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LGE Restructures, Combines CE/Majaps

1/05/2009 11:48:00 AM Eastern

Englewood Cliffs, N.J. – LG Electronics revealed Monday the results of a recent realignment and consolidation in its U.S. home appliance and consumer electronics businesses.

Under the new business structure, both businesses have been brought together under a newly centralized



John Herrington was named the new sales president of the newly combined CE and major appliances operations at LG Electronics USA.

structure employing separate sales and marketing divisions for LG Electronics USA, the company said.

Teddy Hwang, LG Electronics USA president, said, “This new structure will transform the way we do business by creating a single face to our retailers and by integrating our branding messages to reach consumers more effectively.”

In the move John Herrington has been named sales president, and Peter Reiner has been named senior VP of combined appliance and CE marketing strategy. Logistics and supply chain functions for both areas have been consolidated under Kevin Holian, supply chain VP.

Reporting to Herrington in the sales division are: national accounts, regional accounts, sales training, customer support, sales analysis and channel merchandising.

The senior sales team will include vice presidents Rick Calacci (regional accounts and distribution) and Steve McNally (national accounts).

Herrington joined LG in 2001 and comes into the new role after serving as president of the Home Appliance Brand Division of LG Electronics USA since January 2007, where he was responsible for driving all aspects of LG major appliance business in the United States.

He joined LG from Amana, where he held a variety of executive level positions including vice president of marketing and national account sales.

Reporting to Reiner in the marketing division are brand management, public relations, product development, product management and consumer insights.

Reiner joined LG in July 2008. In addition to his new role overseeing the consolidated product and brand marketing activities for LG consumer electronics and home appliance products sold in the United States, he is the top marketing and strategy executive also for LG Electronics North America, responsible for the overall coordination of LG's brand positioning in the United States, Canada, and Mexico.

Reiner formerly worked at Sara Lee as a brand marketing VP. He previously held similar positions with Kraft Foods, Nabisco, Miller Brewing and Playtex Products.

Reporting to Holian in supply chain management are: national distribution, transportation, reverse logistics and planning.

Holian joined LG in September 2008, responsible for overseeing supply chain, logistics, inventory management and physical distribution activities across all product areas in the United States, Canada and Mexico. Holian’s experience spans two decades in a variety of logistics, supply chain and consulting roles, demonstrating his effectiveness in managing operations for large international companies, LG said.

He joined LG from Sealed Air, where he has served as global logistics VP since 2005. Previously, he was supply chain management senior VP for Staples.

In a memo to dealers LG said the “expected benefits of our new approach include better in-store execution, more consistency in programs, coordinated advertising and improved back-office and distribution. All dealers will benefit from a more efficient LG organization, and you’ll see some new faces as we restructure our sales team.”

An LG spokesman acknowledged that “a handful” of positions were eliminated in the move, including Allan Jason, who had last served as digital media VP in the CE business.