Korea's five major commercial banks (KB Kookmin, Shinhan, Hana, Woori, and NH NongHyup) will provide financing to suppliers of Homeplus Co., which received a decision to terminate its rehabilitation proceedings.
Shinhan Bank said on the 8th it will provide up to 500 million won in new and refinancing loans to suppliers struggling due to delays in the deposit of Homeplus Co. invoice payments. At maturity, it will extend the term without principal repayment and also defer repayment of installment payments. The lending rate will offer a preferential rate of up to 1.0 percentage point (p). For companies in arrears, it will reduce interest in arrears.
Hana Bank will provide emergency business stabilization funds of up to 500 million won to suppliers needing new funds. For suppliers already using loans, it will extend maturities by up to one year without principal repayment and defer installment payments by up to six months. It will support a preferential rate of up to 1.3 percentage points.
Woori Bank will provide new funds of up to 500 million won to suppliers and extend loan terms for suppliers with approaching maturities without principal repayment. It will also extend the grace period for protesting export bills from 60 days to 90 days. In addition, it plans to offer further financial support such as preferential rates and fee reductions.
NongHyup Bank has continued to provide loans of up to 500 million won to Homeplus Co. suppliers since March last year. It offers a maximum preferential rate of 2.0 percentage points to general corporations and sole proprietors, and 2.6 percentage points to farmers.
KB Kookmin Bank said on the 7th that it would support small and midsize companies and small business owners that have a transaction with Homeplus Co. with working capital loans of up to 500 million won, discounted rates, and loan maturity extensions.