Hyundai Motor Europe (ROTEM)
- Relationship with Company : Affiliate
2. Details of Guaranteed Debt :
- Amount of guarantee concerned : KRW 71,074,000,000
- Contents of principal debts : Guarantee of execution of obligation, payments and liabilities of the supply of 40 driverless rail car units in accordance to the contract.
- Expected Period of guarantee :
December , 2005(upon start of guarantee) ~ December, 2011
(performance of contract 4 years + repair works 2 years = total 6 years)
- Name of creditor : SNC-Lavalin Company (Canada)
- Accumulated balance of debt payment guarantee for ROTEM for CY 2005(excluding the amounts stated in previous announcement for said debtor concerned) :
- Shareholder’s Equity as of end of 2004 : KRW 13,365,111,000,000
- Total Amount of Guarantee for debtor concerned (ROTEM) :
3. Decision Date : December 15, 2005
- The “Shareholder’s Equity as of end of 2004” in #2 above represents the amount approved at the 37 th Annual General Meeting of Shareholders(March 04,2005) reflecting the effects of Kia Motors Corporation’s(a subsidiary under Hyundai Motor Company) change in its accounting policy
- The amount above is based on the transaction exchange rates for December 15, 2005 (KRW 884.82 / 1 CAD).
- The above guarantee is a precondition in order for the supply contract of 40 driverless rail car units to become effective.
(Canada’s SNC-Lavalin company requested Hyundai Motor company’s (the parent company of ROTEM) letter of guarantee as a condition for the contract to become effective.)
- The “Amount of guarantee concerned” in #2 above is based on the contract amount for ROTEM.
- The “Decision date” in #3 above is the internal decision date.