Parmalat files for bankruptcy

Published: 25 December 2003 y., Thursday
Italy's embattled food maker Parmalat has filed for bankruptcy protection. As one of Europe's biggest corporate scandals deepened, the company's former chairman Calisto Tanzi and his son left the country. Judicial sources rebuffed speculation they had fled prosecutors. Parmalat's rescue managers will take advantage of an emergency government decree, which introduces fast-track protection from creditors. The company's simmering crisis boiled over last week when a four billion euro hole was uncovered in the finances of one of the group's units. The multinational's shortfall is now estimated at at least seven billion euros. All eyes are now on new boss Enrico Bondi. He will be given extra powers by a government decree to come up with a restructuring and recovery plan within 180 days. That is likely to involve selling assets to save core operations. The scandal has put the the spotlight on Parmalat's partners, including some of the world's best-known banks and auditing firms.
Šaltinis: euronews.net
Copying, publishing, announcing any information from the News.lt portal without written permission of News.lt editorial office is prohibited.

Facebook Comments

New comment


Captcha

Associated articles

The most popular articles

Standard & Poor’s: Lithuanian Government Is Taking Sufficient Measures

Standard & Poor's (S&P) affirmed Lithuania's long-term investment grade sovereign foreign currency BBB credit rating and removed it from a CreditWatch negative position, citing government commitments to address deteriorating public finances. more »

Azerbaijan: MCCF signs first project

The EBRD-EIB Multilateral Carbon Credit Fund (MCCF) and Azerenerji Joint Stock Company are collaborating in order to promote energy-efficient power generation in Azerbaijan. more »

Obama: Nafta should expand trade

U.S. President Barack Obama, meeting with the leaders of Mexico and Canada, called on all three nations hit by the global recession to avoid resorting to protectionism. more »

EBRD loan to cut pollution in eastern Siberia

A 10-year $75 million EBRD loan will finance the construction of a combined heat and power plant in the east Siberian city of Krasnoyarsk which is expected to improve energy efficiency and cut pollution by 14 percent thanks to the use of more environmentally-friendly technologies. more »

Review of national aid schemes introduced during the financial crisis

The Directorate-General for Competition has issued a review of the aid schemes introduced by Member States and approved by the Commission during the financial crisis. more »

Tonga ferry sinks: dozens missing

Rescue planes from New Zealand have been taking part in a massive search for passengers after a ferry sank off the coast of Tonga. At least 27 people are missing. more »

Finding comfort in catering

Courtney Adams has always loved cooking. As a kid she baked brownies for her friends and in college her apartment was the place to go to for a home-cooked meal. But she never thought she'd cook for a living. more »

Commission authorises German temporary reduced‑interest loans scheme for green products

The European Commission has authorised, under EC Treaty state aid rules, a scheme offering reduced-interest loans to businesses investing in the production of environmentally friendly products, as part of the German package to tackle the current economic crisis. more »

Former AB LEO LT financial director to start working at Danske Bankas

Ramūnas Bičiulaitis, former board member and financial director of AB LEO LT, starts working as head of the Finance Department of Danske Bankas. more »

EBRD sets fast pace with syndications despite challenging market conditions

The EBRD has kept up a rapid pace in the syndicated loans market, defying difficult market conditions and pulling together nine deals so far this year, worth a total €1.2 billion. more »