1 00:00:46,625 --> 00:00:48,601 This film is based on actual events. 2 00:00:48,625 --> 00:00:50,601 However, all characters and incidents depicted 3 00:00:50,625 --> 00:00:52,616 are fictitious and not exact re-enactment. 4 00:00:55,125 --> 00:00:58,059 As of December 22, 1977, 5 00:00:58,083 --> 00:00:59,393 Korea reaches $10 billion in exports... 6 00:00:59,417 --> 00:01:01,579 Produced by LEE Eugene 7 00:01:03,708 --> 00:01:08,434 City of Seoul will build a 8 00:01:08,458 --> 00:01:11,476 new mega apartment complex for 20,990 families... 9 00:01:11,500 --> 00:01:16,393 I announce the opening of Seoul Olympic Games. 10 00:01:16,417 --> 00:01:18,309 Sampoong Department Store! 11 00:01:18,333 --> 00:01:26,333 Automobiles, semiconductors, and shipyards are the top exporters... 12 00:01:27,708 --> 00:01:32,202 Korea's per capita income has surpassed USD 10,000. 13 00:01:32,292 --> 00:01:33,934 Credit card approval in just one day. 14 00:01:33,958 --> 00:01:36,575 Generation X is leading the fashion trend. 15 00:01:40,000 --> 00:01:44,324 Written by EUM Sung-min ...formally applied for OECD membership. 16 00:01:44,500 --> 00:01:48,434 Directed by CHOI Kook-Hee Korea becomes a member of the OECD. 17 00:01:48,458 --> 00:01:55,330 I wish to share my joy with the nation. 18 00:01:58,750 --> 00:02:03,074 5 Nov 1997 East Asia Division Morgan Stanley Headquarters, Wall Street 19 00:02:35,417 --> 00:02:39,331 LG advances to the Korean Series 20 00:02:41,000 --> 00:02:43,833 Finance Reform Bill likely to pass 21 00:02:44,042 --> 00:02:45,226 15 Nov 1997 22 00:02:45,250 --> 00:02:47,101 KOSPI 583.8 Ms. Han... 23 00:02:47,125 --> 00:02:48,934 Won-Dollar exchange rate 792 won Ms. Han! 24 00:02:48,958 --> 00:02:51,620 Foreign exchange reserves $15.8 billion Oh. Let's go. 25 00:03:04,875 --> 00:03:07,643 The Bank of Korea raised its growth forecast to 7%, 26 00:03:07,667 --> 00:03:11,434 despite the economic crises occurring in East Asia. 27 00:03:11,458 --> 00:03:12,809 Damn hangover... 28 00:03:12,833 --> 00:03:14,434 Due to admittance to the OECD 29 00:03:14,458 --> 00:03:16,790 and stability in exchange rates and exports, 30 00:03:17,000 --> 00:03:21,619 national per capita income remains above $10,000. 31 00:03:22,375 --> 00:03:25,743 The government has submitted the budget proposal for next year. 32 00:03:26,000 --> 00:03:28,742 - Sorry, I'm late. - Morning, Mr. Kim! 33 00:03:29,000 --> 00:03:29,893 Did you have breakfast? 34 00:03:29,917 --> 00:03:31,828 - Yes, sir. - How about you? 35 00:03:33,208 --> 00:03:36,976 According to a Gallup Korea poll, 36 00:03:37,000 --> 00:03:42,325 85% of Koreans consider themselves middle class. 37 00:03:42,792 --> 00:03:46,893 The President has announced that with the accession to the OECD, 38 00:03:46,917 --> 00:03:50,831 the public consciousness should be raised accordingly. 39 00:03:51,208 --> 00:03:54,351 The government dismissed any rumors about economic crisis, 40 00:03:54,375 --> 00:03:57,101 saying that the foundation of Korean economy is solid. 41 00:03:57,125 --> 00:03:59,742 What are we listening to? 42 00:04:02,542 --> 00:04:03,407 That's better. 43 00:04:05,792 --> 00:04:08,079 It's nice. I like that. 44 00:04:13,583 --> 00:04:19,909 Welcome aboard. Here's to our bright future! 45 00:04:26,667 --> 00:04:28,783 Can you turn the volume up? 46 00:04:29,250 --> 00:04:31,708 Korea Merchant Bank Corp. New Employee Training 47 00:04:32,875 --> 00:04:33,831 Attention! 48 00:04:37,875 --> 00:04:43,700 Thank you, new employees, for choosing Korea Merchant Bank Corp. 49 00:04:47,208 --> 00:04:53,124 To prevent you valuable people from getting kidnapped by other companies, 50 00:04:53,417 --> 00:04:56,125 I will temporarily lock you in here. 51 00:04:58,625 --> 00:05:01,059 I heard some companies give money 52 00:05:01,083 --> 00:05:03,700 so we won't go to other job interviews. 53 00:05:04,583 --> 00:05:06,290 Do you offer something like that? 54 00:05:20,458 --> 00:05:25,032 If you take this money and still go elsewhere, it's foul play. 55 00:05:26,875 --> 00:05:29,947 Governor, Bank of Korea 56 00:05:40,792 --> 00:05:44,114 Tell Ms. Han to immediately come to my office! 57 00:05:50,333 --> 00:05:55,533 Mr Johnson? This is Jeong-Hak from Korea Merchant Bank Corporation 58 00:05:55,708 --> 00:06:03,286 I heard that your fund decided to cancel a big amount... 59 00:06:04,292 --> 00:06:05,202 Hey, driver! 60 00:06:05,375 --> 00:06:07,958 - Yes? - Turn off the music! 61 00:06:09,625 --> 00:06:12,913 I'm so sorry. Your fund canceled in Korea... 62 00:06:12,958 --> 00:06:13,914 I'm sorry, I'm in the middle of a meeting 63 00:06:13,958 --> 00:06:14,413 Johnson? 64 00:06:14,458 --> 00:06:15,163 Bye. 65 00:06:17,500 --> 00:06:19,832 Freaking impatient bastard... 66 00:06:27,375 --> 00:06:28,351 This makes no sense. 67 00:06:28,375 --> 00:06:31,822 Many listeners wrote in again. 68 00:06:32,250 --> 00:06:35,993 'The mother's had no customers for days, 69 00:06:36,208 --> 00:06:39,906 and the brother hasn't been getting his salary.' 70 00:06:40,208 --> 00:06:43,997 It seems the economy is really tough these days, 71 00:06:44,125 --> 00:06:46,742 and many are going through a hard time. 72 00:06:47,583 --> 00:06:51,076 This story caught my eye. 73 00:06:51,458 --> 00:06:56,077 She wrote about her father's business. 74 00:06:57,500 --> 00:07:01,744 'My father's business went under, so we were forced to move.' 75 00:07:01,792 --> 00:07:03,328 'We were never rich, but 76 00:07:03,375 --> 00:07:06,493 - Hello? Mr. Yoon? - at least, I had my own bedroom.' 77 00:07:07,083 --> 00:07:08,915 What show is this? 78 00:07:08,958 --> 00:07:11,199 Son Sook's Women's Era. 79 00:07:13,583 --> 00:07:15,824 'How can we escape this situation?' 80 00:07:16,875 --> 00:07:18,991 Hello, Mr. Lee. It's been a long time! 81 00:07:20,750 --> 00:07:21,956 Really? 82 00:07:22,458 --> 00:07:24,449 Wow, that's... 83 00:07:25,000 --> 00:07:26,490 Alright, thank you! 84 00:07:33,250 --> 00:07:33,990 Gap-Su. 85 00:07:35,125 --> 00:07:38,117 Our bowls... they want us to supply them at Midopa. 86 00:07:40,125 --> 00:07:41,411 The department store? 87 00:07:42,250 --> 00:07:43,115 Yeah! 88 00:07:46,875 --> 00:07:47,934 Are you serious? 89 00:07:47,958 --> 00:07:49,289 Don't I look serious?! 90 00:07:52,667 --> 00:07:53,953 It's a hit! 91 00:08:02,417 --> 00:08:03,657 Ms. Han, let me call you in first... 92 00:08:03,708 --> 00:08:05,415 I was asked to come. 93 00:08:13,333 --> 00:08:14,368 Is this true? 94 00:08:20,000 --> 00:08:21,559 Why didn't you tell me right away? 95 00:08:21,583 --> 00:08:24,701 You've been too busy with the Financial Reform Bill. 96 00:08:24,792 --> 00:08:26,783 It's been 10 days since I submitted the first report. 97 00:08:26,875 --> 00:08:30,072 More precisely, 253 hours and 25 minutes. 98 00:08:30,167 --> 00:08:32,559 I have reported six updates since. 99 00:08:32,583 --> 00:08:36,656 Fine, fine! But that's not what's important. 100 00:08:38,833 --> 00:08:40,574 We need to think. 101 00:08:44,083 --> 00:08:48,202 That's what we need to do. Think. 102 00:08:49,000 --> 00:08:50,115 So, now we... 103 00:08:50,500 --> 00:08:52,161 Hold on. Let's think this through. 104 00:08:53,042 --> 00:08:54,077 Okay, now... 105 00:08:54,125 --> 00:08:55,957 First, you have to call a meeting with 106 00:08:56,875 --> 00:08:58,661 the Senior Presidential Secretary for Economic Affairs. 107 00:08:58,917 --> 00:09:01,625 That's right! You mean, right now? 108 00:09:03,083 --> 00:09:04,790 Okay. 109 00:09:07,542 --> 00:09:11,786 Find out where the Presidential Secretary for Economic Affairs is. 110 00:09:14,083 --> 00:09:14,993 Let's go. 111 00:09:17,708 --> 00:09:18,994 Aren't you coming? 112 00:09:27,083 --> 00:09:28,118 Monetary Policy Team 113 00:09:28,583 --> 00:09:29,539 We are a go. 114 00:09:31,792 --> 00:09:34,204 You're keeping up with the currency crisis in Southeast Asia? 115 00:09:34,250 --> 00:09:34,990 Yes. 116 00:09:36,833 --> 00:09:39,074 Get me a summary on the hot money roll-over. 117 00:09:39,125 --> 00:09:39,990 Okay. 118 00:09:40,500 --> 00:09:41,456 The dollars injected 119 00:09:41,500 --> 00:09:43,241 to defend our currency, 120 00:09:43,292 --> 00:09:45,124 organize a report by days. 121 00:09:45,167 --> 00:09:46,373 - Ma'am. - Huh? 122 00:09:48,375 --> 00:09:51,493 We've been through this more than 100 times. 123 00:09:52,500 --> 00:09:53,786 We're prepared. 124 00:10:04,792 --> 00:10:05,953 Foreign Currency Crisis and the Korean Economy 125 00:10:11,125 --> 00:10:13,457 What about supervising loan status of commercial banks? 126 00:10:13,500 --> 00:10:16,618 Put it on hold for now. After today, things will change. 127 00:10:16,667 --> 00:10:18,578 Our report is finally getting accepted? 128 00:10:18,625 --> 00:10:21,333 The country is about to go bankrupt. 129 00:10:21,917 --> 00:10:23,999 They'd be crazy not to take action. 130 00:10:25,083 --> 00:10:26,665 - Be on standby, everyone. - Yes, ma'am. 131 00:10:27,750 --> 00:10:29,707 - See you later. - Break a leg. 132 00:10:33,667 --> 00:10:35,374 Don't think about going home. 133 00:10:36,833 --> 00:10:39,040 Bank of Korea 134 00:10:41,417 --> 00:10:44,990 Yes. I'm on my way there right now. 135 00:10:45,583 --> 00:10:48,416 The situation is quite urgent. 136 00:10:48,917 --> 00:10:50,078 Okay. 137 00:10:50,958 --> 00:10:51,948 Yes sir. 138 00:10:52,000 --> 00:10:55,288 Accession to the OECD, first step as a developed nation! 139 00:10:57,542 --> 00:11:00,375 No more delays in real-name financial transactions! 140 00:11:00,417 --> 00:11:04,035 Secure independence for Bank of Korea! 141 00:11:04,083 --> 00:11:05,994 Independence for Bank of Korea! 142 00:11:06,167 --> 00:11:08,033 Withdraw the Financial Reform Bill! 143 00:11:08,083 --> 00:11:09,949 Withdraw! Withdraw! 144 00:11:10,167 --> 00:11:13,831 Down with institutional dictatorship! 145 00:11:13,875 --> 00:11:15,912 Down with institutional dictatorship! 146 00:11:15,958 --> 00:11:19,531 Secure independence for Bank of Korea! 147 00:11:19,583 --> 00:11:21,540 Independence for Bank of Korea! 148 00:11:21,792 --> 00:11:23,533 Presidential Secretary for Economic Affairs Is it true? 149 00:11:24,000 --> 00:11:24,740 Yes... 150 00:11:24,792 --> 00:11:27,784 We're in big trouble. Big trouble. 151 00:11:33,792 --> 00:11:36,250 Why didn't you tell me about this sooner? 152 00:11:37,667 --> 00:11:38,998 I'm sorry, sir. 153 00:11:44,125 --> 00:11:46,116 What do we need to do first? 154 00:11:46,708 --> 00:11:47,368 Well... 155 00:11:47,417 --> 00:11:49,624 Please call a meeting with the Ministry's key officials. 156 00:11:50,083 --> 00:11:50,993 Yes. 157 00:11:53,667 --> 00:11:57,490 Yeah, it's me. Tell these people to come to my office right now. 158 00:11:57,958 --> 00:11:59,323 First, the... 159 00:11:59,667 --> 00:12:00,657 The Deputy Minister of Finance. 160 00:12:00,833 --> 00:12:03,416 The Deputy Minister of Finance and... 161 00:12:03,500 --> 00:12:04,240 The Bureau Chief of Fiscal Policy. 162 00:12:04,292 --> 00:12:07,785 The Bureau Chief of Fiscal Policy and... Who else? 163 00:12:08,167 --> 00:12:09,453 That's enough for now. 164 00:12:09,750 --> 00:12:11,115 That's enough for now. 165 00:12:12,042 --> 00:12:13,203 Let's go. 166 00:12:15,042 --> 00:12:16,749 The Hong Kong market crashed today, 167 00:12:16,792 --> 00:12:20,410 giving rise to concerns about the economic crisis in East Asia. 168 00:12:20,458 --> 00:12:21,698 Bureau Chief of Fiscal Policy 169 00:12:21,792 --> 00:12:25,911 Countries including Malaysia, Thailand, and Singapore, 170 00:12:25,958 --> 00:12:28,620 which have shown economic growth in recent years... 171 00:12:28,708 --> 00:12:31,325 Hey, the Minister wants to... 172 00:12:31,375 --> 00:12:33,787 Deputy Minister of Finance ...play golf this weekend. 173 00:12:36,000 --> 00:12:40,824 As the man in charge of monetary policy, 174 00:12:40,875 --> 00:12:44,789 I'm sorry to report this situation. 175 00:12:44,833 --> 00:12:51,705 A detailed account of the matter will be briefed by Ms. Han Si-Hyun. 176 00:12:52,375 --> 00:12:57,666 I'm sure you're aware of foreigners pulling out their money, starting in Southeast Asia. 177 00:12:58,542 --> 00:13:01,455 Wait, she's not a secretary? 178 00:13:01,625 --> 00:13:06,995 Due to our inadequate handling of the Hanbo crisis 179 00:13:07,500 --> 00:13:11,118 and the bankruptcy of Kia Motors, 180 00:13:11,500 --> 00:13:15,368 foreigners began to doubt our crisis management ability. 181 00:13:15,958 --> 00:13:22,409 Foreign capital started pulling out since August. 