JTBC Clarifies Its Operational Status Amid Company Crisis - KPOP HIT
JTBCannounced it will strive to normalize management following the court’s decision to extend the ARS (Autonomous Restructuring Support) procedure. JTBC statement on ARS extensionOn July 30, JTBC said in an. . .
JTBCannounced it will strive to normalize management following the court’s decision to extend the ARS (Autonomous Restructuring Support) procedure. JTBC statement on ARS extensionOn July 30, JTBC said in an official release, “Yesterday, the rehabilitation court decided to extend JTBC’s ARS procedure. We apologize to creditors who wish for a swift resolution. ”JTBC explained, “Since the investigation report by the court-appointed accounting firm has not yet been released, discussions on the plan have not reached a concrete stage. Once the report, scheduled for submission in August, is available, we will do our utmost to protect creditor rights based on its contents. ”Operational status and creditor communicationsThe broadcaster added, “Since the ARS procedure began, JTBC has communicated multiple times with the creditor council, either through court mediation or individually, to gather various opinions. We are also paying attention to voices from individual creditors conveyed through various channels. Currently, JTBC has reached a stage where previously unstable program production and broadcasting have been fully normalized. We will continue with normal broadcasting and management activities. To this end, we are boldly cutting unnecessary costs and focusing on content production. ”BackgroundThe liquidity crisis at theJoongAng Groupintensified after JTBC failed to repay securitized loans amounting to ₩20. 6 billion KRW (about $14. 3 million USD). Following this,JoongAng Holdingsand other affiliates, along with JTBC, filed for rehabilitation procedures with the court. JTBC’s application for the ARS program was accepted, postponing the court’s decision on the commencement of rehabilitation proceedings for one month.