It is reported that the Industrial Bank and the Export-Import Bank will additionally support Asiana Airlines, which is struggling with the Corona 19 crisis.

According to the financial sector, Mercury will hold an expanded credit committee today (21st) to discuss Asiana Airlines' support issues.

The agency is also known to deal with Asiana Airlines support issues today at the Credit Commission.

It seems that the creditor pulled out a support card after the observation that the aviation industry was hit directly by the Corona 19 situation and was hampering the acquisition of Asiana Airlines by HDC Hyundai Development.

HDC has recently asked two banks to assist with Asiana Airlines' borrowings.

It was reported that HDC's local government requested the banks to extend payments and cut interest rates, as Asiana Airlines faced a serious crisis in Asiana Airlines.

The silver and mercury purchased 500 million won of permanent bonds issued by Asiana Airlines last year, and provided a total loan of 800 billion won, and a standby LC (warranty letter of credit) of 300 billion won, all supporting KRW 1.6 trillion.

The ratio of silver and mercury was about 7 to 3.

Asiana Airlines has previously taken a full loan of 800 billion won and used it, and recently decided to use the standby LC of 300 billion won.

It is possible that this additional support included a plan to extend the repayment of the loan.

After the screening of the business combinations of six overseas countries, HDC County was expected to participate in paid-in capital increase of 1.47 trillion won in Asiana Airlines and repay the borrowed loans from silver and mercury of 117 trillion won.

In addition to the paid-in capital increase, the company also planned to raise the remaining funds through the issuance of additional public bonds worth about 300 billion won and acquisition financing.

Based on this, Asiana Airlines was able to repay borrowings borrowed from silver and mercury.

It is possible that the creditors will extend the repayment of some of the borrowings Asiana Airlines has decided to pay.

In the market, the creditors are converting 500 billion won of Asiana Airlines permanent bonds or lowering the interest rate of permanent bonds, which is about 7% per year, as a support plan.

Meanwhile, in addition to the Asiana Airlines agenda, the Mercury's expanded credit committee also decides whether to convert foreign currency bonds to Doosan Heavy Industries & Construction.

On the 27th, Doosan Heavy Industries & Construction requested mercury to guarantee payment of foreign currency bonds, which have a maturity of 500 million dollars (about 600 billion won), to be converted into loans.

Doosan Heavy Industries & Construction, driven by the business crisis, was in trouble with reimbursement and requested mercury support.

Silver and mercury recently donated 1 trillion won to Doosan Heavy Industries & Construction.

(Photo = Yonhap News)