182 00:13:22,875 --> 00:13:26,539 The value of Korean won continues to fall, but the government is defending it 183 00:13:27,875 --> 00:13:29,786 by injecting $2 billion from the reserves every week. 184 00:13:30,208 --> 00:13:31,448 $2 billion is used per week to defend 185 00:13:31,500 --> 00:13:33,286 the currency rate of %300 to $1. 186 00:13:33,667 --> 00:13:38,662 Everyone here knows that, but we can't stop defending the currency. 187 00:13:41,292 --> 00:13:44,159 My team has reviewed 188 00:13:44,208 --> 00:13:48,497 the rate of extension granted for money borrowed from overseas. 189 00:13:48,792 --> 00:13:53,707 Until late October, the rollover rate was 86.5% 190 00:13:53,833 --> 00:13:58,282 meaning foreign investors were willing to roll over their loans. 191 00:13:58,333 --> 00:13:59,823 However, on November 3, 192 00:14:00,667 --> 00:14:03,864 investors simultaneously refused to grant rollovers 193 00:14:03,917 --> 00:14:08,707 and started demanding payoffs by the end of December. 194 00:14:10,500 --> 00:14:11,786 Give me the figures. 195 00:14:11,833 --> 00:14:12,698 As of today, 196 00:14:12,750 --> 00:14:15,708 the Ministry announced $15.8 billion in foreign reserves. 197 00:14:15,958 --> 00:14:18,575 But these aren't accurate figures. 198 00:14:19,208 --> 00:14:21,745 Considering the rejected rollovers 199 00:14:21,792 --> 00:14:25,490 and dollars owed on forward exchange, 200 00:14:27,792 --> 00:14:30,204 the actual amount calculates to below $9 billion. 201 00:14:31,000 --> 00:14:35,244 The fact that the foreign reserves is below $9 billion means 202 00:14:35,583 --> 00:14:40,783 the government cannot guarantee Korea's export and import activities 203 00:14:41,000 --> 00:14:42,832 as you know so well. 204 00:14:42,875 --> 00:14:46,573 If the government cannot guarantee export and import activities... 205 00:14:48,167 --> 00:14:49,749 It means national bankruptcy. 206 00:14:52,417 --> 00:14:53,999 If my calculations are correct, 207 00:14:55,000 --> 00:14:57,583 the time remaining before Korea goes bankrupt 208 00:14:57,875 --> 00:14:59,206 is one week. 209 00:15:14,542 --> 00:15:17,250 Chief Presidential Secretary 210 00:15:17,667 --> 00:15:18,828 Is it true? 211 00:15:21,917 --> 00:15:26,332 Mr. President has a lot on his mind. 212 00:15:26,917 --> 00:15:30,865 If you speak in difficult terms... he'll get angry. 213 00:15:30,917 --> 00:15:31,952 We understand. 214 00:15:34,917 --> 00:15:37,375 Explain to him in easy terms. 215 00:15:37,792 --> 00:15:38,748 In easy terms? 216 00:15:40,083 --> 00:15:42,450 But... how? Should I take out the figures? 217 00:15:42,708 --> 00:15:44,976 We spent borrowed money like water 218 00:15:45,000 --> 00:15:46,309 hoping to get an extension. 219 00:15:46,333 --> 00:15:48,495 And here we are, Mr. President. 220 00:15:51,333 --> 00:15:53,290 I'll explain it to him in difficult terms. 221 00:16:03,417 --> 00:16:07,911 The President's son was granted bail today... 222 00:16:07,958 --> 00:16:11,906 If there aren't enough dollars, can't you just buy more? 223 00:16:12,083 --> 00:16:15,075 The dollars are going out much faster than the purchase rate, sir. 224 00:16:15,500 --> 00:16:16,581 Senior Secretary? 225 00:16:16,708 --> 00:16:17,948 Yes, Mr. President. 226 00:16:18,833 --> 00:16:20,323 Didn't you say it would be fine 227 00:16:20,375 --> 00:16:23,037 because Korea's economy has a solid foundation? 228 00:16:24,167 --> 00:16:25,623 I'm sorry, sir. 229 00:16:26,292 --> 00:16:30,160 The party's over... is that it? 230 00:16:36,500 --> 00:16:38,366 Letter of Resignation 231 00:16:44,000 --> 00:16:45,161 You sure about this? 232 00:16:47,917 --> 00:16:50,033 On a sinking ship, 233 00:16:51,375 --> 00:16:56,290 the first to get out has the best chance of survival. 234 00:16:57,167 --> 00:17:01,616 In movies, the first to leave dies first. 235 00:17:06,917 --> 00:17:09,625 Installment savings reached $200 million! 236 00:17:15,208 --> 00:17:18,405 I'll go my own path. Please accept this. 237 00:17:19,958 --> 00:17:22,916 Let's hear it. That path you'll go on. 238 00:17:23,125 --> 00:17:24,911 I'm going to invest in the crisis. 239 00:17:25,208 --> 00:17:29,406 I believe the Korean economy... 240 00:17:31,833 --> 00:17:33,915 will go bankrupt soon. 241 00:17:36,125 --> 00:17:38,492 Hey, do you think 242 00:17:39,000 --> 00:17:43,494 there haven't been others just like you? 243 00:17:44,792 --> 00:17:50,208 During the oil crisis and debt crisis in 1980, 244 00:17:50,333 --> 00:17:54,372 there were many who quit their good jobs, 245 00:17:54,667 --> 00:17:56,453 but no matter what happens, 246 00:17:56,500 --> 00:17:58,537 a nation's economy is bound to withstand. 247 00:17:59,042 --> 00:18:00,373 Don't you read the papers? 248 00:18:01,750 --> 00:18:03,206 The four dragons of Asia! 249 00:18:03,250 --> 00:18:05,161 Powerful, rising countries! 250 00:18:07,083 --> 00:18:10,280 You should think about investing diligently... 251 00:18:10,333 --> 00:18:15,328 No lectures, please. Just pay my severance. 252 00:18:16,250 --> 00:18:18,287 Do you know what people call your kind? 253 00:18:19,500 --> 00:18:21,787 A conspirator! You son of a bitch! 254 00:18:22,125 --> 00:18:24,116 Go on. Go your way. 255 00:18:25,375 --> 00:18:28,288 It's conspiracist, actually. 256 00:18:28,333 --> 00:18:29,949 Isn't that what I said?! 257 00:18:32,167 --> 00:18:38,118 Hello, sir. This is Yoon from Korea Merchant Bank Corp. 258 00:18:40,542 --> 00:18:42,453 The beacon of success! 259 00:18:42,500 --> 00:18:45,663 If you just give me an hour, I'll present you with the greatest... 260 00:18:45,750 --> 00:18:48,583 Yes, ma'am. Darling? My friend! 261 00:18:49,750 --> 00:18:53,197 List of Top Companies I don't know what to label it 262 00:18:53,250 --> 00:18:56,538 Task force office but this will be the control tower... 263 00:18:56,583 --> 00:18:58,870 Task force office ...for preventing national bankruptcy. 264 00:19:00,833 --> 00:19:03,370 Gently! You're stirring up dust. 265 00:19:03,625 --> 00:19:04,740 I'm sorry, sir. 266 00:19:07,333 --> 00:19:09,825 I wouldn't have called if this wasn't important. 267 00:19:10,750 --> 00:19:13,242 In fact, it's huge. 268 00:19:15,208 --> 00:19:17,996 Only for a few chosen clients... 269 00:19:18,042 --> 00:19:19,908 All you need to do is follow my lead. 270 00:19:22,125 --> 00:19:23,490 Thank you. 271 00:19:26,792 --> 00:19:33,949 While I was working as a personal assets manager, 272 00:19:34,000 --> 00:19:37,789 I secured all of you good returns on your investments. 273 00:19:39,000 --> 00:19:41,207 Isn't that right, ma'am? 274 00:19:41,917 --> 00:19:45,285 Of course. 275 00:19:45,333 --> 00:19:48,325 You helped me get a new building in Gangnam. 276 00:19:48,833 --> 00:19:49,948 Sir, am I right? 277 00:19:50,500 --> 00:19:54,164 I don't think any of us here doubt your skills. 278 00:19:56,500 --> 00:20:01,791 I believe that Korea 279 00:20:03,417 --> 00:20:05,784 will go broke in a week. 280 00:20:06,917 --> 00:20:10,114 - The country will go broke? - Is that even possible? 281 00:20:12,417 --> 00:20:16,365 And this is the reason why. 282 00:20:22,750 --> 00:20:28,996 'Yeo' means 'to give', and 'shin' means 'to trust'. 283 00:20:29,958 --> 00:20:34,373 Or 'loan' in plain language. 284 00:20:34,417 --> 00:20:36,374 When a financial institution loans money. 285 00:20:38,000 --> 00:20:40,162 This word, trust! 286 00:20:41,000 --> 00:20:45,915 What is exchanged is the trust that the money will be returned, but... 287 00:20:46,208 --> 00:20:50,156 this trust was a weak, unfounded one! 288 00:20:50,625 --> 00:20:57,122 From the beginning of this year, I sensed that it was slowly breaking apart. 289 00:20:58,417 --> 00:21:04,413 I'll give you an example. There's a businessman. 290 00:21:05,583 --> 00:21:07,915 Check the document. 291 00:21:07,958 --> 00:21:12,327 Intent of Purchase He wants to run a business but has no money. 292 00:21:12,375 --> 00:21:13,991 What can he do? 293 00:21:14,708 --> 00:21:18,372 Expand your factory, change your car, get a driver. 294 00:21:18,417 --> 00:21:20,408 You should live a better life now. 295 00:21:21,375 --> 00:21:24,333 - No more carrying sheets of steel! - Thank you. 296 00:21:26,042 --> 00:21:30,036 But... This many? 297 00:21:30,458 --> 00:21:31,243 Is that a problem? 298 00:21:31,333 --> 00:21:35,156 Of course not. We'll try and match the order. 299 00:21:36,042 --> 00:21:39,489 The payment will be made in promissory note. 300 00:21:41,500 --> 00:21:42,240 Sorry? 301 00:21:42,542 --> 00:21:44,249 Here's a question. 302 00:21:45,792 --> 00:21:49,956 What kind of a promissory note is this? 303 00:21:51,583 --> 00:21:53,574 This place is not a bank. 304 00:21:54,417 --> 00:21:55,532 Do you have the paperwork? 305 00:21:55,583 --> 00:21:58,166 It is a nonmonetary institution called a merchant bank. 306 00:21:58,875 --> 00:22:03,324 A promissory note is issued to the company at a bank 307 00:22:03,375 --> 00:22:06,697 which is then submitted to the nonmonetary institution. 308 00:22:07,625 --> 00:22:13,416 And what happens next? I'll count to three. 309 00:22:14,292 --> 00:22:15,077 One, 310 00:22:18,167 --> 00:22:18,998 two... 311 00:22:21,500 --> 00:22:22,285 Three! 312 00:22:23,500 --> 00:22:24,661 Here. 313 00:22:25,125 --> 00:22:26,286 Your loan's approved. 314 00:22:26,708 --> 00:22:29,120 Thank you. 315 00:22:29,208 --> 00:22:31,370 Surprisingly and instantly! 316 00:22:31,708 --> 00:22:34,291 You can borrow 317 00:22:34,333 --> 00:22:37,746 the amount on the bank-issued promissory note. Loan Contract 318 00:22:37,792 --> 00:22:40,830 Whether or not the note is effective as collateral 319 00:22:40,875 --> 00:22:43,583 is nobody's concern. 320 00:22:44,042 --> 00:22:45,203 They just give out the loan. 321 00:22:47,417 --> 00:22:53,868 Such promissory notes are passed on to small businesses. 322 00:22:55,833 --> 00:22:59,246 Sorry, but we've always received payment in cash. 323 00:22:59,333 --> 00:23:01,916 Who does business in cash these days? 324 00:23:02,500 --> 00:23:03,911 It's all in promissory notes. 325 00:23:05,167 --> 00:23:08,239 - What? - Who does business in cash anymore? 326 00:23:08,750 --> 00:23:10,036 I have to go. 327 00:23:10,083 --> 00:23:11,869 Call me. I have tons of orders to handle. 328 00:23:11,917 --> 00:23:13,908 - See you later. - Drive safe. 329 00:23:14,125 --> 00:23:18,574 If this is the situation for small businesses, what about conglomerates? 330 00:23:19,208 --> 00:23:26,456 They take loans through foreign banks, 331 00:23:26,500 --> 00:23:29,333 secure them against other loans. 332 00:23:29,917 --> 00:23:35,868 And that debt goes down to subcontractors. 333 00:23:35,917 --> 00:23:39,114 Down and down. 334 00:23:39,292 --> 00:23:45,789 If the business is successful and the debt is collected, everyone's happy. 335 00:23:47,625 --> 00:23:49,662 But if any one party falters? 336 00:23:49,708 --> 00:23:52,325 It's a matter of time before everything comes tumbling down. 337 00:23:53,417 --> 00:23:56,830 Why? But I've never heard of this. 338 00:23:57,375 --> 00:23:58,911 This was a deal made on the unfounded trust that 339 00:23:58,958 --> 00:24:01,575 'everything will be fine'. 340 00:24:01,625 --> 00:24:07,041 This is the screwed up process Korea's 341 00:24:07,083 --> 00:24:10,201 been running businesses in till 1997. 342 00:24:10,875 --> 00:24:12,616 - Pardon my French. - Nonsense. 343 00:24:13,875 --> 00:24:19,700 And I reached the conclusion that 344 00:24:20,958 --> 00:24:24,952 this ticking time bomb will go off this year. 345 00:24:31,042 --> 00:24:36,242 You're overlooking something. What if the government gets involved? 346 00:24:36,542 --> 00:24:42,823 What if they present a solution before the bomb explodes? 347 00:24:44,625 --> 00:24:47,617 What kind of solution do we have 348 00:24:47,667 --> 00:24:49,578 in a free market economy? 349 00:24:49,750 --> 00:24:52,913 Send out a warning that the country's economy is in danger. 350 00:24:55,792 --> 00:24:57,874 Isn't that the first step to deal with any disaster? 351 00:24:57,917 --> 00:25:00,989 Now why would we do that? 352 00:25:01,708 --> 00:25:03,949 'Dear people of Korea, we're screwed. 353 00:25:04,000 --> 00:25:05,911 We're about to go bankrupt.' 354 00:25:05,958 --> 00:25:07,448 You want to advertise it? 355 00:25:07,708 --> 00:25:12,202 People have a right to be informed of the government's decision. 356 00:25:12,250 --> 00:25:16,164 What right? Where does it say that? 357 00:25:17,625 --> 00:25:20,367 If the market economy collapses, we won't be able to do anything. 