Following Ottogi, Samyang Foods and Lotte Wellfood Resume Supply... Homeplus 'Relieved'

Food companies that had temporarily suspended deliveries to Homeplus due to rehabilitation procedures have decided to resume supply. As the court approved the early repayment of 345.7 billion KRW in payments to Homeplus’s partner companies, Homeplus took a breather by restarting payments of commercial claims to its partners.

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According to the distribution industry on the 7th, following Ottogi, Samyang Foods and Lotte Wellfood also decided to resume deliveries to Homeplus. A Samyang Foods official stated, "Homeplus has deposited the delayed payments," adding, "We plan to resume deliveries from the 10th." Lotte Wellfood will resume deliveries from the 8th. Ottogi also completed payment negotiations and restarted product supply from the same day. Previously, major partners such as Ottogi, LG Electronics, Lotte Wellfood, Dongseo Foods, and Samyang Foods had temporarily suspended deliveries in January due to unsettled business payments. In response, Homeplus sent an official letter stating it would resume normal payments from next week, but there were limits to restoring trust with partner companies.

The Seoul Rehabilitation Court fully approved Homeplus’s application for early repayment of rehabilitation claims on the same day. This decision was made just 17 hours and 10 minutes after Homeplus applied for early repayment. Homeplus will be able to repay early the payments for goods and services from partner companies incurred between December last year and February this year. Homeplus proceeded with sequential payments of commercial claims to persuade its partners.

Although Homeplus has overcome the immediate crisis, concerns among partner companies remain. Partners, tenants, and subcontractors point out that Homeplus’s fund execution plan is still uncertain. Currently, Homeplus has about 1,800 suppliers and 8,000 tenants. A representative from a partner company said, "With financing from financial institutions blocked, settlement payments could be delayed again," adding, "Homeplus’s financial situation is unclear, so we remain uneasy."

In particular, small and medium-sized partner companies that heavily depend on Homeplus’s sales feel significant anxiety. Small and medium enterprises with tight cash flow may face production disruptions if payment delays continue for a long time, and in the worst case, they could be pushed to the brink of closure. A distribution industry official emphasized, "The future is more important," adding, "Securing long-term financial stability and restoring trust with partner companies are the challenges."

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