The Privatisation Authority (APAPS) by the end of June will privatise all the 23 companies set to shed jobs. APAPS seems to have finally made a big decision: anything that cannot be privatised will be liquidated. Restructuring in view of finding buyers is the final choice before liquidation. APAPS says Tractorul Brasov, Mefin Sinaia and Uzinele Sodice Govora will be privatised this month, with Iasitex Iasi, Chimcomplex Borzesti, Tepro Iasi and Carom Onesti scheduled for privatisation in April.
The privatisation programme sees Electroputere Craiova, Letea Bacau, Combinatul de Utilaj Greu Cluj, Fortpres Cluj and Fortus Iasi scheduled for privatisation in May. The June list includes Turnu SA Turnu Magurele, Combinatul Siderurgic Resita, Siderurgica Hunedoara, Aro Campulung, Roman Brasov, Faur Bucharest and Rulmentul Brasov. Rempes Deva, Mecanica Marsa, and Republica Bucharest were privatised at the end of last week. Ovidiu Musetescu on Friday said the companies on the list have no other way but shape up or go bankrupt if not privatised.
"Those that tell us they are good, they are great and they are making outstanding products have had enough time to prove it. For instance, Tractorul, which has $130 million in debts and makes two billion ROL in losses a day may not make such comments," Musetescu said. The Privatisation minister specified the Government had decided to grant severance payments to the employees laid off in an attempt to downsize and attract investors.
"The over 8,000 employees of Roman Brasov made about 600 trucks last year. If the company is to make profit, it has to have only 4,000 employees make 3,000 trucks. Tractorul Brasov made 5,000 tractors with 6,700 people, while Italian company Landini makes 27,000 tractors and 700 combines with 3,000 employees," Musetescu said. The minister added Siderurgica Hunedoara was registering operating losses worth $60,000 a day, while its total losses amounted to $500,000 a day. |