358 00:25:20,417 --> 00:25:23,580 All this talk of imminent danger will cause more confusion. 359 00:25:23,958 --> 00:25:25,323 We have to prevent that 360 00:25:25,375 --> 00:25:26,957 and find a way to buy more time. 361 00:25:27,000 --> 00:25:31,369 Who will take responsibility for the damage incurred in that time? 362 00:25:31,667 --> 00:25:36,116 People have the right to know about the current situation! 363 00:25:36,167 --> 00:25:37,282 Han! 364 00:25:40,958 --> 00:25:42,414 Ms. Han... 365 00:25:43,708 --> 00:25:46,496 the people's right to know isn't what matters right now. 366 00:25:46,750 --> 00:25:49,993 What's stopping you? This is a huge opportunity! 367 00:25:50,042 --> 00:25:52,704 If we get paid with a promissory note, 368 00:25:52,750 --> 00:25:54,491 how do we pay our vendors? 369 00:25:55,375 --> 00:25:57,332 We can ask them to wait for now 370 00:25:57,417 --> 00:26:01,911 and pay once the note matures. 371 00:26:02,917 --> 00:26:04,226 Let's sign the deal. 372 00:26:04,250 --> 00:26:05,351 At least a warning to people 373 00:26:05,375 --> 00:26:09,243 Intent of Purchase making countless decisions... 374 00:26:10,042 --> 00:26:11,123 that's confusing to you? 375 00:26:11,167 --> 00:26:15,035 What if everyone clears out their account and cancels their deals? 376 00:26:15,083 --> 00:26:17,700 How can you worry about that? 377 00:26:19,000 --> 00:26:20,456 That's making a soft landing. 378 00:26:22,583 --> 00:26:24,494 The government will not notify the public. 379 00:26:24,708 --> 00:26:26,324 How can you be so sure? 380 00:26:26,375 --> 00:26:30,915 There have been clear signs showing how Korea is failing, 381 00:26:31,417 --> 00:26:34,250 and they've been ignoring them! 382 00:26:39,792 --> 00:26:43,740 Sir, we must notify the public as soon as possible. 383 00:26:44,125 --> 00:26:47,618 No, it'll only cause unnecessary confusion. 384 00:26:49,625 --> 00:26:51,491 'In difficulty, because the factory 385 00:26:51,542 --> 00:26:54,705 isn't paying my husband's salary!' 386 00:26:55,167 --> 00:26:59,491 'Putting the house up for sale after the business failed.' 387 00:26:59,708 --> 00:27:02,245 What show is this? 388 00:27:03,000 --> 00:27:04,616 Son Sook's Women's Era. 389 00:27:08,292 --> 00:27:10,624 If we tell the people now, 390 00:27:10,667 --> 00:27:12,783 then the damage can be reduced. 391 00:27:13,917 --> 00:27:15,703 Intent of Purchase 392 00:27:16,875 --> 00:27:17,615 Sign it. 393 00:27:19,833 --> 00:27:22,040 National bankruptcy has already begun, 394 00:27:22,083 --> 00:27:25,701 but the government isn't doing anything at all. 395 00:27:26,208 --> 00:27:29,746 They are either incompetent or ignorant! 396 00:27:31,417 --> 00:27:34,489 Saying that we're facing an economic crisis 397 00:27:34,542 --> 00:27:38,911 will only serve the opposition right before elections. 398 00:27:40,208 --> 00:27:42,074 This is no time to talk politics! 399 00:27:42,125 --> 00:27:47,746 I plan to invest in that incompetence and ignorance. 400 00:27:48,125 --> 00:27:52,369 What's there to think about? Come on. 401 00:28:04,083 --> 00:28:05,073 Mr. Senior Secretary... 402 00:28:20,792 --> 00:28:22,578 The possibility of national bankruptcy... 403 00:28:30,875 --> 00:28:33,116 will be dealt with entirely behind closed doors. 404 00:28:34,417 --> 00:28:37,489 From this point on, 405 00:28:37,542 --> 00:28:40,034 this team will keep silent about the situation 406 00:28:40,458 --> 00:28:44,372 to the press and those in the financial sector. 407 00:28:52,375 --> 00:28:53,410 Everything will be fine. 408 00:28:54,667 --> 00:28:55,657 Mr. Senior Secretary! 409 00:28:57,875 --> 00:28:59,741 Sir, please! 410 00:29:00,500 --> 00:29:01,160 Sir! 411 00:29:02,083 --> 00:29:06,407 Sir, if we hide it, people will suffer helplessly 412 00:29:06,708 --> 00:29:08,619 when the big blow comes. 413 00:29:08,917 --> 00:29:11,500 We have to salvage at least the healthy SMEs... 414 00:29:12,875 --> 00:29:15,663 Healthy SMEs? 415 00:29:18,292 --> 00:29:20,408 And who's doing the health checkups? 416 00:29:53,750 --> 00:29:55,206 Where's everybody else? 417 00:29:55,875 --> 00:29:58,412 Obviously, they weren't impressed by my presentation. 418 00:29:59,583 --> 00:30:00,914 No one believes me. 419 00:30:03,125 --> 00:30:08,871 I'll invest in your words about government's incompetence in crisis. 420 00:30:17,792 --> 00:30:22,832 Man! I was totally blown away! 421 00:30:23,292 --> 00:30:27,115 'They are either incompetent or ignorant!' 422 00:30:27,958 --> 00:30:29,869 Especially that part. 423 00:30:30,708 --> 00:30:32,039 Hey, how old are you? 424 00:30:32,333 --> 00:30:33,073 Twenty four. 425 00:30:33,125 --> 00:30:34,832 Scram, kid. 426 00:30:36,125 --> 00:30:39,823 Wasn't this a presentation about an investment opportunity? 427 00:30:42,208 --> 00:30:43,869 I have money. Shitload of it. 428 00:31:02,000 --> 00:31:03,115 1 million dollars. 429 00:31:04,250 --> 00:31:09,199 Why don't you take a seat, sir? 430 00:31:09,250 --> 00:31:10,615 Yes, Mr. Yoon. 431 00:31:20,083 --> 00:31:22,074 - Mom! - Mom's home! 432 00:31:22,125 --> 00:31:23,035 Hey! 433 00:31:23,083 --> 00:31:24,790 Why'd you come home so late? 434 00:31:24,833 --> 00:31:28,531 Did you miss mommy? 435 00:31:29,667 --> 00:31:35,208 Honey, our bowls... they'll be in department stores soon. 436 00:31:37,083 --> 00:31:38,073 Really? 437 00:31:39,500 --> 00:31:43,824 It's a huge deal. Worth $500,000. 438 00:31:44,667 --> 00:31:48,490 - Really? That's great! - Right? 439 00:31:50,042 --> 00:31:54,411 I was worried about tuition fees when Hyun-ah goes to middle school. 440 00:31:56,042 --> 00:31:56,952 Once we close the deal, 441 00:31:57,000 --> 00:31:57,831 you can quit working. 442 00:31:57,875 --> 00:32:00,458 Let's talk about that when you close the deal. 443 00:32:01,917 --> 00:32:03,282 You did good! 444 00:32:09,458 --> 00:32:13,372 In response to the claim that the Korean economy is facing a crisis, 445 00:32:13,417 --> 00:32:16,580 the Deputy Prime Minister dismissed it as an unfounded rumor. 446 00:32:16,625 --> 00:32:20,198 The economy is entering a recovery phase... 447 00:32:20,250 --> 00:32:24,995 Based on its solid foundation as the world's 11th largest economy... 448 00:32:25,042 --> 00:32:28,000 ...appears to have passed the low point. 449 00:32:28,042 --> 00:32:30,830 Korea beat UAE 450 00:32:30,875 --> 00:32:32,365 in the World Cup qualifying round... 451 00:32:32,417 --> 00:32:34,203 ...has asked the national team to play well 452 00:32:34,250 --> 00:32:37,788 in the quarter too. 453 00:32:37,833 --> 00:32:39,393 No, it's not official yet. 454 00:32:39,417 --> 00:32:40,309 Nov 18, 1997 455 00:32:40,333 --> 00:32:41,684 KOSPI 542 .4 456 00:32:41,708 --> 00:32:43,018 Won-Dollar Exchange Rate 843 457 00:32:43,042 --> 00:32:44,874 Won Foreign Reserves $10.3 billion 458 00:32:45,292 --> 00:32:46,953 The Bank of Korea is unable to provide surety. 459 00:32:48,125 --> 00:32:50,708 No, we cannot confirm that. 460 00:32:51,083 --> 00:32:52,414 The Washington Post wrote that 461 00:32:52,458 --> 00:32:55,905 foreign banks refused to provide export bonds for Korean companies. 462 00:32:56,042 --> 00:33:00,866 Soros is refusing to roll over matured investments in Korea. 463 00:33:01,000 --> 00:33:03,583 I don't think it helps to keep silent. 464 00:33:03,792 --> 00:33:06,124 There'll be more vicious rumors. 465 00:33:06,917 --> 00:33:07,748 Let's go out. 466 00:33:07,792 --> 00:33:08,452 Sorry? 467 00:33:08,500 --> 00:33:10,491 We need proof to convince 468 00:33:10,542 --> 00:33:14,115 the ignorant and indolent in high positions. 469 00:33:14,375 --> 00:33:16,992 We have to gather evidence they can't refute. 470 00:33:17,542 --> 00:33:20,864 We can look into poor bonds in nonmonetary institutions 471 00:33:21,125 --> 00:33:23,207 and use them to persuade people in charge 472 00:33:24,333 --> 00:33:28,076 at the Ministry of Finance, the BOK, and commercial banks. 473 00:33:28,375 --> 00:33:31,993 Whatever it takes for now. 474 00:33:32,208 --> 00:33:33,573 From now on, we're the system. 475 00:33:33,625 --> 00:33:34,490 Yes, ma'am. 476 00:33:36,083 --> 00:33:38,074 Who is this person we have to meet? 477 00:33:38,750 --> 00:33:39,490 An alumnus. 478 00:33:40,083 --> 00:33:40,993 Alumnus? 479 00:33:53,500 --> 00:33:57,243 This is the bureau chief of fiscal policy. 480 00:33:57,750 --> 00:33:58,410 Nice to meet you. 481 00:33:58,458 --> 00:33:59,539 Good evening, sir. 482 00:34:00,958 --> 00:34:02,448 He's my alumnus from Harvard. 483 00:34:02,500 --> 00:34:03,990 He'll take a seat in the next cabinet. 484 00:34:04,208 --> 00:34:05,198 It's an honor. 485 00:34:06,000 --> 00:34:07,832 Show respect. Bow deeper. 486 00:34:09,208 --> 00:34:10,414 Thank you for coming. 487 00:34:10,458 --> 00:34:12,449 Stay close. 488 00:34:13,583 --> 00:34:14,573 Hello. 489 00:34:18,667 --> 00:34:19,623 Good to see you. 490 00:34:20,333 --> 00:34:24,406 This is the youngest son of the Llsung Group's Chairman. 491 00:34:24,458 --> 00:34:27,166 I'm sorry I didn't recognize you. 492 00:34:29,625 --> 00:34:32,333 I came because my father told me to. 493 00:34:33,208 --> 00:34:34,994 What do we talk about? 494 00:34:35,333 --> 00:34:40,908 We give advice and share information among the alumni. 495 00:34:42,625 --> 00:34:43,911 I see... 496 00:34:44,208 --> 00:34:45,824 Mr. Chairman is in good health? 497 00:34:45,958 --> 00:34:47,198 Yeah, he's well. 498 00:34:49,375 --> 00:34:50,285 So... 499 00:34:53,500 --> 00:34:58,825 Mr. Chairman is no longer in his youth. You should start training to take over. 500 00:35:00,583 --> 00:35:03,291 Well, I don't know much. 501 00:35:03,917 --> 00:35:06,033 Now, you will have something you know. 502 00:35:08,458 --> 00:35:12,907 What we're about to tell you will please Mr. Chairman. 503 00:35:14,125 --> 00:35:15,331 How do you mean? 504 00:35:19,167 --> 00:35:22,364 Pretty soon... there will be national bankruptcy. 505 00:35:22,833 --> 00:35:30,160 Many things will change. In whatever way, you should be prepared. 506 00:35:32,292 --> 00:35:34,784 Why are you telling me this? 507 00:35:36,958 --> 00:35:38,824 Because we're alumni. 508 00:35:52,042 --> 00:35:55,660 As per the Bank of Korea's supervision authority, 509 00:35:55,708 --> 00:35:58,370 we'll conduct an emergency inspection of this bank. 510 00:36:03,875 --> 00:36:06,287 How much did Cheil Bank lend to Hanbo Steel? 511 00:36:07,167 --> 00:36:09,329 Around $1.08 billion. 512 00:36:09,375 --> 00:36:11,992 How much paid-in capital do you have? 513 00:36:12,042 --> 00:36:13,703 $870 million. 514 00:36:13,750 --> 00:36:17,414 Why did you lend more than the capital held by the bank? 515 00:36:18,333 --> 00:36:19,323 I'm sorry. 516 00:36:19,958 --> 00:36:22,666 Who reviewed and approved the loan? 517 00:36:22,875 --> 00:36:25,162 There has never been a review 518 00:36:25,208 --> 00:36:27,415 of the business plan. 519 00:36:29,667 --> 00:36:31,999 There should've been restraints imposed by Bank Inspection Board? 520 00:36:32,042 --> 00:36:32,873 No. 521 00:36:33,250 --> 00:36:35,833 Who's in charge of this bank at the Bank Inspection Board? 522 00:36:36,292 --> 00:36:37,498 Well... 523 00:36:38,458 --> 00:36:39,198 That's me. 524 00:36:39,500 --> 00:36:40,160 What? 525 00:36:40,208 --> 00:36:43,576 I used to be on the Bank Inspection Board, 526 00:36:44,167 --> 00:36:47,205 then I transferred here right before the Hanbo scandal. 527 00:36:47,250 --> 00:36:51,039 If I knew Hanbo would go under, I wouldn't have come here. 528 00:36:52,542 --> 00:36:53,703 I'm sorry. 529 00:36:54,292 --> 00:36:57,159 Why is Hanbo Headquarters in an apartment arcade? 530 00:36:57,667 --> 00:37:01,365 It was on advice from the Chairman's fortune teller. 531 00:37:01,583 --> 00:37:05,281 A fortune teller? That's crazy. 532 00:37:05,708 --> 00:37:09,155 My wife and kids are in Canada. 533 00:37:09,208 --> 00:37:11,700 Do you know how much the exchange rate will go up? 534 00:37:11,750 --> 00:37:15,038 Who made the decision to invest in steel at Hanbo? Sales, Hanbo Steel 535 00:37:15,083 --> 00:37:16,289 Was it the fortune teller again? 536 00:37:16,333 --> 00:37:19,576 Whoever it was, I know nothing of it. 537 00:37:19,625 --> 00:37:21,241 Did the board of directors approve? 538 00:37:21,708 --> 00:37:22,448 What board of directors? 539 00:37:22,500 --> 00:37:25,913 There are no directors. 540 00:37:26,333 --> 00:37:31,874 The arrangement for the loan was made by the President's son. 541 00:37:31,917 --> 00:37:34,784 How much is the total loan Hanbo obtained? 