14
Shinhan Macquarie FA		510		0.00		1,135		0.01		1,641		0.01
E-Shinhan		—		—		—		—		2,197		0.02
Loans		1,171,966		6.66		1,299,633		9.61		1,667,537		15.24
Premises and Equipment		784		0.00		959		0.01		1,296		0.01
Cash Deposit in bank		639,005		3.63		422,201		3.12		177,313		1.62
Other Assets		173,302		1.00		159,686		1.18		34,237		0.31
Total		17,592,632		100.00		13,528,732		100.00		10,940,562		100.00


1)		The Average Balance was calculated by averaging the ending balances of each quarter.

Other Financial Information

Group BIS Ratio

(KRW billion)


	2007 1H (E)

Aggregate Amount of Equity Capital (A)		15,781
Risk-Weighted Assets (B)		149,976
BIS Ratio (A/B) ¹⁾		10.5	%


1)		Following amendments in the Financial Holding Company Guidelines of the Financial Supervisory Commission, the Group BIS Ratio, rather than the Requisite Capital Ratio, is used as an index for measuring capital adequacy, beginning FY2007.

Won Liquidity Ratio

(KRW million)


	2007 1H			2006			2005

Won Assets due within 3 months (A)		426,285			605,415			341,547
Won Liabilities due within 3 months (B)		237,007			248,661			332,746
Won Liquidity Ratio (A/B) ¹⁾		179.86	%		243.47	%		102.65	%


1)		Under the guidelines issued by the Financial Supervisory Commission, we, at the holding company level, are required to maintain a Won liquidity ratio of no less than 100%.

Liabilities to Equity Ratio

(KRW million)


	2007 1H			2006			2005
Liabilities (A)		7,287,244			3,642,106			2,325,114
Equity (B)		16,691,154			11,361,526			10,137,017
Liabilities to Equity Ratio (A/B)		43.66	%		32.06	%		22.94	%

Capital Adequacy Ratio and Other Ratios of Certain Subsidiaries

(1)

BIS Capital Adequacy Ratio (%)¹⁾


	2007 1H		2006		2005
Shinhan Bank ²⁾		11.89		12.01		10.94
Jeju Bank		10.93		11.26		11.71


1)		The BIS Capital Adequacy Ratio is computed in accordance with the guidelines issued by the Financial Supervisory Commission for commercial banks. Under these guidelines, commercial banks are required to maintain a minimum capital adequacy ratio of 8%.

2)		The integrated Shinhan Bank was launched on April 1, 2006 and the figure for 2005 is of pre-merger Chohung Bank, the surviving entity.

(2)

Net Capital Ratio (%)


	June 30 2007		Mar.31 2007		Mar.31 2006
Good Morning Shinhan Securities		624.68		451.69		558.60


*		Net Capital Ratio is computed in accordance with the guidelines issued by the Financial Supervisory Commission for securities investment trust businesses. Under these guidelines, Good Morning Shinhan Securities is required to maintain a minimum net capital ratio of 100%.

(3)

Solvency Margin Ratio (%)


	June 30 2007		Mar.31 2007		Mar.31 2006
Shinhan Life Insurance		228.6		224.7		230.8


*		Under the guidelines issued by the Financial Supervisory Commission, Shinhan Life Insurance is required to maintain a minimum solvency margin ratio of 100%.

(4)

Adjusted Equity Capital Ratio (%)


	2007 1H		2006		2005
LG Card		38.96		34.25		25.55
Shinhan Card		15.50		17.47		17.68


*		The Adjusted Equity Capital Ratio represents the ratio of total adjusted shareholder’s equity to total adjusted assets and is computed in accordance with the guidelines issued by the Financial Supervisory Commission for credit card companies. Under these guidelines, Shinhan Card and LG Card are required to maintain a minimum adjusted equity capital ratio of 8%.

