Samsung Nominates Jay Y. Lee to Board as Note 7 Crisis Deepens

  • 48-year-old to take more active role on strategic decisions
  • Samsung Electronics market value slumps $22 billion in 2 days
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Samsung Electronics Co. nominated Lee Jae Yong to its board in a move that allows the son of its ailing chairman to take a more active role just as Korea’s largest company faces its deepest crisis in years.

Samsung has lost $22 billion in market value over two days as the fallout widens over faulty batteries in its Note 7 smartphone. Regulators, airlines and the company itself have warned customers to stop using the devices immediately, while Samsung races to procure replacements. Lee, now co-vice chairman, would be formally elevated to the nine-person board after a shareholder vote in October.