Last checked at 8 May 2012 07:00
Debt Guarantee for Overseas Subsidiary
On May 7, 2012, the Management Committee authorized a credit line to SEEH (Samsung Electronics Europe Holding Cooperatief U.A., a holding company that controls subsidiaries of SEC in Europe.) Under public disclosure regulations by Korea Exchange, SEC should make a public disclosure about a credit line that exceeds 2.5% of its equity capital.
Details:
1. Borrower: Samsung Electronics Europe Holding Cooperatief U.A.
- Relationship with SEC: An overseas subsidiary
2. Creditors: Four banks including HSBC, JP Morgan, Credit Agricole,
Banco Bilbao Vizcaya Argentaria(BBVA)
3. Credit line of SEEH
- A total of USD 2.0 billion by applying the currency exchange rate of KRW1,132/USD.
※HSBC: USD1.0 billion, JPM: USD 0.4 billion, CA: USD 0.3 billion, BBVA: USD 0.3 billion
- The purpose of the credit line is to increase efficiency by allowing SEEH's subsidiaries to use debt facilities under credit line of SEEH.
- USD 1.25 billion out of USD 2.0 billion is to replace the existing guarantee, and the remaining USD 0.75 billion is the newly provided amount.
- The period of credit line will start in June 2012 (tentatively) and last for one year.