The faltering construction engine is bringing more and more companies to the brink of economic abyss – and claimed the next bankruptcy victim in Upper Austria. A window manufacturer submitted the renovation application on Tuesday. Debt amount: according to KSV 1870 approximately 7.9 million euros!
The decreasing occupancy rate of the construction sector, rising costs, increased competition from providers from Poland and Southeast Europe – IPM Schober Fenster Gesellschaft mbH, which filed a restructuring application on Tuesday, cites all these as reasons for the economic difficulties.
According to Kreditschutzverband 1870, the company based in Thalheim near Wels (Upper Austria) has debts of 7.897 million euros. On the other hand, there are assets of 1.45 million euros.
35 lanes are wobbling
The creditors are offered a restructuring plan that provides for a quota of 20 percent. The business must be continued and the quota must be generated from the continuation. According to corporate lawyer Wilhelm Deutschmann, it will not work without staff reductions: 35 of the current 90 employees will probably have to leave.
Source: Krone
I’m Ben Stock, a journalist and author at Today Times Live. I specialize in economic news and have been working in the news industry for over five years. My experience spans from local journalism to international business reporting. In my career I’ve had the opportunity to interview some of the world’s leading economists and financial experts, giving me an insight into global trends that is unique among journalists.