542 00:37:35,833 --> 00:37:39,246 What year did this bitch enter Bank of Korea? 543 00:37:39,542 --> 00:37:41,158 You can't talk like that. 544 00:37:41,208 --> 00:37:44,121 How much is the total loan that's not in the record? 545 00:37:44,167 --> 00:37:47,740 How dare you talk like that to me! 546 00:37:47,917 --> 00:37:48,577 Sir! 547 00:37:48,625 --> 00:37:49,786 What! 548 00:37:57,750 --> 00:37:58,740 Hey, 549 00:38:00,417 --> 00:38:02,374 freaking clueless, aren't you? 550 00:38:06,417 --> 00:38:08,624 Because of the billions 551 00:38:08,667 --> 00:38:11,250 you recklessly obtained by lobbying politicians, 552 00:38:14,000 --> 00:38:17,618 you set off a ticking time bomb. 553 00:38:21,250 --> 00:38:22,832 So, where are we going? 554 00:38:24,125 --> 00:38:25,536 We'll start purchasing dollars. 555 00:38:27,208 --> 00:38:31,873 When Korea's credit level falls, the first thing to change is the currency rate. 556 00:38:32,125 --> 00:38:38,997 The exchange rate is at 800 won. Do you think it'll get higher? 557 00:38:39,250 --> 00:38:43,244 Of course. My prediction is... 558 00:38:44,500 --> 00:38:45,365 up to 2,000 won. 559 00:38:46,083 --> 00:38:47,699 2,000 won?! 560 00:38:48,375 --> 00:38:50,491 That's almost triple! 561 00:38:52,250 --> 00:38:54,332 That much won't do for me. 562 00:38:54,625 --> 00:38:55,865 I want a put option that makes money 563 00:38:55,917 --> 00:39:00,707 when the stocks crash and the currency flares up. 564 00:39:02,208 --> 00:39:03,198 Here. 565 00:39:03,583 --> 00:39:06,075 Stock Options 566 00:39:07,292 --> 00:39:11,035 The currency rate is as high and the stocks as low as they can get. 567 00:39:11,083 --> 00:39:15,998 You're totally going the opposite way. 568 00:39:16,125 --> 00:39:21,791 If you want to make money with this, then this country has to go under. 569 00:39:22,292 --> 00:39:25,284 I just do as requested but... 570 00:39:25,333 --> 00:39:27,199 Then do it. 571 00:39:43,083 --> 00:39:45,745 Companies take on businesses without considering profitability. 572 00:39:45,792 --> 00:39:49,809 Banks lend blindly, politicians lobby to accommodate. 573 00:39:49,833 --> 00:39:51,684 The inspection board doesn't work. 574 00:39:51,708 --> 00:39:53,726 They all fit perfectly. 575 00:39:53,750 --> 00:39:57,893 The bad loans from Hanbo alone are worth $5 billion. 576 00:39:57,917 --> 00:40:01,490 No need to criticize others. Bank of Korea is also responsible. 577 00:40:01,667 --> 00:40:02,623 How come? 578 00:40:02,792 --> 00:40:05,329 How is the monetary policy team responsible? 579 00:40:05,625 --> 00:40:09,914 When Hanbo went bankrupt, when Kia went bankrupt... 580 00:40:10,000 --> 00:40:12,241 we submitted tons of analysis reports. 581 00:40:12,625 --> 00:40:14,241 They never listened. 582 00:40:16,167 --> 00:40:20,912 Foreign investors are selling fast, causing the stock price to plummet. 583 00:40:20,958 --> 00:40:23,825 ...dropped by 20 points within 10 minutes. 584 00:40:23,875 --> 00:40:26,287 Only 5 minutes into trading, foreign dumping began... 585 00:40:26,333 --> 00:40:27,601 Nov 19, 1997 Since selling over $300 million last month, 586 00:40:27,625 --> 00:40:29,059 KOSPI 509.4 Won-Dollar Since selling over $300 million last month, 587 00:40:29,083 --> 00:40:30,018 Exchange Rate 909 won Since selling over $300 million last month, 588 00:40:30,042 --> 00:40:30,768 Foreign Reserves $8 billion 589 00:40:30,792 --> 00:40:34,809 foreigners have sold $580 million this month, 590 00:40:34,833 --> 00:40:38,326 as of today. 591 00:40:39,292 --> 00:40:42,059 With foreign investors dumping stocks, 592 00:40:42,083 --> 00:40:44,324 the exchange rate is flaring up. 593 00:40:44,833 --> 00:40:48,952 The foreign exchange market ceased all transactions after 5 minutes. 594 00:40:49,375 --> 00:40:50,351 The currency rate flared up, 595 00:40:50,375 --> 00:40:55,996 causing the market to close after just 5 minutes. 596 00:40:56,083 --> 00:40:58,825 The money exchange services have come to a de facto halt. 597 00:40:58,958 --> 00:41:03,623 The interest rate for promissory notes has gone up by 0.87 % overnight. 598 00:41:04,833 --> 00:41:07,495 Right now, the administration is preparing a statement. 599 00:41:08,375 --> 00:41:09,976 The situation is only temporary 600 00:41:10,000 --> 00:41:12,287 and will not lead to a state of panic! 601 00:41:12,917 --> 00:41:14,373 This is not a serious situation. 602 00:41:14,417 --> 00:41:15,248 Hang up. 603 00:41:15,792 --> 00:41:20,643 The aftershock of the financial crisis in Southeast Asia is hitting hard again. 604 00:41:20,667 --> 00:41:23,625 The currency crisis that began in Thailand and spread across the Philippines, 605 00:41:23,667 --> 00:41:29,948 Indonesia, and Hong Kong is now threatening our financial market. 606 00:41:30,083 --> 00:41:33,351 The currency rate has reached an all-time high again. 607 00:41:33,375 --> 00:41:37,073 Mr. Yoon, it's come true. It's happening! 608 00:41:38,167 --> 00:41:40,374 I can't freaking believe this! 609 00:41:40,625 --> 00:41:43,822 Listen! Tell them it's not true. 610 00:41:45,083 --> 00:41:46,949 Don't say anything else! 611 00:41:49,125 --> 00:41:51,207 Just tell them everything is under control! 612 00:41:51,417 --> 00:41:52,248 We have breaking news. 613 00:41:52,292 --> 00:41:57,913 Midopa Department Store is facing bankruptcy. 614 00:41:58,083 --> 00:42:01,826 I repeat. Midopa is facing bankruptcy. 615 00:42:02,083 --> 00:42:05,656 Midopa is seeking emergency funding, 616 00:42:05,833 --> 00:42:12,910 as well as holding talks with its partners to renegotiate business terms. 617 00:42:53,292 --> 00:42:53,952 Mr. Lee! 618 00:42:54,708 --> 00:42:56,851 There's Lee. Get him! 619 00:42:56,875 --> 00:42:58,741 Mr. Lee! 620 00:43:14,083 --> 00:43:17,496 Wait. Let go! 621 00:43:19,000 --> 00:43:19,740 Mr. Lee! 622 00:43:20,042 --> 00:43:20,907 Lee! 623 00:43:21,583 --> 00:43:22,698 It's not true, is it? 624 00:43:23,250 --> 00:43:24,490 It's not going bankrupt, right? 625 00:43:24,583 --> 00:43:26,018 Just give me a little more time. 626 00:43:26,042 --> 00:43:27,309 You knew about this! 627 00:43:27,333 --> 00:43:28,559 No! Honestly. 628 00:43:28,583 --> 00:43:29,914 What are you gonna do about it? 629 00:43:32,208 --> 00:43:34,324 Lives depended on that money! 630 00:43:36,375 --> 00:43:37,726 Midopa has $310 million in debt 631 00:43:37,750 --> 00:43:39,226 with commercial banks, 632 00:43:39,250 --> 00:43:42,601 as well as $215 million with nonmonetary institutions. 633 00:43:42,625 --> 00:43:45,947 Midopa in debt Total $827.5 million. 634 00:43:46,125 --> 00:43:49,018 Midopa will file for composition tomorrow, 635 00:43:49,042 --> 00:43:51,268 but if the creditors reject, 636 00:43:51,292 --> 00:43:53,784 they will be forced to go into receivership. 637 00:43:54,125 --> 00:43:56,207 Halla Group has gone bankrupt. 638 00:43:56,792 --> 00:43:57,873 Halla 639 00:43:58,083 --> 00:43:59,434 Taeil's filed for bankruptcy. 640 00:43:59,458 --> 00:44:00,351 Taeil Precision 641 00:44:00,375 --> 00:44:02,286 New Core has filed for bankruptcy! 642 00:44:03,917 --> 00:44:04,782 What? 643 00:44:06,250 --> 00:44:07,240 Sir! 644 00:44:08,750 --> 00:44:10,991 Daewoo's in danger. 645 00:44:11,667 --> 00:44:12,281 What? 646 00:44:12,708 --> 00:44:15,746 Chairman Kim Woo-joong wants a special meeting. 647 00:44:16,708 --> 00:44:18,574 #4 Daewoo 648 00:44:19,292 --> 00:44:22,125 Han! Where did Han go? 649 00:44:33,708 --> 00:44:38,498 Please relax and come down, sir. 650 00:44:38,833 --> 00:44:41,495 Come down and talk to me. 651 00:44:41,917 --> 00:44:44,830 Many are going through a difficult time. Please. 652 00:44:45,250 --> 00:44:48,868 Think about your family. 653 00:44:49,042 --> 00:44:51,909 Please come down, sir. 654 00:44:52,625 --> 00:44:54,616 Come down please! 655 00:45:08,958 --> 00:45:14,579 Haetae Group has gone into bankruptcy. 656 00:45:14,750 --> 00:45:17,893 Kia's creditors filed for court receivership. 657 00:45:17,917 --> 00:45:20,226 ...New York Times expressed concern on Korea's capability 658 00:45:20,250 --> 00:45:22,582 to pay off its short-term loans. 659 00:45:22,667 --> 00:45:24,976 ...unprecedented bankruptcy of a financial institution. 660 00:45:25,000 --> 00:45:26,331 Korea Merchant Bank Clients Left Hopeless 661 00:45:27,750 --> 00:45:32,074 Today alone, 20 out of the top 100 companies have gone bankrupt. 662 00:45:32,292 --> 00:45:34,768 If you include smaller companies, 663 00:45:34,792 --> 00:45:37,226 we estimate around 200 companies. 664 00:45:37,250 --> 00:45:41,448 Merchant banks' low-interest bonds from Southeast Asia are being retrieved. 665 00:45:41,583 --> 00:45:45,781 If they go bust, their promissory notes will become void. 666 00:45:46,333 --> 00:45:49,476 If that happens, commercial banks may become insolvent. 667 00:45:49,500 --> 00:45:53,289 Korea's bankruptcy is reported as an established fact in Wall Street. 668 00:45:54,000 --> 00:45:55,184 Starting with Korea Merchant Bank, 669 00:45:55,208 --> 00:45:56,994 commercial banks are also at risk. 670 00:46:07,417 --> 00:46:09,499 Korea Merchant Bank Corp. 671 00:46:15,708 --> 00:46:16,948 Damn! We were right! 672 00:46:17,292 --> 00:46:21,365 The stocks are crashing, right? 673 00:46:21,917 --> 00:46:25,911 The Korean won is going down, and the dollar's going up, right? 674 00:46:26,125 --> 00:46:29,243 We're making a shitload of money, right? 675 00:46:31,208 --> 00:46:33,495 Korea is screwed. 676 00:46:34,167 --> 00:46:35,749 We're rich, man. 677 00:46:37,208 --> 00:46:38,915 We're stinking rich now! 678 00:46:41,958 --> 00:46:44,495 Mr. Yoon! 679 00:46:45,167 --> 00:46:50,708 I don't think it's time to buy dollars or stocks or any of that. 680 00:46:51,083 --> 00:46:53,745 Then what should we do? 681 00:46:55,167 --> 00:46:57,078 It's time to change our lives. 682 00:46:57,500 --> 00:47:00,572 In life, you have moments that change you forever. 683 00:47:03,167 --> 00:47:05,625 One of those moments is right now. 684 00:47:06,083 --> 00:47:11,578 My life... my position... my status... 685 00:47:14,750 --> 00:47:17,082 All of that is about to change for good. 686 00:47:20,292 --> 00:47:25,162 Hey! Go get more money. 687 00:47:26,875 --> 00:47:28,893 But from now on, keep two things in mind. 688 00:47:28,917 --> 00:47:31,124 Don't talk to me like I'm your friend... 689 00:47:36,083 --> 00:47:38,370 and don't get excited about making money. 690 00:47:51,167 --> 00:47:53,784 Please, share your thoughts. 691 00:47:59,750 --> 00:48:03,493 It's not like we have no options at all. 692 00:48:03,917 --> 00:48:04,998 What else is there? 693 00:48:05,417 --> 00:48:06,907 We can go to the IMF. 694 00:48:07,083 --> 00:48:08,164 What? 695 00:48:09,000 --> 00:48:12,823 If we go to IMF, it could get very painful. 696 00:48:13,208 --> 00:48:16,906 By nature, good medicines taste bitter. 697 00:48:17,958 --> 00:48:20,120 It's a very simple matter. 698 00:48:20,500 --> 00:48:23,434 When Choheung Bank has no money, they borrow from Hanil Bank. 699 00:48:23,458 --> 00:48:26,101 When Hanil doesn't have money, they borrow from somewhere else. 700 00:48:26,125 --> 00:48:31,245 The problem is that our foreign reserves are almost depleted 701 00:48:31,375 --> 00:48:34,476 when we have to pay back bad loans or short-term loans. 702 00:48:34,500 --> 00:48:36,601 Let's get a bailout from IMF. 703 00:48:36,625 --> 00:48:39,083 That's the surest and cleanest solution. 704 00:48:39,208 --> 00:48:44,434 You know the IMF doesn't just lend money. 705 00:48:44,458 --> 00:48:47,601 They'll make demands about running our economy. 706 00:48:47,625 --> 00:48:52,995 I know. I know. But we have to put out the fire first. 707 00:48:53,333 --> 00:48:57,577 Does it matter whose extinguisher we're using? 708 00:48:57,792 --> 00:48:58,702 No. 709 00:49:00,208 --> 00:49:03,951 We can't go to the IMF. That's not the answer. 710 00:49:05,750 --> 00:49:07,582 The IMF is not a bank. 711 00:49:08,292 --> 00:49:10,518 In return for a bailout loan, 712 00:49:10,542 --> 00:49:12,158 they'll require unreasonable conditions 713 00:49:12,417 --> 00:49:15,018 and even take control over our own economy. 714 00:49:15,042 --> 00:49:20,101 We can use this opportunity to make fundamental improvements. 715 00:49:20,125 --> 00:49:24,198 No! The question of improving the Korean economy 716 00:49:24,542 --> 00:49:28,331 should be considered separately from the foreign reserves issue. 717 00:49:28,542 --> 00:49:29,657 Miss bank teller... 718 00:49:34,917 --> 00:49:40,959 this is completely different from the petty cash you count. 719 00:49:41,250 --> 00:49:44,038 This is policy and politics. 