Nov. 11 (Bloomberg) -- Daewoo Motor Sales Corp., the retailer of General Motors Corp. vehicles in South Korea, fell by the daily limit in Seoul trading after a report the company delayed an 85 billion won ($64 million) debt payment.

Daewoo Motor Sales shares tumbled 1,500 won, or 15 percent, to 8,500 won as of 1:15 p.m., extending yesterday's 5.7 percent decline. The benchmark Kospi index declined 0.3 percent.

Daewoo Motor Sales yesterday delayed payment on commercial paper it had guaranteed because of a cash shortage, MoneyToday said this morning, citing industry sources it didn't identify.

An Seog Su, a Daewoo spokesman, denied the report, saying the company had honored the payment late last night and that it isn't facing liquidity problems.

To contact the reporter on this story: Saeromi Shin in Seoul at sshin15@bloomberg.net.

Last Updated: November 10, 2008 23:41 EST