Companies Taking Over Troubled Tungsram Bases, Workers
Other companies will take over the bases, and close to 500 workers of Tungsram Operations, which is under liquidation, state news agency MTI learned this week Tungsram Operations confirmed that it is in "advanced talks" and has informed its workers.
Last Friday, the company wrote to its employees that new companies would take over employees to work in their current areas of activity at their bases.
In the letter, signed by managing director Kálmán Képes, employees were told that work would continue, in some form, at all of the company's bases.
Tungsram is "closest" to reaching an agreement with Hungarian electronic manufacturing service provider Videoton on taking over capacity and "a large part" of the employees in Zalaegerszeg.
According to BBJ research, the company had hoped it would be able to restructure and reach a bankruptcy agreement. The opening paragraph of a statement to creditors on the home page of Tungsram's website makes it clear that became impossible "considering the unfortunate event that the majority of the creditors have not supported the bankruptcy settlement proposal of Tungsram."
As a result, it said the Metropolitan Court would "bring a resolution on termination of the bankruptcy procedure and order the liquidation of the debtor ex-officio."
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