The ratings on Hynix Semiconductor Inc. and its subsidiary Hynix Semiconductor Manufacturing America Inc. (HSMA) were placed on CreditWatch with negative implications on Aug. 21, 2001. The CreditWatch placement reflects Standard&Poor's heightened concerns over the severity of Hynix's liquidity difficulties in the face of a recent plunge in the price of dynamic random-access memory products--the company's mainstay business. Korea Exchange Bank, Hynix's main creditor bank, is reported to be discussing a new financial assistance package with the company's other creditor banks. Standard&Poor's will review its ratings on Hynix and HSMA as details of the refinancing package become available.
