"Creditors need to mitigate losses when new funding"

[Korea Jeongseon financial newspaper reporters - Industry Structure Adjustment in creditors (banks) to support the new funding was raised the need to consider ways to reduce the loan loss provision expense.

The Lunar New Year, senior research fellow of the Korea Institute of Finance announced 20 days 'work out obstacles to implementation and future challenges, thus said the report' restructuring, it is necessary to create an environment that can be achieved smoothly.

The government is restructuring the system through the regular provision of pre-packaged Plan (pre packaged plan) active, market-oriented in this year's work plan workout schemes (corporate restructuring operations) ways of diversification.

Pre-packaged plan, creditors when applying it to submit a pre-proposal including a new financing plan and the court that the transition to workout with creditors led under courts in consultation with the workout and court linked the advantages of (regenerative procedure) the plan to.

The Lunar New Year, senior researcher "of the government scheme workout scheme is meaningful in that they seek to diversify 'said' creditors arrangement, non-financial debt ratio, companies and choose the way the context of insolvency signs companies depending on the industry outlook in that it promotes the restructuring was deemed sufficient direction.

The report work successfully, including challenges to the allowance for doubtful accounts when new funding bank for the promotion burden needs of out △ strict corporate credit risk assessment boulders hide △ complexity of creditors configuration, the non-financial debt ratio considering the workout how fast decisions cited.

If the workout is a delay in the traditional manner as a conflict of interest was raised alternatives. To take advantage of the fact that to assess the adequacy of progress three years after the agreement concluded during the workout for corporate improvement plan implemented in the current Corporate Restructuring Promotion Act (gichokbeop).

Chinese New Year is a Senior Research Fellow suggested that "if the result is negative, it is necessary to prevent that provided a framework to work out other ways to promote the restructuring of such debt being sold without any delay performance.

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