Vitebsk Fur Factory will emerge from the rehabilitation procedure

February 5, Vitebsk / Sergey Kochetov - BELTA /. The Economic Court of the Vitebsk Region has decided not to extend the rehabilitation period of the RUP "Vitebsk Fur Factory" and has approved the report of the manager in the bankruptcy case of the enterprise following the rehabilitation. This was reported to a BELTA correspondent by Oleg Kienko, Deputy Chairman of the Economic Court. The factory was declared economically insolvent in May 2007, and rehabilitation proceedings were opened against it. The maximum rehabilitation period for a bankrupt enterprise provided for by law (30 months) expired in December 2009. The day before, the creditors' meeting filed a motion to extend the rehabilitation period. "The court's ruling denied the creditors' motion, and the court's approval of the manager's report following the rehabilitation is the basis for terminating the bankruptcy proceedings," said Oleg Kienko. After the court's ruling enters into force, another court session will be scheduled to consider the termination of proceedings in the case of economic insolvency (bankruptcy) of the Vitebsk Fur Factory, he added. According to the manager's report, during the rehabilitation period, the enterprise managed to stabilize its solvency indicators and the ratio of financial obligations to own assets. In addition, the factory is generally meeting its current payment obligations. However, the anti-crisis team failed to fully implement the rehabilitation plan. For example, creditor debt was not repaid within the deadlines and amounts (over Br3 billion) stipulated by the rehabilitation plan. In total, the register of creditors' claims includes debts amounting to over Br12.8 billion. In 2009, the factory failed to sell any unused production real estate to facilitate payments to creditors and to direct part of the funds towards production development. The RUP "Vitebsk Fur Factory" is part of the "Bellegprom" concern and is the only enterprise in the country producing fur products. -0-