Press Release

03/11/2004

LG Electronics Establishes North American Headquarters; Ahn Appointed CEO, LG Electronics USA, Inc.

Move Leverages Brand Strengths Across Key Product Categories, Enhances Efficiencies, Maximizes Synergies

Move Leverages Brand Strengths Across Key Product Categories, Enhances Efficiencies, Maximizes Synergies

LAS VEGAS, Jan. 7, 2004 - In a sweeping reorganization of its business units in the United States, LG Electronics, Inc. is establishing a new North American headquarters, combining its core business groups under one senior executive. LG Electronics Vice Chairman and CEO S.S. Kim has appointed 28-year LG veteran Michael Ahn as president and CEO, LG Electronics USA, Inc.

"The United States is the world's largest digital market, and this new organization will maximize synergies across our various divisions, brands and operations as we position LG as a premium brand in the U.S.," Kim said.

LG Electronics' main business units in the United States - Digital Display & Media, Digital Appliances and Telecommunication Equipment & Handset - have reported to the heads of their respective divisions in Seoul. Now, these groups, as well as extensive LG Electronics' OEM businesses and service and support operations in the U.S. and Canada, will be consolidated under Ahn, based in Englewood Cliffs, N.J.

"Establishing LG Electronics' new North American headquarters will enhance operational efficiency, create a unified brand management structure, integrate our customer relationship management activities for key retailers, and maximize our advertising resources," Kim said, adding: "Michael Ahn is a talented executive who brings extensive global branding and local U.S. management experience to his new role as head of LG Electronics USA."

Most recently Executive Vice President in charge of worldwide sales for LG's Digital Appliance Company, Ahn has extensive experience in sales, marketing, service, and operations for various divisions, including eight years as a senior executive in the U.S.

Following graduation from Korea University with a bachelor's degree in business administration, Ahn joined LG Electronics in'76. He served as president of LG Electronics' German subsidiary for four years in the'80s. His first U.S. assignment was vice president for OEM sales from'91-95. He was senior vice president of service and operations for Zenith (now an LG subsidiary) from'96-98.

Enthusiastic about returning to the United States, Ahn said, "I am honored to be chosen to lead the talented North American team for LG Electronics, capitalizing fully on marketing and technology synergies across all business groups. We have significant opportunities for growth as we launch LG-branded digital video products, continue the momentum of our popular Zenith digital brand, and further expand the reach of LG-branded mobile phones and digital appliances in the U.S. and Canada."

While Ahn's role is broader in scope because of the new operational integration in North America, he succeeds T.J. Lee as President and CEO of LG Electronics USA. Lee, having completed his three-year assignment to initiate the launch of the LG video brand and implement the digital strategy for LG's Zenith subsidiary, is returning to Korea for a new assignment. Ahn also will replace Lee on the Board of Directors of the Consumer Electronics Association.
LG Electronics, Inc. (Korea Stock Exchange: 6657.KS) was established in'58 as the pioneer in the Korean consumer electronics market. The company is a global force in electronics, information and communications products with more than 64,000 employees working in 76 overseas subsidiaries and marketing units around the world. LG Electronics comprises' three primary business companies: Digital Display & Media, Digital Appliance, and Telecommunication Equipment & Handset. LG Electronics' goal is to enable the intelligent networking of digital products that will make consumers' lives better than ever. For more information, please visit www.lgeus.com.

close