LS

■ Jobs created by reemploying laid-off workers, regional economy vitalized 

■ Sales volume forecast to increase five times within 5 years

 On November 12, LS C & S (President & CEO Roe-hyun Myung) announced that it acquired the assets of a bankrupt cable company in Sejong-si, and recently re-started normal operations.

 G&P, an affiliate of LS C & S, invested approximately KRW16 billion in July to acquire the site and facilities of SOnetech, a small cable enterprise. The size of the site is approximately 20,000m² (6,050 pyeong).

 During better years SOnetech usually recorded annual sales of KRW20 billion by supplying marine cables and such to the shipbuilding industry, but as that industry has stagnated the company went bankrupt in June, 2018.

 After taking over, G&P hired approximately 50 people, including 20 or so SOnetech employees who had been laid-off along with 30 or so new hires. The company also repaired and updated the facilities and made efforts to stabilize quality. After a short three-month period of retooling and with the work crew newly reconstituted G&P started to manufacture products.

 LS C & S forecasts that quality and cost competence will be enhanced through its synergy with GNP, and the sales volume will be three to five times higher than before the bankruptcy, at approximately KRW60 billion in 2020, and KRW100 billion in 2024.

 LS C & S President & CEO Roe-hyun Myung said, “We have been considering expanding factories home and abroad, and establishing new subsidiaries following the increased demand for cables in the global market. We decided to invest in the domestic market due to our sense of responsibility to contribute to the local economy by creating jobs as the representative cable company in the Korean market.”

LS C & S has been expanding its investments in the local market, such as starting construction of its second factory in Donghae-si, Gangwon-do last May.

 G&P, established in 1979, is one of the top ten cable companies in Korea with annual sales of KRW320 billion. In the Chungju Facility, it manufactures cable components such as compounds and copper conductors, LV wires, automobile wires and others.

* Employees producing marine cables at the G&P Sejong Site.