The Korea Herald

Deutsche Bank sued over alleged stock market manipulation

Mar 5, 2012

A group of investors has filed a damage suit against Deutsche Bank AG alleging stock market manipulation by the German financial firm, which they blame for subsequent investment losses, a Seoul court said Monday.The six investors filed the suit with the Seoul Central District Court against the globa
‘Hynix to benefit from market consolidation’

Mar 5, 2012

Brokerages draw up positive earnings outlook for the Korean chipmakerHynix Semiconductor, the world’s second-largest memory chipmaker, is likely to see its earnings improve in step with market consolidation and stronger DRAM prices, analysts said. “As the DRAM industry is going through a phase of restructuring, the prices of DRAM are on the rise, which will help Hynix swing to a profit,” said Song Jong-ho, an analyst at Daewoo Securities. Song predicted that the world’s DRAM market will be recon
Major insurers cut repair charges on imported cars

Mar 5, 2012

Samsung Fire & Marine Insurance Co. has agreed with local dealers of Audi and Mercedes Benz to cut insurance premiums on repair charges by up to 20 percent, the insurer said Monday.“We talked with the Audi dealers to bring down the repair charges by 10 percent. Similar downward adjustments will be finalized soon with the dealers for Lexus and Honda,” a PR official at the country’s largest nonlife insurer said.The latest agreement with Audi dealers follows Samsung’s agreement with Benz dealers fr
Shinhan Card draws most complaints

Mar 5, 2012

Regulators examining credit card companies’ cyber security measuresShinhan Card drew the highest number of complaints from customers last year in the local credit card industry.According to the Credit Finance Association, Shinhan Card was responsible for 447 dispute cases filed with financial regulators in 2011.Shinhan has been capturing more than 20 percent of the credit card market since acquiring LG Card, formerly No. 1 before the 2003 credit card fiasco.Disputes between customers and card is
Hana Financial names top figures

Mar 5, 2012

Hana Financial Group selected the group’s new president, the No. 2 figure in the group, and its flagship Hana Bank’s CEO, the No. 3 figure.The group’s move comes after its ad hoc committee picked incumbent Hana Bank CEO Kim Jung-tai as the new chairman, the No. 1 post, following its takeover of Korea Exchange Bank.Choe Heung-sik, CEO of Hana Institute of Finance, was nominated as a candidate for group president to replace Kim Jong-yeol, who expressed his intention to resign in January.“I will t
Household debt may pose long-term threat: report

Mar 4, 2012

A burdensome level of household debt is expected to pose a long-term threat to the Korean economy, a report said on Sunday. The LG Economic Research Institute said that Korean households are increasingly faced with debt-related risks, citing the greater likelihood of debt not being repaid in time due to worsening conditions. The report is based on an index that considers a range of elements, such as the repayment ability of households, interest payout and income levels. The index showed that loc
Oil prices, Japanese yen to impact Seoul shares

Mar 4, 2012

The course of rising oil prices and a weakening Japanese yen will likely affect the direction of Seoul shares this week, analysts said Saturday.The benchmark KOSPI settled at 2,034.63 last week, gaining 14.74 points, or 0.73 percent, from a week earlier.The KOSPI got off to a weak start, slipping to the 1,990 level, amid concerns over a surge in global oil prices and a weakening yen. The benchmark index, however, recovered later in the week after the Group of 20 countries voiced concerns over sp
Key interest rate to stay at 3.25%: economists

Mar 4, 2012

The Bank of Korea is forecast to freeze the benchmark interest rate for a ninth straight month next week, as it sees inflation moderating to its target range while concerns persist over Europe’s sovereign debt crisis.All five economists surveyed said the BOK would feel more comfortable keeping the rate unchanged at 3.25 percent.“It will be the issue of cutting it in preparation for more rainy days or freezing it. There is a higher possibility of a rate freeze,” Oh Suk-tae, an economist at Standa
Seoul shares up 0.22% on ECB action, upbeat data

Mar 2, 2012

Korean stocks advanced 0.22 percent Friday, tracking a rally in overseas markets, as investor sentiment was boosted by a second round of cash injections from the European Central Bank and improved U.S. economic data. The local currency rose against the U.S. dollar.The benchmark Korea Composite Stock Price Index advanced 4.37 points to end at 2,034.62. Trading volume was moderate at 476 million shares worth 5.76 trillion won ($5.16 billion) with gainers leading losers 497 to 316.The Dow Jones ind
Consumer price growth slowest in 14 months

Mar 2, 2012

The growth of consumer prices dropped to its lowest in 14 months in February, while worries over inflationary pressure continue mainly due to skyrocketing oil prices.Statistics Korea data showed Friday that the nation’s consumer prices climbed 3.1 percent in February from a year earlier, which marked the lowest year-on-year growth since 3 percent in December 2010.In January, year-on-year price growth came to 3.4 percent. An official at the statistics agency attributed the fall to a drop in publi
Foreign IBs eye Korea‘s current account surplus for Feb.

Mar 2, 2012

International investment banks estimate Korea may have posted a current account surplus for February due mainly to its global market competitiveness, a report showed Friday.According to the report by the Korea Center for International Finance, Barclays Capital, Morgan Stanley and Deutsche Bank all assessed Korea’s current account balance to have shifted back into the black last month from a deficit of around $800 million in January.The January deficit marked the first time in two years the month
EUCCK under tax investigation

Mar 1, 2012

The National Tax Service is investigating the European Union Chamber of Commerce in Korea for allegations of dodging taxes from possible profits it made through advertisements on their magazine, the tax authority said on Thursday.“The Namdaemun branch of the tax agency began their probe on the EUCCK last week to study revenue the non-profit organization made from collecting advertising fees,” an NTS official told The Korea Herald.The probe will tell whether the EUCCK has made any taxable income
Tax officials to get access to Swiss bank accounts

Mar 1, 2012

The Korean government will be able to gain access to hidden Swiss bank accounts held by its citizens, which could help trace illegal slush funds and prevent tax evasion, officials said on Thursday.The National Assembly early this week ratified a provision on information sharing in the Korea- Switzerland tax treaty, taking the National Tax Service a step closer to accessing secret bank accounts in the world’s biggest haven for offshore wealth. The Swiss parliament is expected to follow suit in Ju
Nonghyup to launch financial group Friday

Mar 1, 2012

Nonghyup Financial Group will make its debut on Friday as the fifth-largest out of the 11 finance holdings firms on the national market.The new group is an entity which has been spun off from the National Agricultural Cooperative Federation, or Nonghyup.Nonghyup has decided to separately operate its financial and its agricultural products businesses for the first time in 51 years.Though Nonghyup Financial, also called NH Financial, lags behind the four major financial groups ― Woori, Hana, KB an
Korean Air picked as best in China

Mar 1, 2012

Korean Air Lines Co., South Korea’s No. 1 flag carrier, said Thursday it has been selected as the best airline brand in China by a Chinese travel magazine.The Travel and Leisure Tourism Award recognizes the extensive flight services provided by Korean Air in China, and the efforts made to upgrade service, the airline company said. The company has also been at the forefront of making social contributions to help Chinese communities.The latest accolade comes after Korean Air won the monthly travel