Non- Performing Loans of Certain Subsidiaries ¹⁾

(1)

Non- Performing Loans

(KRW million)


	June 30, 2007				Dec.31. 2006				Dec.31. 2005
	Balance of		NPL to total		Balance of		NPL to total		Balance of		NPL to total
	NPL		Loans (%)		NPL		Loans (%)		NPL		Loans (%)

Shinhan Bank ²⁾		817,953		0.64		729,655		0.62		531,349		1.15
Jeju Bank		20,791		1.03		13,120		0.74		16,287		1.15
LG Card ³⁾		433,257		5.12		493,236		6.05		544,705		8.22
Shinhan Card ³⁾		71,785		2.19		111,770		3.50		33,420		2.71

June 30, 2007

March 31, 2007

March 31, 2006

Balance of

NPL to total

Balance of

NPL to total

Balance of

NPL to total

NPL

Loans (%)

NPL

Loans (%)

NPL

Loans (%)

GMS Securities ³⁾

29,758

2.26

25,888

2.54

26,943

5.68


1)		Non-performing loans of banks are defined as those loans are past due more than 90 days or those are placed on non-accrual status according to the guidelines of the Financial Supervisory Commission.

2)		Figures for 2005 are of pre-merger Chohung Bank, the surviving entity.

3)		Under the guidelines of the Financial Supervisory Commission, every securities brokerage company and credit card company shall classify its loans into five categories: “normal,” “precautionary,” “substandard,” “doubtful” and “estimated loss.” Under the Group’s internal measures, non-performing loans of Good Morning Shinhan Securities, Shinhan Card, and LG Card includes loans classified as “substandard,” “doubtful,” and “estimated loss.”

(2)

Loan Loss Allowances & Write-offs for the period

(KRW million)


			Jan. 1, 2007~		Jan. 1, 2006~		Jan. 1, 2005~
			June 30, 2007		Dec. 31, 2006		Dec. 31, 2005
Shinhan Bank	Loan Loss	Domestic		2,069,040		1,911,843		905,000
	Allowance	Overseas		61,052		59,758		27,600
		Total		2,130,092		1,971,601		932,600
	Write-offs			49,072		160,636		571,500

Jeju Bank	Loan Loss	Domestic		34,023		26,313		25,329
	Allowance	Overseas		—		—		—
		Total		34,023		26,313		25,329
	Write-offs			1,764		8,325		19,145

LG Card	Loan Loss	Domestic		725,930		894,173		911,739
	Allowance	Overseas		—		—		—
		Total		725,930		894,173		911,739
	Write-offs			104,117		533,403		1,528,629

Shinhan Card	Loan Loss	Domestic		138,387		148,724		46,269
	Allowance	Overseas		—		—		—
		Total		138,387		148,724		46,269
	Write-offs			65,783		179,351		117,583


			Apr. 1, 2007~		Apr. 1, 2006~		Apr. 1, 2005~
			June 30, 2007		Mar. 31, 2007		Mar. 31, 2006
GM	Loan Loss	Domestic		34,012		30,776		28,900
Shinhan Securities	Allowance	Overseas		—		—		—
		Total		34,012		30,776		28,900
	Write-offs			—		1,117		2,300

3. Independent Auditor

Audit Opinion for the last 3 years


	2007 2Q	FY 2006	FY 2005
Audit Opinion	—	Unqualified	Unqualified

Compensation to the Independent Auditor for Audit and Review Services

The following is a description of the fees for audit and review services performed by our independent auditor for the last three years in connection with our financial statements prepared in accordance with generally accepted accounting principles in Korea.


		Payment			Working
Year	Auditor	(KRW mil.)		Details	hours

2007 1H	KPMG Samjong Accounting Corp.	341 (annual)		Review/Audit of Financial Statements	1,480 hours

	KPMG Samjong Accounting Corp.		399	Review of Financial Statements related to accounting treatment of LG Card acquisition	2,755 hours

2006	KPMG Samjong Accounting Corp.		304	Review/Audit of Financial Statements	3,150 hours

2005	KPMG Samjong Accounting Corp.		288	Review/Audit of Financial Statements	3,073 hours

4. Directors, Executive Officers and Employees

Directors and Executive Officers

1) Executive Directors

2) Non-Executive Directors

Currently, 13 non-executive directors are in office, of which 12 members are outside directors, nominated by our Outside Director Recommendation Committee and appointed pursuant to the approval of general shareholders’ meeting on March 20, 2007.

