Ailing South Korean carmaker Ssangyong Motor Co Wednesday said its net loss for the first three months of the business year widened to 265.5 billion won (213 million dollars) marking the company's sixth consecutive quarterly loss. Losses widened from 34 billion won the year before, the company, which already filed for court protection, said.
Sales revenue dropped 66 per cent year-on-year to 234 billion won, while sales slumped by 76 per cent to 6,471 units in the first quarter.
Last week a Seoul bankruptcy court ruled that the smallest of South Korea's five carmakers should be saved instead of liquidated, following the assessment of PricewaterhouseCoopers. The auditors said based on a rescue plan presented by Ssangyong and the assumption that the company could raise fresh capital, the carmaker could survive.
Ssangyong announced plans in April to lay off about 2,650 people, or about one third of its staff and sell off property.
Should those measure prove inadequate, Ssangyong would lose court protection, which leads to the company's liquidation.
China's Shanghai Automotive Industry Corp (SAIC) holds a 51-per-cent share in the South Korean SUV specialist.
