JoongAng Ilbo files for creditor-led workout program

“JoongAng Ilbo, one of Korea's leading newspapers, has filed for a creditor-led workout program, as the liquidity crisis at its parent JoongAng Group deepens to threaten the group's affiliates, including major broadcaster JTBC. According to the newspaper on Friday, it filed for a workout program with its main creditor Hana Bank, in a bid to restructure its debt and improve its financial health through negotiations with creditors. "We will continue discussions with creditors and faithfully devise effective debt restructuring measures and plans to normalize management," the newspaper said in a press release. Earlier this week, five JoongAng Group subsidiaries — JoongAng Holdings, JTBC, Contentree JoongAng, Megabox JoongAng and JoongAng P&I — filed for court receivership after JTBC defaulted on a 20.6 billion won ($13.6 million) debt repayment. The groupwide financial crisis also affected JoongAng Ilbo. On Thursday, Hanyang Securities, which holds 22 billion won worth of commercial paper issued by the newspaper, demanded early repayment of the short-term debt, citing heightened credit ri

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