KEPCO to Step Up
Overseas Presence

New CEO Lee specifies management goals during his inauguration

Lee Won-gul, the newly inaugurated CEO of Korea Electric Power Corp. (KEPCO), says his company will strive to concentrate its focus on advancing to foreign markets.
KEPCO Chairman Lee disclosed the following management goals designed to develop KEPCO into a world-class corporation and muster trust from the general public during a ceremony marking the start of his 3-year term as the 16th chairman-CEO of the company, held at the KEPCO headquarters auditorium on April 2.
In his speech during the inaugural ceremony, first, KEPCO Chairman Lee said, "KEPCO will focus on the development of state-of-the-art electricity technology and penetration of foreign electricity markets with a goal of developing it into a global company by 2020."CEO Lee said he will closely watch a process of strategically developing advanced electricity technologies that will dominate the global market in a bid to explore futuristic growth engines while making all-out efforts to advance to foreign markets by adopting a Korean-type development
model of securing energy resources abroad in return for supplying electricity with its excellent technology.
Secondly, he said, "KEPCO will strive to build up a performance-based personnel management system by continuously revamping organizational and personnel management systems while working hard to ensure integrity by eradicating some long-standing practices and woes."Thirdly, Lee said, "KEPCO will strengthen efforts to make it customer-oriented."KEPCO Chairman Lee said his company will put more energy into ensuring customer-oriented, fair management while setting an example of pursuing co-prosperity by beefing up cooperation with SMEs and taking social responsibility to those in the low-income bracket.
In the speech, Chairman Lee urged his executives and staff members to actively join forces and translate into action toward the goal of making KEPCO a global company.
Earlier, Lee, ex-vice minister for energy, was elected to take the helm at the utility company as the 16th CEO during the 46th term shareholders'
annual meeting on March 26 after he was nominated by the committee for recommending the candidates of the chairman-CEO.
The shareholders'meeting also approved a plan to pay 731.5 billion won in a dividend, equivalent to 20 percent of the face value of its shares.
KEPCO confirmed the 2006 business performance report in which it posted 26 trillion won in sales up 7.4 percent over a year before due to an increase in the sale of electricity, but it saw net profits dropping 15.4 percent to 2,070.5 billion won, influenced by such unfavorable external business circumstances as continuous international energy price hikes.
During the shareholders'meeting, KEPCO Chairman Han Joon-ho said his executives and staff members would do their best to realize customer satisfaction and raise the value for shareholders through high-pitched changes and innovations. He also extended a whole-hearted thank-you to shareholders for offering their encouragement and support.
According to the 2006 statement of accounts, released on Feb. 8, KEPCO chalked up 2,070.5 billion won in net profits, down 378.1 billion won over 2005. The company saw operating profits dropping 7.1 percent over 2005 to 1,231.6 billion won. The decrease in operating profits was attributable to the fact that the company registered a 7.8 percent rise in the proceeds arising from the sale of electricity but saw a 9.7 percent rise in expenses for purchasing electricity. nw

(clockwise) KEPCO Chairman-CEO Lee Won-gul; a discussion session on innovative overseas projects; and an anniversary event of Electric Day.