Shin & Kim provides legal services related to insolvency through its insolvency team.  Shin & Kim’s involvement in rehabilitation and the successful sale of  Korea Express is an excellent example of the competence of its insolvency team.  At the time of its completion in 2008, the sale of Korea Express was the largest M&A involving a company in rehabilitation in history with the total acquisition price amounting to 4,000 billion Won.  The main factor that forced Korea Express into a rehabilitation proceeding, notwithstanding its healthy assets and performance, was the bankruptcy of its parent company, Dong Ah Construction Co., Ltd., which caused payment guarantees issued by Korea Express for Dong Ah Construction’s indebtedness to become payable.  The insolvency team at Shin & Kim took the view that Korea Express had relatively sound fundamentals but faced the crisis due to lack of short-term liquidity, and helped the company to emerge out of 7 years of court receivership as a blue-chip company through M&A.
　
In addition, the insolvency team is currently representing creditor banks in the workout procedures for Taesan LCD Co., Ltd. (“Taesan LCD”), which suffered enormous losses due to currency option contracts, known as KIKO.  Initially, Taesan LCD filed an application for a rehabilitation proceeding and received a preservation order but later withdrew the application to go into a workout proceeding, as the creditors agreed to voluntarily delay claims.  "The Creditor Financial Institutions Committee consisting of 7 creditor banks, including the main creditor bank, Hana Bank, has resolved to delay claims until January 9, 2009," explained Mr. Young Ku Lee, the head of Shin & Kim’s insolvency team.  He added, "The Committee will decide on provision of additional credit and extension of maturity after conducting due diligence on the company’s assets and liabilities.”  Mr. Lee also said, "The workout case of Taesan LCD will provide a good reference for other companies facing similar situations due to KIKO, concerning how they can rehabilitate themselves.”
　
Apart from Korea Express and Taesan LCD, the insolvency team at Shin & Kim has provided legal advice and representation for many major companies including Kukje Corporation, Hanil Synthetic Fiber, Samsung Motors, Daewoo Group and SK Networks (formerly SK Global) concerning corporate rehabilitation, bankruptcy and workout procedures.

Source: Article from asiaeconomy Newspaper (2008.11.14); Reporter Seung Kuk Lee