Posco chief executive resigns

South Korean steelmaker Posco has said on Friday that its chief executive Chung Joon-yang is leaving,the second major management change in the countrys private sector in less than a month.

The move comes after months of media speculation that he may come under pressure to quit because a new government led by President Park Geun-hye took office in February. KT Corp,South Koreas biggest fixed-line operator,announced last week its CEO,Lee Suk-chae,was resigning after prosecutors raided its headquarters amid a widening corruption probe. Posco and KT Corp have often seen CEOs quit before their terms expire when a new government takes office because the companies were once state-owned and the government retains a large amount of influence over their operations.

Despite challenging business conditions,Posco has reported strong performances,but Ive decided to leave so that a new leadership can lead Poscos growth as a global company, Chung said.

Posco,in India,had in July this year,cancelled its plan to set up a 5.3-billion plant in Karnataka with a proposed capacity to produce 6 million tonne steel per annum. However,the companys plans for the 12-billion flagship Orissa steel plant its first project announced for India remains intact. The project,however,remains mired in land and environmental issues.