The board of directors of Korean Air (KE, Seoul Incheon) has agreed to disburse KRW60 billion won (USD53.2 million) in emergency funding to the foundering Hanjin Shipping.
The Yonhap News Agency reports the financial assistance did, however, come conditioned on Hanjin giving the carrier, its largest shareholder, a stake in Hanjin's Long Beach Terminal as collateral.
Hanjin Shipping has already filed for and been granted US Chapter 15 bankruptcy protection adding to that already granted in Japan, Great Britain and Singapore.
As such, the funds will be used to pay for the offloading of cargo from some of Hanjin's freighters that have been stranded off various North American, European, and Asian ports since August 31.
