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Shinsegae Group to Invest 2.5 Tril. Won until Yearend

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Tuesday, August 6th, 2013
SEOUL, KOREA- Shinsegae Group, Korea's retailer with operations in department stores and discount outlets, will invest the record-high 2.5 trillion won and hire 24,000 new employees until the year's end.The retail group said this on August 5 in a second-half strategy meeting. Although the company normally announced its investment and hiring plans early in the year, it did so this year in August due to troubles related to the owner being investigated by the prosecutors' office and charges of illegal union surveillance.
 
The group's investment for the year is more than 10 percent higher than last year's 2.2 trillion won and about 500 billion won more than the amount announced early in the year. It had already disbursed 1.5 trillion won during the first half, with the remaining 1 trillion won to be expended in the latter half. The company may spend more than 2.5 trillion won if deemed necessary.
 
Shinsegae vice chairman Chung Yong-jin said, "We decided to get aggressive in investment as part of our effort to help economic recovery even though the economy's outlook is still uncertain. Given the nature of retail business catering mostly to the domestic consumers, we expect that our additional investment could contribute to creating more jobs."
 
According to the second-half business plan, Shinsegae will keep investing in shopping malls in such locations as Hanam (suburban town southeast of Seoul), East Daegu (transportation center), and Busan (Centum City).

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