Three are the Bulgarian companies that received safety certificate and will have the right to transport passengers and freight in EU, the chief of railway administration in the ministry of transport said to Pari daily. They are Bulgarian Railway Company (the first private railway carrier), Bulgarian State Railways, and Railway Infrastructure National Company. The term of the license is till 2013.
Source: Pari (09.01.2009)

Energoremont holding JSC concluded a contract with the National Company Railway infrastructure on December 23. It is for delivery and set in operation of two electric-gas switches 110êV /1250À. The agreement is amounted to BGN 114 thousand without value-added tax or BGN 136.8 thousand with the tax. The two companies struck a framework agreement for delivery and setting in motion of electric-gas switches 110êV /1250À for the period 2008-2011(30 pieces), as follows 10 pieces for 2008 and 2009, 5 pieces for 2010 and 5 for 2011. Places for termination of the delivery are energy stations in Sofia (10 pieces), Plovdiv (8 pieces) and Gorna Oryahovitsa 12 pieces.
Source: profit.bg (12.01.2009)

Government provides BGN 400 mln to fight the crisis The government will vote today the BGN 400 mln, planned in the Budget 2009, for coping with the crisis. The funds will be provided for payments at the Agriculture, modernization of the railway transport, repairs of the students’ hostels and social projects. BGN 211 mln have been planned for agricultural measures as GN 150 mln of them are for national surcharge payments. BGN 94.5 mln will go for security measures in the railway transport. National Company Railway Infrastructure will receive BGN 50 mln and BDZ – BGN 44.5 mln for delivery of new and reconstruction and modernization of the old passenger wagons. The Ministry of Labor and Social Works will be granted BGN 47.25 mln.
Source: Sega (15.01.2009)

BDZ considers closing railway stations and their transformation into train stops, said the General Director of National Company Railway Infrastructure – Anton Ginev. The step is a result of the global financial crisis and aims at reducing the expenses. The train stops need no personnel. The transformation would be based on the cargo currently passing through the stations.
Source: econ.bg (09.04.2009)

The company is registered in Territorial administration Big taxpayers and insurers towards 2009, 04.30
Source: Tax Administration (30.04.2009)

Employees of Bulgaria’s National Railway Infrastructure Company and national railway carrier BDZ will work four hours a day or enroll on a nine-month retraining government scheme, according to measures to cushion the blow of the crisis to be presented by transport minister Petar Mutafchiev to the government. Mutafchiev declined to specify the number of workers that will make use of the measures. Freight traffic has slowed down by 40% since the start of the year, squeezing proceeds from infrastructure fees the infrastructure company collects from transport firms. Representation expenses at the firm have already been cut in half, as have been fuel costs for company vehicles. The paychecks of senior officials were slashed by 20% from May and salaries of other staff were frozen. In a bid to tackle the economic crisis, the transport ministry plans to close 12 non-profitable railway routes, a measure that is expected to save BGN 6.5 million. Fulfilling the measures outlined in the anti-crisis plan and the sale of designated properties at the two companies should save about BGN 20 million.
Source: Dnevnik (08.05.2009)

In stead of selling the extra expensive properties for millions of BGN, National Company Railway Infrastructure would start renting properties for pennies. The company, which manages all rail stations in the country, announced renting auctions in the regions of Plovdiv and Stara Zagora for starting prices in the region of BGN 27 on its web site. Deputy Director of the company, Hristo Alexiev, said these are the starting prices and he is of the opinion the rents would be several times higher.
Source: Sega (12.05.2009)

The Bulgarian minister of transport Peter Mutafchiev will attend the signing of two railway contracts under the projects “Electrification and reconstruction of the railway connection Slivengrad- Turkish border” and “Design and introduction of Geographic information system for the needs of National Company Railway Infrastructure. The first contract is for the design, construction and electrification of the railway section from the town of Svilengrad to the Turkish border. The second is for Geographic information system (GIS) which provides database with the spatial location of the railway infrastructure and its elements.
Source: Standart (26.05.2009)

