Hyundai 2007 Annual Report Download - page 115

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113
HYUNDAI MOTOR COMPANY
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEARS ENDED DECEMBER 31, 2007 AND 2006
the right of debt-to-equity swap for the relevant draw-down and has the put option that GECC can sell converted stocks to the Company
within the ownership of the Company. In this case, the amount which the Company pays to GECC is the amount of withdrawal for
debt-to-equity swap multiplied by the ownership of the Company. Also, the Company has the call option that it can buy converted stocks
from GECC on the same condition of put option when the GECC does not exercise the put option. According to the support agreement,
Hyundai Capital Co., Ltd is supposed to pay 15bp commission to the Company based on the amount on which the credit facility agreement
was established multiplied by the ownership percentage of the company.
(11) Hyundai Capital Co., Ltd made a Revolving Credit Facility Agreement with following financial institutions for Credit Line:
Financial institution Credit Line Commission Contract term
ING Bank N.V.,
Seoul Branch KRW 94,000 million - committed : 91dayCD+0.55% 2007.11.26 ~ 2008.11.24
- uncommitted :8bp
Mizuho Corporate Bank,
Seoul Branch KRW 92,000 million - committed : 91dayCD+0.55% 2007.12.18 ~ 2008.12.17
- uncommitted : 8bp
JP Morgan Seoul Branch KRW 47,000 million - committed : 91dayCD+0.55% 2007.9.27 ~ 2008.9.26
- uncommitted : 8bp
ABN Amro, Seoul Branch KRW 46,600 million - committed : 91dayCD+0.55% 2007. 9.20 ~ 2008. 9.20
- uncommitted : 8bp
Citibank, Seoul KRW 47,000 million - committed : 91dayCD+0.55% 2007. 9.17 ~ 2008. 9.17
- uncommitted : 8bp
MUFJ, Seoul Branch KRW 50,000 million - committed : 91dayCD+0.93% 2007.12.27 ~ 2008.12.27
- uncommitted : 8bp
(12) Hyundai Card Co., Ltd., one of domestic subsidiaries of the Company, made an agreement regarding asset backed securitization.
According to the agreement, in order for the credibility of the asset-backed securities, several required provisions are made as a
trigger clauses to be used for early redemption calls, thereby limiting the risk that investors will have resulting from a change in quality
of the assets in the future. In the event the asset-backed securitization of the Hyundai Card Co., Ltd. is in violation of the applicable
trigger clause, Hyundai Card Co., Ltd. is obliged to make early redemption for asset-backed securities.
(13) WIA Corp., one of domestic subsidiaries of the Company, made a general installment financing contract with Doosan Capital Corp. and
Hyundai Commercial in order to promote the sales of its machine tools. According to the contract, if a user of the instalment financing
service is in default, WIA Corp. has to accept responsibility for the default receivable. The amounts of principal that have not matured
are 66,335 million (US$70,705 thousand) and 64,989 million (US$69,270 thousand) for Doosan Capital Corp. and Hyundai
Commercial, respectively. The ceiling amounts are 150,000 million (US$159,881 thousand) and 54,000 million (US$57,557
thousand) for Doosan Capital Corp. and Hyundai Commercial, respectively, as of December 31, 2007