RRI Live!

Listen to Radio Romania International Live

All Eyes on Oltchim Again

The situation of the Oltchim Ramnicu Valcea chemical works, which is on the verge of bankruptcy, is now back in the spotlight.

All Eyes on Oltchim Again
All Eyes on Oltchim Again

, 31.01.2013, 13:29


One of Eastern Europe’s largest petrochemical works, Oltchim Ramnicu Valcea in southern Romania saw a request for insolvency approved by a Ramnicu-Valcea court on Wednesday. The ruling is not final, and may be appealed against within 7 days. The government decided to request an insolvency order because the plant has become a burden for the state, reporting losses of hundreds of millions of euros in the past few years. In 2012 the state tried to privatize the company, but the procedure fell through.


A controversial Romanian businessman won the bid for the majority stake in Oltchim at that time, but he failed to pay the pledged 45 million euros, and the government did not propose a new privatization deadline. Once the insolvency procedure is launched, the judicial management has 60 days to come up with a plan to address the situation. Here is Mircea Diaconu, a representative of the judicial management.


Mircea Diaconu: “We need to analyze the causes of the insolvency, to reach a conclusion on whether the debtor Oltchim may be rehabilitated, and to draw up a list of debts and creditors. We have 60 days after the procedure is initiated, during which we have to draw up a report.”


Under these circumstances, the future of some of the plant’s three thousand employees is uncertain. For the time being, the number of people to be made redundant as part of the insolvency procedure is unknown. Although in the past employees resorted to strikes when they did not receive their due salaries, this time around trade union leader Corneliu Cernev says this will not be the case:


Corneliu Cernev: “A restructuring and reorganization plan is to be drawn up and submitted to the Creditors Assembly for approval. We hope we will be invited to contribute to this plan.”


Oltchim Ramnicu Valcea is one of the key challenges facing the Ponta Cabinet. In fact, the members of an IMF delegation to Bucharest have warned that Oltchim is one of the most important state-owned companies where the government must take urgent measures to avoid bankruptcy. After the recent talks with the IMF, the Prime Minister said the state would like to carry on the privatization process, but with a strategic investor. At this point, however, no one can predict the future of this great plant, whose current output stands at a mere 12% of its total capacity.

Ursula von der Leyen (Credits: Alexis HAULOT / © European Union 2024 - Source : EP)
Today in the News Friday, 19 July 2024

Ursula von der Leyen, re-elected

The President of the European Commission, Ursula von der Leyen, has been confirmed at the helm of the European Commission for the next 5 years, after...

Ursula von der Leyen, re-elected
The European Parliament (Credits: pixabay.com)
Today in the News Thursday, 18 July 2024

The European Parliament supports Ukraine

The European Parliament reconfirmed its support for Ukraine for as long as it is necessary to achieve victory against Russia. A resolution adopted on...

The European Parliament supports Ukraine
The new European Parliament (Photo: Copyright: © European Union 2024 - Source : EP / Photographer: Philippe BUISSIN)
Today in the News Wednesday, 17 July 2024

Two Romanians in the EP leadership

Two of the 14 vice-presidents of the new European Parliament are Romanians: Victor Negrescu and Nicolae Ştefănuţă, who were elected in the first...

Two Romanians in the EP leadership
Photo: Mariana Chiriță/RRI
Today in the News Tuesday, 16 July 2024

Measures to contain the bear population

It rarely happens that Romanian MPs have to interrupt their long summer holiday and come back to work for extraordinary parliamentary sessions....

Measures to contain the bear population
Today in the News Monday, 15 July 2024

Romania – the effects of the heat wave

Romania continues to be under the influence of a tropical air mass. By Wednesday, maximum temperatures of up to 42 degrees Celsius are expected in...

Romania – the effects of the heat wave
Today in the News Friday, 12 July 2024

Changes to the anti-drug legislation

Following vocal criticism from civil society, the government has modified its emergency order on drug tests for drivers. The legislation in question...

Changes to the anti-drug legislation
Today in the News Thursday, 11 July 2024

NATO support of Ukraine

On the sidelines of the anniversary summit in Washington, NATO decided to continue the integration process of the Ukrainian army and approved an...

NATO support of Ukraine
Today in the News Wednesday, 10 July 2024

Activity Report of the European Commissioner for Transport

The European Commission has allocated 12 billion euros to Romania, in the last 5 years, for projects in the field of transport infrastructure, said...

Activity Report of the European Commissioner for Transport

Partners

Muzeul Național al Țăranului Român Muzeul Național al Țăranului Român
Liga Studentilor Romani din Strainatate - LSRS Liga Studentilor Romani din Strainatate - LSRS
Modernism | The Leading Romanian Art Magazine Online Modernism | The Leading Romanian Art Magazine Online
Institului European din România Institului European din România
Institutul Francez din România – Bucureşti Institutul Francez din România – Bucureşti
Muzeul Național de Artă al României Muzeul Național de Artă al României
Le petit Journal Le petit Journal
Radio Prague International Radio Prague International
Muzeul Național de Istorie a României Muzeul Național de Istorie a României
ARCUB ARCUB
Radio Canada International Radio Canada International
Muzeul Național al Satului „Dimitrie Gusti” Muzeul Național al Satului „Dimitrie Gusti”
SWI swissinfo.ch SWI swissinfo.ch
UBB Radio ONLINE UBB Radio ONLINE
Strona główna - English Section - polskieradio.pl Strona główna - English Section - polskieradio.pl
creart - Centrul de Creație Artă și Tradiție al Municipiului Bucuresti creart - Centrul de Creație Artă și Tradiție al Municipiului Bucuresti
italradio italradio
Institutul Confucius Institutul Confucius
BUCPRESS - știri din Cernăuți BUCPRESS - știri din Cernăuți

Affiliates

Euranet Plus Euranet Plus
AIB | the trade association for international broadcasters AIB | the trade association for international broadcasters
Digital Radio Mondiale Digital Radio Mondiale
News and current affairs from Germany and around the world News and current affairs from Germany and around the world
Comunità radiotelevisiva italofona Comunità radiotelevisiva italofona

Providers

RADIOCOM RADIOCOM
Zeno Media - The Everything Audio Company Zeno Media - The Everything Audio Company