BGN 10 mln for new railway stations BGN 10 mln would be spent by the National Company Railway Infrastructure each year. 40 percent of the stations have already been reconstructed, said the Executive Officer of the company Anton Ginev. 80 more railway stations are expected to be refreshed until the end of 2009. The Super Bourgas project, which plans connections between the airport, the port and the railway station at the Black Sea city, would start on June 24, said Minister of Transport Petar Mutafchiev. Another large project is expected to start in Plovdiv. It would connect the railway station with the new airport of the city. Before that, however, an overhaul of the station is necessary and it would cost up to BGN 100 mln. the funds would be secured through PPP. There are already investors willing to invest in a cargo terminal at the airport in Plovdiv, Mutafchiev added.
Source: Standart (23.06.2009)

Repair Restoration Enterprise Koehne JSC, subsidiary of Railway Infrastructure-Holding company JSC, agreed to supply spare parts for railway self-propelled special machinery to National Company Railway Infrastructure. The parts are produced by Plasser & Theurer and their value is BGN 365 thous, VAT not included. Railway Infrastructure-Holding company JSC also announced that it has transferred 500 registered materialized shares from the capital of Arteskos-98 JSC. The par value of one such share is BGN 14 and the deal represents 10% of the company capital. No information was released about the vendee.
Source: investor.bg (16.07.2009)

Kichev monitors BDZ BDZ owes over BGN 60 mln to National Company Railway Infrastructure (NCRI). Kamen Kichev, the new deputy minister of transport, was presented the news during his first work meeting with the chairmen of BDZ – Hristo Monov, and of NCRI – Anton Ginev. The debt blocks the operations of NCRI and would delay the payment of salaries to its 16 thousand workers by at least a week, unions said. The reason of the debt is the slump in cargo transportation. BDZ carried only 5.552 mln tons in the first six months of the year, 3.335 mln tons less as compared to the same period a year ago and 4.714 mln tons less as from the 2007, which is almost 2-fold decrease. Currently BDZ receives as much funds in six months as for 20 days in 1990.
Source: Standart (06.08.2009)

Bulgaria’s national railway carrier BDZ will pension off or make redundant around 2,000 employees by the end of the year as part of a package of measures to counter the economic slide. The company currently has 15,532 people on the payroll. The state-run National Railway Infrastructure Company, which maintains the operator’s infrastructure, reported a 20% decline in revenue and a loss of BGN 48 million for January to June, said general director Anton Ginev. In an effort to curb the deterioration, the company will follow suit with pensioning off workers by the end of the year. BDZ executive director Hristo Monov pinned the bulk of the blame for the lackluster performance on the economic meltdown and the falling prices of ready-made products. More pressure came from the withdrawal of one of the company’s key customers, Kremikovtzi, which went insolvent. The carrier booked a six-month loss of BGN 22.3 million, where reduced passenger and cargo traffic contributed 82%.
Source: Dnevnik (21.08.2009)

Energoremont Holding won a contract of TPP Varna. This refers to "overhaul of the block ¹ 6 - Boiler, Turbine, and el.oborudvane metal control, reported by the Public Procurement Agency. The contract for the performance of the assignment is concluded on August 18 and is worth 3.57 million VAT. At the beginning of the month it became clear that Energoremont Holding won a contract to the National Railway Infrastructure Company (NRIC). The agreement between the two companies was signed on August 3 and is worth 3.23 million including VAT. The object of the contract "Additional work on the modernization of TP (traction substation) Volouyak and build SCADA first line. Energoremont reported holding 9.4 million leva unconsolidated profit at the end of the first half of 2009, EUR 339 thousand year earlier.
Source: profit.bg (27.08.2009)

