CJ 70th Anniversary... Chairman Lee Jae-hyun: "Once Again, the 'Only One Spirit'"

"Group Growth Stagnation... A Desperate Determination to Succeed"
In a Private Strategy Meeting, Management Urged to Take 'Responsibility'
Memorial Event Held for Late Advisor Son Bok-nam on 1st Anniversary

"In a situation where group growth has stagnated, the responsibility to reaffirm the 'ONLYONE spirit' is more important than ever."

On the 5th, CJ Group Chairman Lee Jae-hyun emphasized this during the 'ONLYONE Reconstruction Strategy Meeting' recently held at the CJ Human Resources Development Center in Jung-gu, Seoul, commemorating the group's 70th anniversary. He urged the heads and executives of major affiliates to "have a desperate determination to succeed." The closed-door strategy meeting was attended by about 30 representatives and executives of group affiliates, including Kim Hong-gi, CEO of CJ Corporation, who pledged to overcome the group's crisis and achieve a new leap forward.

Lee Jae-hyun, Chairman of CJ Group, is delivering a greeting on behalf of the bereaved family at the first anniversary memorial service for the late Advisor Son Bok-nam, held on the morning of the 3rd at the CJ Human Resources Center in Pildong, Jung-gu, Seoul.
[Photo by CJ Group]

The ONLYONE spirit is a management philosophy advocated by Chairman Lee. CJ CheilJedang, the group's origin, entered a new phase after declaring independent management from Samsung Group in 1993 and launching the CheilJedang Group in 1996. The core value pursued at that time was ONLYONE. It embodies the meaning of creating products that are 'The First,' 'The Differentiation' (the only one in the world), and 'The Best.'

CJ Group is struggling with sluggish domestic consumption due to global inflation, cost burdens, and intense competition across businesses. For example, CJ CheilJedang, the group's mainstay, is experiencing poor performance as its bio-material business, including lysine, faces difficulties. The securities industry forecasts CJ CheilJedang's operating profit for the third quarter of this year at 379.2 billion KRW, a 21.7% decrease compared to the same period last year. Sales are expected to decline by 4.2% to 7.6754 trillion KRW during the same period. Another core affiliate, CJ ENM, is also facing sluggish performance in its media platform, film and drama, and commerce businesses. The synergy with the ambitiously acquired U.S. production company Fifth Season has been slow, leading to an expected operating loss of 21.2 billion KRW in the third quarter. Sales are also forecasted to decrease by 8.7% to 1.076 trillion KRW compared to a year ago.

Lee Jae-hyun, Chairman of CJ Group, is offering flowers at the first anniversary memorial service for the late Advisor Son Bok-nam held on the morning of the 3rd at the CJ Human Resources Center in Pildong, Jung-gu, Seoul.
[Photo by CJ Group]

Chairman Lee appears to have reiterated the group's core values on the occasion of the 70th anniversary to emphasize the urgency of overcoming the crisis and returning to the original spirit. November 5th marks the day when CJ CheilJedang first started producing sugar in Busan in 1953. Since Samsung founder Lee Byung-chul designated this day as the founding anniversary, CJ Group has also consistently commemorated this day as its founding day.

That day was also the first anniversary of the passing of Chairman Lee's mother, the late Son Bok-nam, an advisor to CJ Group. CJ Group held a memorial service attended by family members including Chairman Lee, Lee Mi-kyung, Vice Chairwoman of CJ ENM, Lee Jae-hwan, Chairman of Jaesan Holdings, the eldest grandson Lee Seon-ho, Head of Food Growth Promotion at CJ CheilJedang, granddaughter Lee Kyung-hoo, Head of Brand Strategy at CJ ENM, and Son Kyung-sik, Chairman of CJ Group.

Chairman Lee expressed during the late Son's lifetime, "Mother was the shipowner, and I am the captain," emphasizing her significant contribution to the birth and growth of CJ Group. On this day, CJ Group dedicated the main education hall at the CJ Human Resources Development Center as the 'Son Bok-nam Hall' and decided to use it as a space to propagate the entrepreneurial spirit inherited from the late, including 'humility (謙虛).' This location is situated on the site where Chairman Lee spent his childhood with the late. Previously, in 2003, CJ Group opened the CJ Human Resources Development Center, Korea's first urban training center, on the space donated by Son Bok-nam for talent development, nurturing the group's future leaders.

A CJ Group official explained, "Considering the severe management situation, the event was held privately with the purpose of reaffirming the management philosophy of the late, who contributed to CJ Group's growth throughout her life, and the previous generation chairman, to strengthen the foundation."