Energomontaz-Poludnie filed for bankruptcy

Energomontaz-Poludnie, a member of the PBG group, filed a petition for bankruptcy with the option of entering into a composition. According to the company’s senior management, the underlying reason behind filing the application were aggressive debt enforcement measures taken by financial institutions and a hostile attitude of the Alstom group companies.

Part of institutions financing the company’s operations terminated its loan and lease agreements when PBG filed for bankruptcy. Furthermore, members of the Alstom group, which had been the major customers for Energomontaz services, moved to terminate cooperation with the company and intend to request the company to cover the costs of work stoppage. Besides, Alstom refused to settle the due and payable invoices which had been approved for payment.

Composition proposals presented by the company’s management board are as follows: claims of up to PLN 10,000 (€2,449) will be fully satisfied; 80% of each claim from the PLN 10,000-100,000 (€2,449-24,497) range will be met, while regarding claims in excess of PLN 100,000 (€24,497), 61% of due amounts will be paid.