SKorea's LG Group, creditors remain wide apart on LG Card bailout

0 Comments | AFP, December, 2004

SEOUL (AFP) — South Korea's LG Group and creditors of its former card unit remain dvidied over a 1.1 billion dollar bailout for LG Card as overnight talks failed on how to split the rescue bill.

Creditors led by Korea Development Bank (KDB) have threatened to put the country's largest card issuer into liquidation unless they reach an accord with its former parent LG Group.

"We failed to reach an agreement in talks overnight with LG Group. No further talks are scheduled for the time being," a KDB official said.

The official said the two sides are unlikely to reach an agreement by the end of the year.

"It looks like we will not be able to conclude talks by the end of the year. The gap is too wide to be narrowed in a couple of days," he said.

...