Cash-strapped Kumho Asiana Group is expected to submit a set of fresh self-rescue measures soon, including selling off its flagship unit, in a desperate move to get additional financial help from its creditors, industry sources said on April 15.
Kumho Asiana and its nine creditors, led by the state-run Korea Development Bank, are in negotiations to fine tune the self-rescue measures to address the airline-to-petrochemical conglomerate’s worsening financial status and eventually help it back on track, they said.
“The group is expected to come up with additional self-help plans that include the sale of Asiana Airlines early this week,” a person with direct knowledge of the matter said.
Last week, Kumho Asiana asked the KDB to provide an additional 500 billion won ($440 million) in financial assistance and pledged to sell off Asiana Airlines if it fails to meet creditors’ demands in three years.
By Ram Garikipati and newswires (email@example.com)