Yonhap News Summary

The following is the second summary of major stories moved by Yonhap News Agency
on Thursday.

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S. Korea defends proposed 'grand bargain' with N. Korea
SEOUL -- South Korea said Thursday that President Lee Myung-bak's proposed "grand
bargain" with North Korea on its nuclear program was a result of close
consultations with the U.S., countering media speculation on a possible policy
rift between the allies.
Lee, on a visit to New York earlier this week, said North Korea could be given
security guarantees and economic assistance if it dismantles the "key elements of
its nuclear program" in what he described as a grand bargain.
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(LEAD) N. Korean nuclear bases pose greatest threat: S. Korean commander
SEOUL -- Potential North Korean nuclear bases pose the greatest security threat
to South Korea and will come under "swift and precise attacks" in the event of
war between the two countries, a four-star South Korean general told lawmakers
Thursday.
North Korea is believed to have up to 40kg of plutonium, enough to produce at
least six nuclear bombs, according to a statement by Lee Sang-eui, picked as the
next chairman of the Joint Chiefs of Staff.
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Foreign direct investment in S. Korea jumps on recovery hopes
SEOUL -- Foreign investment made in South Korea jumped over 30 percent during the
first seven months of this year amid growing expectations the Korean economy will
make a fast recovery, a report showed Thursday.
According to the report by the finance ministry, foreign direct investment in
South Korea amounted to US$6.79 billion during the January-July period, up 32.4
percent from the same period a year earlier.
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Constitutional court overrules ban on nighttime rallies
SEOUL -- The Constitutional Court ruled on Thursday that a current ban on night
rallies is unconstitutional, ending a decade-long debate on the clause which
critics charged violates the right to assemble.
South Korea's demonstration law enacted in 1962 prohibits outdoor rallies after
sunset. Those who want to organize rallies during restricted hours must obtain
prior approval from police. The court had upheld the law in 1994.
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Park Chung-hee regime pre-notified N. Korea of 1972 martial law imposition: document
SEOUL -- South Korea's Park Chung-hee government pre-informed North Korea that it
would impose martial law south of the border in the early 1970s, Eastern European
dossiers acquired by a U.S. think tank said.
The documents, translated and made public by the Woodrow Wilson International
Center for Scholars, are the first to show that Park's authoritarian regime
sought to assure Pyongyang that its move -- which granted the South Korean leader
near-dictatorial powers -- did not mean to "offend" North Korea and would rather
"guarantee the peaceful dialogue."
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Microsoft unveils 23 bln won investment plan for S. Korean game developers
SEOUL -- U.S. software giant Microsoft Corp. has disclosed a plan to invest 23
billion won (US$19.2 million won) over the next four years to support South
Korean game developers, a government agency said Thursday.
According to the Korea Creative Content Agency, Microsoft will provide at least
25 game development firms with technological and marketing support. It will also
educate and train developers and help set up new business entities, and assist in
their overseas advancement.
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(Yonhap Feature) Sports community struggles against violent coaching
SEOUL -- When we think of sporting heroes, the images that come to mind tend to
be of their moments of glory: a team lifting the champion's trophy as a stadium
erupts in deafening applause, or the tears of pride as an athlete dons an Olympic
gold medal to the sound of their national anthem.
Yet, such moments of glory are a small part of any athletes life, and offset by
no small amount of grueling training, hard work and self-abnegation. In South
Korea, where seniority and hierarchy are key parts of the culture, obedience
counts for much.
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(LEAD) Seoul shares fall below 1,700 mark in trading
SEOUL -- South Korean stocks fell 1.03 percent Thursday, pushing the key index
below the 1,700-mark as investors took profits from recent gains, analysts said.
The local currency fell against the U.S. dollar.
The benchmark Korea Composite Stock Price Index (KOSPI) lost 17.59 points to
1,693.88 after staying above the 1,700-mark for two days. Volume was moderate at
414.6 million shares worth 7.5 trillion won (US$6.28 billion), with losers
outpacing gainers 573 to 212.
(END)