ZAGREB, May 22, 2018 – The association of suppliers of the ailing Agrokor food and retail company said in a statement on Monday evening that it continued to support a settlement with the company’s creditors in line with general terms that were agreed and signed, among others, also by the Russian-owned Sberbank, and that possible changes to those terms were acceptable only if they were agreed by representatives of all creditors whereas agreements between Agrokor’s emergency administration and individual creditors were not acceptable.
The association on Monday held a meeting to discuss what it described as subsequent agreements the Agrokor emergency administration was entering into with individual creditors, which, it said, were not part of the Term Sheet signed on April 10 in Zagreb.
The suppliers condemned the emergency administration’s disclosure on Monday of confidential and incorrect business information on the Franck company, saying that this did not contribute to the further process of reaching a settlement.
The Agrokor suppliers note in their statement that they participated in negotiations on a settlement in good faith and concluded those talks on 10 April 2018. The signing of the Term Sheet by all members of the Agrokor Temporary Creditors’ Council (including Sberbank), VTB and the Agrokor Suppliers’ Association was considered as the completion of negotiations on the final draft settlement plan, they say.
They note that they stand by the negotiated and signed general terms but cannot accept subsequent agreements that significantly change the status of suppliers, without their representatives having been given the chance to participate in such talks.
The suppliers also note that statements by Agrokor emergency administrator Fabris Peruško give them reason to believe that there will be similar cases of favouring individual creditors without suppliers’ knowledge.
The suppliers’ association also says in its statement that it considers a new roll-up loan for Agrokor or any new borrowing unacceptable.
