Number of listed firms plunges amid uncertainties

The number of companies listed on the local stock markets plunged to a 26-month low in October amid a protracted global economic slowdown, data showed Tuesday.According to the data by the Financial Supervisory Service and the Korea Exchange, the number of listed firms on the main bourse and the secondary market reached 1,792 as of the end of last month, the lowest since 1,785 firms were tallied at end-August 2010.The main bourse held 786 companies at end-October, down 5 firms from end-2011, the

Nov. 6, 2012

S. Korea’s risk premium falls to pre-crisis levels

South Korea's credit default risk has dropped to levels seen before the 2008 financial crisis erupted, mirroring its solid economic fundamentals, data showed Tuesday. The credit default swap (CDS) premium on the country's five-year Treasuries came to 65 basis points as of Nov. 2, the lowest in more than four years since the 64 basis points tallied in May 22, 2008, according to the Korea Center for International Finance (KCIF). The spread on CDS reflects the cost of hedging credit risks on sovere

Nov. 6, 2012

Seoul shares start higher ahead of U.S. election

South Korean stocks opened higher on Tuesday as policy uncertainties abated ahead of the imminent U.S. presidential vote, analysts said.The benchmark Korea Composite Stock Price Index (KOSPI) gained 3.78 points, or 0.2 percent, to trade at 1912.00 in the first 15 minutes of trading.Carmakers led the gain, with No.1 player Hyundai Motor moving up 1.75 percent, while its smaller affiliate Kia Motors gained 1.24 percent. Top auto parts maker Hyundai Mobis climbed 1.16 percent. U.S. stocks ended hig

Nov. 6, 2012

Korea to allow launch of cooperatives from Dec.

South Korea will permit the launch of cooperatives starting next month, providing additional channels for people to start small businesses leaning toward democratic ownership and public interest, the Finance Ministry said Monday.A related law will go into effect on Dec. 1, and the central and municipal governments will immediately begin receiving applications and registrations for the launch of cooperatives, according to the ministry.Under the law, five people or more can start “general cooperat

Nov. 5, 2012

Ford recalls small SUV Escape for sticking gas pedal

Ford Sales and Service Korea, the local importer and distributor of U.S. automaker Ford Motor Co., will voluntarily recall certain models of its small sport utility vehicle the Escape to fix sticking gas pedals that could cause crashes, the Seoul government said Monday.Subject to the recall, starting from Tuesday, are 687 units manufactured between April 19, 2001 and Dec. 12, 2004, according to the Ministry of Land, Transport and Maritime Affairs.The cruise control cables in the vehicles can get

Nov. 5, 2012

Corporate mergers jump amid economic slump

Mergers among South Korea’s listed companies have surged this year as a growing number of firms tighten their belts to weather a protracted economic slump, the bourse operator said Sunday.A total of 83 mergers were announced on the country’s main and secondary stock markets in the first 10 months of the year, up 51 percent from the same period a year earlier, according to the Korea Exchange.The figure has already topped the 71 merger filings recorded in all of last year.Reasons for mergers inclu

Nov. 4, 2012

Exporters face growing origin verification requests

South Korean exporters are being confronted with growing requests to verify the country of origin on their products as major economies toughen import rules amid a prolonged economic slowdown, the customs office said Sunday.According to the Korea Customs Service, 153 such requests from foreign importers were filed this year, accounting for nearly 60 percent of the total 258 requests submitted between 2008 and 2012.In particular, requests from the European Union more than tripled to 135 cases in t

Nov. 4, 2012

Kempinski to operate world’s tallest hotel in N. Korea

The world’s tallest hotel will open next year in the North Korean capital of Pyongyang as the impoverished totalitarian regime burdened by international sanctions seeks foreign currency through a boost in tourism.The 105-story, pyramid-shaped Ryugyong Hotel, whose foundations were poured almost three decades ago, will open partially in July or August, Kempinski AG Chief Executive Officer Reto Wittwer said Thursday at a forum in Seoul. The German luxury-hotel manager will be the first western hos

Nov. 2, 2012

Supreme Court rules on origin of cattle

The nation's top court has ruled that cattle born in other areas but raised in Hoengseong for a certain period of time can be labeled as "Hoengseong hanwoo," officials said Friday.Hoengseong is a rural area in Gangwon Province, about 137 kilometers east of Seoul, famous for its high-quality hanwoo beef.Hoengseong beef is recognized as a premium product, and usually fetches high prices.Annulling a lower court's guilty verdicts for three people, including a suspect surnamed Kim, for violating the

Nov. 2, 2012

Trade surplus widens to $3.8b in Oct.

South Korea’s trade surplus more than doubled in October from a year earlier as exports posted positive growth, ending their three-month losing streak, the government said Thursday.The country’s trade surplus is estimated to have reached $3.8 billion in October, compared with $1.44 billion in the same month last year, according to the Ministry of Knowledge Economy. The figure also marks a slight growth from the trade surplus of $3.15 billion in the previous month.The country’s exports are estima

Nov. 1, 2012

Consumer prices gain 2.1% on-year in Oct.

South Korea’s consumer prices grew at the fastest pace in four months in October on higher prices of farm products, but they remained within the central bank’s inflation target band, a government report showed Thursday.The country’s consumer prices index rose 2.1 percent in October from a year earlier, compared with a 2 percent on-year gain in the previous month, according to the report by Statistics Korea. The index fell 0.1 percent from September when the consumer prices rose 0.7 percent on-mo

Nov. 1, 2012

Samsung Engineering wins $2.4b UAE order

Samsung Engineering Co., South Korea’s largest industrial plant builder, said Thursday that it has won a $2.4 billion order to build carbon black and delayed coker units in the United Arab Emirates.Under the deal with Abu Dhabi Oil Refining Co., the state-run company known as Takreer, on Wednesday, Samsung Engineering will build the units in the refining complex in Ruwais, west of Abu Dhabi, by January 2016.The units, when completed, can produce 40,000 tons of carbon black per year and 30,000 ba

Nov. 1, 2012

Samsung Heavy Q3 net more than doubles

South Korean shipbuilder Samsung Heavy Industries Co. said Thursday that its third-quarter earnings more than doubled from a year earlier on increased orders for offshore facilities.Net profit reached 277 billion won ($254 million) on a consolidated basis in the July-September period, compared with a profit of 111 billion won a year earlier, the company said.Sales rose 19 percent on-year to 4.06 trillion won over the cited period, and operating income surged 39.2 percent to 324 billion won.In th

Nov. 1, 2012

Korea, China end FTA talks with little progress

Korea and China ended their fourth round of negotiations for a free trade agreement on Thursday with little progress.But the two sides reached an agreement to include intellectual property in items to be discussed in negotiations.Trade Ministry officials in Seoul said the FTA talks held in Gyeongju, North Gyeongsang Province, did not yield specific results, expressing hope that the two countries would reach a consensus in the next negotiation talks in China.“The Korean government will seek to pr

Nov. 1, 2012

Japanese cans face antidumping duties from Korea

South Korea is moving to freshly impose antidumping tariffs on Japanese aluminium bottle cans, the government said Thursday.Following a yearlong investigation that began at the request of a local manufacturer, TechPack Solutions Inc., the Korea Trade Commission concluded that Japanese products were effectively damaging local manufacturers by preventing them from establishing firm ground for their business here.“The commission’s decision is the first of its kind in which the commission applied an

Nov. 1, 2012