KTM in the crisis: 3,600 jobs in danger after application for bankruptcy!

KTM in the crisis: 3,600 jobs in danger after application for bankruptcy!

Mattighofen, Österreich - The financial situation at KTM remains tense: Despite the bankruptcy, the payment of the November wages, the Christmas remuneration and the salaries for December will be handled through the insolvency fee in January. Around 3,600 employees are affected, and the company is currently continuing a renovation procedure with self-administration, as reported vienna.at . The creditors are asked to register their claims by January 16 at the latest, while the examination statute for January 24 is scheduled. On February 25th, the renovation plan is to be coordinated, whereby around 200 terminations will still be necessary.

Standstill in Mattighofen

Production in Mattighofen has been resting since mid -December. A total of 493 jobs were canceled in the first half of the year: first 373 at the parent company Pierer Mobility, followed by 120 others at KTM Research and Development GmbH. At the end of November, Pierer Industrie AG registered a European restructuring process, which ultimately led to the bankruptcy of KTM AG and its subsidiaries. To date, 250 employees have been released. According to the statements of creditor protection associations, KTM has accumulated debts of at least 1.8 billion euros, with the majority, around 1.3 billion euros, banks.

In the coming months, business interruptions and wage cuts can be expected, since there are around 130,000 motorcycles in stock that do not correspond to the new Euro5+ exhaust gas standards. Pierer AG announced that the restructuring plan was submitted according to European guidelines. The company now has two years to compile the liquid funds to repay the bonds and promissory note loans. Possible sources of financing include funds from shareholders and strategic partnerships, such as ooe.orf.at reported.