Banks with Bulgarian capitals will increase their influence on the banking market in 2012, UniCredit Bulbank has forecasted. Foreign financial institutions that had gained an 84% share on the Bulgarian market in terms of assets in 2009 have reduced it to 77% in 2011. UniCredit noted that a further decrease of their share to 75% was likely in 2012. The reshuffle is no surprise as such a tendency has been observed for the past 3 years. Last November a Bulgarian bank – First Investment Bank (Fibank) ousted Postbank as the fifth largest financial institution on the Bulgarian market. Thus the five major Banks operating in Bulgaria became UniCredit Bulbank, DSK Bank, United Bulgarian Bank, Raiffeisenbank and Fibank. Postbank was ranked sixth, followed by Corporate Commercial Bank (CCB). International Asset Bank that is assumed to be a bank with Bulgarian owners has outstripped Bulgarian American Credit Bank (BACB). Central Cooperative Bank occupies the 10th position, while the state-owned Bulgarian Development Bank (BDB) assumed the prestigious 14th position. Other banks with Bulgarian capitals are Investbank, Municipal Bank and Teximbank. These are the banks that are expected to issue 25% of credits in 2012. UniCredit Bulbank has also forecasted that the assets of the five largest Bulgarian financial institutions would be reduced below 50% of the total assets of the bank system for the first time in 2012. UniCredit’s Chief Economist Christofor Pavlov told Investor.bg this would happen mainly due to Greek banks operating in Bulgaria. UniCredit also expects that the growth of crediting would intensify to 3.1% in 2012, while there will be a particular slowdown for deposits.
Source: Monitor (20.01.2012)

Bulgaria Among the Top Three with Low Foreign Debt Bulgaria ranks second in the European Union regarding low foreign debt - just 15% of the GDP, data from Eurostat referring September 2011 shows. Bulgaria is outstripped by Estonia - its debt forms 6.1% of the GDP and is followed by Luxembourg - 18.5% of the GDP. With 159% Greece tops the list of most indebted European countries; Italy's debt is about 82.2% and Portugal's debt forms 110% of the GDP. The state debt for the whole European Union is 82.2% of the GDP as it has grown compared to the previous trimester (81.7%) and compared to September 2010 (78.5%).
Source: Standart (07.02.2012)

The privatization of BDZ Freight Services has not yet started. Assessment, legal analysis and the information memorandum to launch the procedure are expected in early March. Privatization should be finished by the end of the first half of the year, said the Chairman of the Board Vladimir Vladimirov. In February there was a decline in freight traffic as a result of the extreme cold. It is now gradually recovering, Vladimirov said. He added that there was not a decline in passenger numbers. According to estimates by the Executive Director of the Agency for Privatization and Post-Privatization, Emil Karanikolov, legal analysis and assessment should be ready by 19 January. Earlier this year he also announced that "work on this deal is going well." Subsequently there were reports that only two banks have interest in the subsidiary of Holding Bulgarian State Railways. First Investment Bank (FIB) and Corporate Commercial Bank (CCB) were mentioned.
Source: econ.bg (28.02.2012)

Around 200 companies will enter the elite on the Bulgarian Stock Exchange according to the new rules for segmentation. Only seven companies will be included in the Premium segment – First Investment Bank, Central Cooperative Bank, Chimimport and others. 80 companies will be included in the lower Standard segment.
Source: Standart (05.03.2012)

Gamakabel – Smolyan will once again take advantage of funding from First Investment Bank (Fibank), it transpired from the invitation for a general meeting of shareholders scheduled for April 19. A proposition will be tabled to increase an existing loan of the company from Fibank from EUR 14 million to EUR 18 million. Gamakabel has suffered losses for three consecutive years so far.
Source: Capital Dàily (08.03.2012)