Starting September 1, 2009, Bulgaria's National Company "Railroad Infrastructure" is going to reduce the salaries of its employees by 30%. This was announced Monday by the company's Director, Anton Ginev, who also explained that the cut was only a temporarily anti-crisis measures, and the workers would receive their 30% cuts back after January 1, 2009, together with the respective interest. The temporary pay decrease is part of anti-crisis package to reduce the BGN 50 M deficit of the state-owned rail company, whose revenue dropped by 20% in the first half of 2009 compared to the same period of 2008. Ginev said that the Railroad Infrastructure Company had incurred losses amounting to BGN 8,5 M from 13 of the railroad lines in Bulgaria but the shutting down of those lines was an extreme decision that could not be made by the company itself. Trade unionists have declared that the closure of the unprofitable lines would lead to the layoffs of 644 workers, and laying off workers from the other, profitable rail lines, would endanger their safety. According to Petar Bunev, Chair of the Bulgarian Railroad Workers' Syndicate, any layoffs should be made among the administrative staff of the company, not among its workers.
Source: Darik Radio (01.09.2009)

The deficit of National Railway Infrastructure Company (NRIC) stands at BGN 50 million, general director Anton Ginev announced. The reasons are a 20-percent drop of income in the second quarter of 2009, unsuccessful operation assets tenders, less financing etc. The first anti-crisis measure is a 30-percent salary cut by the end of the year. The company will try not to layoff employees and close railway lines.
Source: Pari (01.09.2009)

The transport ministry is in talks with the trade unions of state-owned railway carrier BDZ and National Railway Infrastructure Company (NRIC) over minimising the planned lay-offs at the companies and quickly paying delayed wages, deputy transport minister Kamen Kichev told the Pari daily. A few days ago the ministry remitted BGN 1.4 million for wages at the infrastructure company, BDZ's wages will be paid in the shortest time possible. The two companies are in a very grave financial condition, Kichev pointed out. Cargo has fallen 45% since the beginning of 2009. At the same time BGN 80 million of the company's budget was spent in the first half of the year. Measure are currently being drafted to overcome the crisis. They include restructuring, merging separate units and downsizing where necessary. These are long-term programmes, they will be carried out over the next ten years. However, we cannot but reduce the staff, because the crisis in the railway sector is really very serious, said Kamen Kichev. In early September BDZ said it planned to lay off 2,000 workers until this year's end and that 1,300 of them would be dismissed from October. However, a redundancy notification has been submitted to the Employment Agency for 800 people only. NRIC's anti-crisis programme relies on white-collar reductions only, general director Anton Ginev told the Pari. Otherwise the company would be unable to guarantee cargo safety.
Source: Pari (29.09.2009)

EU firms to save railways from ruin An international company will audit debt-ridden railway carrier BDZ and National Railway Infrastructure Company (NRIC). Big EU companies will be invited to work out a strategy for the railways, transport minister Alexandar Tsvetkov said. European programme financing will be sought for the drafting of the strategy. The debts of the carrier to suppliers exceed BGN 150 million, as much as BGN 37 million is due by this year's end. BDZ's loans amount to BGN 101 million. NRIC's debts to suppliers stand at BGN 101 million, the payments have to be made by the end of 2009. The main reason for the railways' collapse is the unequal distribution of the state subsidy for 2009, Tsvetkov pointed out. The bulk of financing was allocated for the first months of the year and much smaller amounts were earmarked for the last months. Those documents were signed by ex minister Petar Mutafchiev and BDZ's ex CEO Hristo Monov. An anti-crisis plan should be urgently implemented for both companies. All available money will be used for payment of wages. The cabinet has allocated BGN 7 million for August and September, the amount will be deducted from NRIC's capital expenses. That will affect infrastructure modernisation, experts said. Both companies will be restructured. BDZ will become a holding, uniting the companies for cargo and passenger transport. The administration will be reduced 60%, the savings will amount to BGN 1 million a year, Tsvetkov added.
Source: Pari (15.10.2009)

