■ Computers
IBM to combine units
International Business Machines Corp, the world's largest computer maker, plans to combine its business that makes server computers and data-storage networks with its unit that makes computer chips. The combination will be effective today and no jobs will be cut, IBM spokesman Edward Barbini said in an interview. The units employ about 21,000 workers. The server and data-storage business will continue to be run by William Zeitler, and John Kelly will continue to be in charge of the chip unit. Both will continue to report directly to chief executive Sam Palmisano. "This is about driving competitive advantage in the server business," Barbini said. IBM has been trying to improve the performance of its chip-making unit.
■ Labor
Koreans mad over foreigner
Korea Exchange Bank (KEB), the six-largest lender in South Korea, named a US financial expert yesterday as its new president, triggering protests from unionists, bank officials said. KEB said Columbia University associate professor Robert Fallon was named president at a shareholders meeting at the bank's headquarters here. Fallon, 57, has some 26 years of business experience in the financial industry, having worked for Chase Manhattan Bank, JP Morgan, Bankers Trust and Citibank, mostly in Japan. He becomes the second foreigner to head a leading bank in South Korea after Korea First Bank. The meeting was briefly suspended because of protests from about 50 workers from the bank's ailing card unit, KEB Credit Service, KEB officials said, adding Fallon did not take part in the meeting.
■ Automobiles
Honda has Fit for America
Japanese automaker Honda Motor Co will start selling a 1.3-liter-class subcompact in the US as early as this year to fend off its South Korean rivals, a news report said yesterday. The model will be based on the Fit, which is highly popular in Japan, the Nihon Keizai Shimbun said, without citing sources. The company expects annual sales of 50,000, the Nihon Keizai said. Priced at around US$10,000 for the lowest-end model, the vehicle will be cheaper than Honda Civic which is priced between US$13,000 and US$20,000 for models with 1,300-2,000 cubic centimeter engines, the Nihon Keizai said. Honda is considering exporting the subcompact vehicles from Japan. The company, however, may produce the vehicles in Brazil if the dollar continues to trade below ?110 and makes exports from Japan less profitable or even loss making, the Nihon Keizai said.
■ Electronics
Philips' profits up 246%
LG Philips LCD Inc recorded net profit of 1 trillion won (US$853 million) last year, a 246 percent increase from 2002, the Korea Economic Daily reported yesterday. Sales last year at the joint venture between LG Electronics Inc and Royal Philips Electronics NV rose 70 percent to 6 trillion won, the daily said, quoting industry sources. A spokesman of LG Philips LCD said the company would not release the data on last year's performance until LG Electronics publicizes its own results early next month. LG Electronics, which has a 50 percent stake in LG Philips LCD, now stands to count 500 billion won in profits from its investment in the flat panel display maker. LG Elect-ronics is expected to report about 900 billion won in net profit for including the 500 billion won in earnings from LG Philips, the report said.
NO HUMAN ERROR: After the incident, the Coast Guard Administration said it would obtain uncrewed aerial vehicles and vessels to boost its detection capacity Authorities would improve border control to prevent unlawful entry into Taiwan’s waters and safeguard national security, the Mainland Affairs Council (MAC) said yesterday after a Chinese man reached the nation’s coast on an inflatable boat, saying he “defected to freedom.” The man was found on a rubber boat when he was about to set foot on Taiwan at the estuary of Houkeng River (後坑溪) near Taiping Borough (太平) in New Taipei City’s Linkou District (林口), authorities said. The Coast Guard Administration’s (CGA) northern branch said it received a report at 6:30am yesterday morning from the New Taipei City Fire Department about a
IN BEIJING’S FAVOR: A China Coast Guard spokesperson said that the Chinese maritime police would continue to carry out law enforcement activities in waters it claims The Philippines withdrew its coast guard vessel from a South China Sea shoal that has recently been at the center of tensions with Beijing. BRP Teresa Magbanua “was compelled to return to port” from Sabina Shoal (Xianbin Shoal, 仙濱暗沙) due to bad weather, depleted supplies and the need to evacuate personnel requiring medical care, the Philippine Coast Guard (PCG) spokesman Jay Tarriela said yesterday in a post on X. The Philippine vessel “will be in tiptop shape to resume her mission” after it has been resupplied and repaired, Philippine Executive Secretary Lucas Bersamin, who heads the nation’s maritime council, said
More than 500 people on Saturday marched in New York in support of Taiwan’s entry to the UN, significantly more people than previous years. The march, coinciding with the ongoing 79th session of the UN General Assembly, comes close on the heels of growing international discourse regarding the meaning of UN Resolution 2758. Resolution 2758, adopted by the UN General Assembly in 1971, recognizes the People’s Republic of China (PRC) as the “only lawful representative of China.” It resulted in the Republic of China (ROC) losing its seat at the UN to the PRC. Taiwan has since been excluded from
REGIONAL STABILITY: Taipei thanked the Biden administration for authorizing its 16th sale of military goods and services to uphold Taiwan’s defense and safety The US Department of State has approved the sale of US$228 million of military goods and services to Taiwan, the US Department of Defense said on Monday. The state department “made a determination approving a possible Foreign Military Sale” to the Taipei Economic and Cultural Representative Office in the US for “return, repair and reshipment of spare parts and related equipment,” the defense department’s Defense Security Cooperation Agency said in a news release. Taiwan had requested the purchase of items and services which include the “return, repair and reshipment of classified and unclassified spare parts for aircraft and related equipment; US Government