720 00:49:44,833 --> 00:49:50,909 You're the one who reported about these problems firsthand. 721 00:49:51,083 --> 00:49:55,281 And now you say that it's excessive? That we should separate the issues? 722 00:49:58,042 --> 00:50:00,158 What is your solution then? 723 00:50:00,917 --> 00:50:06,788 We can take care of the urgent foreign loans by borrowing $10 billion from 724 00:50:06,833 --> 00:50:09,825 government-run banks in Japan, U.S., and European countries. 725 00:50:09,917 --> 00:50:11,157 Then what? 726 00:50:11,333 --> 00:50:12,915 After that... 727 00:50:14,125 --> 00:50:17,476 What happens after we put out the fire with the borrowed $10 billion 728 00:50:17,500 --> 00:50:20,618 when the country's debt is almost $100 billion? 729 00:50:20,792 --> 00:50:23,659 We consider ABS option issuing overseas bonds, 730 00:50:23,708 --> 00:50:27,497 using government-owned assets as security. 731 00:50:40,750 --> 00:50:42,582 Am I the only one who finds that hilarious? 732 00:50:45,375 --> 00:50:51,075 I didn't realize it but you're an emotional person, Ms. Han. 733 00:50:51,292 --> 00:50:54,614 So far, you've presented numbers and evidence, 734 00:50:54,792 --> 00:50:58,865 but have you been making decisions based on your emotions? 735 00:50:59,500 --> 00:51:02,208 ABS? Backup facility? 736 00:51:04,917 --> 00:51:12,119 Do you really believe that will solve this situation? 737 00:51:14,542 --> 00:51:17,934 If we fail to seek a bailout loan 738 00:51:17,958 --> 00:51:20,996 from IMF in time 739 00:51:21,167 --> 00:51:23,829 and end up declaring national bankruptcy, 740 00:51:23,917 --> 00:51:26,705 will you take all the responsibility? 741 00:51:27,917 --> 00:51:28,768 This is why there are 742 00:51:28,792 --> 00:51:30,248 no women in high government positions. 743 00:51:30,500 --> 00:51:33,743 They can't be rational at critical moments. 744 00:51:38,208 --> 00:51:40,666 You see, women are emotional. 745 00:51:40,917 --> 00:51:43,158 That was unnecessary. 746 00:51:43,375 --> 00:51:45,616 Sir, you have to think carefully. 747 00:51:45,833 --> 00:51:48,746 Ms. Han is unable to grasp the gravity of the situation. 748 00:51:49,167 --> 00:51:53,851 It was wrong to bring on board a woman 749 00:51:53,875 --> 00:51:55,582 who writes reports and punches numbers. 750 00:51:55,708 --> 00:51:57,119 Deputy Minister! 751 00:51:57,333 --> 00:51:59,495 Alright, that's enough. 752 00:52:00,083 --> 00:52:02,700 I'll make the decision. Let's take five. 753 00:52:07,208 --> 00:52:09,226 Don't just stand there. Bring me some coffee. 754 00:52:09,250 --> 00:52:10,911 That's enough. 755 00:52:11,000 --> 00:52:12,240 Asshole... 756 00:52:12,708 --> 00:52:14,494 You've got great teamwork going on. 757 00:52:27,042 --> 00:52:29,955 Isn't going to the IMF a bit excessive? 758 00:52:31,625 --> 00:52:32,911 It Is. 759 00:52:33,750 --> 00:52:34,490 What? 760 00:52:34,625 --> 00:52:37,788 To turn this country inside out, an excessive measure is necessary. 761 00:52:38,292 --> 00:52:41,910 Then this wasn't just about foreign currency but- 762 00:52:41,958 --> 00:52:44,040 You can always pay back money. 763 00:52:44,292 --> 00:52:47,580 As Han said, we can put out an urgent fire, 764 00:52:50,500 --> 00:52:53,697 but I believe we shouldn't let this opportunity pass by. 765 00:52:55,500 --> 00:53:00,495 The way I see it, this is the moment Korea can really change. 766 00:53:02,333 --> 00:53:05,934 The labor union bastards whine and go on strikes all the time. 767 00:53:05,958 --> 00:53:08,950 I think this is an opportunity to change this country in a single blow! 768 00:53:10,208 --> 00:53:12,791 An opportunity to build a brand new Republic of Korea. 769 00:53:18,292 --> 00:53:22,018 Tell the Minister to bring in the Managing Director of IMF. 770 00:53:22,042 --> 00:53:22,907 Yes sir. 771 00:53:24,167 --> 00:53:25,032 Excuse me? 772 00:53:28,000 --> 00:53:29,786 The U.S. is already on the move. 773 00:53:32,042 --> 00:53:34,158 We have no choice but to follow. 774 00:53:46,958 --> 00:53:48,289 I've reached a decision. 775 00:53:48,792 --> 00:53:51,409 No matter how bad it is, going to the IMF is not an option. 776 00:53:51,583 --> 00:53:54,041 Let's try whatever we can. 777 00:53:54,667 --> 00:53:55,498 Yes sir. 778 00:53:55,750 --> 00:53:57,893 Ms. Han, contact Japan to see 779 00:53:57,917 --> 00:54:00,124 if a currency swap is possible. 780 00:54:00,333 --> 00:54:04,372 Even though we're late, let's take care of things one by one. 781 00:54:06,333 --> 00:54:07,368 Let's go. 782 00:54:14,583 --> 00:54:16,870 Promissory Note 783 00:54:20,917 --> 00:54:23,909 So, what the hell is happening? 784 00:54:25,375 --> 00:54:29,073 We have a crisis, but why isn't anybody telling us anything? 785 00:54:32,083 --> 00:54:34,324 How much do we owe our partners right now? 786 00:54:36,917 --> 00:54:40,114 $100,000 to the steel company, $150,000 to the sand company, 787 00:54:40,375 --> 00:54:42,036 and $100,000 to Mr. Chung. 788 00:54:42,792 --> 00:54:46,114 We wrote out a check to these companies. 789 00:54:48,583 --> 00:54:52,247 If we don't pay by the deadline, we'll go to jail. 790 00:54:52,708 --> 00:55:00,365 It's temporary. The government and the media all say it'll be fine. 791 00:55:02,917 --> 00:55:05,750 Let's get together cash and company assets we've got left. 792 00:55:06,167 --> 00:55:09,614 I'll put my house up for sale if necessary. Don't worry. 793 00:55:13,417 --> 00:55:17,206 Urgent Sale 794 00:55:18,250 --> 00:55:19,490 Geez... 795 00:55:22,708 --> 00:55:23,539 Hello. 796 00:55:25,500 --> 00:55:26,786 Please take a seat. 797 00:55:27,417 --> 00:55:31,081 There have been many houses put up for sale recently, right? 798 00:55:31,292 --> 00:55:36,287 Yes. From about three months ago. 799 00:55:36,583 --> 00:55:39,416 Mostly small and medium sized? 800 00:55:39,625 --> 00:55:40,911 That's correct. 801 00:55:44,833 --> 00:55:46,665 Put the sale on hold. I'll buy them. 802 00:55:49,500 --> 00:55:53,915 Excuse me? With my money? 803 00:55:54,250 --> 00:55:58,164 The prices will drop further by 10 to 15 percent. 804 00:55:59,208 --> 00:56:02,371 I'll buy them all then. 805 00:56:02,625 --> 00:56:04,787 Yes sir. 806 00:56:12,125 --> 00:56:15,684 It's like I've climbed on the back of a running tiger. 807 00:56:15,708 --> 00:56:17,619 What do you think will happen next? 808 00:56:17,708 --> 00:56:19,745 The government? 809 00:56:22,833 --> 00:56:25,951 They must be busting each other's brains out 810 00:56:27,125 --> 00:56:31,824 about whether or not to go to the IMF. 811 00:56:33,167 --> 00:56:34,908 The IMF... 812 00:56:35,375 --> 00:56:39,949 Where is... IMF? 813 00:56:44,083 --> 00:56:45,198 Just pour me a drink. 814 00:56:50,583 --> 00:56:54,976 There could be a way to overcome this crisis 815 00:56:55,000 --> 00:56:56,809 without going to the IMF. 816 00:56:56,833 --> 00:56:59,450 Of course there are other options. 817 00:57:01,583 --> 00:57:04,351 But if they don't, these bonds will become garbage, 818 00:57:04,375 --> 00:57:09,791 and you and I will be out on the streets. 819 00:57:12,667 --> 00:57:20,667 Still, I put my money on them eventually going to the IMF. 820 00:57:24,500 --> 00:57:25,490 Why is that? 821 00:57:26,500 --> 00:57:29,333 The decision makers have a lot to lose. 822 00:57:29,667 --> 00:57:31,829 They'll choose a way out of this 823 00:57:32,500 --> 00:57:39,076 that doesn't hurt big companies and conglomerates. 824 00:57:40,167 --> 00:57:42,704 Which means there's only one solution. 825 00:57:43,625 --> 00:57:51,625 Receive aid from the IMF, carry out restructuring, and... 826 00:57:54,292 --> 00:58:02,120 set the game anew in favor of themselves. 827 00:58:02,500 --> 00:58:07,245 Such policy decisions won't go down well with the public. 828 00:58:07,333 --> 00:58:09,916 They'll say something ridiculous like, 829 00:58:13,042 --> 00:58:14,934 'The economy collapsed 830 00:58:14,958 --> 00:58:17,325 because all of you overspent' or... 831 00:58:17,667 --> 00:58:20,739 'You spent money recklessly'. 832 00:58:22,125 --> 00:58:25,493 But I won't be deceived. 833 00:58:28,667 --> 00:58:32,035 I'll never let them fool me. 834 00:58:36,000 --> 00:58:40,949 Somebody must be spending a sleepless night. 835 00:58:47,667 --> 00:58:48,907 It'll be fine. 836 00:58:52,208 --> 00:58:53,824 It's alright. 837 00:58:59,208 --> 00:59:00,869 Everything will be fine. 838 00:59:18,083 --> 00:59:19,893 Despite economic crisis, 839 00:59:19,917 --> 00:59:23,893 people's love for foreign brands doesn't seem to subside. 840 00:59:23,917 --> 00:59:26,101 As luxurious overseas trips are on the rise... 841 00:59:26,125 --> 00:59:31,040 Lavish overseas trips are drying up foreign currency. 842 00:59:36,625 --> 00:59:42,576 The 8 O'clock News will run a special on the economic crisis... 843 00:59:42,667 --> 00:59:43,601 What the hell is this? 844 00:59:43,625 --> 00:59:44,268 Nov 201997 845 00:59:44,292 --> 00:59:45,143 KOSPI 460.3 846 00:59:45,167 --> 00:59:46,999 The Senior Secretary's office isn't answering. 847 00:59:47,042 --> 00:59:48,123 Won-Dollar Exchange Rate 1,076 won 848 00:59:48,167 --> 00:59:49,202 Foreign Reserves $5.1 billion 849 00:59:49,292 --> 00:59:50,059 Hello? 850 00:59:50,083 --> 00:59:51,143 Blue House Cabinet Reshuffle - Senior Secretary for Economic Policy Axed 851 00:59:51,167 --> 00:59:53,625 We can't confirm that information. 852 00:59:56,042 --> 00:59:57,282 Good morning. 853 00:59:59,750 --> 01:00:04,495 It was your doing, right? 854 01:00:05,042 --> 01:00:08,410 Why'd you change the head of the task force team? 855 01:00:12,125 --> 01:00:13,081 You bastard. 856 01:00:16,625 --> 01:00:18,707 You're trying to go to IMF. 857 01:00:23,917 --> 01:00:29,162 You bank clerks are unbelievable. 858 01:00:30,958 --> 01:00:34,997 Look, I'm the Deputy Minister of Financial Policy. 859 01:00:35,333 --> 01:00:40,624 That's no way for someone like you to address me. 860 01:00:41,583 --> 01:00:44,059 This is what happens when a bitch like you runs the team. 861 01:00:44,083 --> 01:00:46,199 - Son of a bitch! - Don't do that. 862 01:00:46,750 --> 01:00:47,809 Back off! 863 01:00:47,833 --> 01:00:49,870 - Please! - Let him do it. 864 01:00:49,958 --> 01:00:51,198 Say it again! 865 01:00:51,917 --> 01:00:54,500 You bastard! 866 01:00:54,792 --> 01:00:57,250 What are you doing? We're on the same side! 867 01:00:58,625 --> 01:01:01,993 Even the opposing parties work as one in a time of crisis! 868 01:01:04,417 --> 01:01:06,684 How are you running your team, Ms. Han? 869 01:01:06,708 --> 01:01:10,326 - Sir, I... - I'm sorry. It's my fault. 870 01:01:10,500 --> 01:01:13,663 I believe teamwork is the most important thing. 871 01:01:14,708 --> 01:01:17,666 Get out. You don't belong here anymore. 872 01:01:21,208 --> 01:01:22,790 I'm sorry. 873 01:01:26,583 --> 01:01:29,780 We're dealing with a calamity. 874 01:01:30,292 --> 01:01:35,018 The fate of 40 million people hangs in our hands. 875 01:01:35,042 --> 01:01:35,907 Yes sir. 876 01:01:36,375 --> 01:01:40,744 From now on, this task force is an IMF negotiation team. 877 01:01:41,333 --> 01:01:44,200 The country cannot go bankrupt during this administration, 878 01:01:44,958 --> 01:01:47,245 so we've decided to seek aid from IMF. 879 01:01:47,375 --> 01:01:50,226 With all due respect, that option was discarded. 880 01:01:50,250 --> 01:01:52,332 The decision's been made. 881 01:01:52,917 --> 01:01:57,707 Before we miss the golden time, we'll obtain the bailout loan. 882 01:01:58,750 --> 01:02:02,351 It'll take some time for the IMF team to arrive in Korea... 883 01:02:02,375 --> 01:02:03,240 They're here. 884 01:02:05,167 --> 01:02:05,872 What? 885 01:02:07,083 --> 01:02:08,289 They're already here. 886 01:02:14,208 --> 01:02:18,476 - The negotiations... - It'll remain in strict confidentiality 887 01:02:18,500 --> 01:02:20,116 until the right time comes. 888 01:02:20,625 --> 01:02:22,662 Welcome to Korea. 889 01:02:22,708 --> 01:02:25,450 The negotiations will take place at the Grand Hilton. 890 01:02:25,750 --> 01:02:29,414 The IMF Task Force Team will set up office at the hotel. 891 01:02:31,083 --> 01:02:33,370 We appreciate you traveling all the way to Korea. 892 01:02:33,542 --> 01:02:37,866 That's quite alright. I've always wanted to visit Korea. 893 01:02:44,625 --> 01:02:46,036 C'est magnifique. 894 01:02:47,750 --> 01:02:48,831 Very beautiful. 895 01:02:50,292 --> 01:02:51,908 He's checked into the hotel. 896 01:02:52,375 --> 01:02:56,289 No need to drag out the negotiations. Quickly and swiftly. 