Kookmin Credit Bank (formerly KLB Loan)

completed

Summary Of Project Information (SPI)Project NameRepublic of Korea -Loan Facility to KLB     RegionAsiaSectorProject No008904Projected Board DateApril 30, 1998Company NameKorea Long Term Credit Bank (KLB)Technical Partner and/or Major Shareholders KLB is a public company, listed on the Korea Stock Exchange (KSE), with 15,742 shareholders as of December 31, 1997. 9 leading shareholders as of December 31, 1997 are as follows: Name Dongbu Insurance ----- 4,939,210 shares(7.99%) Kyobo Life Insurance ----- 4,762,493 shares (7.71%) Samsung Life Insurance Co., Ltd. ----- 3,175,446 shares (5.14%) Young Poong Corporation ----- 1,911,777 shares (3.09%) DEG ----- 1,231,742 shares (1.99%) Ssangyong Cement Industrial ----- 1,193,460 shares (1.93%) LG Securities ----- 983,212 shares (1.59%) Industrial Bank of Japan ----- 960,454 shares (1.55%) IFC ----- 955,687 shares (1.55%) Proposed IFC investment IFC A loan and IFC B loan as well as subordinated convertible bonds and equity to be subscribed by IFC. Location of project and Description of site Corporate Head Office is in Seoul, South Korea     Description of Company and Purpose of Project Description: KLB specializes in long term lending. It has a network of 42 domestic branches and 8 overseas offices and subsidiaries. Its activities include international, corporate, and private banking and capital market business. IFC’s Role: IFC will provide term funding and equity to KLB to withstand the impacts of the current economic crisis in Korea and to better respond the situation. Development Impact: The proposed project would be part of a larger effort by the multilateral financial institutions to assist a member country affected by the contagion in Asian market. IFC’s direct involvement in the process to restore confidence in the Korean banking system and to impart greater credibility to Korean commercial banks is essential for Korean financial sector. IFC will help to further strengthen accounting, provisioning, and disclosure policies/practices.      Environmental Category and Issues This is a category C project according to IFC’s environmental review procedure. KLB must attend IFC’s workshops on environmental management; for relevant operations, implement an environmental management system (policy, procedure, and designated staff to conduct reviews) to ensure that such operations comply with host country environmental requirements; and submit an annual environmental performance report briefly describing environmental aspects of relevant operations.            Date SPI sent to PIC April 30, 1998“This Summary of Project Information is prepared and distributed to the public in advance of consideration of the proposed transaction by the Corporation’s Board of Directors. It is provided for the purpose of enhancing the transparency of IFC’s activities and should not be construed as presuming the outcome of IFC Board consideration.”For Additional Information contact: Corporate Relations Unit -telephone: (202) 473-7711facsimile: (202) 974-4384