Hyundai ends KEB services on bitter note

Group attributes KEB misappraisal and small credit line for its decision.

In a break-up gone bad, Hyundai Group wants to replace Korea Exchange Bank as its main creditor, and KEB isn’t going peacefully.

Hyundai Group responded on Thursday to KEB’s previous statement that the size of a credit limit has never been a reason for changing main creditor banks.

To refute the claim, Hyundai Group released its own statement detailing cases where groups have changed main creditor banks. According to the statement, both SK Group switched its main creditor bank from Korea First Bank (now SC First Bank) to Hana Bank, and Lotte Group changed its main creditor bank from Hanvit Bank (now Woori Bank) to Cho Hung Bank (now Shinhan Bank) in 2002.

Both Dongbu Group and Dongkuk Steel Group switched their main creditor banks from Seoul Bank (now Hana Bank) to Korea Development Bank in 2002 as well. Hanjin Group and Tong Yang Group changed their main creditor banks from Woori Bank to KDB in 2004, while Kumho Asiana Group switched from Cho Hung Bank to KDB in the same year.

View the full story in JoongAng Daily.