Our non-executive directors are as follows:


		Outside
Name	Date of Birth	Director	Sub-Committees	Service Term

Sang Hoon Shin	July 1, 1948	X	—	1 year starting from March 20, 2007

Si Jong Kim	Apr. 16, 1937	O	—	1 year starting from March 20, 2007

Young Woo Kim	May 1, 1952	O	Audit Committee member	1 year starting from March 20, 2007

Byung Hun Park	Sept. 10, 1928	O	Board Steering Committee member	1 year starting from March 20, 2007

Yong Woong Yang	Aug. 4, 1948	O	—	1 year starting from March 20, 2007

Haeng Nam Chung	Mar. 15.1941	O	—	1 year starting from March 20, 2007

Young Hoon Choi	Nov. 8, 1928	O	—	1 year starting from March 20, 2007

Philippe Reynieix	Jun. 24, 1949	O	Risk Management Committee member	1 year starting from March 20, 2007

			Board Steering Committee member
Pyung Joo Kim	Feb. 6, 1939	O	Risk Management Committee Head	1 year starting from March 20, 2007
			Compensation Committee member

			Board Steering Committee member
Shee Yul Ryoo	Sept. 5, 1938	O	Risk Management Committee member	1 year starting from March 20, 2007
			Compensation Committee Head

Yoon Soo Yoon	Mar. 5, 1946	O	Audit Committee member	1 year starting from March 20, 2007
			Compensation Committee member

Sang Yoon Lee	Sept. 13, 1942	O	Audit Committee member	1 year starting from March 20, 2007
			Compensation Committee member

Sung Bin Chun	Jan. 21, 1953	O	Audit Committee Head	1 year starting from March 20, 2007
			Compensation Committee member

For personal profiles of the outside directors, please refer to our Form 6-K filed on February 21, 2007.

3) Executive Officers

In addition to the executive directors, we currently have the following executive officers:


Name	Date of Birth	Position	In charge of

Jae Woo Lee	July 2, 1950	Deputy President	General Affairs Team, Business Management Team, Credit Card Business Support Team

Jae Woon Yoon	July 22, 1951	Deputy President	Synergy Management Team, Information & Technology Planning Team, Risk Management Team, Audit & Compliance Team

Buhmsoo Choi	August 8, 1956	Deputy President and Chief Financial Officer	Finance Management Team, Investor Relations Team, Strategic Planning Team, Public Relations Team

Stock Options (as of August 7, 2007)


		Number of Changes
		No. of		No. of Exercised		No. of Cancelled		No. of Exercisable
Guarantee		Granted Options		Options		Options		Options
Granted in 2002	Management, Head of Department		864,576		490,626		0		373,950
Granted in 2003	Management, Head of Department		1,020,416		536,649		11,600		472,167
Granted in 2004	Management, Head of Department		1,258,923		469,284		15,200		774,439
Granted in 2005	Management, Head of Department, Outside Directors		2,620,331		0		251,300		2,369,031
Granted in 2006	Management, Head of Department, Outside Directors		3,296,200		0		166,800		3,129,400
Granted in 2007	Management, Head of Department, Outside Directors		1,301,050		0		0		1,301,050

	Total		10,361,496		1,496,559		444,900		8,420,037

Employees

(As of June 30, 2007)

Total Salaries and wages

Average Payment

Number of

paid in 1H 2007

per person

Employees

Average length of Service

(KRW million)

Male

2 yrs 7 mths

3,393

Female

3 yrs 2 mths

298

Total

103

2 yrs 10 mths

3,691

Directors and Officers Liability Insurance (for SFG and subsidiaries)


Name of Insurance	Insurance Premium	Insured Amount	Insurance Period
Directors and Officers Liability Insurance	KRW 592 mil. (annual)	Up to KRW 50 bil.	April 1, 2007~ March 31, 2008


*		Of the total insurance premium (KRW 592 mil.), KRW 121 mil. was paid by SFG, and the remaining amount, by its subsidiaries

