“Ssangyong Motor must stand alone with its new large shareholder. Stop any industrial action until it becomes a surplus.”
Lee Dong-geul (pictured) is a request left by the chairman of the Korea Development Bank in relation to the support for Ssangyong Motors, who applied to the court for corporate rehabilitation.
On the 12th, Chairman Lee revealed his position on the problems that are in the KDB through an online New Year meeting. First of all, regarding the conditions of support for Ssangyong Motor, which is in a liquidity crisis, Chairman Lee said, “It is not possible for companies to live with money alone. If Ssangyong Motor’s labor and management miss this opportunity, there is no possibility of recovery. “This is my last chance”, and after saying, “The collective agreement should be increased from one year to three years. There were many cases of self-harm such as strikes in the process of labor-management negotiations before restructuring companies made a surplus and normalized. “Unless there is a condition not to strike before the surplus, the Bank of Korea has no intention of applying for just 1 won.”
Mahindra, India, who owns a 74.7% stake in Ssangyong Motor, plans to sell its stake until the end of next month when the legal management grace period for Ssangyong Motor is over. Chairman Lee said, “A negotiation is underway between Mahindra and potential investors. The company under discussion may have a negative impact, so we cannot disclose it.”
“I am well aware of the controversy,” commenting on whether the integration of Korean Air and Asiana Airlines will increase the influence of the No. 1 company. He even called me a chaebol addict,” he said. “There is no doubt that it is important to keep jobs as much as possible and promote healthy competition in the market in large-scale mergers and acquisitions (M&As). However, if restructuring is done quickly, it is effective to promote employment in the mid to long term. We have to look at it from a broader perspective.”
The National Pension Service’s objection to the change in the articles of incorporation for the integration of Korean Air and Asiana Airlines said, “It is expected that the value of the stake in the National Pension Plan, the second largest shareholder of Korean Air, will increase significantly. “I don’t think that the reason for the integration of airlines has faded,” he explained.
Chairman Lee clarified the existing position that the KDB will not compensate for the issue, saying that it is a legally terminated issue in relation to the foreign exchange derivative KIKO, which has been in dispute for more than 10 years. Chairman Lee said, “The FSS’s claim of incomplete sales is a political decision rather than logic,” he said. “Overturning a legally terminated case can set a bad precedent as it hurts legal stability.”
Reporter Nam Jeong-hoon firstname.lastname@example.org
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