PKP Cargo and the Lubuskie voivodeship in western Poland have signed a letter of intent to start negotiations on the sale of a part of PKP CargoTabor, the freight operator’s maintenance subsidiary. The move is part of a restructuring process, in which PKP Cargo aims to restore its financial health.
The Lubuskie voivodeship is interested in acquiring the locomotive repair shop in Czerwieńsk. “The potential transaction, which is part of restructuring activities, could bring benefits both to the region and to the entire sector – supporting the local labour market, the development of technical competences and the potential of the research and development base”, commented PKP Cargo.
PKP Cargo was plunged into chaos last year due to grave financial problems. In turn, PKP CargoTabor also suffered from the misfortune of the parent company. Because PKP Cargo reportedly did not pay for maintenance orders, CargoTabor was left without money, leading to electricity cutoffs at maintenance plants.
Too much stress
At the same time, employees were reportedly leaving the company because stress got the better of them. Uncertainty about the future of their jobs prompted some to leave PKP CargoTabor on their own volition. The maintenance company planned layoffs numbering in the hundreds.
The ongoing restructuring efforts aim to preserve maintenance services across Poland. The acquisition of the Czerwieńsk plant could help achieve that.