Bidders Granted Additional Debt Reduction in Kia Auction

The government and creditor banks are attempting a third round of international bidding for Kia Motors and its subsidiary Asia Motors by October 15.
The government and creditor banks held a meeting in Chong Wadae on September 26 and decided to announce concrete bidding conditions and a time frame.
In the meeting, they decided that for the third round of bidding they would not, as previously done, disqualify bidders who make demands for additional debt write offs. Instead they will decide the successful bidder by evaluating the bidders' debt reduction requirements and bidding price as a whole.
Accordingly, the bidder which will require the least debt write off is expected to be the successful winner.
Industry sources close to the matter are estimating that the level of the pertinent debt write off would be approximately 4.5 trillion won.