Woori Financial Group Establishes Additional 97 Billion KRW PF Stabilization Fund

"Actively Pursuing Market Stabilization"

Woori Financial Group announced on the 28th that it will actively pursue measures to stabilize the shrinking real estate project financing (PF) market.

In January of this year, Woori Financial established an additional "PF Stabilization Fund No. 2" worth 97 billion KRW, expanding its scope to include restructuring of PF projects experiencing temporary liquidity shortages as well as providing balance loans to successful bidders in light auctions.

Through this fund, a total of four projects have been supported with approximately 90 billion KRW so far. It supported a multi-family housing development project in Yongin, Gyeonggi Province, which lacked essential project expenses, and the sales have now been completed. The commercial real estate development site in Seongsu, Seoul, where the project was halted due to deteriorating profitability, is being restructured and is scheduled to convert to the main PF in July this year.

Since last year, Woori Financial Group has independently established the "PF Stabilization Fund No. 1," worth 53.5 billion KRW, jointly invested by its affiliates, to supply liquidity to the real estate PF market.

Additionally, Woori Financial Group has invested about 200 billion KRW in a total of four PF stabilization funds, including a 50 billion KRW contribution last year to a fund established by the Korea Asset Management Corporation (KAMCO) for restructuring and normalizing PF projects at risk of default. Through the "PF Syndicated Loan Business Agreement," jointly promoted by the banking and insurance sectors, loans have also been executed for three projects facing temporary liquidity crises.

The group plans to continue supporting the stabilization of the real estate PF market, including reviewing participation in the "Savings Bank Sector Joint Fund," which is being promoted to organize and restructure savings bank PF loans.

A Woori Financial Group official stated, "Woori Financial is continuously exploring support policies for the prompt stabilization of the real estate market," adding, "We plan to actively participate in stabilizing the real estate market, including private autonomous project restructuring, in line with future real estate PF policies."