Troubled Greek jewelry maker Folli Follie has asked for protection from creditors in order to finalise a restructuring plan, it said in a statement on Thursday. “The application for the granting of protective measures was submitted in order to secure the time frame needed to finalise the terms of the company’s restructuring plan,” it said. Securing interim protection would mitigate the risk of a large number of job losses in Greece and abroad, Follie said, adding it had “strong support of over 50 percent of its unsecured creditors,” Reuters reported.
Greece
Greece’s central bank is working on a plan to help banks cut their bad debts in half, the latest effort to restore trust in the country’s financial system, two people with knowledge of the matter said. Under the proposal, Greek lenders would transfer about half of their deferred tax claims to a special purpose vehicle, which would then sell bonds and use the proceeds to buy some 42 billion euros ($47 billion) of bad loans from the lenders, according to the people. They asked not to be identified because the plan hasn’t been finalized yet, Bloomberg News reported.
Aegean Marine Petroleum Network, one of the world’s largest traders of shipping fuel, has filed for bankruptcy protection in New York, allowing the company to undergo a restructuring with the help of rival trader Mercuria as a precursor to putting itself up for sale, the Financial Times reported. The move into Chapter 11 follows the confirmation last week of a write-off of $200m of expected payments that Aegean said “lacked economic substance”, adding that another $100m may have been “misappropriated through fraudulent activities”.
The EU is a bully. The EU is inflexible and unjust. Our proud nation must no longer submit to the diktats of Brussels and its accomplices. These complaints of Brexiters in the UK resemble the indignation of some Greeks about their nation’s treatment during the eurozone’s sovereign debt and financial sector crises, the Financial Times reported in a commentary. The British government and people, still unable to settle on a definition of Brexit, can learn from Greece’s long, painful struggle. Some lessons offer grounds for hope.