Semicon Big Deal Reached at Last

The current restructuring deal between Hyundai and LG Semiconductor was finally agreed upon on April 21 by the two groups' leaders.
Hyundai consented to pay 2 billion dollars in total cash, granting 1.2 billion dollars in cash and securities on the spot while the remaining 800 million dollars will be paid in five installments by the year 2002.
The two groups' heads will both sign the agreement on April 22 just prior to the official announcement.
Out of 1.2 billion dollars, Hyundai will deliver 400 million dollars worth of its Dacom shares to LG.
The 800 million-dollar balance to be paid by Hyundai was an obstacle, but it retreated from its original proposal, which called for paying the amount only when it makes a profit, by agreeing to pay five separate installments over the next three years.
A source from Hyundai commented on the breakthrough, 'So far we have spent all night almost every day to reach a final conclusion as we wanted to avoid any problems that may arise somewhere down the road with the contract. We are satisfied with the final result after such long negotiations.'
Hwashik Bong : trojans@joongang.co.kr