South Korean creditors plan to provide 1.6 trillion won ($1.40 billion) in financial support to debt-laden Asiana Airlines Inc, the country’s finance minister said on Tuesday, alleviating liquidity problems after a bruising month.
Asiana Airlines’ biggest shareholder earlier this month said it would sell its entire stake worth 564 billion won as of Monday’s closing share price, in response to creditors’ rejection of an earlier request for support of 500 billion won.
Creditors have now offered to buy Asiana Airlines’ perpetual bonds worth 500 billion won and set a credit limit of 800 billion won, among other conditions, said Minister of Economy and Finance Hong Nam-ki.
Top Copyright Photo (all others by the airline): Asiana Airlines Airbus A380-841 HL7640 (msn 230) LAX (Michael B. Ing). Image: 946282.
Asiana aircraft slide show: