SEOUL - Samsung Commercial Vehicle Co. has become the latest Korean automaker to go belly up. After a troubled four years in the business, the Samsung Group's truck-making unit has filed for bankruptcy.
The company has piled up 450.2 billion won ($373 million at current exchange rates) in accumulated losses since it was founded in 1996. As of October, Samsung Commercial Vehicle had total assets of $533.4 million and total liabilities of $543.2 million.
The company has been unable to find a foreign buyer and has been rebuffed by creditors in its requests for more loans.
The court will decide the fate of the company after reviewing Samsung documents and will freeze its assets if necessary. If the court declares the truckmaker bankrupt, a court-appointed trustee will distribute the company's assets to creditors.
The company produces heavy-duty trucks as well as the SV110 Yamouzine, a 1-ton light truck, both under license from Nissan Diesel Motor Co. There are no equity links between the Samsung truck unit and Renault Samsung Motors Corp., the car company acquired last year by French automaker Renault SA.