LG CEO resigns in wake of poor financial performance

Bon-joon Koo will be LG Electronics' new CEO

LG Electronics' CEO, Yong Nam, has resigned as the company's CEO as the company seeks to return to profitability.

Nam will be replaced by Bon-joon Koo, who is currently the CEO of LG International, the trading arm of LG. Koo will assume the role of LG Electronics' CEO on 1 October.

Koo has held senior management positions at multiple LG units. He was the first CEO in the LG Philips LCD joint venture, which then became LG Display. Koo played a key role in attracting investment of $US1.6 billion from Philips and in the establishment of the joint venture, LG said.

Nam has taken full responsibility for the current financial situation of LG Electronics, said an LG spokeswoman.

During the second fiscal quarter, LG Electronics' total sales tallied $US12.4 billion, dropping 0.7 per cent compared to the same quarter the previous year, while net profit declined by 33 per cent.

LG Electronics sells products including mobile handsets, home entertainment systems and appliances. While most of the company's divisions showed positive sales growth, the Mobile Communications group -- which includes smartphones -- recorded a year-over-year sales decline of 29.5 per cent, according to quarterly figures reported on July 28.

LG is the world's third-largest handset maker behind Nokia and Samsung. Earlier this month, Nokia announced that it would replace its CEO, Olli-Pekka Kallasvuo, with Stephen Elop, who headed Microsoft's business software group.

Join the newsletter!

Or

Sign up to gain exclusive access to email subscriptions, event invitations, competitions, giveaways, and much more.

Membership is free, and your security and privacy remain protected. View our privacy policy before signing up.

Error: Please check your email address.

Tags business issuespersonnelLG Electronics

Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.

Agam Shah

IDG News Service
Show Comments

Cool Tech

Toys for Boys

Family Friendly

Stocking Stuffer

SmartLens - Clip on Phone Camera Lens Set of 3

Learn more >

Christmas Gift Guide

Click for more ›

Brand Post

Most Popular Reviews

Latest Articles

Resources

PCW Evaluation Team

Aysha Strobbe

Microsoft Office 365/HP Spectre x360

Microsoft Office continues to make a student’s life that little bit easier by offering reliable, easy to use, time-saving functionality, while continuing to develop new features that further enhance what is already a formidable collection of applications

Michael Hargreaves

Microsoft Office 365/Dell XPS 15 2-in-1

I’d recommend a Dell XPS 15 2-in-1 and the new Windows 10 to anyone who needs to get serious work done (before you kick back on your couch with your favourite Netflix show.)

Maryellen Rose George

Brother PT-P750W

It’s useful for office tasks as well as pragmatic labelling of equipment and storage – just don’t get too excited and label everything in sight!

Cathy Giles

Brother MFC-L8900CDW

The Brother MFC-L8900CDW is an absolute stand out. I struggle to fault it.

Luke Hill

MSI GT75 TITAN

I need power and lots of it. As a Front End Web developer anything less just won’t cut it which is why the MSI GT75 is an outstanding laptop for me. It’s a sleek and futuristic looking, high quality, beast that has a touch of sci-fi flare about it.

Emily Tyson

MSI GE63 Raider

If you’re looking to invest in your next work horse laptop for work or home use, you can’t go wrong with the MSI GE63.

Featured Content

Product Launch Showcase

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?