JTBC Blocks Corporate Cards, Affiliated Companies File For Rehabilitation

JTBC has completely halted the use of corporate cards.

According to industry sources on the 15th, JTBC notified all employees via email of the suspension of corporate card use.

According to the email, JTBC stated, “This morning, Samsung Card and Hyundai Card suspended the use of JTBC corporate cards.”

They explained that until a separate measure is established, employees should use personal cards and submit receipts for expense reimbursement. They also added that the use of all corporate cards, including Hana Card and Shinhan Card, will be suspended in addition to Samsung Card and Hyundai Card.

Two days after declaring a default on its debts, JTBC’s affiliated companies, Contentree JoongAng and its subsidiary Megabox JoongAng, filed for rehabilitation proceedings with the court.

According to the Financial Supervisory Service’s electronic disclosure system, Contentree JoongAng applied on the 14th to the Seoul Rehabilitation Court for the commencement of rehabilitation procedures, provisional disposition, and comprehensive injunction. Megabox JoongAng, a major subsidiary of Contentree JoongAng, also applied for rehabilitation proceedings on the same day.

Previously, on the 12th, JTBC declared default after failing to repay ₩20.6 billion KRW (about $13.6 million USD) in securitized loans at maturity. Subsequently, domestic credit rating agencies collectively downgraded JTBC’s credit rating immediately following the default.

JTBC Fails To Repay Billions In Debt