897 01:02:56,417 --> 01:02:59,705 Negotiate, get the money, and wrap up fast. 898 01:03:01,292 --> 01:03:04,250 Reporters are waiting outside. What'll you say? 899 01:03:04,333 --> 01:03:05,744 That it's not happening. 900 01:03:06,667 --> 01:03:08,203 You must strongly deny it. 901 01:03:08,375 --> 01:03:11,413 When I say it's not true, they will take my word for it. 902 01:03:14,750 --> 01:03:16,332 There he is! 903 01:03:17,792 --> 01:03:19,999 Senior Secretary! Over here! 904 01:03:20,125 --> 01:03:22,787 Is it true that we're on the verge of national bankruptcy? 905 01:03:22,958 --> 01:03:24,039 It's not true. 906 01:03:24,125 --> 01:03:27,351 Are we facing the worst financial crisis in history? 907 01:03:27,375 --> 01:03:28,331 That's not true. 908 01:03:28,375 --> 01:03:31,163 Is it true that Korea will receive aid from the IMF? 909 01:03:31,375 --> 01:03:35,790 No! Korea is not going to the IMF! 910 01:03:36,042 --> 01:03:39,285 The newly appointed Senior Secretary for Economy 911 01:03:39,333 --> 01:03:44,499 has officially dismissed rumors about an IMF bailout. 912 01:03:44,708 --> 01:03:47,370 He stated that IMF is the last resort. 913 01:03:47,417 --> 01:03:49,624 Get me an appointment with father. 914 01:03:49,750 --> 01:03:50,785 Yes sir. 915 01:03:51,667 --> 01:03:54,910 The government announced they're not going to IMF! 916 01:03:54,958 --> 01:03:59,226 Don't be swayed by them. You just gotta trust me. 917 01:03:59,250 --> 01:04:01,893 They're denying everything. No crisis and no bankruptcy! 918 01:04:01,917 --> 01:04:04,409 They're just bullshitting! 919 01:04:04,625 --> 01:04:06,851 They're flat out lying to people! 920 01:04:06,875 --> 01:04:08,912 If they contain the situation as they say... 921 01:04:13,167 --> 01:04:18,162 You think you can fool me? No... not me... 922 01:04:20,708 --> 01:04:22,665 You're looking at about $150,000. 923 01:04:22,833 --> 01:04:27,828 150? I bought it for 180 3 years ago. 924 01:04:29,333 --> 01:04:33,406 You said with a redevelopment plan, the price would go up for sure! 925 01:04:33,625 --> 01:04:36,822 People who need money are putting their houses up for sale. 926 01:04:37,417 --> 01:04:40,375 More than 10 new houses are coming out every day. 927 01:04:40,833 --> 01:04:43,268 I can't sell at that price. 928 01:04:43,292 --> 01:04:48,037 Considering how much I need... No. Absolutely not! 929 01:04:48,500 --> 01:04:50,143 It's not my call. 930 01:04:50,167 --> 01:04:51,123 This is ridiculous! 931 01:04:51,167 --> 01:04:55,491 I wanna put my house up for sale. It's urgent. 932 01:04:55,958 --> 01:04:58,495 You need to bring the price down quite a bit. 933 01:04:58,625 --> 01:04:59,660 How much? 934 01:05:00,000 --> 01:05:01,991 You should be prepared to lose $30,000. 935 01:05:11,708 --> 01:05:13,949 Overdue Payment Reminder 936 01:05:17,833 --> 01:05:19,494 Excuse me, sir. 937 01:05:19,833 --> 01:05:20,698 Hey. 938 01:05:20,917 --> 01:05:24,911 We haven't gotten our paycheck. 939 01:05:25,208 --> 01:05:27,074 Oh! Today's payday, isn't it? 940 01:05:28,833 --> 01:05:30,059 It was two days ago. 941 01:05:30,083 --> 01:05:35,908 That's right! I'm sorry. You'll all be paid today. 942 01:05:36,250 --> 01:05:39,743 Is everything alright? 943 01:05:40,500 --> 01:05:41,410 Why? 944 01:05:42,000 --> 01:05:47,040 There are so many confusing rumors, and the work was put on hold too. 945 01:05:47,375 --> 01:05:48,957 We're all worried. 946 01:05:49,208 --> 01:05:52,434 Factories close when business is bad, 947 01:05:52,458 --> 01:05:55,291 and when it's good, you work overtime. 948 01:05:57,250 --> 01:05:58,285 Don't worry. 949 01:06:01,167 --> 01:06:06,082 Right? We trust you, and we'll be on standby. 950 01:06:13,750 --> 01:06:17,101 He says not to worry. Everything is fine. 951 01:06:17,125 --> 01:06:19,082 Good job. Well done. 952 01:06:23,875 --> 01:06:28,073 I put my house up for sale. If it sells for $150,000, 953 01:06:29,125 --> 01:06:31,332 we'll pay the sand company first. 954 01:06:38,792 --> 01:06:39,953 Here... 955 01:06:43,417 --> 01:06:44,327 it's $100,000. 956 01:06:44,875 --> 01:06:48,197 Let's pay the steel company with this. 957 01:06:48,708 --> 01:06:52,030 Did you borrow from a loan shark? 958 01:06:52,417 --> 01:06:55,830 No way! It's my wife's family... 959 01:06:57,417 --> 01:07:00,375 They stood surety for the loan. 960 01:07:02,208 --> 01:07:04,700 Good evening, gentlemen. 961 01:07:06,208 --> 01:07:07,164 Mr. Chung! 962 01:07:07,833 --> 01:07:10,120 We're so sorry, Mr. Chung. 963 01:07:10,500 --> 01:07:13,868 Now, now, don't be like this. 964 01:07:14,167 --> 01:07:20,684 Whatever happens, we promise we'll make the payment. 965 01:07:20,708 --> 01:07:23,075 Please give us a little more time. 966 01:07:23,208 --> 01:07:27,953 Come on. I'm not here for the money. 967 01:07:28,125 --> 01:07:31,914 When you run a business, things can get bad at times. 968 01:07:32,042 --> 01:07:34,909 I'm staying afloat for now. You can take more time. 969 01:07:36,875 --> 01:07:37,893 Thank you, sir. 970 01:07:37,917 --> 01:07:41,239 It'll all get better. This can't be the end of it. 971 01:07:41,375 --> 01:07:44,948 Everything's gonna be fine, so let's just hang in there. 972 01:07:45,042 --> 01:07:45,768 Thank you so much. 973 01:07:45,792 --> 01:07:49,956 Come on. Chin up. Don't be so miserable. 974 01:07:50,417 --> 01:07:51,976 - I'll see you later. - You're going? 975 01:07:52,000 --> 01:07:52,831 Mr. Chung... 976 01:07:52,917 --> 01:07:56,660 No need to see me off. See you later. 977 01:08:30,667 --> 01:08:31,893 November 20 978 01:08:31,917 --> 01:08:33,874 Negotiation team's first unofficial meeting 979 01:08:46,667 --> 01:08:49,705 The IMF has kept a close eye on the situation in Korea, 980 01:08:49,917 --> 01:08:52,018 but before we proceed, 981 01:08:52,042 --> 01:08:54,393 we need assurance that the Korean government is 982 01:08:54,417 --> 01:08:56,726 truly committed to moving forward with the bailout. 983 01:08:56,750 --> 01:08:58,411 We are very much committed. 984 01:08:58,708 --> 01:09:01,518 We only ask you to keep the talks private 985 01:09:01,542 --> 01:09:03,499 to minimize any social chaos. 986 01:09:03,750 --> 01:09:06,268 If we reach an understanding today, 987 01:09:06,292 --> 01:09:08,829 we will announce it as early as tomorrow, 988 01:09:09,042 --> 01:09:12,476 and we can start the negotiations right away. 989 01:09:12,500 --> 01:09:14,332 Good, so you're on board. 990 01:09:15,458 --> 01:09:17,620 But as a sign of your commitment, 991 01:09:18,083 --> 01:09:19,351 we would like a statement that says 992 01:09:19,375 --> 01:09:23,073 that our agreement will not be amended nor nullified. 993 01:09:24,333 --> 01:09:25,915 A statement by whom? 994 01:09:26,375 --> 01:09:28,958 I hear the elections are coming up in Korea. 995 01:09:30,083 --> 01:09:33,621 I need the signatures of the top 3 presidential candidates. 996 01:09:34,042 --> 01:09:37,455 No statement, no negotiation. 997 01:09:39,208 --> 01:09:40,243 Okay. 998 01:09:41,708 --> 01:09:42,994 Okay. No problem. 999 01:09:43,958 --> 01:09:46,916 They can't demand a statement before the negotiation. 1000 01:09:47,167 --> 01:09:49,078 We don't have much of a choice. 1001 01:09:49,750 --> 01:09:51,684 We don't know what we'll agree on. 1002 01:09:51,708 --> 01:09:53,949 How can the candidates sign the statement? 1003 01:09:54,167 --> 01:09:56,625 I will get those signatures for you. 1004 01:09:59,917 --> 01:10:02,184 Well, then... 1005 01:10:02,208 --> 01:10:04,495 Now that we know you're committed... 1006 01:10:10,667 --> 01:10:12,453 How much do you need? 1007 01:10:15,792 --> 01:10:16,851 21 Nov 1997 KOSPI 415.2 1008 01:10:16,875 --> 01:10:17,976 Won-Dollar Exchange Rate 1,103 won Foreign Reserves $3.5 billion 1009 01:10:18,000 --> 01:10:21,163 As of today, the government has accepted IMF's recommendations 1010 01:10:21,583 --> 01:10:25,406 and will officially request a bailout loan of $20 billion. 1011 01:10:25,792 --> 01:10:30,662 In order to overcome the foreign currency crisis we're experiencing, 1012 01:10:30,958 --> 01:10:37,159 we'll request a liquidity adjustment fund. 1013 01:10:38,417 --> 01:10:42,786 The government has been negotiating with the IMF through multiple channels. 1014 01:10:43,000 --> 01:10:47,870 Korea has admitted de facto national bankruptcy 1015 01:10:48,042 --> 01:10:52,787 in order to seek economic revival with the help of international institutions. 1016 01:10:52,917 --> 01:10:56,226 In the press conference, Senior Secretary Kim announced 1017 01:10:56,250 --> 01:11:00,494 that IMF agreed to actively support Korea. 1018 01:11:01,833 --> 01:11:04,120 As crisis deepens in the financial sector, 1019 01:11:04,167 --> 01:11:07,476 Nara Merchant Bank with a net asset of $2.5 billion 1020 01:11:07,500 --> 01:11:11,768 was acquired by Bosung Corp. worth $ 250 million, 1021 01:11:11,792 --> 01:11:13,601 signaling a massive restructuring. 1022 01:11:13,625 --> 01:11:19,906 The government will begin talk with the IMF on the terms. 1023 01:11:20,042 --> 01:11:26,288 The bailout loan is estimated to be around $20 billion... 1024 01:11:26,375 --> 01:11:28,912 Top 90 Korean companies 1025 01:11:32,625 --> 01:11:35,492 November 22 - Second negotiation meeting 1026 01:11:38,792 --> 01:11:40,351 This is what we've come up with. 1027 01:11:40,375 --> 01:11:42,207 From A to F. 1028 01:11:42,583 --> 01:11:43,914 A to F. 1029 01:11:44,167 --> 01:11:47,990 So... there are 6 conditions? 1030 01:11:48,208 --> 01:11:50,996 Actually, there is a precondition. 1031 01:11:51,792 --> 01:11:56,161 The 11 institutions serving as merchant banks in Korea... 1032 01:11:56,292 --> 01:11:58,829 we want you to suspend their operations 1033 01:11:59,333 --> 01:12:00,789 and declare them bankrupt. 1034 01:12:00,958 --> 01:12:03,700 The merchant banks may be going through rough times, 1035 01:12:04,083 --> 01:12:07,201 but they loan money to a lot of companies and people. 1036 01:12:07,333 --> 01:12:09,768 Declaring them bankrupt will hurt the working class 1037 01:12:09,792 --> 01:12:11,999 and drive smaller companies out of business. 1038 01:12:12,083 --> 01:12:15,518 I'm afraid we can't discuss any of the 6 conditions 1039 01:12:15,542 --> 01:12:18,000 without agreeing to this precondition. 1040 01:12:26,125 --> 01:12:28,583 Why ask us to declare the banks bankrupt? 1041 01:12:29,292 --> 01:12:32,159 It's a way for them to minimize the risk. 1042 01:12:32,458 --> 01:12:34,393 Just accept it. 1043 01:12:34,417 --> 01:12:36,518 We gotta deal with merchant banks sooner or later. 1044 01:12:36,542 --> 01:12:40,285 We might as well get rid of them now. 1045 01:12:42,750 --> 01:12:45,393 Could we give you our answer after we hear out 1046 01:12:45,417 --> 01:12:46,828 the 6 conditions? 1047 01:12:47,208 --> 01:12:49,791 Well, as I've said, this is a precondition. 1048 01:12:49,917 --> 01:12:51,059 If you don't agree to it, 1049 01:12:51,083 --> 01:12:53,199 I'm afraid there is no negotiation. 1050 01:12:54,292 --> 01:12:55,202 Fine. 1051 01:12:55,375 --> 01:12:58,242 We'll suspend the 11 institutions. 1052 01:12:58,542 --> 01:12:59,282 Good. 1053 01:13:03,708 --> 01:13:05,324 Condition A. 1054 01:13:05,958 --> 01:13:08,726 Korea is to raise its interest rate 1055 01:13:08,750 --> 01:13:11,583 as soon as it receives the IMF fund. 1056 01:13:11,833 --> 01:13:15,872 To 30% from its current 12.5%. 1057 01:13:18,417 --> 01:13:21,393 Loans are what got us in this mess in the first place. 1058 01:13:21,417 --> 01:13:24,864 More than doubling the interest rate will only make things worse. 1059 01:13:25,000 --> 01:13:27,601 Companies are already buried in debt. 1060 01:13:27,625 --> 01:13:29,992 This will drive them out of business. 1061 01:13:31,125 --> 01:13:32,115 Listen... 1062 01:13:32,500 --> 01:13:34,116 We've looked into this, 1063 01:13:34,375 --> 01:13:36,601 and we're proposing the conditions and funds 1064 01:13:36,625 --> 01:13:37,990 needed to save the Korean economy. 1065 01:13:38,125 --> 01:13:40,332 The funds you asked for. 1066 01:13:41,167 --> 01:13:46,617 And even though we're willing to negotiate the details of the conditions, 1067 01:13:48,625 --> 01:13:49,809 may I just remind you that 1068 01:13:49,833 --> 01:13:52,120 you're not exactly in a position to make a deal? 1069 01:14:04,083 --> 01:14:05,494 Condition B. 1070 01:14:06,250 --> 01:14:08,726 Korea is to open its capital market 1071 01:14:08,750 --> 01:14:10,976 as soon as it receives the IMF's fund. 1072 01:14:11,000 --> 01:14:13,768 You can start by raising the foreign investment cap 1073 01:14:13,792 --> 01:14:17,535 from 7% to 50%. 