20 Pct. of Conglomerates Say Economy Has Bottomed Out

Twenty percent of Korea’s top 20 conglomerates say the Korean economy has bottomed out, the results of a survey released by the Dong-A Ilbo said yesterday.

Thirteen conglomerates expected the economy to hit bottom between the second and fourth quarters of the year, with the remaining five saying next year.

The Dong-A Ilbo surveyed Korea’s top 20 private conglomerates such as Samsung, Hyundai-Kia Automotive, SK, LG and Lotte on the prospects of the Korean economy Thursday and yesterday.

With certain indicators showing sings of economic recovery, some say the economy might have hit bottom. Ninety percent of the country’s top conglomerates, however, remain pessimistic.

Six groups either plan or are conducting restructuring on the group level, according to the survey.

“Though voices are growing that bold restructuring is necessary to seize opportunities to come after the crisis is over, most businesses have yet to seek restructuring,” one expert said.