The Korea Times

S&P ups LG Chem’s corporate credit rating

By Kim Yoo-chul S&P rating agency has upgraded its corporate credit rating on LG Chem to A- from BBB+, citing its solid market position in the petrochemical, and information and electronic materials sectors. LG Chem now has the highest corporate credit rating among Korean petrochemical companies, according to the company. ``The outlook on the long-term corporate credit rating is stable. The upgrade reflects sustained improvements in LG’s financial risk profile, such as robust cash flow generation and lower leverage,’’ said Han Sang-yun at S&P, Thursday. The debt ratio of LG Chem was lowered to 63 percent as of the end of third quarter this year from 78 percent late last year. Meanwhile, it aims to earn 2.5 trillion won in operating profit for the whole of this year, up from 2.1 trillion in 2009, said LG Chem spokesman C.S. Song. S&P added LG’s relatively solid and stable profitability is due to its strong market position and well-diversified business portfolio, which both offset the cyclical industry risk to an extent, causing it to get a better-than-expected EBITDA

Nov 25, 2010By Kim Yoo-chul

Tech & Science

Kim speaks for Lee Kun-hee

By Kim Yoo-chul Kim Soon-taek, the head of the Samsung Group’s new “control tower” ― the Strategic Planning Office (SPO) ― said he was feeling a ``huge responsibility’’ to find the golden jackpot as to what will be the group’s new growth engines. In a regular weekly Wednesday meeting with the presidents of the group’s key affiliates, Kim said he is being tasked with coordinating the different interests between affiliates and to reach a strong consensus regarding future sources of revenue. ``Amid tougher business conditions, I feel a huge responsibility,’’ Kim was quoted as saying in a press briefing by chief Samsung spokesman Rhee In-yong. ``So far, Samsung Group has seen drastic external growth, which is exceptional in the history of industrial fields across the globe,’’ the Samsung vice chairman added. When asked about any signs given by Samsung Electronics Chairman Lee Kun-hee, Kim said, ``Chairman Lee thinks that now is not the time to be complacent.’’ The remarks come for the first time since Kim was appointed to lead the group’s revived top-decision making div

Nov 24, 2010By Kim Yoo-chul

Tech & Science

Why Lee Kun-hee chose Kim Soon-taek: New Samsung control tower is pathfinder

This is the first in a three-part series about recent changes within Samsung Group and the impact of such changes. ― ED. By Kim Yoo-chul After Samsung Group recently made an official announcement to revive its ill-reputed Strategic Planning Office, a group-wide control power, it raised questions ― whether Korea’s largest conglomerate would revert to its old ways. A significant number of suspicions were cleared when Kim Soon-taek, Samsung Electronics vice chairman, was appointed to take charge of it. Kim has been responsible for finding and fostering the group’s new growth engines. He is also credited with turning around the once loss-making plasma business by successfully launching AM OLED and battery businesses. He is nicknamed “task master,” according to Samsung officials. ``Although he has worked for Samsung all his working career, Kim is not a member of the old guard that is represented by a top-down command structure,” a senior Samsung executive, asking not to be identified. ``He is ready to ask subordinates on important issues and reflect them in a deci

Nov 24, 2010By Kim Yoo-chul

Tech & Science

STX signs $240 mil. vessel deal with India

By Kim Yoo-chul STX Dalian Shipyard, a subsidiary of STX Group, said Tuesday it has signed a $240 million contract with the state-owned Shipping Corp. of India (SCI) to build three containerships. The contract is the second the company has signed within a month. The latest deal is seen by many as a sign of recovery in the shipbuilding after a years-long slump, according to market analysts and company officials. Under the agreement, the Dalian shipyard will start to deliver the carriers in 2013, the group said in a press release. ``Global shipbuilding is showing signs of turnaround, raising hopes for additional contracts,’’ said a company spokesman. Demand for the latest container ships has recently increased. Market research firm AXS Alphaliner has claimed that the order book for containerships spiked in October following a decline of 27 months. The situation started to get better in June. The researcher said it will take some time for the industry to return to normal levels and added that it expects further containership deals to be signed before the end

Nov 23, 2010By Kim Yoo-chul

Tech & Science

Samsung frontman focuses on new biz

By Kim Yoo-chul Kim Soon-taek, newly appointed right-hand man of Samsung Group owner Lee Kun-hee, said Monday that his job was to develop and foster new growth engines for Korea’s largest group. ``My job as the new controlling tower is about finding new growth engines so as for Samsung to better prepare for its future as a viable business entity,” Kim told a group of reporters at the group headquarters in Seocho-dong, southern Seoul. Kim, a vice chairman who was responsible for new businesses, was appointed to take overall control of the group’s affairs in lieu of Samsung Electronics Chairman Lee Kun-hee. Kim’s clarification came amid speculation that Korea’s largest exporter is reviving its Strategy Planning Office, which was abolished two years ago. The defunct apparatus, which was under the control of Lee’s right-hand man Lee Hak-soo, was under fire for putting the group under Lee’s tight grip and promoting the chairman’s interest However, Kim denied this, saying that its purpose is not to control but plan ahead. Kim’s remarks echoed that by Samsung spoke

