Hanjin Shipping has announced major progress in negotiations with tonnage providers and lenders, suggesting it will survive the September 4 deadline laid down by creditors. Crucially, Seaspan has agreed to slash charter rates to the embattled Korean line. The Gerry Wang-led firm had been resolute up until now in not cutting charter rates, a key hurdle demanded by Hanjin’s creditors.
Moreover, foreign banks such as Credit Agricole said they will consent to a delay in the repayment of loans.
“With the charter rate cut talks completed, it could have the effect of saving some KRW800bn ($718m) in cash, and we will have the effect of raising a total of KRW1.27trn when a delay in loan repayments is considered,” Hanjin Shipping said in a statement on Sunday.