AP Reports Hyundai To Join Mercedes In Alabama.

SEOUL, South Korea AP is reporting that Hyundai Motor Co. has chosen Alabama as the site for its first U.S. auto manufacturing plant, a Seoul newspaper reported Tuesday.

Hyundai spokesman Park Sang-woo called the report by JoongAng Ilbo ``speculative,'' saying that the decision has yet to be by the company's board of directors which is scheduled to convene at 10 p.m. EST.

Park said Hyundai plans to announce its board's decision at a news conference at 11 p.m. EST.

Hyundai confirmed Monday that Alabama and Kentucky remained on its final list of candidates for the $1 billion plant after it ruled out Mississippi and Ohio.

JoongAng, a major national daily, said Hyundai selected Alabama, because its alliance partner, DaimlerChrysler AG, has a manufacturing plant there.

``Hyundai has come to the conclusion that the DaimlerChryser plant there can maximize the synergy effect of its plant to be located nearby,'' JoongAng Ilbo said.

Glendale in Kentucky and Montgomery in Alabama are vying for the plant, which will hire 2,000 people and make 300,000 cars a year beginning in 2005.

Hyundai, South Korea's largest automaker, posted a net profit of 1.17 trillion won ($900 million) last year, the highest profit in its 35-year history. The company credited brisk sales of expensive luxury cars and sport utility vehicles.