Lotte Chemical has organized a meeting with its creditors to discuss potential violations of its bond covenants, specifically related to the interest coverage ratio. This unexpected action highlights the increasing risks for investors in South Korea's interest rate-sensitive sectors.

Lotte Corp, the parent company of the conglomerate, has announced that certain bonds issued by Lotte Chemical may not meet the required financial metrics, necessitating a meeting with bondholders scheduled for December. This situation emphasizes the difficulties faced by companies in managing fluctuating interest rates and their impact on financial obligations.