1074 01:14:18,000 --> 01:14:21,163 Moreover, regulations must be amended, 1075 01:14:21,792 --> 01:14:27,663 allowing acquisition of Korean financial institutions by foreign entities. 1076 01:14:28,417 --> 01:14:33,207 You have until June of 1998. That's next year. 1077 01:14:33,708 --> 01:14:36,518 Allow foreigners to set up securities firms in Korea, 1078 01:14:36,542 --> 01:14:40,786 which means, of course, allowing more foreign capitals in the bond market. 1079 01:14:41,083 --> 01:14:46,123 Also, allow hostile takeovers by foreign capital. 1080 01:14:46,500 --> 01:14:47,365 Wait! 1081 01:14:48,083 --> 01:14:53,704 What you're suggesting is a direct violation of the very reason the IMF was established. 1082 01:14:54,500 --> 01:14:57,393 No international organization has a right to infringe 1083 01:14:57,417 --> 01:15:01,018 on the economic autonomy of a nation in exchange for a bailout. 1084 01:15:01,042 --> 01:15:01,893 Excuse me. 1085 01:15:01,917 --> 01:15:02,393 Han! 1086 01:15:02,417 --> 01:15:04,226 No, no, no. Please, please. Let her be. 1087 01:15:04,250 --> 01:15:05,285 Let her speak. 1088 01:15:05,667 --> 01:15:08,768 You know what? I like people like you. 1089 01:15:08,792 --> 01:15:11,659 And I believe we'll be great negotiating partners. 1090 01:15:44,500 --> 01:15:47,413 Moody's and the S&P have downgraded Korea's credit rating once again. 1091 01:15:47,708 --> 01:15:49,119 To B minus... 1092 01:15:50,625 --> 01:15:53,976 Everyone, it seems like we have breaking news from the other side of the world. 1093 01:15:54,000 --> 01:15:57,493 So let's take five and catch up on updates. 1094 01:15:57,958 --> 01:16:02,907 Credit rating of B Minus is the grade right before junk bonds. 1095 01:16:04,500 --> 01:16:07,618 Meaning that Korean currency is about to become worthless. 1096 01:16:07,750 --> 01:16:10,143 I hope this news helps you make the right decisions 1097 01:16:10,167 --> 01:16:11,623 in this negotiation. 1098 01:16:27,250 --> 01:16:28,786 This is driving me nuts. 1099 01:16:29,458 --> 01:16:31,059 The promissory notes held as collateral at merchant banks 1100 01:16:31,083 --> 01:16:32,323 must be huge. 1101 01:16:34,000 --> 01:16:35,851 Whether it's a large or a small company, 1102 01:16:35,875 --> 01:16:38,617 all of them did business, involving a merchant bank. 1103 01:16:43,208 --> 01:16:50,205 At this point, it's impossible to save all the large and small companies. 1104 01:16:50,750 --> 01:16:52,240 Consider the big picture. 1105 01:16:53,083 --> 01:16:56,184 In the end, it's the conglomerates that will provide for Korea. 1106 01:16:56,208 --> 01:16:58,745 Accept the closing of merchant banks and 1107 01:16:59,083 --> 01:17:04,101 grant exemption for the conglomerates' promissory notes 1108 01:17:04,125 --> 01:17:05,581 with the merchant banks. 1109 01:17:06,375 --> 01:17:07,331 By exemption, you mean... 1110 01:17:07,417 --> 01:17:13,288 Not holding them responsible for promissory notes already issued. 1111 01:17:27,583 --> 01:17:30,416 Sorry for asking to meet so late. 1112 01:17:30,583 --> 01:17:31,948 That's okay. 1113 01:17:33,375 --> 01:17:36,208 Actually, this is a better time for us. 1114 01:17:55,250 --> 01:17:59,744 Credit rating of B Minus is the grade right before junk bonds. 1115 01:18:00,042 --> 01:18:03,309 I hope this news helps you make the right decisions 1116 01:18:03,333 --> 01:18:04,994 in this negotiation. 1117 01:18:58,167 --> 01:19:01,205 U.S. Deputy Secretary Brown Martin 1118 01:19:23,042 --> 01:19:24,851 November 22 - Third negotiation meeting 1119 01:19:24,875 --> 01:19:27,867 C. Information Provision and Program monitoring 1120 01:19:29,458 --> 01:19:32,325 D. Financial Sector Restructuring 1121 01:19:34,792 --> 01:19:38,581 E. Corporate Governance and Corporate Structure 1122 01:19:39,667 --> 01:19:41,476 And finally, Condition F. 1123 01:19:41,500 --> 01:19:44,851 Enhance the flexibility of the labor market. 1124 01:19:44,875 --> 01:19:47,458 Once again, as soon as you receive the fund. 1125 01:19:48,083 --> 01:19:49,824 You mean a mass layoff? 1126 01:19:50,458 --> 01:19:52,184 It's not limited to layoffs, 1127 01:19:52,208 --> 01:19:55,018 just a change in the overall employment structure. 1128 01:19:55,042 --> 01:19:59,643 For instance, allowing more non-regular workers and indirect employment. 1129 01:19:59,667 --> 01:20:00,893 We just want the labor market here 1130 01:20:00,917 --> 01:20:02,809 to be more vitalized. 1131 01:20:02,833 --> 01:20:06,406 And by that, you mean easier dismissals. 1132 01:20:09,417 --> 01:20:10,623 What is she saying? 1133 01:20:11,458 --> 01:20:13,074 Stop talking, Ms. Han. 1134 01:20:14,250 --> 01:20:15,240 Han. 1135 01:20:17,000 --> 01:20:18,786 Sit down! 1136 01:20:23,083 --> 01:20:28,658 Why is the U.S. Deputy Secretary of the Treasury staying at this hotel? 1137 01:20:29,083 --> 01:20:30,684 That has nothing to do with this negotiation. 1138 01:20:30,708 --> 01:20:35,123 And why is he staying on the same floor as you? 1139 01:20:38,125 --> 01:20:40,059 Is it true that the Deputy Secretary 1140 01:20:40,083 --> 01:20:42,575 is behind this negotiation with the IMF? 1141 01:20:45,458 --> 01:20:49,184 Is it true that the Deputy Secretary went to the leading candidate's house 1142 01:20:49,208 --> 01:20:52,121 and demanded his signature on the statement? 1143 01:20:53,292 --> 01:20:56,990 Raising the interest rate to drive companies out of business, 1144 01:20:57,458 --> 01:21:00,976 opening the market to give easier access to foreign investors, 1145 01:21:01,000 --> 01:21:04,914 and letting them take over bankrupt Korean companies through hostile M&A's... 1146 01:21:05,292 --> 01:21:08,739 As the BOK's head of monetary policy, 1147 01:21:09,292 --> 01:21:12,250 I cannot agree to these terms. 1148 01:21:12,625 --> 01:21:18,951 Furthermore, I have reason to believe that you may be taking orders from the U.S. government. 1149 01:21:20,958 --> 01:21:27,830 Tell me, why is the IMF suggesting a mass layoff as a condition for the bailout? 1150 01:21:30,292 --> 01:21:34,035 Why ask us to open our capital market? 1151 01:21:35,667 --> 01:21:38,559 Am I wrong in thinking that the U.S. is seeking to 1152 01:21:38,583 --> 01:21:41,905 fulfill its own interests from this negotiation? 1153 01:21:47,875 --> 01:21:50,037 You're the chief negotiator, right? 1154 01:21:52,667 --> 01:21:53,498 Yes, I am. 1155 01:21:53,833 --> 01:21:55,449 So, it's simple. 1156 01:21:55,833 --> 01:21:59,076 Life is a series of choices, and so is a negotiation. 1157 01:21:59,375 --> 01:22:01,992 We would like to add another precondition. 1158 01:22:02,667 --> 01:22:04,018 Either we end the discussion 1159 01:22:04,042 --> 01:22:05,783 and you send us home or 1160 01:22:06,292 --> 01:22:10,115 you send home the member of your delegation who doesn't want to negotiate. 1161 01:22:12,583 --> 01:22:15,245 And this is our third precondition. 1162 01:22:19,167 --> 01:22:21,579 Sir, please halt the negotiation. 1163 01:22:21,792 --> 01:22:23,248 You're way out of line. 1164 01:22:25,583 --> 01:22:27,290 Who do you think you are? 1165 01:22:29,167 --> 01:22:31,033 Leave this room. 1166 01:22:31,917 --> 01:22:33,954 Which side are you on? 1167 01:22:36,333 --> 01:22:37,869 This negotiation lacks legitimacy. 1168 01:22:38,083 --> 01:22:40,666 You have to call it off! 1169 01:22:44,208 --> 01:22:47,280 I know we can reach an amicable agreement. 1170 01:22:48,042 --> 01:22:49,828 Sir, you must call off this negotiation. 1171 01:22:53,333 --> 01:22:55,950 No matter what you do... 1172 01:22:58,500 --> 01:22:59,706 Han. 1173 01:23:01,792 --> 01:23:02,998 It won't change anything. 1174 01:23:03,500 --> 01:23:06,037 No matter what you try. 1175 01:23:18,000 --> 01:23:19,582 Gap-su... 1176 01:23:23,667 --> 01:23:26,989 The rise in exchange rate doubled the cost for materials. 1177 01:23:27,333 --> 01:23:29,574 The money I borrowed 1178 01:23:32,500 --> 01:23:35,822 didn't cover even half of the materials we bought. 1179 01:23:39,625 --> 01:23:43,118 What happened to that promissory note Mr. Lee gave us? 1180 01:23:44,042 --> 01:23:47,956 If that clears, we can at least put out an urgent fire. 1181 01:23:51,333 --> 01:23:53,165 Lee's company... 1182 01:23:53,333 --> 01:23:54,164 Yeah? 1183 01:23:57,333 --> 01:23:58,698 Samho Distribution... 1184 01:23:58,792 --> 01:23:59,748 What about it? 1185 01:24:02,417 --> 01:24:03,999 It closed its business. 1186 01:24:04,667 --> 01:24:07,580 What about our promissory note? 1187 01:24:11,792 --> 01:24:13,123 This is just a piece of paper. 1188 01:24:15,000 --> 01:24:16,206 Oh my god... 1189 01:24:20,917 --> 01:24:23,079 I asked my wife's family for that money. 1190 01:24:24,917 --> 01:24:26,828 What's gonna happen to my children? 1191 01:24:30,667 --> 01:24:32,078 Seizure 1192 01:24:44,208 --> 01:24:47,655 Korea joins the OECD Global Korea! 1193 01:25:16,125 --> 01:25:19,143 Mr. Chung. It's me, Gap-su. 1194 01:25:19,167 --> 01:25:21,499 Mr. Han! Times are tough, right? 1195 01:25:21,625 --> 01:25:24,037 Well, yes... 1196 01:25:25,625 --> 01:25:27,059 It's hard for you too, right? 1197 01:25:27,083 --> 01:25:31,452 I'm barely getting by every day. But let's hang in there. 1198 01:25:31,917 --> 01:25:33,533 We gotta stick it out. 1199 01:25:33,625 --> 01:25:36,822 Yes, of course. 1200 01:25:38,792 --> 01:25:42,365 I will stick it out no matter what. 1201 01:25:42,792 --> 01:25:47,726 I want to make the payment now. 1202 01:25:47,750 --> 01:25:50,242 Really? You can really do that? 1203 01:25:51,917 --> 01:25:53,954 I'll make the payment. 1204 01:25:56,250 --> 01:25:58,412 Please send one of your employees. 1205 01:26:24,250 --> 01:26:26,491 Wow! Nice apartment! 1206 01:26:28,417 --> 01:26:29,953 Good-sized rooms. 1207 01:26:36,042 --> 01:26:37,828 Shit! 1208 01:26:38,875 --> 01:26:40,331 There's a dead dude...! 1209 01:26:41,625 --> 01:26:42,831 What the hell?! 1210 01:26:42,917 --> 01:26:45,409 Let's get out of here quickly! 1211 01:26:47,833 --> 01:26:48,698 Why? 1212 01:26:49,333 --> 01:26:52,530 What do you mean by 'why'? We have to call the police! 1213 01:26:55,125 --> 01:26:56,866 Why should I get out? 1214 01:26:58,250 --> 01:27:02,414 This is my house now. 1215 01:27:13,833 --> 01:27:17,451 Contribute to the development of Korean economy 1216 01:27:18,750 --> 01:27:21,742 by establishing and enforcing monetary and credit policy. 1217 01:27:26,333 --> 01:27:28,540 The founding purpose of the Bank of Korea. 1218 01:27:31,208 --> 01:27:32,744 Somehow I forgot about it. 1219 01:27:38,917 --> 01:27:41,329 We get paid to serve this country. 1220 01:27:43,000 --> 01:27:45,412 So, let's do our job and contribute. 1221 01:27:50,875 --> 01:27:52,457 We'll stop this negotiation 1222 01:27:53,167 --> 01:27:58,333 and declare a national bankruptcy. 1223 01:27:58,708 --> 01:28:03,077 Declare a moratorium and acknowledge that Korea is bankrupt. 1224 01:28:04,333 --> 01:28:06,074 When the moratorium is declared, 1225 01:28:06,500 --> 01:28:08,787 the obligation to pay debt will disappear. 1226 01:28:08,875 --> 01:28:09,785 No. 1227 01:28:10,333 --> 01:28:12,934 It's just too extreme a measure... 1228 01:28:12,958 --> 01:28:15,199 What do creditors fear the most? 1229 01:28:17,625 --> 01:28:20,913 What is the last thing a debtor can do? 1230 01:28:21,542 --> 01:28:23,393 IMF is representing the U.S. interest, 1231 01:28:23,417 --> 01:28:24,953 and we'll use it against them. 1232 01:28:25,125 --> 01:28:27,992 We'd rather go bankrupt than go through with this negotiation. 1233 01:28:28,042 --> 01:28:30,830 We can't pay back the money borrowed from American funds. 1234 01:28:31,875 --> 01:28:36,199 This could change the IMF's attitude. 1235 01:28:36,292 --> 01:28:37,407 We can't do that. 1236 01:28:37,625 --> 01:28:40,743 Moratorium... national bankruptcy... it doesn't matter now. 1237 01:28:40,958 --> 01:28:43,495 We could declare a national bankruptcy, 1238 01:28:44,833 --> 01:28:46,790 but if you declare it yourself, 1239 01:28:50,083 --> 01:28:52,245 you will certainly lose your job. 1240 01:28:58,833 --> 01:29:00,790 That's not what matters. 1241 01:29:03,542 --> 01:29:05,783 We still have one last card left. 1242 01:29:18,875 --> 01:29:24,496 With swift actions of the creditors and fast recovery of the bankrupt country... 1243 01:29:24,542 --> 01:29:29,601 But on the downside, by raising the dollar interest rate too high... 1244 01:29:29,625 --> 01:29:34,518 It posed a considerable threat to global finance institutions. 