Wednesday, June 6, 2012
French Poultry Group Doux Goes Into Administration
Mon., June 4, 2012
Debt-burdened French poultry group Doux collapsed into administration on Friday after failing to reach an agreement with bankers, putting at risk more than 3,000 jobs, Reuters reported. "A judicial administrator has been selected who will help the company's management to draw up a plan to keep operating, in France, that will support jobs and the survival of the company," Doux, one of the world's largest poultry exporters, said in a statement. "The Doux Group will immediately put together a plan to help strategic suppliers and breeders so that they do not experience any difficulty," it said. The company, one of the world's largest poultry exporters, was placed in administration by a commercial court in Quimper, northwest France, after saying earlier on Friday that it had suspended payments to creditors. The company has said previously its debt of 340 million euros ($420.39 million) includes 200 million euros in Brazil, where it bought subsidiary Frangosul in 1998, and 140 million euros owed to the bank Barclays. The government, which had offered a 35 million euro cash injection for the company, blamed owner Charles Doux for ending negotiations to save the firm, but vowed to continue working to find solutions.