5. Activities of Board of Directors and sub-committees during 2007 2Q

1) Meetings of Board of Directors


Date	Agenda
May 28, 2007	1. Alteration of 2007 Group Business Plan	Approved

	2. Tender Offer and small scale share swap for 100% ownership of LG Card	Approved

	3. Funding for LG Card tender offer and financial support for subsidiaries - Approval for corporate bond issuance and other borrowings	Approved

	4. Establishment of overseas subsidiary of Shinhan Bank - Approval for incorporation of Shinhan Bank’s overseas subsidiary in Cambodia and China as an indirect subsidiary of SFG	Approved

	5. Redemption of redeemable preferred shares - Redemption of redeemable preferred shares due in August 2007 (issued in relation to the acquisition of Chohung Bank)	Approved

	6. Appointment of non-director management - Buhmsoo Choi, Deputy President	Approved
*2) Board Steering Committee*

Date	Agenda
May 28, 2007	1. Appointment of Board Steering Committee Head
	- Eung Chan Ra	Approved

	2. Deliberation of non-director management	Approved
	- Buhmsoo Choi, Deputy President
*3) Risk Management Committee*

Date	Agenda
May 28, 2007	1. Appointment of Risk Management Committee Head - Pyung Joo Kim	Approved

	2. Alteration of Good Morning Shinhan Securities’ risk limits by type and LG Card’s Minimum Equity Capital Ratios for 2007	Approved

	* Reporting item: Status of the Group’s Capital Adequacy Ratios and Risk Limit
*4) Meetings of Audit Committee*

Date	Agenda
April 18, 2007	1. Appointment of Audit Committee Head - Head: Sung Bin Chun	Approved

	2. Approval of K-GAAP audit remuneration	Approved

	3. Audit contract related to accounting treatment related to LG Card - Approved contract with Samjung	Approved

	4. Ratification of the Company and its Subsidiaries’ Non-audit Contracts - Audit of reports filed to Hong Kong’s local Financial Authorities (Shinhan Bank’s Hong Kong Branch - Samjung)	Approved

June 26, 2007	1. Ratification of subsidiaries’ audit and non-audit contracts - Draft Comfort Letter in relation to foreign bond issuance (Shinhan Card-Samjong) - Audit of special accounts (Shinhan Life-Samjong) - Consulting services relating to tax audits by US tax authorities (New York Branch, Shinhan Bank -Samjong)	Approved

5) Compensation Committee


Date	Agenda
June 26, 2007	1. Appointment of Compensation Committee Head - Shee Yul Ryoo	Approved

	2. Alteration of 2007 Group KPI Target	Approved

	3. Re-establishment of executive MBO for 2007	Approved

6. Market Price Information of our Common Shares and ADRs

Common Share Traded on the Korea Exchange

(KRW, number of shares)


		Jan. 2007		Feb. 2007		Mar. 2007		Apr. 2007		May 2007		June 2007
Price per share
	High		49,900		57,800		57,100		56,600		57,300		59,200
	Low		45,450		51,500		51,800		52,100		50,600		54,600
Trading Volume			23,229,216		48,203,956		24,411,554		27,055,056		34,202,457		46,235,370

American Depositary Shares traded on the New York Stock Exchange

Shinhan Financial Group listed its American Depositary Shares on the New York Stock Exchange on September 16, 2003.

(USD, number of shares)


		Jan. 2007		Feb. 2007		Mar. 2007		Apr. 2007		May 2007		June 2007
Price per share
	High		106.73		123.65		122.39		122.75		123.06		129.90
	Low		96.75		110.25		106.99		112.16		110.08		119.49
Trading Volume			575,100		896,200		694,800		511,500		477,100		632,600

7. Related Party Transactions

Loans to Subsidiaries

(As of June 30, 2007, Unit: KRW 100 million)


