NongHyup Distribution, Special Support for Partners Amid 'COVID-19 Crisis'

[Asia Economy Reporter Cha Min-young] Nonghyup Distribution announced on the 13th that it will establish various win-win support measures for partner companies, such as interest-free emergency fund support and exemption from liquidated damages, to overcome the crisis caused by the novel coronavirus infection (COVID-19).

Nonghyup Distribution will provide early payment of product payments worth up to 90 billion KRW to help partner companies manage their funds. This applies to small and medium-sized partner companies supplying to Nonghyup Distribution, and upon request for early payment, interest-free advance payment will be supported up to a limit of 200 million KRW per partner company until the end of June.

Measures to reduce difficulties in meeting delivery deadlines due to work disruptions and raw material supply issues caused by COVID-19 will also be implemented. Partner companies requesting support by the end of June can be exempted from liquidated damages due to contract non-fulfillment.

Additionally, to prevent disadvantages in partner company evaluations and store closures caused by sharp sales declines due to COVID-19, partner company evaluations will be postponed or adjusted. Plans are also underway to actively utilize existing win-win growth funds and other additional support measures.

Jung Yeon-tae, CEO of Nonghyup Distribution, said, "We will closely monitor the situation and plan to extend and provide additional support," adding, "We will continue to prepare win-win support measures that can provide practical help so that we can overcome the COVID-19 crisis early together with our partner companies."

This content was produced with the assistance of AI translation services.