Ottogi to Advance Payment of 12.7 Billion KRW for Subcontractors

Advance payment by 50 days from the payment date, full amount paid in cash 10 days prior

[Asia Economy Reporter Lim Hye-sun] Ottogi Co., Ltd. announced on the 7th that it will advance the payment of subcontracting fees worth 12.7 billion KRW to support the business activities of its partner companies facing financial difficulties due to the prolonged COVID-19 pandemic.

Ottogi will pay the subcontracting fees to partner companies an average of 50 days earlier than the normal payment date, with full payment in cash by the 10th. The payment targets include a total of 43 companies such as OEM (Original Equipment Manufacturer) firms, raw material suppliers, and packaging companies. Previously, Ottogi also advanced the full cash payment of 15.8 billion KRW in subcontracting fees to 34 partner companies during last year's Chuseok holiday.

Meanwhile, Ottogi is carrying out various activities to promote mutual growth with its partner companies. In particular, an internal review committee composed of employees from related departments, centered on the in-house ESG promotion team, discusses and improves key issues related to shared growth. Additionally, since 2015, Ottogi has established a shared growth fund to help partner companies and dealerships secure loans at interest rates lower than market rates, enabling them to maintain stable business operations.

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