Yi Whan-woo is a Korea Times journalist primarily covering finance. He writes in-depth articles on macroeconomy and financial markets and previously covered sports, politics, diplomacy and inter-Korean affairs, among others. Feel free to contact him at yistory@koreatimes.co.kr.
Samsung’s financial units focus on transformation in year-end reshuffle
Major financial units of Samsung Group are apparently opting for transformation over stability, by replacing their respective CEOs in year-end executive reshuffles despite their contributions to improving earnings.
Samsung Life Insurance CEO nominee Hong Won-hak / Yonhap
By Yi Whan-woo
According to industry sources, Sunday, Samsung Life Insurance nominated Samsung Fire & Marine Insurance CEO Hong Won-hak as its next leader.
Hong will replace CEO Park Jong-moon, who was assigned to lead Samsung Securities.
As Hong’s successor at Samsung Fire & Marine Insurance, the firm’s Vice President Lee Moon-hwa was promoted to fill the top post.
The reshuffle comes as the three financial business arms of Samsung fared well this year.
Samsung Life Insurance reported a cumulative net income of 1.45 trillion won in the first three quarters of this year, up 72.7 percent from a year earlier.
The net income in the January-September period totaled 151 billion won for Samsung Securities, up 28.9 percent year-on-year, while that of Samung Fire & Marine Insurance increased 27 percent to 1.64 trillion won.
“The profits achieved by the three companies shows that the firms still do not want to be content with such success and want to stimulate change,” a source said.
The sources said each of the three nominees are expected to “push their respective firms to achieve more considering they are all qualified for new their new jobs.”
All three candidates joined Samsung in 1990. Hong and Park started their careers at Samsung Life Insurance, while Lee did so at Samsung Fire & Marine Insurance.