As part of its efforts to gain legal protection for its ships, Hanjin has filed a Chapter 15 petition in a United States bankruptcy court in New Jersey.
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South Korea’s two policy lenders – the Korea Development Bank and the Industrial Bank of Korea – will roll over maturing loans to some of the companies and provide special credit guarantee, Yim told reporters. The report says the USA bankruptcy filing was made by Suk Tai-soo, Hanjin’s inside director and foreign representative.
Ships cruising in the waters of Northeast Asia will be directed to South Korean ports of Busan and Gwangyang, he added.
The measure is aimed at “minimizing the cases where Hanjin Shipping’s vessels are being seized in foreign countries”, South Korea’s government said in a statement jointly released by several ministries and commissions.
Choi said the government has chosen the three offshore base ports as they will provide legal protection for Hanjin vessels which have faced seizure of vessels and decline of port leave and entry.
“Given the mutual interests, Hanjin may as well seek the support of large clients”.
There has been little impact at the Port of Charleston because no Hanjin ships were scheduled to arrive in the days after the bankruptcy.
Other shipping lines were moving to take over some of the Hanjin traffic but at a price, with vessels already are operating at high capacity because of the season.
“Related ministries including the Ministry of Oceans and Fisheries should immediately take emergency transportation measures such as sending container ships to replace seized vessels to minimise disruption on trading companies”, he said during a Cabinet meeting on September 6.
Hanjin Shipping’s labor union chief, Lee Yo-han, said that while the 510 crew aboard Hanjin-operated vessels are not facing any immediate crisis, they could suffer from shortages of food and water if they are stranded too long at sea.
Korean Air posted 2,817.7 billion won in sales and 250.8 billion won in net loss in the second quarter of this year.
An additional 40 billion won would personally come from Hanjin Group Chairman Cho Yang-Ho.
Although expectations that Hanjin Shipping will be able to survive are low, the stock surged 30 percent on Tuesday, the daily limit, as investors made speculative bets on a stock that hit an all-time low on Monday.
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