JTBC, key JoongAng Group affiliates file for court rehabilitation

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• ·JoongAng Group vice chair apologizes, calls decision ‘inevitable’ amid scrutiny over World Cup, Olympic rights deal (JTBC) JoongAng Group's flagship broadcaster JTBC has filed for court-supervised corporate rehabilitation, following four other affiliates of the Korean media conglomerate that have sought the same protection.
• ·The filings come after the group made a costly bet in 2019 on exclusive FIFA World Cup and Olympic Games broadcasting rights.
• ·The Seoul Bankruptcy Court will review whether the five companies — JTBC, JoongAng Holdings, JoongAng P&I, Megabox JoongAng and ContentreeJoongAng — have sufficient prospects to continue operating and decide whether to formally commence rehabilitation proceedings.
• ·Hong Jeong-do, vice chairman of JoongAng Group, apologized in a televised news conference on Monday afternoon, saying that he was “deeply sorry for causing public concern over today’s situation.” He said the company had done its best to maintain management stability, but worsening external economic conditions and a credit rating downgrade led to a liquidity crunch and other factors that made “today's inevitable decision” unavoidable.
• ·The filings follow mounting financial pressure across the group.