Low-speed : Merger behind schedule

Contracts transferring Samsung`s engine building division to Hanjung remain unsigned some over two months after the target date, and past the time when the new joint venture company should have started operation. Problems remain in the valuation of the business by foreign banks which started at the end of March.

Until this process is complete contracts cannot be concluded.

The Korean government is keen to complete the merger as it is planning to privatise Hanjung.