Where South Korea's Teetering, Debt-Laden Companies Go to Bank
- KDB seeks to rescue Daewoo Shipbuilding and Hyundai Merchant
- Ship giant faces $1.1 billion in bond payments through 2018
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Last August, the Korea Development Bank left cash-strapped Hanjin Shipping Co. adrift at sea -- literally.
South Korea’s state-owned lender, the nation’s largest policy bank, and other creditors turned down a bailout request from Hanjin, then one of the world’s biggest shipping lines. That in turn led to a bankruptcy filing in Seoul and a major disruption in global shipping as more than 90 Hanjin ships were marooned offshore and ports in the U.S., Asia and Europe turned the company’s ships away.