POLAND: Daewoo FSO to send 60,000 cars to Ukraine - report
Polish car maker Daewoo FSO in Warsaw will deliver 60,000 cars to the Ukrainian market in 2004, Polish Deputy Treasury Minister Tadeusz Soroka said on Monday, according to a local report.
The cars were ordered by Ukrainian sector company Zaporozhsky Avtomobilny Zavod (ZAZ), for which Daewoo FSO will deliver 36,000 cars in 2003. There is a possibility that Daewoo FSO and ZAZ will co-operate financially in the future.
The shareholders of the financially troubled Daewoo FSO have to decide whether the company should file for bankruptcy at the general meeting, scheduled for September 18, 2003.
Meanwhile, the government committee for the company's restructuring wants to get a guarantee from the creditor banks that they will restrain from filing for the company's bankruptcy as it fears that they may do it after October 1, 2003, when the new bankruptcy law will be implemented. Under the new law the interests of the private creditors are better secured that those of the state.
The government also expects that the state-owned Agency for Industrial Development (ARP) will purchase the state-owned shares in Daewoo FSO in order to rescue the company from bankruptcy.
British car maker MG Rover, which is interested in leasing the Daewoo FSO production facilities, is currently negotiating with the company's creditor banks on the terms of such leasing, the report said.