ID :
183722
Mon, 05/23/2011 - 05:56
Auther :
Shortlink :
https://oananews.org//node/183722
The shortlink copeid
Top 10 group firms' entertainment costs up 17.1 pct in 2010
SEOUL (Yonhap) - Affiliates of South Korea's 10 largest conglomerates saw their entertainment expenses jump 17.1 percent in 2010 from a year earlier, data showed Monday.
The combined entertainment expenses of 297 affiliates belonging to the country's top 10 conglomerates reached 191.2 billion won (US$176 million) last year, compared with 163.3 billion won in 2009, according to the data by the Financial Supervisory Service and Chaebul.com, a market research firm.
Entertainment expenses include a wide range of costs, including those for meals and travel as well as rewards for clients.
The data includes only 51.1 percent of the groups' 581 affiliates. Disclosing entertainment costs in public financial statements is not mandatory for South Korean firms.
The entertainment expenses of key affiliates -- such as Samsung Electronics Co., LG Electronics Inc. and SK Telecom Co. -- were unavailable, indicating the total cost may be much higher than tallied.
Among the tallied conglomerates, Samsung topped the list with 33 billion won. SK, the parent group of the country's leading oil refiner and mobile carrier, came next with 31.3 billion won and Hanwha followed with 23.7 billion won, the data showed.
South Korea's corporate entertainment expenses have been on the rise following the government's easing of related regulations. In 2009, the government abolished a policy requiring companies to disclose entertainment expenses that exceed 500,000 won in a bid to boost consumer spending.
The combined entertainment expenses of 297 affiliates belonging to the country's top 10 conglomerates reached 191.2 billion won (US$176 million) last year, compared with 163.3 billion won in 2009, according to the data by the Financial Supervisory Service and Chaebul.com, a market research firm.
Entertainment expenses include a wide range of costs, including those for meals and travel as well as rewards for clients.
The data includes only 51.1 percent of the groups' 581 affiliates. Disclosing entertainment costs in public financial statements is not mandatory for South Korean firms.
The entertainment expenses of key affiliates -- such as Samsung Electronics Co., LG Electronics Inc. and SK Telecom Co. -- were unavailable, indicating the total cost may be much higher than tallied.
Among the tallied conglomerates, Samsung topped the list with 33 billion won. SK, the parent group of the country's leading oil refiner and mobile carrier, came next with 31.3 billion won and Hanwha followed with 23.7 billion won, the data showed.
South Korea's corporate entertainment expenses have been on the rise following the government's easing of related regulations. In 2009, the government abolished a policy requiring companies to disclose entertainment expenses that exceed 500,000 won in a bid to boost consumer spending.