		Origination		Maturity		Funding			Lending			Beginning						Ending
Subsidiary	Loan Type	Date		Date		Rate			Rate			Balance		Increase		Decrease		Balance
Shinhan Capital	Loans in KRW		2002-03-29		2007-04-04		7.47	%		8.12	%		200		—		200		—
Shinhan Capital	Loans in KRW		2002-07-29		2007-07-29		6.30	%		6.65	%		200		—		—		200
Shinhan Capital	Loans in KRW		2002-11-21		2007-11-21		5.88	%		6.18	%		200		—		—		200
Shinhan Capital	Loans in KRW		2002-12-16		2007-12-16		5.96	%		6.22	%		200		—		—		200
Shinhan Card	Loans in KRW		2003-04-23		2009-04-23		5.47	%		6.28	%		1,000		—		—		1,000
Shinhan Capital	Loans in KRW		2003-06-24		2008-06-24		5.69	%		5.95	%		300		—		—		300
Shinhan Capital	Loans in KRW		2003-07-24		2008-07-24		5.87	%		6.13	%		200		—		—		200
Shinhan Capital	Loans in KRW		2004-03-24		2009-03-24		5.11	%		5.93	%		200		—		—		200
Shinhan Capital	Loans in KRW		2004-03-24		2007-03-24		4.76	%		5.16	%		300		—		300		—
Shinhan Capital	Loans in KRW		2004-06-25		2009-06-25		0.0493			0.0522			500		—		—		500
Shinhan Capital	Loans in Foreign Currency		2004-07-15		2007-06-15	3M Libor + 0.70		%	3M Libor + 0.90		%		372		—		372		—
Shinhan Capital	Loans in KRW		2005-01-31		2008-01-31		4.21	%		4.58	%		300		—		—		300
GMSH Securities	Loans in KRW		2005-01-31		2010-07-31		4.59	%		5.25	%		700		—		—		700
Shinhan Card	Loans in KRW		2005-03-18		2007-03-18		4.13	%		4.49	%		500		—		500		—
Shinhan Card	Loans in KRW		2005-03-18		2008-03-18		4.23	%		4.54	%		500		—		—		500
Shinhan Capital	Loans in KRW		2005-03-18		2007-03-18		4.23	%		4.49	%		500		—		500		—
Shinhan Capital	Loans in KRW		2005-05-09		2008-05-09		3.99	%		4.33	%		500		—		—		500
Shinhan Capital	Loans in KRW		2005-12-16		2008-12-16		5.48	%		5.67	%		400		—		—		400
Shinhan Card	Loans in KRW		2006-01-24		2009-01-24		5.24	%		5.41	%		500		—		—		500
Shinhan Capital	Loans in KRW		2006-01-24		2009-01-24		5.24	%		5.41	%		500		—		—		500
Shinhan Card	Loans in KRW		2006-02-27		2009-02-27		5.07	%		5.23	%		1,000		—		—		1,000
Shinhan Card	Loans in KRW		2006-04-24		2009-04-24		5.09	%		5.22	%		1,000		—		—		1,000
GMSH Securities	Loans in KRW		2006-07-31		2012-01-31		5.16	%		5.64	%		1,000		—		—		1,000
Shinhan Capital	Loans in KRW		2006-09-26		2011-09-26		4.91	%		4.99	%		500		—		—		500
Shinhan Capital	Loans in Foreign Currency		2006-12-29		2009-12-29	3ML+0.25%			3ML+0.38%				279		—		279		—
Shinhan Capital	Loans in KRW		2007-03-23		2012-03-23		5.28	%		5.48	%		—		500		—		500
Shinhan Capital	Loans in KRW		2007-04-13		2010-04-13		5.24	%		5.38	%		—		500		—		500
Shinhan Capital	Loans in KRW		2007-06-08		2012-06-08		5.54	%		5.95	%		—		500		—		500
Shinhan Private Equity	Loans in KRW		2007-06-28		2008-06-27		5.31	%		5.51	%		—		50		—		50
													11,851		1,550		2,151		11,250

Exhibit 99 Independent Accountant’s Review Report (Non Consolidated Financial Statements) of Shinhan Financial Group as of June 30, 2007

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.


		SHINHAN FINANCIAL GROUP CO., LTD.

		By /s/ Buhmsoo Choi Name: Buhmsoo Choi
		Title: Chief Financial Officer

Date : August 14, 2007