Some 150 brands to compete for "The favorite brands" in Bulgaria award Some 150 domestic and foreign brands listed in 25 categories are competing in the contest "The favorite brands" organised by the Bulgarian magazine BUSINESS LADY. The first part of the ranking ended this Tuesday, while each section top ranked 6 brands with the most nominations. For the first time, the chart list included two companies involved in the production of bioproducts. These are the brands Balev Bio Market and Harmonica. A second contest round was scheduled for April 02 -12, 2012. At www.mylovemarks.eu, each Internet user can vote in each category for a maximum of three of the six brands in the 20 categories. Internet users can nominate or vote, by confirming their selection via a link e-mailed to them automatically at the indicated e-mail address. The unconfirmed votes will not be taken into account. The selected 75 brands will compete at a third stage ( April16 - 26 2012) in the fight for first, second and third top ranks in their category. In the latter stage of the ranking, the Internet surfers will vote for one of the 3 brands in each category, while the voting will end with a special ceremony on April 26, 2012. The Grand Prix and the title "Favorite brand for 2012" will be awarded to the product, which received the most votes. For the first time this year, the contest included the category Television, where bTV, NOVA, TV7, Television, Fox Life, National Geographic are competing. Besides, the section of print media dropped out. Bulgarians top rated six insurance brands involving Allianz, Armeec, Victoria, Bulstrad, DZI, BulIns, while the competing banks comprise DSK, UniCredit Bulbank, First Investment Bank, Alpha Bank, UBB and Raiffeisenbank.
Source: Class (29.03.2012)

Workers from the Lead and Zinc Complex in Kardjali to sue their employer Zahariev More than 100 steelworkers filed claims against Valentin Zahariev, owner of the Lead and Zinc Complex in Kardjali, in the local District Court, insisting that the court takes legal action against their employer and make him pay their overdue wages for six months, BGNES reported. At the end of last week, the workers submitted applications demanding to obtain extracts from the records for the amounts due to them. The documents were issued to almost all of them under the supervision of officials from the Labour Inspectorate. Wages for two months and advance payments do not exceed BGN 1,000, shows his payment summary a steelworker. "We no longer believe that Zahariev will voluntarily settle accounts with us. Things are in the hands of big bankers. Therefore, we will sue him," workers say. They insist to receive also the interest on their overdue wages. The liabilities of the enterprise's owner to his employees amount to BGN 1,145,000. After depositing the claims, the workers will wait for three days for the court to extend its ruling and then, within 14 days, the writs of execution should be issued. Then, the employer will be forced to settle accounts with every worker individually, explained lawyers. For a third day now, the former owner of GORUBSO-Madan, Valentin Zahariev, has not signed the contract for transferring the ownership of the enterprise to investor Nikolai Valkanov, it became clear yesterday. This increased the tension among the workers at another enterprise of his - the Lead and Zinc Complex in Kardzhali - because Zahariev is expected to settle accounts with them with the money from the deal for GORUBSO-Madan. Today, the workers blocked the road Kardjali - Haskovo for an hour.
Source: Class (29.03.2012)

The owner of the Lead and Zinc Complex PLC-Kardzhali, Valentin Zahariev: Witnin several days, we will pay the wages to the plant's employees We have reached an agreement with the First Investment Bank (FIB) and we hope that, within several days, the payment of wages to the employees of the Lead and Zinc Complex PLC-Kardzhali will start . The salary delay is actually not more than two - two and a half months, while the advances for January were already transferred and a small part of them for December 2011, stated yesterday the owner of the Kardzhali-based Lead and Zinc Smelter, Valentin Zahariev. He announced that within two-three days, the procedure for the demanded bank compensations will end and a new selection tender will be opened for designating a purchaser contracted with a pre-delivery agreement in order for the enterprise to be launched again into operation. Metallurgists, however, continue their protests and the Social Minister Totyu Mladenov announced that the current negotiations held between the creditor banks and the investors designated to be the new owner of the Kardzhali-based Lead and Zinc Smelter are almost reaching an end. It will be difficult for the Lead and Zinc Complex PLC-Kardzhali to survive as an enterprise if separated from the mining company GORUBSO-Madan JSC, stressed Zahariev, adding that one of the biggest problems for the Lead and Zinc Smelter was the decommissioning of lead production in April last year. Zahariev also indicated that under the contract for the purchase of the Lead and Zinc Complex, FIB has promised to allocate ˆ12.5 mln, but only ˆ7 mln were granted, as a result of which construction works are currently implemented at 80%. According to him, at the purchase deal of GORUBSO-Madan JSC, Zahariev was paid ˆ7 mln, while a total of ˆ14 mln were invested. The Kremikovtzi metallurgical plant was purchased for $1 at an auction, stated Zahariev. He alleged to have invested ˆ300 mln in a 5-year period. According to him, at that time, he acquired the Kremikovtzi assets amounting to merely BGN 700 mln, while at the end of the period, they stood at almost BGN 1 bn.
Source: Class (30.03.2012)

