Hyundai Oilbank has pulled out of its plans to carry out an initial public offering on the Korea Exchange, citing economic uncertainties at home and abroad.“We’ve decided to withdraw from the plan in the wake of the eurozone fiscal crisis and worsening investor sentiment on the local stock market,” a company spokesman said.The company plans to push for the listing again when it finds optimum timing later.Hyundai Oilbank had planned to complete the IPO process during the first half of the year.An

Korea’s ratio of household debt to gross domestic product has exceeded the average figure held by members of the Organization for Economic Cooperation and Development.According to the Korea Chamber of Commerce and Industry, Korea’s household debt-to-GDP ratio reached 81 percent, surpassing 73 percent of the OECD average.The level is quite serious as it is similar to the ratio (85 percent) of Spain which is suffering from a financial crisis and far exceeding that (61 percent) of Greece, one of th

Hankook seeks new growth engine; Kumho strives to resume  building U.S. plantThe nation’s two largest tire manufacturers ― Hankook and Kumho ― are preparing for stiffer competition at home and sales battles with global players overseas.Though the companies had to delay investment and a variety of projects, their recent painstaking efforts to improve their financial status and management structure have been highly evaluated in the market.Kumho Tire, which has been under joint control of creditor

South Korean stocks gained 0.65 percent Thursday as investors remained calm in the face of mounting eurozone woes and took a wait-and-see stance ahead of the Greek elections, analysts said. The local currency rose against the U.S. dollar.The benchmark Korea Composite Stock Price Index, after a choppy session, moved up 12.16 points to 1,871.48. Trading volume was light at 4.14 million shares worth 4.77 trillion won ($4.09 billion), with gainers outpacing losers 432 to 379.“The downgrading of Spai

The nation’s automobile sector has refuted claims by some European car industry leaders that Korean carmakers are enjoying huge benefits under the Korea-EU Free Trade Agreement.On the contrary, a greater beneficiary of the bilateral FTA ― which took effect on July 1, 2011 ― is the European counterpart, the Korea Automobile Manufacturers Association said Wednesday.KAMA clarified that the trade pact offers little benefit in terms of tariff elimination to the automobile sector, highlighting the man

Ssangyong Motor’s labor and management have reached an agreement on offering several benefits to unpaid workers in their leaves of absence, the company said Tuesday.As key support for the employees on unpaid leave, the automaker will provide them with school expenses for their children, according to Ssangyong.The company will also offer 150 shares, issued by the company, per unpaid worker.In addition, the unpaid employees will be given some gifts during the nation’s traditional holidays such as

South Korean stocks gained 0.25 percent Wednesday on expectations the U.S. Federal Reserve may announce new stimulus measures to bolster growth, analysts said.The local currency rose against the U.S. dollar.The benchmark Korea Composite Stock Price Index moved up 4.58 points to 1,859.32. Trading volume was moderate at 5.38 million shares worth 3.73 trillion won ($3.19 billion), with losers outpacing gainers 423 to 381.“Forecasts that the U.S. will push forward additional quantitative easing to s

Group to see production  capacity grow by 26%  in next few weeksHyundai Motor Group is speeding up its mid-term project to overtake General Motors in vehicle sales in China by expanding its manufacturing capacity.Though Volkswagen maintains the No. 1 position in the Chinese market, the sales gap between GM and Hyundai Motor-Kia Motors has narrowed.Last year, GM ranked second with vehicle sales of 1.32 million units and Hyundai-Kia ranked third with 1.17 million units. Volkswagen saw its 2011 sal

South Korean stocks fell 0.66 percent Tuesday after investors expressed disappointment over Spain’s bailout plans and concerns mounted over upcoming Greek elections, analysts said. The local currency fell against the U.S. dollar.The benchmark Korea Composite Stock Price Index lost 12.30 points to 1,854.74. Trading volume was light at 404 million shares worth 5.59 trillion won ($4.77 billion), with losers outpacing gainers 441 to 361.“The market backtracked as investors expressed concerns that th

Moody’s Investors Service predicted Monday that KakaoTalk operator’s launch of a free phone-call service will negatively affect the credit ratings of the nation’s two major telecommunication operators.“The launch of VoiceTalk is credit negative for our rated Korean telecommunication operators, SK Telecom (SKT, A3 negative) and KT (A3 negative),” the global rating firm said in a statement.Its view comes a week after Kakao, the Korean operator of popular multi-platform texting application KakaoTal

South Korea’s securities brokerage industry has been a big underperformer for the past year, buffeted by the resurfacing of the European debt crisis and other negative factors, data showed Sunday.The return on the brokerage sector’s subindex stood at minus 30.6 percent during the past year, the third-worst record after minus 32.6 percent for medical and precision machines and minus 31.9 percent for chemicals, according to the data by the Korea Exchange, the local bourse operator.In addition, the

The government split up the rail sector’s management of infrastructure and transport services in 2005, judging that a single national railway firm would not be able to meet the demand for better products. Under the reform, the Transportation Ministry put about 80 percent of Korea’s railway stations under the ownership of state-run Korea Railroad Corp., which also operates railway services, as a form of investment-in-kind.About seven years on, the ministry is seeking to retrieve that ownership, s

Antitrust regulator considers probe into alleged price-fixingRetail prices of imported whisky from Europe have not dropped but climbed in the local market despite the Korea-EU Free Trade Agreement which took effect in July 1, 2011, according to the antitrust regulator.The Fair Trade Commission said Sunday that import prices of European-made whisky products rose by 1.41 percent during the first quarter of 2012, compared to the same period last year.Among the products whose import prices surpassed

South Korean credit card companies saw their default rates increase in the first quarter from three months earlier amid falling earnings, the financial regulator said Sunday.The average delinquency rate of seven credit card companies reached 2.09 percent as of the end of March, up 0.18 percentage point from the end of last year, according to the Financial Supervisory Service.The watchdog said the rate rose due to an increase in fresh defaults, which was related to clear signs of the country’s ec

South Korean stocks will likely be exposed to volatility ahead of crucial Greek parliamentary elections that will determine the future of the eurozone, local analysts said Saturday.The country’s key stock index, the KOSPI, closed at 1,835.64 points on Friday, up just 0.06 percent or 1.13 points from a week earlier.The weak gains came as the local bourse lost ground in the face of persistent debt and financial sector problems in the European Union and disappointments caused by the U.S. Federal Re