Russian Court Receives Amtel-Vredestein Insolvency Application
Official confirmation has been given that, on June 3, OJSC Amtel-Vredestein – the Russian operating unit of Amtel-Vredestein NV – filed for insolvency with the Moscow Arbitration Court. The company states this was carried out in accordance with the requirements of Russian federal law number 127, and Amtel-Vredestein has requested the granting of a monitoring period in line with article 62 of the abovementioned insolvency law.
Upon formally announcing the filing for insolvency, the tyre manufacturer stated that “given the deteriorating position of the company and increasing number of creditors’ claims to repay debt or foreclose on the company’s mortgaged assets, this action is necessary and unavoidable.” Established court procedure, added Amtel-Vredestein, will see the appointment of an administrator who will run the monitoring procedure for the company.
Amtel-Vredestein confirms its commitment to continue its “usual course of business” while being monitored. This includes continuing its current obligations and engagements with employees, suppliers and customers. In an official statement the company says that its management is “seeking to find optimal solution in the best interests of creditors and employees either through an amicable agreement with creditors or otherwise.”