Big Romanian energy producer goes into insolvency again with higher debt

The Alba Iulia Court of Appeal cancelled the insolvency of state-owned energy producer CE Hunedoara at the end of May, but the company filed again for insolvency at the end of June. The two-month intermezzo worsened the company’s financial indicators as its total debt went up by almost EUR 22.5 million, reports local Profit.ro. The company’s liabilities thus reached EUR 320 million. CE Hunedoara is the biggest company in the Valea Jiului area and in the Hunedoara county. It is the only provider of thermal energy in the area. The Government has been trying to save it from bankruptcy. The company first entered insolvency at the beginning of the year with debts of over EUR 291 million. It was an attempt to avoid bankruptcy. However, the court cancelled the company’s insolvency following the appeal of the “Noroc Bun” Petrosani Union. Two months later the energy producer was insolvent again, with higher debts. CE Hunedoara had a turnover of EUR 118 million and losses of EUR 374 million in 2015. The company had close to 6,400 employees last year. editor@romania-insider.com