Fagor’s declaration of insolvency


After long negotiations with creditors, Fagor Group, leader of Iberian household appliances, has announced the winding up order taking place in the course of next weeks. After the recent declarations of insolvency of two foreign subsidiaries, the Polish  Mastercook and the French Fagor Brandt, which employ on the whole 2,000 employees, now neither the Spanish company escapes the effects of the crisis. Thanks to the intervention of competent regional governments, however, at present the plants at Edesa (Vizcaya) and Grumal (Guipuzcoa), which today employ 400 people together, will avoid the shutdown. In remains anyway uncertain the destiny of further 7,000 employees in the headquarters inSpainand in other nations. Besides, equally uncertain is the future of the works for the production of refrigerators, which the Group was implementing inWroclaw(Poland) in the frame of a joint venture with the Chinese Haier. The latter has already officially announced the termination of the agreement with the Iberian Group.