Gössl: Gloss and misery - renovation after bankruptcy application in Salzburg

Gössl: Gloss and misery - renovation after bankruptcy application in Salzburg

Salzburg, Österreich - The Salzburg traditional costume manufacturer Gössl is in a critical phase of its renovation. On Tuesday, Managing Director Max Gössl announced that the production and sales departments are merged in a single company. This is done as part of a renovation process after Gössl GmbH has become insolvent. According to oe24.at , the production company Gössl GmbH will be continued in the previous trading company GÖSSL GWEW GmbH. The company tries to support the next steps to stabilize the business that remain open.

The problems for Gössl began with Corona pandemic and were reinforced by delayed support from lenders and high energy costs. The liabilities of both companies add up to more than 13.6 million euros, 190 and 75 creditors and 46 and 91 employees are affected. The original plan to continue both companies at the same time could not be maintained. Instead, the procedure for GÖSSL GmbH is now continuing as bankruptcy proceedings. The assets of both companies amount to almost 3 million euros, as Salzburg.orf.at reported.

Nevertheless, there is a glimmer of hope: the merger should make it possible to use potential synergies and to strengthen competitiveness. According to Gössl, this step is a crucial part of the renovation plan. The closed production company will be affected, but the business should continue to run. The renovation could therefore be a new beginning for the traditional costume company, even if the challenges are enormous.