PKP Cargotabor, part of the Polish state-owned PKP Cargo, is taking its next steps in its restructuring by submitting an Arrangement Proposals for Creditors. “The conclusion of the Arrangement at PKP Cargotabor will enable a faster conclusion of the restructuring proceedings at PKP Cargo”, the company said.
The initiatives aims at restructuring PKP Cargotabor’s debt without liquidation. “The proposals cover all creditors and are based on a division into six groups, taking into account the nature and amount of individual receivables”, explained Marcin Butryn, President of the Management Board of PKP Cargotabor.
Creditor groups under the repayment plan:
- First group: public creditors – the entire debt is to be repaid in instalments
- Second group: creditors whose debts arise from leasing agreements – lump sum repayment
- Third group: creditors with lower-value debts – lump sum repayment
- Fourth group: creditors with medium-value receivables – part of the debt is cancelled.
- Fifth group: creditors with the highest-value receivables – partial payment in instalments
- Sixth group: creditors who are close to the debtor – separate repayment model
PKP Cargotabor and PKP Cargo
PKP Cargotabor is PKP Cargo’s maintenance subsidiary. It started experiencing financial troubles after the mother company also entered restructuring in September 2024. Maintenance orders decreased due to the decrease in transport demand, putting PKP Cargotabor into a financial strain. For PKP Cargo, the restructuring plan was approved last week.