CORRECTED - CORRECTED-Seoul shares end lower; KT up

(Corrects to remove erroneous reference to LG Display rising in headline and first paragraph)

SEOUL Jan 12 (Reuters) - Seoul shares ended lower on Monday as Friday's weak U.S. job data stoked economic worries, sending industrials lower, but KT Corp ended higher on merger talk.

KT Corp (030200.KS) rose 4 percent after a local media report on Sunday that South Korea's top fixed-line and broadband provider plans to seek approval for a long-anticipated merger with its mobile service unit KTF Co Ltd 032390.KS.

The Korea Composite Stock Price Index ended down 2.05 percent at 1,156.75 points, falling for a third straight session and down nearly 6 percent since Jan 7.

But the index is still up around 2.85 percent on the year. (Reporting by Jungyoun Park; Editing by Keiron Henderson)