To our valued clients,
As per notice below received from Hanjin Shipping (Hanjin), please note that Hanjin has filed for court receivership.
It is currently unclear to what extent Hanjin will be operational under the receivership and how this will affect any cargo that is being shipped by Hanjin.
We are working to minimize the possible negative effects as much as possible.
No further bookings with Hanjin
We are not placing any further bookings with Hanjin and are seeking confirmation from Hanjin's vessel-sharing partners that no more containers will be loaded unto Hanjin owned/operated vessels.
Consequently new bookings, with Hanjin alliance partners, should be safe in respect to the Hanjin receivership situation.
Handling and release of containers in Hanjin custody
We are working to get cargo shipped on Hanjin vessels released as quickly as possible.
We are in close contact with Hanjin regarding the situation. As soon as the administrator responsible for the Hanjin receivership is nominated and appointed, we will obtain guidance as to the practical handling and release of remaining shipments in Hanjin custody.
We will revert as soon as possible with further information.
Please also feel free to contact your DSV representative with further questions.
Dear Valued Hanjin Customer,
On 30 August 2016, to our great disappointment, Korean domestic creditors' committee (the "Committee") made its final determination not to continue with the pending voluntary restructuring process (the "Voluntary Process") to normalize the business of Hanjin Shipping Co., Ltd. (the "Company" or "we"), which involved a restructuring plan submitted by the Company that included certain financial commitments of Korean Air, the Company's largest shareholder, and the Hanjin Group. We would nevertheless like to express our sincere gratitude for the good faith commitment and the remarkable patience you have provided towards seeking success of the Voluntary Process.
With the final decision of the Committee, it would be inevitable for the Company to file for court receivership (i.e., rehabilitation proceedings under Korean insolvency law) in order to protect the interests of all stakeholders of the Company and to minimize potential negative effects that may cause instability in the market. Notwithstanding all your extraordinary support and patience, we were ultimately unable to overcome the high tides of the incessant market recession, and as the means of our last resort, we hold a board meeting on 31 August to approve the expected filing of court receivership.
Even under court receivership, the Company will exercise its utmost efforts to fulfill its duty to protect the interests of customers. In this regard, we would like to ask for your kind cooperation in our continued efforts to resolve various issues that may arise upon filing for and during the course of court receivership. Under the circumstances, we believe that it will be the only logical solution to minimize the potential repercussions in the shipping industry.
Once again, please accept our most sincere thanks for all your support and our apologies for not meeting your expectations in the end with respect to the Voluntary Restructuring. As noted above, we will continue to work diligently to protect your interests as a valued customer under the court receivership to the fullest permitted extent.
Container Liner Sales & Marketing Division
Hanjin Shipping Co., Ltd.