Kim Kwang-il, Vice Chairman of MBK Partners and Co-CEO of Homeplus, answers questions regarding Homeplus's corporate rehabilitation process during the National Assembly's Political Affairs Committee meeting held in Yeouido, Seoul, on Nov. 18. /Courtesy of News1
Kim Kwang-il, Vice Chairman of MBK Partners and Co-CEO of Homeplus, answers questions regarding Homeplus's corporate rehabilitation process during the National Assembly's Political Affairs Committee meeting held in Yeouido, Seoul, on Nov. 18. /Courtesy of News1

Kim Gwang-il, vice chairman of MBK Partners and co-CEO of Homeplus, said on the 18th, "We sold real estate worth about 1.8 trillion won after acquiring Homeplus."

On the same day, Kim attended a meeting of the National Assembly's Political Affairs Committee and responded to a question from Lee Gang-il, a member of the Democratic Party, asking, "How did Homeplus's liability ratio drop from over 3,200% last February to 1,800% this year?" by stating, "We conducted a revaluation of asset properties."

When Lee asked, "Isn't the sale price of Homeplus stores around 4 trillion won?" Kim replied, "Including the Sales & lease back and the portion of re-leasing after the sale of Homeplus store assets, 4 trillion won is correct."

Kim also noted in response to a question from Lee Jeong-moon, a member of the Democratic Party, asking, "Hasn't the burden of rent increased due to the Sales & lease back?" that "The rent cost incurred due to the Sales & lease back is about 100 billion won, which is about 25% of the total rent."

He added, "The 100 billion won in rent going out because of the Sales & lease back has replaced the 100 billion won spent on financial interest," and stated, "All 15 stores involved in the Sales & lease back were utilized for repaying liabilities."