A Japanese machine-toolmaker has reached a settlement with three South Koreans who served as forced laborers during World War II based on recommendations handed down by the Supreme Court, company sources said Tuesday.

Nachi-Fujikoshi Corp., based in Toyama on the Sea of Japan coast, reached a compromise Tuesday with the three plaintiffs at the top court in Tokyo to settle a lawsuit filed by the South Koreans in September 1992, the sources said.

The plaintiffs are two women -- Lee Jong Suk, 68, and Choi Bong Nyon, 69 -- and one man, Ko Dok Hwan, 77.