(QCOSTARICA) The manufacturer of flexible packaging and films, Corporación Yanber, which has a presence in several countries in the region – Costa Rica – Nicaragua – Panama – Guatemala, and in Puerto Rico and Colombia, has filed for an agreement of suspension of payments in Costa Rica in order to avoid going bankrupt.
An article in Nacion.com reports that the company spokesmen said that the intention “… is to continue operating and to honor all obligations and commitments to customers, creditors and employees. From this perspective, the Preventive Convention is an instrument used to reach an agreement that will allow the company to make it through this difficult financial situation in the shortest possible time.”
The company is facing problems of competitiveness, due to investments that did not present the expected results, and “the high cost of labor, social security and public services in Costa Rica”, which have reduced cash flow.
In August 2014 the company which produces polyethylene products closed part of its operations in Costa Rica due to the high costs of production in the country, transferring them to a factory it operates in Nicaragua. See Costa Rican plastics firm moves to Nicaragua
In the Preventive Convention presented by Yanber Corporation, they requested “… to be given a period of 10 years to repay the principal of its debts, with three years grace period, as the first choice of a way out of their difficult financial situation. This means that, from the fourth year, they will start paying the principal due. ”
The manager of BAC San José, one of Yanber’s creditor banks, told Nacion.com that “… It really surprised us greatly that a company of such experience has requested such an agreement. I think that without needing this, demonstrating cash flows that show the company has capacity to pay, the debts with the banks could be readjusted seeing as (they) have very good products, experience, equipment, and great customers. It is a pity that a leader in the industrial sector has chosen this path without first talking to the banks. ”
Source: Centralamericandata.com; nacion.com