1245 01:29:34,542 --> 01:29:38,309 The international creditors swiftly 1246 01:29:38,333 --> 01:29:40,870 adjusted debt to minimize damage. 1247 01:29:41,042 --> 01:29:45,957 The countries that borrowed heavily from overseas funds 1248 01:29:46,375 --> 01:29:49,083 ended up in enormous debt. 1249 01:29:51,375 --> 01:29:53,707 Post National Bankruptcy Korean Economy Predictions 1250 01:30:23,375 --> 01:30:27,949 A world where the poor get poorer and the rich keep on getting richer... 1251 01:30:29,083 --> 01:30:30,559 A world where it's easier to fire people 1252 01:30:30,583 --> 01:30:32,244 and have more non-regular workers, 1253 01:30:32,625 --> 01:30:34,616 where unemployment is the norm... 1254 01:30:37,458 --> 01:30:40,496 We must not let IMF take us to that world. 1255 01:30:41,500 --> 01:30:44,934 Are you saying that the government knew about the crisis 1256 01:30:44,958 --> 01:30:46,448 but didn't inform the people? 1257 01:30:46,750 --> 01:30:50,101 Not only that, they tried to deliberately hide it. 1258 01:30:50,125 --> 01:30:53,868 And negotiations with the IMF are being handled hastily? 1259 01:30:54,042 --> 01:30:55,032 That's correct. 1260 01:30:56,000 --> 01:30:59,914 IMF's unreasonable demands are being forced as preconditions. 1261 01:31:00,042 --> 01:31:05,958 Mass dismissals, interest rates, issues regarding labor, and investments 1262 01:31:07,375 --> 01:31:11,664 are being manipulated behind closed doors by a handful of people not thinking thoroughly. 1263 01:31:12,792 --> 01:31:18,083 This government's economic officials are neglecting their duties. 1264 01:31:19,500 --> 01:31:23,323 They have no will to evacuate people from a sinking ship. 1265 01:31:23,917 --> 01:31:31,074 They're deciding the future of this country based on their individual values. 1266 01:31:33,333 --> 01:31:36,906 From the beginning of the catastrophe, 1267 01:31:37,417 --> 01:31:38,782 during the process, 1268 01:31:40,792 --> 01:31:42,703 and to the end. 1269 01:31:47,583 --> 01:31:48,643 3 Dec 1997 1270 01:31:48,667 --> 01:31:50,101 KOSPI 379.3 1271 01:31:50,125 --> 01:31:51,393 Won-Dollar Exchange Rate 1,610 won 1272 01:31:51,417 --> 01:31:52,434 Foreign Reserves less than $2 billion 1273 01:31:52,458 --> 01:31:53,414 Thank you. 1274 01:31:57,583 --> 01:31:59,324 It's not in any of the papers. 1275 01:32:08,292 --> 01:32:09,953 I can't believe this. 1276 01:32:12,625 --> 01:32:17,040 The bailout negotiation with the IMF was finalized today. 1277 01:32:17,167 --> 01:32:20,205 We'll receive a $55 billion fund 1278 01:32:20,292 --> 01:32:24,832 but our economy will be placed under an IMF receivership. 1279 01:32:24,875 --> 01:32:27,976 We don't want to be self-deprecating 1280 01:32:28,000 --> 01:32:31,573 but this'll be recorded as a day of humiliation for Korea. 1281 01:32:31,667 --> 01:32:33,249 A $55 billion IMF fund will be injected 1282 01:32:33,292 --> 01:32:34,999 Today, we'll have a special class. 1283 01:32:35,083 --> 01:32:36,369 What is IMF? 1284 01:32:36,958 --> 01:32:39,450 Let's watch this video 1285 01:32:40,250 --> 01:32:44,915 and think about what we can do. Okay? 1286 01:32:45,125 --> 01:32:46,581 Yes, Miss. 1287 01:32:46,875 --> 01:32:52,101 Save water and electricity. Sharpen your pencils... 1288 01:32:52,125 --> 01:32:56,393 Under IMF supervision, wages will be cut by 15%. 1289 01:32:56,417 --> 01:32:59,143 IMF demands the raising of interest rates... 1290 01:32:59,167 --> 01:33:02,101 Restructuring strikes all industries. 1291 01:33:02,125 --> 01:33:07,450 Companies are laying off employees to meet the government's urge for restructuring. 1292 01:33:07,875 --> 01:33:11,493 From today, we are unavoidably taking voluntary resignation. 1293 01:33:11,625 --> 01:33:14,993 This document is for the resignation, 1294 01:33:15,125 --> 01:33:16,035 Application for Voluntary Resignation 1295 01:33:16,167 --> 01:33:21,116 and this one is consent to transition to non-regular employee. 1296 01:33:26,958 --> 01:33:28,995 Why did he kill himself? 1297 01:33:29,458 --> 01:33:32,476 His business partner gave him a bad check. 1298 01:33:32,500 --> 01:33:35,947 His business couldn't recover from the damage. 1299 01:33:37,250 --> 01:33:41,369 He waited in good faith, but his trust backfired. 1300 01:33:42,708 --> 01:33:47,202 After his apartment was foreclosed, he made his family leave and hanged himself. 1301 01:33:58,292 --> 01:34:02,081 Yoon! I knew you'd pull it off! 1302 01:34:02,500 --> 01:34:04,787 All thanks to you for trusting me. 1303 01:34:04,917 --> 01:34:08,455 You led the way. We only followed. 1304 01:34:10,417 --> 01:34:13,000 This key is too freaking high! 1305 01:34:14,708 --> 01:34:16,790 Sing with me! 1306 01:34:16,875 --> 01:34:19,309 Okay! Sing us a song, Yoon. 1307 01:34:19,333 --> 01:34:20,434 No, I can't. 1308 01:34:20,458 --> 01:34:23,041 Don't be shy. Come on! 1309 01:34:58,625 --> 01:35:04,951 Korea becomes 29th member of OECD 1310 01:36:24,375 --> 01:36:25,991 Hyun-ah & Hyun-su's bedroom 1311 01:37:16,375 --> 01:37:18,787 Hyun-ah & Hyun-su's bedroom 1312 01:38:23,875 --> 01:38:25,161 Ms. Han. 1313 01:38:27,042 --> 01:38:28,328 Ms. Han? 1314 01:38:44,458 --> 01:38:45,914 This is unbearable. 1315 01:38:48,625 --> 01:38:50,411 IMF is not the way. 1316 01:38:52,208 --> 01:38:54,643 You know what happened to Thailand and Indonesia 1317 01:38:54,667 --> 01:38:57,534 after they got IMF money? 1318 01:39:01,000 --> 01:39:03,412 If you do something wrong, you pay by getting punished, 1319 01:39:04,417 --> 01:39:07,990 but at the IMF, they kill you without giving a second chance. 1320 01:39:10,542 --> 01:39:14,080 There are still ways to fight this. 1321 01:39:15,042 --> 01:39:16,874 But you're getting... 1322 01:39:20,750 --> 01:39:24,823 Come on. Your dinner will get cold. 1323 01:39:42,750 --> 01:39:46,243 Record of IMF Negotiations 1324 01:39:58,042 --> 01:40:00,955 Letter of Resignation 1325 01:40:21,375 --> 01:40:22,615 Hey... 1326 01:40:23,208 --> 01:40:27,907 How's my little sister doing? 1327 01:40:28,542 --> 01:40:29,782 Why... 1328 01:40:32,167 --> 01:40:33,828 What brings you... 1329 01:40:35,917 --> 01:40:37,453 Something wrong? 1330 01:40:48,458 --> 01:40:50,290 I have a favor to ask you. 1331 01:40:52,625 --> 01:40:57,870 You know people in high positions at banks, right? 1332 01:40:59,833 --> 01:41:03,622 I'm really sorry but please help me. 1333 01:41:04,625 --> 01:41:09,199 Help me get a loan. 1334 01:41:11,708 --> 01:41:14,245 You're the only person left. 1335 01:41:16,333 --> 01:41:18,791 I don't care if I get jailed 1336 01:41:19,917 --> 01:41:25,083 but think about my wife and kids. 1337 01:41:28,875 --> 01:41:32,038 I wouldn't have come to you 1338 01:41:33,042 --> 01:41:34,624 if I had a choice. 1339 01:41:37,000 --> 01:41:38,331 Please. 1340 01:41:41,375 --> 01:41:43,082 I beg you, Si-hyun. 1341 01:42:59,292 --> 01:43:04,018 On December 3, 1997, 1342 01:43:04,042 --> 01:43:06,204 Korea signed the IMF's negotiation agenda, 1343 01:43:06,292 --> 01:43:10,206 and IMF management began. 1344 01:43:10,375 --> 01:43:14,309 The next year, the number of unemployed soared to 1.3 million. 1345 01:43:14,333 --> 01:43:18,351 Suicides rose by 42%, 1346 01:43:18,375 --> 01:43:23,018 the highest rate among OECD countries. 1347 01:43:23,042 --> 01:43:24,851 Citizens donated gold to help 1348 01:43:24,875 --> 01:43:27,476 recovery of the nation's economy. 1349 01:43:27,500 --> 01:43:30,018 $2.2 billion worth of gold 1350 01:43:30,042 --> 01:43:33,239 was collected in just 4 months. 1351 01:43:34,250 --> 01:43:41,532 Donated gold was used to pay down corporations' debt. 1352 01:43:51,958 --> 01:43:54,871 Crises recur. 1353 01:43:54,958 --> 01:43:55,789 20 years later 1354 01:43:55,875 --> 01:43:58,492 Korea seems to have changed a lot in the last 20 years. 1355 01:44:00,792 --> 01:44:02,248 Not at all. 1356 01:44:03,417 --> 01:44:08,412 Now, we're exposed to even bigger risks. 1357 01:44:09,542 --> 01:44:14,412 Sir! I was deeply touched by your lecture today. 1358 01:44:14,625 --> 01:44:18,198 I'd like to treat you to a meal. 1359 01:44:20,750 --> 01:44:24,823 It's $5,000 for lunch and $10,000 for dinner. 1360 01:44:25,042 --> 01:44:27,768 Lunch is 60 minutes. Dinner is 90. 1361 01:44:27,792 --> 01:44:29,533 Wire the money to my bank account. 1362 01:44:34,625 --> 01:44:37,822 But you must regard increased crises as opportunities. 1363 01:44:39,083 --> 01:44:43,281 It means you get more chances to change your life. 1364 01:44:46,083 --> 01:44:47,244 Morning, Mr. Yoon! 1365 01:44:50,042 --> 01:44:53,034 Thanks for the good tip this morning. 1366 01:44:53,208 --> 01:44:59,250 The hedge funds in the U.S. are continuously changing. 1367 01:45:01,042 --> 01:45:03,283 Should I follow them? 1368 01:45:04,833 --> 01:45:09,031 Of course! Keep following. 1369 01:45:09,167 --> 01:45:10,407 Okay! 1370 01:45:12,250 --> 01:45:16,434 And indeed, as you predicted, 1371 01:45:16,458 --> 01:45:19,450 the real estate in Gangnam is responding first. 1372 01:45:19,542 --> 01:45:20,782 I told you... 1373 01:45:24,333 --> 01:45:26,870 They can't fool me. 1374 01:45:28,625 --> 01:45:32,198 Dad, it's me. I'll do well today. 1375 01:45:32,542 --> 01:45:36,080 All right. Remember what I always tell you. 1376 01:45:36,292 --> 01:45:39,535 I know. Never trust a person who's good to you. 1377 01:45:39,583 --> 01:45:41,393 Not just those who are good to you. 1378 01:45:41,417 --> 01:45:43,954 You can't trust anybody. 1379 01:45:44,292 --> 01:45:46,329 Trust only yourself. 1380 01:45:47,000 --> 01:45:48,957 Yourself only. Got that? 1381 01:45:49,208 --> 01:45:51,620 Got it, dad. 1382 01:45:51,708 --> 01:45:52,539 Okay. 1383 01:45:53,083 --> 01:45:54,198 Hassan! 1384 01:45:54,875 --> 01:45:55,865 Hassan! 1385 01:45:56,458 --> 01:45:58,290 Quick! Quick! 1386 01:46:00,333 --> 01:46:03,405 S&J Finances open recruitment 1387 01:46:03,458 --> 01:46:04,789 candidates No. 231 to 235. 1388 01:46:08,042 --> 01:46:10,784 If I get this job, I'll... 1389 01:46:12,750 --> 01:46:14,866 CEO Park Dae-young Former Deputy Minister of Finance 1390 01:46:20,458 --> 01:46:22,018 Hello, Chairman! 1391 01:46:22,042 --> 01:46:24,625 Congratulations! I heard you're at an investment bank now. 1392 01:46:25,042 --> 01:46:27,033 It's all thanks to you. 1393 01:46:27,375 --> 01:46:31,699 There's talk of reform these days. 1394 01:46:32,458 --> 01:46:38,329 Give them what they want, they'll go quiet soon. 1395 01:46:41,083 --> 01:46:42,619 Oh, you've heard the news? 1396 01:46:46,917 --> 01:46:48,123 Soon... 1397 01:46:56,333 --> 01:47:00,782 20 Years Since IMF Bailout, Aftermath Persists 1398 01:47:00,958 --> 01:47:05,247 Conglomerates Get Bigger While Households Suffer 1399 01:47:19,625 --> 01:47:21,992 I heard she's got quite a personality. 1400 01:47:22,333 --> 01:47:26,031 Who cares about personality? She just needs to be competent in her job. 1401 01:47:27,208 --> 01:47:29,870 Financial Capital Monitoring Center 1402 01:47:33,708 --> 01:47:35,915 Are you Director Han? 1403 01:47:40,542 --> 01:47:41,953 Yes... and? 1404 01:47:43,625 --> 01:47:46,117 I am the Deputy Minister of Strategy and Finance. 1405 01:47:48,375 --> 01:47:53,541 Nothing's concrete yet, 1406 01:47:54,208 --> 01:47:56,768 but we might need your assistance. 1407 01:47:56,792 --> 01:47:58,749 So we came in person. 1408 01:48:02,625 --> 01:48:05,788 You just want me to be the old person sitting in the back... 1409 01:48:07,083 --> 01:48:08,244 Why should 1? 1410 01:48:13,958 --> 01:48:17,030 This is a report on how the household debt will cause panic within this year. 1411 01:48:17,125 --> 01:48:21,699 This is a report on the mass unsold properties in the metropolitan area. 1412 01:48:22,083 --> 01:48:23,869 The authorities aren't taking action. 1413 01:48:25,042 --> 01:48:30,458 You left a report on IMF when you left Bank of Korea. 1414 01:48:30,875 --> 01:48:33,458 It was the only and most accurate report. 1415 01:48:33,917 --> 01:48:37,706 Please... help us. 1416 01:48:38,625 --> 01:48:43,791 The bomb is ticking, and no one cares. 1417 01:48:53,042 --> 01:48:54,624 I work as a team. 1418 01:48:57,500 --> 01:48:59,116 Crises recur. 1419 01:48:59,750 --> 01:49:01,601 But in order not be helpless again, 1420 01:49:01,625 --> 01:49:03,036 we must not forget. 1421 01:49:04,208 --> 01:49:07,405 Keep asking questions and check facts. 1422 01:49:09,625 --> 01:49:12,617 Do not take a simple thing for granted. 1423 01:49:14,583 --> 01:49:19,532 And always watch the world with open eyes. 1424 01:49:21,250 --> 01:49:24,743 Because I'm not gonna lose again.