Samsung Affiliates Extend 2.6 tln Won to Virus-hit Suppliers | Be Korea-savvy

Samsung Affiliates Extend 2.6 tln Won to Virus-hit Suppliers

Samsung Group's headquarters in Seoul. (Yonhap)

Samsung Group’s headquarters in Seoul. (Yonhap)

SEOUL, Feb. 9 (Korea Bizwire)Samsung Group’s affiliates will extend 2.6 trillion won (US$2.2 billion) in financial support to their subcontractors to help them weather the fast-spreading coronavirus, the group said Sunday.

Samsung Electronics Co., Samsung Display Co. and Samsung Electro-Mechanics will jointly extend 1 trillion won worth of loans at zero or low interest rates depending on the conditions of their contractors and make early payments of 1.6 trillion won this month for supply purchases, according to Samsung Group.

Samsung Group, the country’s biggest conglomerate by assets, said it will be closely monitoring the situation involving the spreading coronavirus and its impact on its suppliers for additional support.

Since the outbreak in the Chinese city of Wuhan late last year, the new coronavirus has killed over 810 as of Sunday and reached 24 countries, including as far away as the United States.

South Korea has reported 25 confirmed coronavirus cases as of Sunday.

On Thursday, Hyundai Motor Group also said it will extend 1 trillion won in financial support to help its small and midsized parts suppliers ride out the coronavirus impact.

Some 300 billion won will be provided as operating capital for its suppliers, and the remaining 700 billion won will be delivered in the form of early payments for their components, Hyundai said.


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