Asia Express - East Asian ICT
Samsung, LG to Provide Fund Support for Suppliers
August 20, 2010
Samsung announced on August 16, 2010 that the company plans to spend one trillion Won (US$843.2 million; US$1=1186 Won) in October this year on supporting its suppliers for facility investment, technology development, and operation funding assistance, according to the Korea Herald. It is reported that fund recipients will be selected by Samsung, but other details, such as interest rates, are yet to be decided.

In related news, LG announced on August 12 that the company will provide 250 billion Won (US$210 million) every year starting from September 2010, to be used as a loan for its suppliers at low interest rates, according to the same source. The company also plans to offer an additional 70 billion Won (US$59 million) fund to suppliers this year at zero interest rate. It is reported that LG will cooperate with SMEs (Small- and Medium-sized Enterprises) on conducting green business R&D for the next five years, exploring overseas markets, and expanding the use of equipment manufactured by local vendors.