Parád Kristály sale falls through again
Monday, February 20, 2006, 17:36
The sale of Parád Kristály, a 300-year-old Hungarian maker of fine crystal, has failed again, after a potential buyer failed to come up with the money to pay for the troubled company by deadline, the bailiff in charge of the company's liquidation announced on Monday. Kristály Manufaktúra Parád 1708 Export-Import, a company set up by private Hungarian investors to buy Parád, signed the purchase contract in October, 2005, even putting down 10% of the price, which was not disclosed. But the company failed to meet the deadline to produce the rest of the money and must forfeit its deposit. Parád Kristály, which exports 70% of its products to the US and Japan, has been hurt by the weak dollar. It ended 2004 with losses of Ft 120 million on sales of Ft 1.1 billion. The company went under liquidation at the start of 2005. A tender was called in July, but none of the bidders met the asking price of Ft 318.5 million and the sale was scrapped. The bailiff now will start talks with the company submitting the second best bid for the October tender and, if those talks fail, will invite a new tender. Parád Kristály's factory, which employed 380 people, was shut down in August. The company's debts total Ft 450 million.