Ssangyong executive director Park Young-tae(left) and former Hyundai Motor president Lee Yoo-il Ssangyong Motor Staff Shocked by Massive Layoff Plan Ssangyong Bailout Hinges on Better Productivity Bankruptcy Looms for Ssangyong Subcontractors Hyundai-Kia Workers Seek Solidarity Overseas Hyundai-Kia Gains U.S. Market Share Despite Sales Drop Hyundai, Kia Post Impressive 2008 Sales Kia Motors' Cee'd Rated Top by French Magazine Hyundai Not Immune to Financial Crisis China Overtakes U.S. in Car Sales Koreans Turn Back on Imported Cars Sales of Korean Cars Increase in Canada China's Carmakers Zooming Ahead Foreign Cars Top 6% Market Share for 1st Time Korean Auto Production Ranks 5th for 4th Year

That the court accepted the ailing SUV maker's receivership application indicates a determination to revive the company instead of breaking it up and selling it off. Ssangyong's debts amount to W1.5 trillion, and the company's total assets are estimated at W2.2 trillion (US$1=W1,390).

When receivership starts, the court-appointed managers must seek the court’s approval for their plan to revive the company. It takes about four to six months to devise the plan, and external financial aid to the company will be temporarily suspended until approval.

"The court's decision to grant court receivership does not guarantee the revival of Ssangyong," said Ahn Soo-woong, head of research at LIG Investment & Securities. "To get the revival plan approved by the court, all members of the company must show they have sought every possible way to make it work on their own."

(englishnews@chosun.com )