S&P:Korea Industrial Leasing Guaranteed Notes Rtd AA-.MELBOURNE, Australia--(BUSINESS WIRE)--Standard & Poor's CreditWire 7/22/97--Standard & Poor's today has assigned its double-'A'-minus credit rating to the Y10 billion guaranteed Euronotes issued by the Korea Industrial Leasing Co. Ltd. (KILC). The rating outlook is stable. The rating and outlook are based solely on the issue's unconditional and irrevocable guarantee by the Korea Development Bank Korea Development Bank (KDB), a wholly state-owned policy bank, was founded in 1954 in accordance with The Korea Development Bank Act for the purpose of financing and managing major industrial projects to expedite industrial development and enhance the national economy. (KDB KDB Korea Development Bank KDB Built-In Kernel Debugger (Linux) KDB Knowledge Data Base KDB Küche, Dusche, Bad (German: kitchen, shower, bath) KDB Kelvin Double Bridge KDB Kernel Debugger ). KDB's rating, in turn, is based on KDB's full government ownership, its key public policy role, and the legal obligation of the Republic of Korea to cover KDB's losses after exhaustion of the bank's legal reserves. Established in 1972, KILC is Korea's first and largest leasing company, with assets totaling Korean won
The sale of an asset in exchange for a specified series of payments (the installments). installment sale A sale in which the buyer is scheduled to make a series of payments over a period of time. of various types of machinery, equipment, and other tangible assets. KILC's major shareholders include KDB, 33.2%; Nippon Credit Bank, 27.8%; and individuals, 35%. KDB is South Korea's largest provider of long-term development finance (assets equaled W51 trillion, or US$61 billion, on Dec. 31, 1996) and the country's largest borrower of offshore funds. Privileged access to government loans, central bank deposits, and bond guarantees, as well as the government's close control and regular capital subscriptions, further reinforce the bank's strong sovereign support. OUTLOOK: Stable. KILC's outlook reflects KDB's and thus the Republic of Korea's stable outlook. Although the Republic's double-'A'-minus rating continues to be constrained by uncertainties surrounding North Korea, South Korea, South officially Republic of Korea Country, East Asia, occupying the southern half of the Korean peninsula. It is west of Japan and includes Cheju Island, located about 60 mi (97 km) south of the peninsula. Area: 38,572 sq mi (99,900 sq km). Korea's economic and financial strengths (lead by its substantial fiscal flexibility, strong external balance sheet, and strong long-term economic performance and prospects) should allow the country to withstand current and future difficulties without a deterioration of the Republic's creditworthiness Creditworthiness The condition in which the risk of default on a debt obligation by that entity is deemed low. Creditworthiness Eligibility of an individual or firm to borrow money. . KDB's policy role and close relationship with the government are expected to strengthen in the future under the country's financial sector liberalization lib·er·al·ize v. lib·er·al·ized, lib·er·al·iz·ing, lib·er·al·iz·es v.tr. To make liberal or more liberal: "Our standards of private conduct have been greatly liberalized . . . program, whereby KDB is to assume from private banks increased responsibility for providing government-mandated policy loans, Standard & Poor's said. -- CreditWire CONTACT: Guido E Cipriani, New York New York, state, United States New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of (1) 212-208-1559 Paul Coughlin, Hong Kong (852) 2533-3502 Michael Pinkhasov, New York (1) 212-208-1745 |
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