The Korea Herald

지나쌤

S. Korea's major biz groups saddled with mounting debts

By KH디지털2

Published : Jan. 12, 2015 - 11:03

    • Link copied

South Korea's major business groups saw their debts increase sharply in recent years amid a protracted economic slump, data showed on Monday.


The combined debt held by the country's 30 major conglomerates stood at 624.3 trillion won ($572 billion) at the end of 2013, sharply up 25.7 trillion won, or 4.3 percent, from two years ago, according to the data compiled by Chaebul.com, which tracks large business groups. Their debts had amounted to 598.6 trillion won in 2011.


The data showed that the nation's top 10 conglomerates accounted for 72 percent of the total debts with 449.6 trillion won.


Samsung Group, South Korea's largest family-controlled conglomerate, saw its debts rise 8.6 trillion won between 2011 and 2013 to 87.5 trillion won.


Debts held by Hyundai Automotive Group, the No. 2 conglomerate, rose 300 billion won.


Energy and telecom conglomerate SK Group's debts increased 8.1 trillion won to 67.3 trillion won. Retail giant Lotte Group and leading shipbuilder Hyundai Heavy Industries each saw their debts rise 3.6 trillion won and 900 billion won over the cited period, the data showed.


Some conglomerates logged a drop in their debts over the cited period after self-rescue programs to improve their financial status.


Top steelmaker POSCO reduced its debts by 3.8 trillion won, and home appliance conglomerate LG saw its debts drop 1.5 trillion won, the data showed. (Yonhap)