Most Popular
-
6
Chaos unfolds as rare November snowstorm grips Korea for 2nd day
-
7
‘VCHA, Katseye and Dear Alice are not K-pop groups,’ industry experts say
-
8
BOK makes surprise 2nd rate cut to boost growth
-
9
Ador claims exclusive contracts with NewJeans still valid
-
10
Japan will pay for failing to honor promises, minister says
Hanjin Heavy's overseas affiliate gets nod for rehabilitation scheme
By YonhapPublished : Jan. 15, 2019 - 15:09
Hanjin Heavy Industries & Construction Co., a midsized South Korean shipbuilder, said Tuesday that its Philippine affiliate has received approval for a rehabilitation scheme.
In a regulatory filing, the shipbuilder said a Philippine court had okayed HHIC-Phil Inc.'s insolvency scheme earlier this week.
Early this month, HHIC-Phil, which operates the Subic yard, filed for an insolvency scheme in the archipelago country.
Hanjin Heavy and its affiliate have been suffering from a drop in new orders amid the protracted slump in the global shipbuilding sector.
In 2004, Hanjin Heavy built the shipyard in the Philippines to boost its overall competitiveness.
The Subic shipyard's assets have been valued at 1.84 trillion won ($1.64 billion), and it employs 4,000 people.
Hanjin Heavy has been conducting massive restructuring efforts since 2016 by selling non-core assets. So far, the shipyard has met 65 percent of the 2.1 trillion-won restructuring scheme proposed by its creditors.
In 2017, Hanjin Heavy posted an operating income of 86.7 billion won following figures of 150 billion won in 2015 and 49.3 billion won in 2016. (Yonhap)
