Pres. Lee at
Commerce Day Event

Chief Executive calls for increased investment, pledging pro-business policies

President Lee Myung-bak called on the business community to increase facility investment this year as he is ready to create a business-friendly environment to revive the economy during his speech at the 35th Commerce Day ceremony held at Coex in southern Seoul March 19.
He pledged tax reductions and relaxation of regulations to build a pro-business climate, calling on some 1,000 business leaders at the ceremony to invigorate their business operation both at home and abroad.
The new Chief Executive became the first president to attend the Commerce Day event in five years since 2003 when former President Roh Moo-hyun attended the event.
President Lee also stressed that management and labor should get along well to enhance productivity, which is th only means to overcome sky-rocketing prices of raw materials.
In a brief meeting with heads of the four largest business associations, small and medium company executives, labor union leaders and award winners, the president suggested his intention to ease regulations inheriting businesses.
Told that the revision of the law on inheritance of business is not enough, he said the understanding for business inheritance necessity is widening and the government will take up the matter, he said, adding the Federation of Small-Medium Business should draw up an outline for the proposal.
During the ceremony Lee Woong-yol, chairman of Kolon Group, won the Order of Industrial Service, Gold Medal for his exemplary work on restructuring of the group's business operations and reform to boost productivity. He also was cited for the successful development of new material and new markets for his companies products, thereby making large contribution to expanding exports.
Chairman Lee declared an extraordinary period for the group in January, 2005 when the group suffered a major setback in 2004 with its major affiliates ending the year with dismal performance records and its major affiliate Kolon Co. struggling due to the walk-out by its union.
Chairman Lee quickly ordered the replacement of old facilities, sold off securities and real estate pieces, in addition to merging its non-listed affiliates under the profit-oriented management strategies.
As a result, the group was able to turn the corner and posted 223.9 billion won in operating profit in 2005, compared to 57.6 billion won in the previous year.
The chairman focused on boosting exports through the group's 19 overseas branches, and 5 wholly-owned subsidiaries. The group's exports totaled 1.5 trillion won including 120 billion won exports made through its overseas subsidiaries.
For the development of new technologies and new material, the chairman, a graduate of the George Washington University Graduate School, steered the group to increase investments in R&D activities and hire more research staff.
He also was able to build a friendly relations with Kolon's union, which has been known for its strong confrontational actions. The chairman persuaded the union to hold no walk-outs under a permanent no walk-out declaration agreed between management and union through such set ups "mutual Survival Council"and other systems and programs aimed at stable management and labor relations.
Chairman Lee became the third person in his family to win the gold medal after his grand father Won-man, the founder of the biz group and father Dong-chan, an honorary chairman of the group.
President Kim Jung-chi of the Incheon City Gas Co. also won the gold medal for his company's social contribution to the local community by creating an exciting corporate culture, with no labor conflicts and no pollution, making the company a model biz firm in Incheon.
President Kim was given credit for boosting the company's safety control management to a world-class level by introducing such global standards as ISO 9001 quality assurance system, KGS 18001, and OHSAS 18001 safety hygiene management system in 2000.
He was able to localize the GIS in cooperation with Inha University in Incheon in May, 1998 and started to use it in maintaining a 995 km long pipeline and for the city of Incheon with correct information of the port city. Kim was also given credit for increasing the number of CNG-powered buses by building 8 CNG stations capable of recharging 1,162 buses with CNG, which is pollution free.
In the area of social welfare service, Kim steered the company to provide daily necessities and repair gas facilities at a number of welfare institutions in Incheon including old people's homes, orphanages, and disabled homes on such holidays as Sol(New Year's Day), and Chuseok every year. The company also supported youths who should provide for their families which amounted to some 560 million won from 1997-2007.
The company also regularly gave donations to such funds as Love Neighbor Fund, Sharing Love of Rice Campaign, Support Disabled, Prevention of Drugs, and various sports events. The company also provided support to the homeless and participated in voluntary service activities, valued at some 180 million won from 2001-2007.
By far, the biggest contribution that the company made to the city of Incheon was its role in bringing the 2014 Asia Games to the city. President Kim visited Kazakhstan and Uzbekistan to persuade sports leaders in those countries to support Incheon as the venue for 2014 Asian sports event. He maintained close relations with members of the Asian Chamber of Commerce to get their support for the Incheon's cause. His company on a number of occasions hosted seminars and lecture sessions on Korea-U.S. free trade agreement to give support to the trading facility, along with a signature campaign to drum up support for the FTA.
President Hur Jin-soo of GS Caltex Oil Refinery Co. won the silver medal for installing high-performance facilities such s heavy oil cracking facility making the domestic oil refineries advanced and creating jobs in the area where the refinery is located.
President Koh Suk-tae of KC Tech Co. also won the silver medal for the successful localization in the areas of semiconductor and display equipment.
Altogether 214 business leaders won medals and citations from the government and business association for their exemplary achievements in their areas of businesses. nw

President Lee Myung-bak, third from right, talks with business leaders, labor union leaders and award winners taking time out before the Commerce Day gets underway at Coex , southern Seoul, March 19.

President Lee Myung-bak shakes hands with President Kim Jung-chi of the Incheon City Gas Co., one of the award winners at the 35th Commerce Day ceremony at Coex Seoul, on March 19. (right photo) Lee Woong-yol, chairman of Kolon Group, is conferred on the Order of the Industrial Merit, Gold Medal by President Lee.