Baltic Panel Group

Type
Bankruptcy
Country
Estonia
Region
Eesti; Eesti;
Location of affected unit(s)
Sector
Manufacturing
(16 - 17) Manufacture of wood and paper materials
16.2 - Manufacture of products of wood, cork, straw and plaiting materials
16.21 - Manufacture of veneer sheets and wood-based panels
118 jobs
Number of planned job losses
Job loss
Announcement Date
12 May 2008
Employment effect (start)
12 May 2008
Foreseen end date
30 June 2008

Description

Baltic Panel Group, a manufacturer of veneer products, laid off all its 118 workers as a result of bankruptcy.

According to the Unemployment Insurance Fund, a total of 118 workers were appointed insolvency benefits. The company faced bankruptcy due to problems with appliances which made it difficult to get the plant working at its full capacity in the first place. On the other hand, the company also had problems with availability of raw material from Russia and the falling volume of sales due to the economic slowdown that was taking ground at the period.

The bankruptcy was announced on 12 May 2008, the decision to pay out insolvency benefits was taken at the end of June 2008.

Sources

Citation

Eurofound (2008), Baltic Panel Group, Bankruptcy in Estonia, factsheet number 69814, European Restructuring Monitor. Dublin, https://apps.eurofound.europa.eu/restructuring-events/detail/69814.