Seoul all-out to contain prices

Measures include tariff cuts, crop and housing suppliesThe government plans to cut food tariffs, increase crop supplies and freeze public service costs in what it calls a “war against inflation.” A pan-government task force headed by the Finance Ministry on Thursday reported to President Lee Myung-bak a package of measures to rein in skyrocketing food, energy and home rental costs that are threate

Jan. 13, 2011

Hana faces delay in approval of KEB buy

Regulatory approval for Hana Financial Group Inc.’s acquisition of Korea Exchange Bank may come later than expected, which could push up the group’s cost for the takeover deal, sources said Thursday.Hana Financial expected to receive regulatory approval around February for its Nov. 25 contract with U.S. buyout firm Lone Star Funds to take over a 51.02 percent stake in KEB for 4.69 trillion won ($4

Jan. 13, 2011

KEB union may strike to block Hana

The labor union of Korea Exchange Bank is bracing for an all-out struggle, including a general strike, to block Hana Financial Group from acquiring the lender, which they fear could lead to a massive restructuring, sources said Tuesday.U.S.-based Lone Star Funds plans to sell its controlling stake in the bank to Hana this year, which is opposed by a majority of the bank’s workers.“They had hoped t

Jan. 11, 2011

Korea to intensify price monitoring

The government plans to step up its price monitoring of 22 food items and public services as part of its ongoing efforts to keep inflation under control ahead of the upcoming Lunar New Year holiday, the finance ministry said Tuesday.The government will also provide around 21 trillion won ($18.65 billion) worth of loans and guarantees for small and medium-sized companies in a bid to help support fi

Jan. 11, 2011

Korea to establish grain firms in America, Asia

Korea plans to set up grain procurement companies in major countries such as the United States and Brazil to directly bring in agricultural products as part of its long-term effort to fend off consumer price inflation.After initially establishing a grain company in North America, the government plans to make active inroads into the markets, which include South America and Central Asia, by 2020.Acc

Jan. 10, 2011

Seoul shares decline on Q4 earnings jitters

Korean stocks finished 0.26 percent lower on Monday as investors stepped to the sidelines amid jitters over fourth-quarter corporate earnings and the expiry of options later this week, analysts said. The local currency fell against the U.S. dollar.The benchmark Korea Composite Stock Price Index fell 5.39 points to 2,080.81, after setting a fresh record close of 2,086.2 on Friday. Trading volume wa

Jan. 10, 2011

KEB union files injunction to block Hana’s deal with Lone Star

The labor union of Korea Exchange Bank filed a court injunction Monday to block U.S.-based Lone Star Funds’ plan to sell its controlling state in the bank to Hana Financial Group. In its filing with Seoul Central Court, the unionized workers called for KEB executives named by Lone Star, including bank CEO Larry Klane, to suspend the scheduled share selling.Lone Star signed a contract with Hana Fin

Jan. 10, 2011

Credit-card holdings in S. Korea hit record high last year

 The average number of credit cards held by South Koreans hit a record high last year thanks to a well-established payment system and improving economic conditions, a report showed Sunday.   A total of 114.94 million cards had been issued as of the end of the third quarter of last year, according to the report by the Credit Finance Association.    Given that the number of economically active peopl

Jan. 9, 2011

China buys more Korea bonds despite tax

China boosted its holdings of Korean bonds last month even as lawmakers in Seoul reinstated a tax on interest income from debt securities. China’s net purchases of Korean Treasury notes totaled 444 billion won ($395 million), 23 percent more than in December 2009, the Financial Supervisory Service said Thursday. The addition more than tripled China’s holdings of Korean fixed-income securities to 6

Jan. 6, 2011

Hyundai Motor set to win battle over top builder

Hyundai Motor Group looks set to win its months-long competition with Hyundai Group to take over Korea’s top construction company. Creditors of Hyundai Engineering & Construction, including Korea Exchange Bank, launched their preparations Wednesday to sign a memorandum of understanding with the automobile giant by as early as next week.Their move followed a court ruling Tuesday which supported the

Jan. 5, 2011

Seoul shares end slightly lower after rally

Korean stocks finished 0.12 percent lower on Wednesday as investors sat on the sidelines following recent rallies that had set fresh record highs, analysts said. The local currency fell against the U.S. dollar.The benchmark Korea Composite Stock Price Index shed 2.59 points to 2,082.55 after reaching a new intra-day high of 2,087.14 at one point. Trading volume was moderate at 379.1 million shares

Jan. 5, 2011

Prosecutors probe former top Woori executives

Woori Bank filed complaints against several former executives with the prosecution last month to investigate allegations that they issued illegal loans and took kickbacks, sources said Tuesday.Among them were two former deputy CEOs of the nation’s second-largest bank in charge of loan business and trust business. The two executives resigned before the bank referred them and several staffers to the

Jan. 4, 2011