Nov 22, 2010By Kim Yoo-chul

Tech & Science

Koo promises major overhaul of LG

By Kim Yoo-chul LG Group Chairman Koo Bon-moo said Monday that the group will undergo a major overhaul of its core business structure, including a sweeping personnel reshuffle at the top. “We will go our own way,” Koo told reporters at the Westin Chosun Hotel, downtown Seoul, touching on problems facing the conglomerate’s flagship LG Electronics with regard to the smartphone business. “Our new growth businesses are doing well. A careful review is being conducted on next year’s business plan,” Koo said, adding that the reshuffle is due next month. LG Electronics has seen its bottom line hit hard due to its late start on smartphone marketing, among other issues. This triggered Koo to fire CEO Nam Yong and bring in his younger brother Bon-joon to head the affiliate. The younger Koo is already reorganizing the struggling electronics giant by realigning its business structure by creating new units and slimming down marketing-driven departments as a means to boost its competitiveness in strategic key markets. The elder Koo’s move was expected but came as a surprise, given

Nov 22, 2010By Kim Yoo-chul

Tech & Science

iPad to go on sale on Nov. 30

By Kim Yoo-chul KT, Apple’s Korean vendor, said Sunday that the iPad, Apple’s popular tablet PC, will go on sale on Nov. 30. Samsung Electronics has been selling its 7-inch tablet PC, Galaxy Tab, through SK Telecom since Nov. 14. KT will release all six models of Apple’s tablet PC. The carrier said that it has so far received some 60,000 pre-orders over the past week. “With a two-year contract and 2GB monthly data pricing packages, consumers can buy the 9.7-inch tablet with 16-gigabyte storage and 3G connectivity at 390,000 won ($345).” Those with pre-orders will receive the products from Nov. 30. KT is receiving pre-orders via its official on-line handset shopping mall, http://phonestore.co.kr, and its authorized “Qook & Show” outlets. KT expects to sell 200,000 iPads this year. Samsung expects the domestic sale of its Google-powered Galaxy Tab to exceed 150,000 by the end of November. LG Electronics plans to unveil its tablet PC, which is slightly bigger than Samsung’s Galaxy, early next year. SK Telecom is also talking with Apple to market iPads. LG

Nov 21, 2010By Kim Yoo-chul

Tech & Science

Top industrial fair offers chances for green Korean firms

By Kim Yoo-chul A leading industrial fair in Germany to be held next year has found a way to give more business chances to Korean companies oriented in green initiatives, according to a senior executive at the exhibition organizer said. Wolfgang Pech, senior vice president of Deutsche Messe, told The Korea Times that the forthcoming Hannover Messe 2011 trade show will work on energy-saving and eco-friendly technologies in line with the Korean government's green initiatives. "At the show, over 4,500 innovative products will be displayed. Issues such as better usage of materials and renewable energies will be other top priorities," Pech said. "Smart efficiency will be on the agenda at all 13 flagship fairs." He added that the show with the main theme of ``smart efficiency’’ will have such sub-themes of ``resource efficiency,’’ ``process efficiency,’’ and ``cost efficiency.’’ The high-profile event will run from April 4 to 8 in Hannover, Germany next year. The five-day show organizer has integrated 13 leading trade exhibitions in one place that will mainly feature in

Nov 16, 2010By Kim Yoo-chul

Tech & Science

Telecoms boost overseas ties

By Kim Yoo-chul Korea's major telecommunications firms are still "head-to-head" in seeking a greater share in the saturated market. As a strategy to shy away from the stalled growth and to seek for ``next revenue sources,’’ telecoms are leaning toward strengthened overseas partnerships amid the industry’s convergence moves. It’s been quite natural for SK Telecom, KT and LG Uplus to inject more of their needed resources for better tie-ups. On Monday, the nation’s top telecom company SK Telecom said it has expanded its ``roaming unlimited data services’’ to 12 Asian countries from Japan and China ― the move is seen as a ``firm signal’’ to seek increased penetration according to market watchers. Company spokeswoman Cindy Kang said its new telecom services are drawing more attention from customers in those countries and added it has further plans to introduce more. SK has recently formed a united front with a top-tier China-based PC maker ― Lenovo ― to offer its mobile content for smartphones manufactured by the Chinese maker, which is a part of its goal to boost its pr

Nov 15, 2010By Kim Yoo-chul

Tech & Science

LG Chem expecting GM-induced battery jolt

By Kim Yoo-chul LG Chem is bullish on its chances to successfully exploit the American attempts to jolt its industry for hybrid and electric cars, which appears to be opening new opportunities for its flourishing batteries business. The company already counts some of the world’s largest automakers as its clients, and General Motors (GM) could very much become its biggest spending customer, according to company sources. The Barack Obama administration has promised more than $11 billion in federal aid to help car and battery makers roll out a larger number of electric vehicles more quickly, and GM has been anticipating more demand for its Chevrolet Volt plug-in hybrid cars. LG Chem has been quickly establishing leadership in the global market for lithium-ion batteries for electric powered cars, and increasing orders from GM and other automakers has the company raising its sales targets over the next few years. ``By 2015, LG Chem will achieve 3 trillion won ($2.7 billion) in sales only in rechargeable batteries from the earlier projection of 2 trillion won,’’ said LG Ch

Nov 14, 2010By Kim Yoo-chul

Kim Yoo-chul

Read more

S&P ups LG Chem’s corporate credit rating

Kim speaks for Lee Kun-hee

Why Lee Kun-hee chose Kim Soon-taek: New Samsung control tower is pathfinder

STX signs $240 mil. vessel deal with India

Samsung frontman focuses on new biz

Koo promises major overhaul of LG

iPad to go on sale on Nov. 30

Top industrial fair offers chances for green Korean firms

Telecoms boost overseas ties

LG Chem expecting GM-induced battery jolt

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