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    Zastava oruzje faces collapse: Liabilities exceed factory’s value

    President of the Independent Trade Union of Zastava oruzje, Dragan Ilic, has said that the total liabilities of the factory are RSD 20.5 billion, which is 4.5 billion above the value of capital, and that Zastava needs state aid to overcome the crisis due to poor management.

    As he pointed out, the factory could go bankrupt or into receivership at any moment, and the current illiquidity is mostly expressed through non-payment to suppliers, which is why „all procurements stopped and the factory will not be able to get far“.

    Ilic said the union was calling to responsibility „those who brought the factory to such a state“.

    “Why the factory currently has huge stocks of unsold goods is now a question for those who have run the factory all this time. We demand, among other things, that these goods be sold urgently, that a general manager be appointed to ensure the sale of these goods, as well as new production and engagement of our employees,“ Ilic said.

    According to his assessment, the factory has a profitable and competitive product that is in demand on the world market, as well as having a high demand and possibility for large production.

    Ilic noted that since December 21, the factory had not had a general manager, which led to a „complete breakdown“, that it had become incompetent business-wise and production was on the verge of disruption and that the payment of salaries of employees was at risk.

    Ilic said the employees would again hold a warning strike at workplaces from 11 a.m. until noon on Tuesday to highlight „the incomprehensible and scandalous behaviour of the state structure towards the factory“.

    The trade union recalled that they had earlier sent an „appeal to all competent state authorities for the rescue of the factory“, which employs about 2,400 workers and indirectly sustains about 10,000 citizens of Kragujevac.

    Izvor: Beta

    Foto: Beta

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