First Application of Japanese Bankruptcy Law Advances Jinro Restructuring

Hong Kong, November 20, 2003 ...

In a landmark application in Japan, the Asian Business Restructuring Group of White & Case LLP successfully applied to the Bankruptcy Division of the Tokyo District Court for recognition in Japan of the status of the Hong Kong appointed Provisional Liquidators of Jinro (HK) International Limited ("Jinro HK").

The decision of Tokyo District Court on November 12 recognised the Hong Kong provisional liquidation of Jinro (HK) International Limited as an appropriate foreign insolvency process under Japan’s recent Acknowledgement and Assistance of Foreign Bankruptcy Procedure Law. This case represents the first time that an application has been made under this new Japanese law that became effective April 1, 2001. Recognition will enable the provisional liquidators to pursue a reorganization of Jinro HK assets located in Japan, primarily the shares of Jinro Japan Ltd.

Jinro (HK) International Limited is a subsidiary of Jinro Limited, which is itself undergoing a major corporate restructuring in Korea. Jinro Ltd. has been under a debt restructuring programme since 1998 and was de-listed from the Korea Stock Exchange in January 2003. Established in 1924, Jinro Ltd. is one of the world’s major alcoholic beverage manufacturers, commanding approximately half of Korea’s spirits market and also a significant sector of the spirits market in Japan. The Provisional Liquidators are Kelvin Flynn, Rod Sutton and Desmond Chiong of Ferrier Hodgson Limited in Hong Kong.

Commenting on the decision, White & Case Hong Kong partner Mark Fairbairn, said, "The successful application of this law is a significant step forward which will benefit the creditors of the Hong Kong company. The application was novel and difficult as it concerned a provisional liquidation rather than a formal liquidation. This result demonstrates the expertise of the Firm’s Asian Business Restructuring Group across each of our offices in Asia."

Fairbairn is leading the team acting for the Provisional Liquidators and is assisted in Hong Kong by partner Robin Darton and associates Kelly Naphtali and Karen Lee. Tokyo partners Robert Grondine and Shimon Takagi, and associate Yuko Tashiro is advising on the matter in Japan.

Robert Grondine added, "The Tokyo District Court’s decision breaks new ground in Japan and could well pave the way for additional effective restructuring activity involving foreign insolvency procedures over foreign companies with assets in Japan. In this regard, White & Case/Kandabashi Law Offices is proud of our role in successfully applying the law for the first time."

About White & Case

White & Case LLP is a leading global law firm with more than 1700 lawyers in 38 offices across 26 countries. For the third year in a row, Global Counsel has named White & Case one of the Top 5 Global Law Firms. In two years, the Firm has doubled the size of its corporate and finance law operations. In the last twelve months, the Firm recruited 18 lateral partner hires and elected 16 new partners. White & Case has also been independently placed in the Top Five Global Law Firms by Chambers Global.

White & Case has a global and well-established group dedicated to advising in connection with large national and multi-jurisdictional corporate restructurings and workouts. The Firm typically represents banks and other financial institutions as well as distressed corporates and appointed insolvency professionals.



For additional information, contact:
Frank Pizzurro
Communications and Media Relations Manager, Asia-Pacific
White & Case LLP
tel:  65 6347 1574
e-mail: