There is intense interest in whether a major seismic shift will occur in the South Korean newspaper industry, potentially toppling the established dominance of the Chosun, JoongAng, and Dong-A newspapers. 

The first signal has been fired by JoongAng Ilbo. 

JoongAng Ilbo, which has been struggling with financial difficulties, has finally applied for workout. 

JoongAng Ilbo issued a statement on the 19th, announcing, "We have officially applied for workout (corporate restructuring) to our main creditor bank, Hana Bank." 

While this path was chosen over court receivership, projections suggest that JoongAng Ilbo's financial difficulties will not be easily resolved. 

According to the Financial Supervisory Service's electronic disclosure system, 22 commercial papers (CPs) worth 22 billion won held by Hanyang Securities were presented for payment at the Seosomun branch of Hana Bank the previous day. However, due to insufficient deposit balance, they could not be settled, leading to a first-time default. 

JoongAng Ilbo had previously announced regarding the CP redemption request, "We confirm that a first-time commercial paper default occurred on the 18th due to our inability to make the settlement payment due to insufficient deposits."

Regarding Hanyang Securities' request for early redemption, the company had reiterated that "(individual early redemption) is contrary to fairness." 

JoongAng Ilbo stated, "We will continue to consult with the creditors and diligently prepare for effective debt restructuring and business normalization plans."

JoongAng Group, the parent entity of JoongAng Ilbo, had previously filed for commencement of rehabilitation proceedings with the court for five group companies, including JTBC and the holding company JoongAng Holdings, on the 14th-15th, as its liquidity crisis deepened.