(3rd LD) S. Korean conglomerates to boost 2010 investments by 16.3 pct

(ATTN: ADDS Hyundai-Kia Automotive Group in paras 8-9)
SEOUL, Jan. 15 (Yonhap) -- South Korea's top 30 conglomerates plan to boost their
investments by 16.3 percent this year to handle rebounding demand at home and
abroad, the nation's largest business lobby said Friday.

The Federation of Korean Industries also said the conglomerates would hire a
total of 79,199 workers this year, up 8.7 percent from last year.
The plans were unveiled at a meeting with President Lee Myung-bak earlier in the
day.
This year, the conglomerates plan to spend a total of 87.1 trillion won (US$77.5
billion), compared with 74.8 trillion won last year.
At the meeting, the federation urged the government to reform labor markets and
revise regulations to create more jobs.
On the sidelines of the meeting, Samsung Group said it will invest 26 trillion
won this year and hire about 19,000 workers.
"The size of investment will probably rise, depending on economic conditions,"
Lee Soo-bin, chairman of Samsung Life Insurance Co., told reporters.
Hyundai-Kia Automotive Group, which includes Hyundai Motor Co. and Kia Motors
Corp., plans to invest 10.5 trillion won this year, up 12 percent from last year,
the group said in a statement.
The two carmakers aim to begin mass production of hybrids and electric cars in
2012, according to the statement.
LG Group Chairman Koo Bon-moo said the group will hike its 2010 investment by 28
percent to 15 trillion won this year. LG plans to hire about 10,000 workers this
year, compared with 9,600 new employees last year, Koo said.
SK Group will increase its investment by about 10 percent to 7 trillion won this
year, the group said in a statement.
Kang Duck-soo, chief of STX Group, told reporters the group plans to invest 1.2
trillion won this year, up 10 percent from last year.
Dongbu Group Chairman Kim Jun-ki said his group plans to spend 1 trillion won
this year to boost its steel production capacity.
"We need to spend around 3 trillion won in the future, and 1 trillion won will be
spent this year," Kim told reporters.
Buoyed by a gradual global recovery, the Korean economy expanded 3.2 percent in
the third quarter of last year, marking the fastest increase in more than seven
years.
In a report last month, the Bank of Korea predicted that the economy would grow
4.6 percent this year, compared with an expected 0.2 percent increase for last
year.
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