'Default' JTBC, capital impairment just before bond issuance? "No 20 billion won fund outflow"[Full Text]

*This content was translated by AI.View Original

JTBC responded to claims made by some members of the joint legal team representing victims of Central Group bonds.

On the 13th, through an official statement, JTBC said, "We sincerely apologize for causing concern to all JTBC bond investors," and clarified the facts regarding allegations that it issued 40 billion won in new capital securities just before year-end to avoid complete capital erosion.

JTBC stated, "Regarding the issuance of new capital securities and execution of new capital loans, we appropriately disclosed our financial status in accordance with Korean Accounting Standards and complied with the Capital Markets Act. Furthermore, Studio Aye Central, which borrowed 33 billion won from JTBC, is a 100% subsidiary responsible for producing JTBC's entertainment programs. The 13 billion won loan was made solely under the guise of essential production costs to secure program supply from JTBC." It further emphasized, "The remaining 20 billion won was converted from liquidation bonds issued by Studio Aye Central through JTBC's debt guarantee; no actual funds were outflowed."

JTBC added, "We recognize our heavy responsibility and will open communication channels with investors to the fullest extent, making every effort to protect their rights and interests."

Previously, on the 8th, JTBC announced full payment of unpaid appearance fees for entertainment programs. JTBC stated, "Due to court approval procedures, we completed payments last week for dispatched fees and service charges that had been unpaid. Based on the comprehensive approval recently granted by the court, we also finished paying some unpaid appearance fees and external production costs for certain entertainment programs today."

It further bowed its head in apology, saying, "We apologize to performers and affiliated companies for the unavoidable delays in payment schedules while awaiting court decisions."

Meanwhile, on the 12th of last month, JTBC fell into a state of default after failing to repay 20.6 billion won in liquidation loans at maturity. Affiliates including Central Holdings, Contentri Central, Central P&I, and Megabox Central subsequently filed for restructuring proceedings one after another.

The Seoul Bankruptcy Court approved an autonomous restructuring program on the 30th of last month to support voluntary restructuring between JTBC and its creditors, while deciding to initiate bankruptcy proceedings for the other four affiliates.

We hereby provide JTBC's position regarding the claims made by the joint legal team representing victims of Central Group bonds during their press conference today.

First, we sincerely apologize to all JTBC bond investors for causing concern.

Regarding the factual claims that our company issued 40 billion won in new capital securities just before year-end to avoid complete capital erosion, here are the facts:

JTBC appropriately disclosed its financial status in accordance with Korean Accounting Standards and complied with the Capital Markets Act regarding the issuance of new capital securities and execution of new capital loans.

Furthermore, Studio Aye Central, which borrowed 33 billion won from JTBC, is a 100% subsidiary responsible for producing JTBC's entertainment programs. The 13 billion won loan was made solely under the guise of essential production costs to secure program supply from JTBC.

The remaining 20 billion won was converted from liquidation bonds issued by Studio Aye Central through JTBC's debt guarantee; no actual funds were outflowed.

JTBC recognizes its heavy responsibility and will open communication channels with investors to the fullest extent, making every effort to protect their rights and interests.

<© STARNEWS. All rights reserved. No reproduction or redistribution allowed.>

*This content was translated by AI.View Original