Radece Papir files for insolvency,eyes financial restructuring
Slovenian paper manufacturer Radece Papir is insolvent. The company has applied for the opening of compulsory settlement proceedings and has filed a financial restructuring plan with the District Court of Celje in December. Radece Papir blames its financial situation on production difficulties, extended machine downtime as well as soaring cotton linters and pulp prices, which saw net losses amounting to almost €6.5m in the first nine months of the financial year 2011.
Radece Papir runs two paper machines and employs a total of 372 people. PM 5 can reportedly produce up to 8,000 tpy of banknote and security papers. PM 4 offers a capacity of 30,000 tpy of printing and writing papers.