À̹ÌÁö È®´ë Creditors of Asiana Airlines Inc. have turned nervy on debt exposure to South Korea¡¯s second full-service carrier that received a qualified opinion from its outside auditor last week.
According to sources from the financial industry on Sunday, its major creditor Korea Development Bank (KDB) held a series of emergency meetings over the weekend and on Monday to analyze possible impacts from the qualified opinion to Asiana Airlines¡¯ 2018 financial statement that led to worsened bottom line after revision and suspension of the stock.
Asiana Airlines owned by Kumho Asiana Group said it will work hard to receive clearance from its outside auditor and improve its financial status. If the unclean audit reports lead to a downgrade in the company¡¯s credit rating from the current BBB- to BB, it would have to make early payment for not only the ABS worth 1.2 trillion won ($1.05 billion) but also long-term loans worth 258 billion won.
To avoid debt pressure, the company should prove its clean report before rating agencies announce their regular credit rating updates on companies around the end of June.
The outcome also could affect the decisions of creditors of Asiana Airlines and its parent company Kumho Industrial Co. on whether to extend the debt moratorium under the memorandum of understanding (MOU) hinging on the companies¡¯ financial improvements. The current MOU is supposed to be expired on April 6.
Asiana Airlines planned to issue a total 150 billion won worth of perpetual bonds and already raised 85 billion won on March 15. But the accounting misfortune has put the company¡¯s plan to raise additional 65 billion won bonds on hold.
If the airliner fails to fulfill its promises to improve its financial soundness by selling assets and bolstering capital under the MOU, its creditors would be able to take back loans with approaching maturity or demand the firm replace management.
By Lee Seung-yoon and Choi Mira
[¨Ï Pulse by Maeil Business Newspaper & mk.co.kr, All rights reserved]