Lotte to Advance Payment of 600 Billion KRW to Partners for Chuseok

[Asia Economy Reporter Seungjin Lee] Lotte has decided to advance the payment of 600 billion KRW in delivery payments to help its partner companies manage their funds ahead of the Chuseok holiday.

Lotte hastened the decision to advance payments to assist partner companies facing increased difficulties due to COVID-19 and typhoons. Since 2013, as part of its win-win management, Lotte has advanced delivery payments during holidays, considering that partner companies temporarily require significant funds for payroll and bonuses.

This early payment of delivery funds involves 35 companies including Lotte Department Store, Lotte e-commerce, Lotte Information & Communication, Lotte Construction, and Lotte Chemical, and is expected to benefit about 13,000 small and medium-sized partner companies. All payments are scheduled to be completed by September 28, three days before Chuseok, which is on average about 12 days earlier than usual.

Meanwhile, as part of its win-win program for small and medium partner companies, Lotte operates a win-win growth fund worth 965 billion KRW that reduces loan interest for partner companies. Additionally, since 2018, Lotte has signed an agreement with the Foundation for Cooperation between Large, Small, and Medium Enterprises and Agriculture, Forestry, and Fisheries to introduce the ‘Win-Win Payment System’ across all affiliates to facilitate smooth credit payments for small and medium partners. The operation status of the group’s win-win payment system is also reflected in ESG (Environment·Social·Governance) evaluations.

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