Samsung Electronics Vice Chairman Lee Jae-yong will meet with the Compliance Monitoring Committee on the 12th. Ahead of Samsung Electronics’ founding anniversary on the 1st of next month, observers say it may be a preliminary work for the inauguration of the chairman.

Starting with Samsung Electronics’ Giheung Campus, Samsung Engineering, Suwon Campus, and Samsung SDS, as well as Mexico, Panama, and the United Kingdom, which have been actively participating in management with amnesty in August, seems to end with a visit to the law-abiding committee.As Vice Chairman Lee has led Samsung as vice chairman for 10 years since 2012, the business community recognizes that the inauguration of the chairman is a “only a matter of time.” Samsung is the only company among the heads of the four major groups that is not the chairman. It is known that he is likely to be promoted to chairman as early as the 1st of next month, at the latest through a regular shareholders’ meeting next year.

It is said that only Vice Chairman Lee’s decision remains inside and outside the business community. Vice Chairman Lee also expressed his intention that management performance comes before promotion. On his way back home on a business trip on the 21st of last month, he also replied to the question of the promotion of the chairman, saying, “I think it will be more important for the company to do well.”According to the business community on the 11th, Vice Chairman Lee is expected to attend a regular meeting of the Samsung Compliance Committee to be held at the Seocho office in Seoul on the 12th.The Compliance Committee is an independent compliance management monitoring organization outside Samsung, which was created by the order of the court, which was in charge of the remand hearing of Vice Chairman Lee’s manipulation of state affairs. The second phase was launched in February and “realization of ESG management through improved governance” was selected as one of the three major tasks. If Vice Chairman Lee and the Compliance Committee meet, discussions on the promotion of the chairman as well as the governance structure are expected to take place. Lee, who joined Samsung Electronics as a department manager in 1991, has been serving as vice chairman for 10 years since he was promoted to vice chairman in 2001 and December 2012. There are many voices for the inauguration of the chairman as he is free to participate in management due to the “8.15 Amnesty Lottery.” This presence was, on compliance to hold office for prospect that the reason can be.

The vice president has granted amnesty after Samsung Electronics Co. Giheung Campus r and semiconductors d the Suwon Samsung Electronics business, Global Engineering Center (gec), Samsung Electronics Complex as groundbreaking for a Samsung management hit the ground campus wide and looking for, such as Jamsil sds. And Mexico and Panama, the United Kingdom, and the Real Estate and overrun with. Bill Gates to visit Korea biraen, Melinda.Masayoshi Son, Softbank chairman, to meet the Gates Foundation. The Songdo, Incheon, Korea, Samsung baiorojiksseu find production facilities and to encourage employees. With positive feedback from staff, as well as positive in this opinion, the chairman of the vice chairman. Giheung-gu, Yongin-si, Gyeonggi-do, Gyeonggi Province, with 19 first foreign lottery move is vice chairman of Samsung Electronics Lee Jae-yong campus in semiconductor r The last to attend the ceremony a groundbreaking ceremony for the complex and d.

The Samsung vice president for a long time, the financial sector representatives that there is no reason to delay the inauguration as president. In particular, the second half of this year increasing uncertainty management of this on the vice president, a situation where there is a growing should be a breakthrough in the voice.

In addition, the four owners is the vice president only not as chairman of the group. Chung Eui-sun past 2020, Hyundai Automotive Group Chairman Chung Mong-koo, chairman emeritus of the business his father, Choi Jong-Hyun, 1998, is a step back from the front lines, Chairman Chey Tae-won sk, take a week after death, the. L.G Group also took office a month after the death of its chairman, Koo Kwang-mo.An official at the business community “The notice, president of the vice chairman, is of the aftermath” he said, “At stake is his time” he said.Samsung Electronics Co. as early as next month, 1st birthday is cited as a periodic personnel the president of the possibility of December. Starting next March, the Board of Directors and shareholders through the registration of rising executives, the Chairman to hold the title is also being raised in the decree.”In the end, Vice Chairman Lee should make the final choice,” a business official said.

JULIE KIM

ASIA JOURNAL

At the annual shareholders meeting attended by 502 registered retail and institutional investors, four agenda items were proposed by the board of directors and approved by the shareholders.

As widely expected, Samsung’s heir apparent Lee Jae-yong did not attend the meeting, remaining out of the public eye for six weeks since he was released from jail.

The agenda included approval of the full-year financial statement, the election of members to the board of directors, wage increases for directors and amendments to the articles of incorporation for a stock split, which were announced earlier this year.

In 2017, the tech giant returned 9.2 trillion won ($8.46 billion won) to shareholders through share buybacks and cancellation. It plans to pay out a total of 5.8 trillion won in annual dividends. In addition, the company canceled half of its treasury shares last year.

Samsung will focus on delivering shareholder value by increasing dividends from 2018 to 2020, said Kwon Oh-hyun, chairman of the board of directors.

“We decided on the 50 to 1 stock split in order to improve accessibility and liquidity of the shares,” Kwon said. “We hope the plan helps boost trading of the stocks and more individuals become invest in Samsung shares”

Board Chairman Kwon Oh-hyun speaks during the shareholders’ meeting on Friday. (Samsung Electronics)

The company’s board of directors also proposed the appointments of three new independent directors and four executive directors, following last year’s leadership changes.