Protest for Unpaid Salaries to Close Railroad Stations A strike of railway workers will block Bulgaria at the end of October. The people who attend the railroad stations will protest because they haven't received their salaries for months. The trade unions in the railway company insist also on ceasing the layoffs in the company. Railway workers are protesting because the BGN 7 million allotted by the cabinet for wages have not been paid.
Source: Standart (20.10.2009)

Minister Tsvetanov dismissed the directors of all big state transport enterprises. National Railway Infrastructure Company, Bulgarian Air Traffic Services Authority and Transport Construction & Rehabilitation have new executives. The financial manager of BDZ was also released. According to Pari daily's information the head of Automobile Administration Executive Agency will be replaced.
Source: Pari (21.10.2009)

The management of National Company Railway Infrastructure (NCRI) intends to draw a BGN 10 million loan, which would aid the financing of operating activities, shows a check in the public procurements register. The company sent out letters to nine Bulgarian banks with its proposal to be granted a credit. In September 2009 the company's revenues from fees are BGN 8.17 million or 4.3 percent less than in August. Compared to September 2008 they fall by BGN 2.2 million or by 21.3 percent.
Source: Dnevnik (28.10.2009)

Bulgaria’s transport ministry will today meet with the creditors of national railway carrier BDZ to ask for a grace period until the end of this year and the next, deputy minister Kamen Kichev told Dnevnik. The debt-saddled company has run up a debt of BGN 140 million. Minister Aleksander Tsvetkov said in end-October that BDZ and the National Railway Infrastructure Company (NRIC) have practically gone bust. The ministry will appeal for the longest possible grace period to implement a restructuring programme aimed at building the company back to life, Kichev said. More than 2,000 workers will be given the boot. The carrier’s biggest creditors are five banks, which provided two bond loans agreed by the previous two governments. The first, to the tune of EUR 30 million, was taken five years ago to renovate 3,620 carriages. Two years ago the company took a further EUR 120 million to repair 1,200 carriages and pay down outstanding bills to state-run power grid operator NEK. Another EUR 67 million was spent on the purchase of 25 diesel Siemens trains. Asked about a possible rejection of the proposal by the creditors, Kichev said, “We’ll have to convince them as this is the only way to get BDZ out of the ditch.”
Source: Dnevnik (03.11.2009)

B ulgaria's state-owned railway carrier BDZ may file for bankruptcy if it fails to reschedule BGN 140 million worth of debts, transport minister Kamen Kichev told the Pari daily. The company has to repay BGN 37 million to banks by this year's end. Another BGN 101 million worth of bank loans mature in 2010. Next week the transport ministry will invite all BDZ's creditors and try to negotiate rescheduling of debts. We hope to meet with understanding, otherwise the anti-crisis plan will not be carried out, Kichev added. According to the plan, both BDZ and National Railway Infrastructure Company will be restructured. BDZ's companies for cargo and passenger transport and for train management will be united into a single structure. Administration will be downsized 60%, another 1,330 BDZ workers will be laid off until the end of the year. BDZ owes suppliers more than BGN 150 million. The infrastructure company's debts to suppliers exceed BGN 100 million and are due by the end of 2009.
Source: Pari (05.11.2009)

National Company Railway Infrastructure will receive BGN 16 million to pay salaries, said Minister of Transport, Information Technology and Communications Alexander Tsvetkov. On Wednesday the government decided to allocate funds to the infrastructure company. This is the second installment to the railways after a month ago the government allowed to be given BGN 7 million for salaries. The anticrisis program of the company provides a reduction in wages and their payment of the full amount next year.
Source: Dnevnik (06.11.2009)

