YEAR-END REVIEW : NORTH KOREA IN 2009
INTERNAL AFFAIRS
EFFORTS TO PREPARE FOR POST-KIM JONG-IL ERA 2
N. Korea has exerted itself in stabilizing its ruling system and removing potential political uncertainties amid reports of Kim Jong-il’s failing health.
EXTERNAL AFFAIRS
SWINGING BETWEEN HARD-LINE & CONCILIATORY GESTURES 7
North Korea has alternated between conciliatory and belligerent tones in an attempt to lure the U.S. to the negotiating table for its regime survival.
NUCLEAR ISSUES
FUTURE OF SIX-PARTY TALKS: KEY ISSUES & PROSPECTS 12
Now is the time for Kim Jong-il to make a bold decision for peace, mutual benefits and co-prosperity by participating in the six-party talks.
CHRONOLOGICAL REVIEW IN 2009 16

INTERVIEW with U.S. President Barack Obama
Obama Reconfirms Seoul-Washington Cooperation on N.K. Nuke Issue 21

ANALYSES
A ROUGH ROAD AHEAD FOR BILATERAL TALKS 24
N. Korea and the U.S. have agreed to hold one-on-one talks
in Pyongyang within the year, but many knotty issues still stand on the path.

CONTRIBUTION By Andrei Lankov, Ph.D.
CHANGES IN VIEW OF OUTSIDE WORLD BY NORTH KOREANS 28
The spread of illegal mobile phones has played a major role
in changing the North Korean mindset concerning outside world.

NEWS FOCUS
Koreas Clash in Yellow Sea, Raise Tension ahead of Obama Trip 32
Analysts say the clash is unlikely to have a long-lasting influence on inter-Korean ties or the brewing mood for direct talks between N.K. and U.S.

MAJOR DEVELOPMENTS
INTERNAL AFFAIRS 34

EXTERNAL AFFAIRS 39

INTER-KOREAN RELATIONS 44

STUDIES By Kim Joong-ho, Ph.D.
A PROSPECT FOR N.K.-U.S. NUCLEAR NEGOTIATIONS
AND BILATERAL RELATIONS: IMPLICATIONS FOR N.K. ECONOMIC DEVELOPMENT 46

FOREIGN TIPS 58

PEOPLE & CHRONOLOGICAL REVIEW 60