Upon shareholders’ approval, President and former Chief Financial Officer Lee Sang-hoon has been elected to the board, taking the role of board chairman and succeeding Chairman Kwon.

This will mark the first time for Samsung Electronics to separate the board chairman and the chief executive officer roles, Kwon said.

“The separation will further empower the board of directors and enhance its independence,” he said. “The board will be able to evaluate the company’s performance more objectively and have greater authority and efficiency as a decision making body.”

The heads of Samsung’s three divisions — Presidents Kim Ki-nam (device solutions), Kim Hyun-suk (consumer electronics), and Koh Dong-jin (IT and mobile communications) — were also nominated to join the board.

The board’s independent director recommendation committee has nominated three new candidates for election, including Kim Jeong-un, Kim Sun-uk and Park Byung-gook.

The total number of Samsung’s board members has increased to 11 from nine.

Kwon Oh-hyun, chairman of the board of directors, speaks at the shareholders’ meeting held in Seoul on Friday. (Samsung Electronics)

“I believe this is the right time for a younger leadership to take the helm of the company to better respond to a rapidly changing global IT industry,” Kwon said. “I sincerely hope that our shareholders will continue to show unwavering interest and support our new management team.”

It was the last meeting presided over by Kwon as he stepped down from the vice chairman and board chairman posts last year.

Before the agenda was proposed, the CEOs of each division unveiled their plans for this year.

Device solutions CEO Kim Ki-nam pledged to focus on maintaining the technological gap between Samsung and emerging Chinese players.

Consumer electronics CEO Kim Hyun-suk highlighted the division’s plan to focus on providing large-size QLED TVs and keep its top position in the global premium market.

IT and mobile communications CEO Koh Dong-jin said the smartphone unit’s goal would be to achieve meaningful innovations to further strengthen its leadership in the market.

By Song Su-hyun (song@heraldcorp.com)

“We are in works with Samsung and studying to use their technologies like mobile connectivity,” he told The Korea Herald.

Boeing 787 models (Boeing)

“Korea’s global leadership in high-speed mobile technology and next-generation information systems are just a few examples of areas we continue to explore together. We continue to work closely with them to research technologies that can be introduced on our airplanes,” he said, without elaborating on details of the joint study.

Boeing has been pursuing cooperation with diverse companies to develop future aviation systems and passengers’ in-flight experience.

In 2012, Boeing and Samsung signed a partnership to develop entertainment and communication technologies inside aircraft, such as by using Samsung’s electronic devices like the Galaxy Tab for displays.

It is the first time Boeing has hinted at its technical cooperation with Samsung for future aircraft.

“As airplanes become more systemic in terms of fly-by-wire, there will be a number of areas where next-generation technology can continue to play a vital role in commercial aviation, both from an operations standpoint as well as inside the cabin for passengers,” he added. Fly-by-wire refers to a semiautonomous and typically computer-regulated system for controlling the flight of an aircraft.

Samsung Electronics said it has no knowledge of such a project.

Industry watchers said that Samsung’s advanced technologies, such as wireless communications and mobile connectivity, could be crucial in developing in-flight wireless technology.

“While aircraft safety has not been tested (on the impact of mobile connectivity to the navigation system), such technologies could be extended to enhance the in-flight entertainment system and directly impact passengers’ flight experience. This is the area where Samsung can play a pivotal role,” said Yoo Chang-kyung, a professor of aerospace engineering at Inha University.

He added that Korean IT could be used to develop the next-generation fly-by-wire system, once pilotless planes become subject for commercialization.

Another industry insider echoed the view that such wireless technology could change the contents of cabin services.

“Passengers could watch visual contents in real time and credit card transactions for duty-free items could be done more conveniently,” said an engineer at a South Korean air carrier.

Meanwhile, despite the expanding low-cost carrier market and increasing popularity of single-aisle aircraft for short-distance flights, Boeing said its wide-bodied 787 models have seen growing demand.

Boeing 787 Dreamliners are designed for fuel efficiency and have low maintenance costs, using no-bleed engine architecture and raked wingtips equipped with low-noise chevrons. They can fly up to 14,140 kilometers at 25 percent fuel savings. The windows are electronically dimmable, and also 40 percent larger than those of European rival Airbus’s A350.

According to Boeing, its 787 planes are leading the market. It had received 1,319 orders from 71 customers as of last month. Deliveries will surpass 650 this month, the American aircraft maker said.

“Figures show that 787 is the ‘perfect platform’ for airlines — especially popular in the Asia market, which is the world’s largest wide-body market. (The) 787 has the efficiency of single-aisle planes and the capacity of wide-body models,” said Darren Hulst, senior managing director of market analysis and sales support for Boeing.

According to Boeing, the Korean aviation industry has showed a gradual increase in recent years, significantly driven by the operation of LCCs.

Boeing data showed that since 2012, the portion of LCCs in the Korean market saw an annual growth rate of at least 9 percent.

Meanwhile, the global share of LCCs hit 31 percent in 2017, an increase of more than 10 percent over a decade.

By Kim Da-sol (ddd@heraldcorp.com)