Another 100,000 laid off by end-2009 The number of the registered jobless in Bulgaria already exceeds 300,000, after another 7,000 people were laid off in October, minister of labour and social policy Totyu Mladenov said. When the crisis started to gain speed a year ago, the total number of the unemployed was 216,640. The unemployment rate reached 8.23% in October, rapidly up from 8.03% in September. The statistics, though, does not take into account the people dismissed in the grey sector. The Bulgarian Industrial Association (BIA) counts some 160,000 workers in the unofficial economy. Undeclared unemployment may have reached 13 or 14% already, BIA said. The figure does not include the 170,000 or so discouraged unemployed. The notifications for mass lay-offs submitted in the past three months are yet to be fulfilled. A total of 30 enterprises warned in October that 2,500 workers will be made redundant. Construction companies are expected to dismiss 35,000 people by this year's end. State-owned railway carrier BDZ will lay off about 2,000 people. Staff reduction in Kremikovtzi steelworks will most probably not affect only 3,000 workers but all the 5,000 employed. Machine building enterprises have also said they do not have any reserves left for cost reduction except for discharging qualified staff. The biggest employer, the state, has not yet officially announced its plans for mass lay-offs. The exact number will be clear in December, minister Mladenov told the Pari daily. If the 15-percent downsizing suggested by finance minister Dyankov materialises, some 15,000 public employees will join the army of the jobless. Unemployment will not top 9.5% at the end of the year, Mladenov said. However, trade unions and employers' organisations believe the share will be well above 10%, because between 80,000 and 100,000 workers will be sacked by this year's end. The government projects an 11.4% unemployment rate in 2010.
Source: Pari (09.11.2009)

Turkish trucks put on train Turkish trucks, passing transit in the direction Dragoman - Sofia - Plovdiv – Svilengrad would be loaded on trains, said Milcho Lambrev, Director General of the National Railway Infrastructure Company. In this way we will follow the order of transport minister Alexander Tsvetkov to ease the traffic on Trakia highway in the Sofia - Plovdiv section, he added. Boarding trucks will reduce the destruction of Bulgarian highways and air pollution, explained Lambrev. In recently talks management of the Turkish Railways stated its desire to develop the ro-la shipments (shipments of auto vehicles on trains), said Lambrev. We have a terminal for loading and unloading trucks on trains in Svilengrad and we would have to build such in Dragoman. By mid-December we would be ready with the project, three months would be necessary for conducting the procedure for implementation and then three more to finish it. So in July, when traffic is highest, we would get trucks on wagons and would unload Trakia, explained Lambrev. BDZ has two platforms for uploading of trucks to trains and is ready to employ low-profile wagons to carry trucks, said Lambrev.
Source: Standart (23.11.2009)

Concession prepared for large transport facilities The municipalities of Sofia and Plovdiv will be able to apply for the concessions on the two cities' central stations, deputy minister of transport Kamen Kichev said. The new strategy for modernisation of railway, port and airport infrastructure is now ready and will be officially presented in early 2010. According to it large ports like Burgas, Varna-East and Varna-West, the central stations in Sofia and Plovdiv, and the airports in Plovdiv, Ruse and Stara Zagora will be concessioned off. We have not abandoned the idea for public-private partnership, Kichev added. A new scheme will be used for the upgrade of stations. They will turn into transport hubs that will include the bus stations and the related parking lots. Interest has been shown already in the concession on the airports in Ruse and Stara Zagora. The airfield in Targovishte, which is owned by the Plovdiv airport, will be the first to be offered to concessionaires, in January 2010.
Source: 24 chasa (21.12.2009)

Railroad workers will receive BGN 82 million for wages in 2010. However, the needed amount for workers’ wages in the National Railway Infrastructure Company (NRIC) is BGN 156 million. "In budget 2010, the provided amounts for us are a subsidy of BGN 82 million and capital transfers – BGN 90 million. The difference is drastic," said Prof. Milcho Lambrev, General Director of NRIC. "The company has sent a letter to Minister Djankov, which inform him that the money will not be sufficient.
Source: Standart (21.12.2009)