The crisis raises the demand for mortgage loans in BGN Loans in national currency (BGN) have been increasingly sought by clients in the recent months, confirmed Milka Todorova, Director of Retail Banking, First Investment Bank (FIBank) yesterday. She stated that one reason for this trend was the continuing crisis and the insecurity in the Eurozone. “The loans in BGN are in demand and therefore we do not have to transform the income of customers in Euros, which further increases the service cost because of the differences in the exchange rates. FIBank experts are optimistic about the mortgage market in Bulgaria. Bank officials stated that the interest rates on mortgage loans had returned to the pre-crisis levels and were even lower - something that leading bankers have recently demanded. According to Todorova, the downward trend in the interest rates will be maintained this year, as regards the loans in national currency and those in Euros.
Source: Standart (06.04.2012)

Banks with Bulgarian shareholders continue increasing their market share in contrast to subsidiaries of big European banks, BNB data for the fourth quarter of 2011 shows. From the end of 2010 to the end of 2011 the share of local banks has grown by 4.2% to 23.5% of the Bulgarian market. The market share of foreign banks in end-2011 is 69.7% compared to 73.7% from a year earlier. The main reason for that is the fact that many local banks have been funding big projects and deals in recent years. The banks which have increased their market share the most are the Corporate Commercial Bank (CCB) by 89.7%, the First Investment Bank (FIB) by 52.3%, and the Central Cooperative Bank by 41.29%. Those figures did not come as a surprise as a great part of the energy companies in Bulgaria have deposited the bulk of their money in the CCB, while it grants them loans. FIB on its part funds a lot of projects for the ski tracks in Bansko, as the concession company Yulen is associated with one of the shareholders of FIB, Tseko Minev. At the same time subsidiaries of European banks in Bulgaria are affected by the crisis which hit their parent companies. At the end of 2011 only UniCredit Bulbank and Societe Generale increased more substantially their market share, while the rest of the banks saw only a modest growth.
Source: Sega (09.04.2012)

FIB starts procedures on Inter Pipe JSC First Investment Bank, as lender, requested the appointment of a manager and start execution on Inter Pipe JSC. The execution is directed to the enterprise as a set. Interest on the loan granted to the company by the bank was bank interest rate (BIR) plus 4.46% and the delay interest is 24.46%. As manager is appointed Krasimir Hristov Nikolaev, but currently he has not been entered in the Commercial Register, although the actions of FIB are from March 28, 2012. Representative is still Peter Leshtarov and excerpt him in the Board of Directors are Roberto Mladenov and Valentin Zahariev. 50%-stakes in Inter Pipe JSC are held by Intertrust Holding and SSF - Steel Shipping and Forwarding JSC. FIB has not announced the amount due by Inter Pipe JSC. The last published report of the debtor in 2008, showed a loss of BGN 12.4 lev for the year and sales of BGN 38.6 million. Equity is BGN 42 million in late 2008, only due to accrued during the year positive assessments of the assets to the amount of BGN 46.3 million. At this date the bank liabilities were about BGN 5.6 million, but it is not clear to which banks. Website of Inter Pipe Company JSC does not work. Intertrust Holding virtually lost ownership over Gorubso-Madan, and its other big investment - OZK, faces a serious danger of bankruptcy. According to some information, OZK owes over BGN 300 million just to banks. It is possible that the measure of FIB against Inter Pipe unleashes a wave of claims against OZK and other companies of Intertrust Holding.
Source: investor.bg (15.05.2012)

