Baikal pulpmill set on bankruptcy administration and received €11.4 million VEB’s credit

Irkutsk, December 28. Arbitration court set bankruptcy administration at Baikal pulpmill until June 05, 2013 following the request of the external administrator. The mill is bankrupted, and Aleksandr Ivanov is appointed its insolvency administrator.

At the court session, Ivanov said that during the external control period the mill did not manage to set all its debts.

Aleksandr Ivanov also reported that VEB bank opened a credit line for the mill with €11.4 million limit for two years with 15% annual interest rate. The mill will use these funds to pay for resources, chemicals and fuel. It is also planned to use the credit to upgrade the mill in order to reduce breakdowns rate.