New STX O&S boss vows to realise recovery

The new CEO of South Korean shipbuilder STX Offshore & Shipbuilding has pledged to rehabilitate the company.

Lee Byung-mo, who has been elected as the new CEO after STX O&S’s former CEO Jung Sung-leep left to take up the reins at Daewoo Shipbuilding & Marine Engineering (DSME), gave his maiden speech at the shipbuilder’s extraordinary shareholders’ meeting, at which his appointment was announced.

STX O&S has been undergoing voluntary rehabilitation after suffering a cash crunch in 2013, at the same time former affiliate Pan Ocean went into receivership.

Lee said he has strong confidence in the company’s rehabilitation adding, “DSME and Daehan Shipbuilding too, have had similar difficulties. But by having all employees staying united in strength, STX O&S has gained a reputation to be proud of.”

Lee presented four kinds of management policies to facilitate STX O&S’s recovery: a firm revenue and profit structure, innovation, developing talent, and gaining additional funds to repay creditors.

He said, “To overcome our current difficulties, we should establish a strong will and concrete action plan.”

The shipbuilder has clinched a slew of product tanker orders since late 2014 and appears to be working well towards its rehabilitation.