Decision on Romanian Hidroelectrica’s insolvency, postponed again

Romanian largest power producer Hidroelectrica recorded a turnover of EUR 286 million in the first five months of the year, down 18% year-on-year, and a net profit of over EUR 124 million, down 12% year-on-year. The Bucharest Court should have made a decision yesterday on the company’s exit from insolvency, but the deadline was postponed by another week for June 15. The results were lower compared to the same period in 2015 because the average electricity trading price dropped from EUR 36.3 per MWh in 2015 to EUR 34.6 per MWh this year, according to the company’s press release. The company first entered insolvency in 2012, after it had lost USD 1.4 billion in six years. At that time, it was selling a large part of its production at prices below the market level. In 2014, Hidroelectrica reentered insolvency due to litigations with some of its former clients. The company cancelled the damaging contracts that led to its insolvency in July 2012. editor@romania-insider.com