Feeds

Hynix bosses to take firm 'out of receivership'

Creditors set to cede control

  • alert
  • submit to reddit

Top 5 reasons to deploy VMware with Tegile

Hynix chiefs will regain control of their company this week, as the DRAM maker's creditors hand back the reins.

So claims a report published by the Korea Times last Friday, a follow-up to a piece the paper ran in April citing an official at the Korea Exchange Bank, one of Hynix's main creditors.

Hynix has been busily raising cash to refinance its debt in order to make the hand over of control possible. If the hand-over takes place, it will have come well ahead of the original schedule for the return of power to the company's bosses.

Hynix has raised $1.8bn, mostly in South Korea but also internationally, and will use the money to pay back $1.25bn of the $1.4bn it still owes its creditors from a 2001 $1.5bn aid package. The rest of the money will be used as working capital.

The rescue plan put in place in 2001, which stopped the then-troubled Hynix collapsing, included a timetable that would see control of the company returned to Hynix managers toward the end of 2006.

That plan saved Hynix but brought it to grief on the international stage as rival memory makers complained to their respective governments that the rescue package amounted to state aid outlawed by the World Trade Organisation. Punitive import tariffs were imposed in the US and EU. These were subsequently challenged at WTO hearings, and while the organisation initially ruled against the duties, at least one appeal, made by the US, has seen the official request to reconsider the scale of the duty rescinded. ®

Related stories

Micron hails WTO Hynix ruling
DRAM price slump pitches Micron into the red
EU must 'rethink' Hynix import tax - WTO
DRAM price plunge hammers Hynix
Hynix makes $185m price-fixing confession to US DoJ
Hynix creditors to cede control early - report

Secure remote control for conventional and virtual desktops

More from The Register

next story
Ex-US Navy fighter pilot MIT prof: Drones beat humans - I should know
'Missy' Cummings on UAVs, smartcars and dying from boredom
Facebook, Apple: LADIES! Why not FREEZE your EGGS? It's on the company!
No biological clockwatching when you work in Silicon Valley
The 'fun-nification' of computer education – good idea?
Compulsory code schools, luvvies love it, but what about Maths and Physics?
Doctor Who's Flatline: Cool monsters, yes, but utterly limp subplots
We know what the Doctor does, stop going on about it already
'Cowardly, venomous trolls' threatened with TWO-YEAR sentences for menacing posts
UK government: 'Taking a stand against a baying cyber-mob'
Happiness economics is bollocks. Oh, UK.gov just adopted it? Er ...
Opportunity doesn't knock; it costs us instead
Sysadmin with EBOLA? Gartner's issued advice to debug your biz
Start hoarding cleaning supplies, analyst firm says, and assume your team will scatter
Don't bother telling people if you lose their data, say Euro bods
You read that right – with the proviso that it's encrypted
prev story

Whitepapers

Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
Cloud and hybrid-cloud data protection for VMware
Learn how quick and easy it is to configure backups and perform restores for VMware environments.
Three 1TB solid state scorchers up for grabs
Big SSDs can be expensive but think big and think free because you could be the lucky winner of one of three 1TB Samsung SSD 840 EVO drives that we’re giving away worth over £300 apiece.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.