Chinese IT firms eye Korean entertainment industry

[THE INVESTOR] A growing number of Chinese IT companies are investing in Korean entertainment companies, in response to the rising popularity of Korean culture and entertainment. Chinese companies poured in more than 100 billion won (US$ 85.3 million) in the local entertainment industry from November last year to June this year, industry sources say. Chinese game developer Kunlun Technology’s Korean office is mulling to invest in a midsized entertainment agency, local news reported on June 28. I

June 29, 2016

Hyundai Merchant restructuring to be extended by one month

[THE INVESTOR] Hyundai Merchant Marine said on June 28 that it will stay bound to creditor-led reforms for one more month until late July. The firm said this was because it was taking longer than expected to meet some of the conditions put forth by its creditors for agreeing to the 90-day restructuring.One of the conditions was to join a global shipping alliance, and this has met some challenges, the firm said. The other two are a debt recast and a charter rate cut.Hyundai Merchant said it has b

June 28, 2016

Sulfuric acid leak at Korea Zinc halts maintenance work

[THE INVESTOR] A sulfuric acid leak at Korea Zinc’s plant in Ulsan on June 28 injured six workers from a subcontractor. Korea Zinc is the global number one nonferrus metal smelting company in terms of scale, productivity, and technology.According to the authorities, about 1,000 liters of sulfuric acid leaked during maintenance work, injuring six workers from a subcontractor. Three of them are reported to have sustained serious injuries. The leak was contained within the facility, and atmospheric

June 28, 2016

Minimum wage agreement in deadlock

[THE INVESTOR] A June 28 deadline for deciding next year’s minimum wage is unlikely to be met as labor groups and business representatives have failed to reach a consensus. The Minimum Wage Council -- consisting of business and labor representatives and government officials -- has held plenary sessions for three months since March 30 to set next year’s minimum wage. However, the parties were unable to narrow down their differences even at their last session on June 27, local news reported. Labor

June 28, 2016

Dongbu Daewoo Electronics to display K-pop contents on TVs for sale

[THE INVESTOR] Dongbu Daewoo Electronics will collaborate with Korean entertainment companies to boost its TV sales overseas, the company said on June 28. Joining hands with entertainment firms including DSP Media, home to girl groups Rainbow and April, the Seoul-based electronics firm will showcase K-pop music videos on its TVs in global markets, including Central and South America, Southeast Asia and Europe. “Dongbu Daewoo Electronics’ TVs displaying K-pop content will help create a favorable

June 28, 2016

Hanjin Shipping to return 38 ships by 2017

[THE INVESTOR] Ailing Hanjin Shipping has decided to return a total of 38 chartered ships to owners by 2017 as a part of its cost-cutting efforts.The company, which was put under a creditor-led restructuring program, will return 18 chartered bulk carriers and 20 container vessels which have been a major drag on its balance sheet. “We hope to save significant costs from the return. We will put our utmost efforts to stabilize the financial health at the earliest,” an official at the firm said. Of

June 28, 2016

Asiana Airlines under fire for flying repaired jet

[THE INVESTOR] Asiana Airlines is under fire for allowing passengers to board a repaired jet that caught on fire earlier, local news reported on June 28. Asiana Airlines flight OZ222 from JFK Airport in New York City to Seoul was getting ready to take-off in two hours when its engine caught on fire at 11:30 a.m. on June 24 (local time). The air carrier immediately called the fire station to extinguish the flames. It investigated the cause and repaired the craft with officials of Airbus, the manu

June 28, 2016

[H2 ECONOMIC POLICY] Gov’t offers tax-breaks for middling firms returning home

[THE INVESTOR] Middling companies that replace overseas production facilities with those based in Korea will be given a three-year exemption from corporate and income taxes, the Ministry of Strategy and Finance announced on June 27. In addition, the two taxes will be cut by half for additional two years after the initial exemption period. Any foreign worker from concerned companies’ overseas facilities hired to work in Korea will be provided with the E-7 visa, the ministry said. Middling compani

June 28, 2016

Dayou Winia eyes Chinese electric cooker market

[THE INVESTOR ] Dayou Winia, a Korean electronics firm, has joined hands with Haier, one of China’s leading electronics makers, to jump into the Chinese market,The Korean firm, well known for its electric rice cooker and kimchi refrigerator brand Dimchae, said it has signed a memorandum of understanding with the Qingdao-headquartered electronics firm for a partnership to sell its electronic cookers in China. Executives of Dayou Winia and Haier participate in an event to sign a sales partnership

June 28, 2016

Prosecution takes Ex-DSME chief into custody

[THE INVESTOR] Former Daewoo Shipbuilding and Marine Engineering CEO Nam Sang-tae was taken into custody in the early hours of June 28.The prosecution is said to have gained evidence of additional wrongdoing on part of Nam during questioning on June 27.Former Daewoo Shipbuilding & Marine Engineering CEO Nam Sang-tae. Park Hyun-koo/The InvestorBefore he was taken into custody, Nam had been summoned for questioning over allegations of corruption.“In light of the circumstances and suspected crimina

June 28, 2016

Profitability fell, but labor costs rose at top 30 industrial groups

[THE INVESTOR] Over the past five years, the listed affiliates of South Korea’s top 30 industrial groups saw their profitability decline, while their labor costs increased.The Federation of Korean Industries on June 27 said that between 2011 and 2015, sales per employee at the affiliates fell an annual 2.7 percent to 968 million won (US$ 822,996) from 1.07 billion won. Operating profit per employee also fell an annual 7.1 percent to 53.17 million won from 71.32 million won.At the same time, labo

June 27, 2016