Jung Ho-young Retains Position as LG Display President... Plans to Reassign Personnel to Affiliates (Comprehensive)

Reappointment Decision at Board Meeting on the Morning of the 23rd
Signal for Business Restructuring

Jung Ho-young, President of LG Display.
[Photo by LG Display]

[Asia Economy Reporter Han Ye-ju] Jung Ho-young, CEO of LG Display, has been reappointed. This reflects the assessment that Jung's role as a 'financial expert' has become even more important for LG Display, which is struggling to secure financial soundness amid the global economic downturn. Jung is expected to begin a full-scale business restructuring going forward.

According to the industry on the 23rd, LG Display held a board meeting that morning and decided to reappoint CEO Jung.

Jung joined LG Electronics in 1984 and has served as CFO at major affiliates within the group, including LG Household & Health Care and LG Chem, earning a reputation as a 'financial expert.' He was appointed CEO of LG Display through the shareholders' meeting in March 2020.

LG Display posted a cumulative operating loss of 1.2093 trillion KRW through the third quarter of this year, due to sluggish demand and falling product prices. Accordingly, the company decided to advance the planned domestic production termination of low-profitability liquid crystal display (LCD) TVs by six months to one year earlier than originally scheduled next year, and to restructure its business around organic light-emitting diode (OLED) technology.

LG appears to have judged that CEO Jung Ho-young's role is significant in reorganizing the core business, which is inevitably facing deteriorating performance, and expanding future growth engines. Previously, Jung stabilized the financial structure by discovering funding methods with low interest burdens and laid the groundwork for LG Display's return to profitability during the market recovery period.

Meanwhile, LG Display has begun actively trimming excess personnel by promoting the transfer of some employees to affiliates. On the same day, an email was sent to employees informing them about the application process for transfer placements. Recipients of the email can apply for transfer placements to other affiliates such as LG Energy Solution, LG Electronics, and LG Chem according to their preferences.

The transfer placement period is expected to be from the end of this year to early next year. The exact number is flexible depending on applications but is estimated to be around 200 to 300 people.