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TYPE=CORRESPONDENT REPORT

BYLINE=HYUN-SUNG KHANG

DATELINE=SEOUL

INTERNET=YES

CONTENT=

VOICED AT:

INTRO: North Korea has announced a major shakeup of its top military figures.

More than forty generals have been promoted in the second large-scale

military reshuffle under the leadership of Kim Jong-Il. As Hyun-Sung Khang

reports from South Korea, the changes came as Pyongyang condemned the

increase in defense spending announced by the South.

TEXT: North Korea's state media says the military reshuffle was ordered by

the country's leader, Kim Jong-Il; ahead of the anniversary of the ruling

Communist Worker's Party. Forty-four generals have been promoted. More

than forty other officers are also being moved up the ranks.

Little is known about the new appointees, but the reshuffle is being seen as

part of a generational change in the country's top brass. It is also an

opportunity for Kim Jong-Il to consolidate his authority over the armed forces.

///opt/// The announcement of the reshuffle was accompanied by a call for loyalty

from Kim Jong-Il. He urged the military to "faithfully uphold the party's

army-first, revolutionary leadership" ///end opt///

This is the second significant military shakeup since Kim Jong-Il was named the

country's supreme leader two years ago. In recent years he has named

hundreds of new generals and appointed Vice-Marshall Jo Myong-Rok as his

second-in-command.

The Vice-Marshall flew to Washington Sunday for talks aimed at easing

tensions between the two countries. He is expected to meet President

Clinton and Secretary of State Madeleine Albright.

Since the begining of the year, North Korea has been seeking to improve

relations with the outside world, most notably with neighbouring South

Korea. But Pyongyang denounced last week's decision by Seoul to

increase its defence spending by 6.5%.

The North's Committee for the Peaceful Reunification of the Fatherland,

which is in charge of inter-Korean affairs, criticized the move as "an

unpardonable crime." It's called on the South Korean authorities

"to ponder the grave consequences of the reckless arms

buildup going on behind the scene of dialogue,"

South Korea and the United States say they still consider North Korea

a major military threat. (signed)

NEB/HSK/PFH