Sweden

Swedish auto parts maker Plastal Holding AB, which employs 6,000 people in Europe and is 90 percent owned by investment fund Nordic Capital, said yesterday it had filed for bankruptcy, the Globe and Mail reported. "Efforts to avoid insolvency have failed," Plastal said in a joint statement with Nordic Capital. Plastal counts Ford, Volvo, Daimler, Audi, Volkswagen and BMW among its clients. "The auto sector is in free fall at the moment. Bankruptcy is the last resort," Nordic Capital said.

Sakthi Sugars Ltd said on Thursday two of its European units have filed for bankruptcy as required under local laws following an economic slowdown in United States and Europe, which resulted in a drastic reduction in orders, Reuters reported. Sakthi Germany GmbH, a 6th step down subsidiary which operates two plants in the country, and Sakthi Sweden A.B., a 3rd step down unit and a Swedish holding company, have filed for bankruptcy under the laws of the respective countries, it said in a statement to the stock exchange.

Telecom operator TeliaSonera has given notice to 1,200 employees in Sweden as the recession continues to claim its victims, PC World reported. TeliaSonera is under pressure from trends including lower broadband tariffs and a move to mobile and IP (Internet Protocol) based services from fixed telephony, which is its main revenue source. The personnel cuts are part of a plan announced by TeliaSonera last February. The goal is to reduce its staff by 2,900 employees and save approximately 5 billion Swedish kronor (US$609 million).

Officials from four Nordic central banks and finance ministries held a private meeting in Stockholm on Wednesday to discuss their contributions to a $6 billion rescue package for Iceland, the Financial Times reported. The gathering was a strong sign that Denmark, Sweden and Finland are drawing closer to announcing a multibillion euro package of loans after Norway agreed a €500m ($648m, £405m) advance last week. The four Nordic nations have said they are willing to support Iceland but only after it agreed to design and implement an economic stabilisation plan in association with the IMF.