The management board is now "dutifully preparing the application for the opening of insolvency proceedings for pfleiderer AG," the company announced. However, the subsidiary’s operations with its 4,000 employees worldwide are not directly affected by this.
Pfleiderer, one of the world’s largest manufacturers of particleboard and fiberboard for furniture and laminate flooring, had made a mistake in its U.S. Business and accumulated debts of one billion euros. A number of bondholders filed a lawsuit against the rescue plan approved by the bondholders’ meeting in june 2011 and have now been upheld by the court of second instance. The reorganization plan, which provided for the waiver of creditors and fresh equity capital from investors, can thus no longer be implemented, the company announced on tuesday.
Pfleiderer executive board member hans-joachim ziems had recently stated that in the event of the insolvency of the roof holding company, jobs would not be lost "with a probability bordering on certainty". The AG employs only 10 people. The real business now lies with the subsidiaries – and they are neither overindebted nor insolvent. The company announced on tuesday that the AG would file for insolvency in self-administration and wanted to complete the reorganization in a planned procedure.
A settlement with the plaintiffs had the company on pressure of the banks shortly revoked. With the insolvency, the bondholders who had won in court will now go away empty-handed. Plaintiff’s attorney peter dreier said on tuesday: "pfleiderer has become the victim of self-seeking banks and advisors who – without regard for loss – think exclusively of their own profit motives."
Pfleiderer plans to sell its north american operations and its flooring subsidiary pergo europa by the end of june. What remains under the umbrella of the holding company is pfleiderer holzwerkstoffe gmbh for the german business and the 65 percent stake in pfleiderer grajewo in poland. Meanwhile, business there was also up and running again, ziems said: the revenue from these continued activities grew to 1.1 billion euros in 2011. But at the end of the day, pfleiderer made a further loss of 151 million euros.
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