Bulletproof vests producer MARS Armor will be opening its new plant in the industrial zone of Kostinbrod, a town near the Bulgarian capital Sofia. Some BGN 6 million have been invested in the 5 thousand square metres factory. About BGN 1 million of the sum has been provided via a Fibank loan.
Source: Capital (18.05.2012)

A credit of BGN 4-5 mln can bail out the Lead and Zinc Complex JSC - Kardzhali “A credit of about BGN 4 mln will solve the problems of the Lead and Zinc Complex JSC – Kardzhali. It will cover the payment of the workers’ salaries, the repair of the plant and will provide the ability to address problems in a good manner,” said yesterday Vasil Yanachkov, President of the Metal Workers Trade Union Federation at the Confederation of Independent Trade Unions of Bulgaria (CITUB). “A total of BGN 4.3 mln were remitted to the account of the plant by the Gorubso Madan JSC, but they were automatically withdrawn by the bank,” continued Yanachkov. According to information of CITUB, some 484 people are on the payroll at present. Since early March, a total of 103 people have left the plant after the protests. A total of BGN 300,000 are due to the workers for their February salaries, but the total amount of their insurance contributions stands at BGN 1.7 mln. The liabilities of the Lead and Zinc Complex amount to BGN 190 mln and its long-term assets are worth BGN 235 mln. The three crediting banks – First Investment Bank, CIBank, and BNP Paribas Bulgaria have even demanded an insolvency procedure to be initiated for the complex. According to Yanachkov, declaring the plant insolvent will not solve the problem because a large part of the equipment is obsolete. An automatic entry into an insolvency procedure occurs when the liabilities of the plant exceed its assets. “If the operation of the complex is not resumed immediately, this will prevent continuing production at all. The Prime Minister should intervene in this case, in person,” said Yanachkov. “Currently, negotiations are not being held with the Polish Silesia consortium, but with another, very stable investor,” said Regional Governor of Kardzhaly Ivanka Taushanova. She declined to name the company.
Source: Class (23.05.2012)

Valentin Zahariev loaning out OZK plant Valentin Zahariev is reportedly ready to sign a contract with Polish Silesia for the heavily indebted OZK plant in Kardzhali. As part of the deal, Silesia will take the management of the plant for three years with a buy-out option. The price of the potential agreement is yet to be negotiated. There are also no details on the way Zahariev plans to protect the interests of the two banks – creditors of the plant: Fibank and BNP Paribas. Fibank did not even answer if they were supporting such a deal
Source: Capital (01.06.2012)

Plovdiv manufacturer of of cartons for cigarettes and filters Yuri Gagarin will take a 6-million loan from First Investment Bank (FIB), which will finance the purchase of Hungarian FILSTYLE-Hungary. Investment loan should be repaid for 10 years in equal monthly installments. The annual interest rate will equal the base rate of FIB for Euro plus a margin of 2.91%. The loan will be secured by a mortgage on property owned by Yuri Gagarin, with a carrying value of BGN 10.8 million. Decision to conclude the purchase of the Hungarian company was taken by management in early May. The goal is Bulgarian company to expand its business and to outsource part of manufacturing of filters and cartridges for cigarettes abroad. Hungarian company has land and buildings that can accommodate equipment, warehouses, office buildings and a well developed transport infrastructure. The very base is located in the periphery of Budapest.
Source: Capital (13.06.2012)

Creditors warn of having a distraint imposed on the assets of the Lead and Zinc Complex PLC-Kardzhali The representatives of one of the main creditor banks of the Lead and Zinc Complex PLC-Kardzhali - First Investment Bank, on Tuesday, posted on the factory walls inventories of assets pledged against a loan of some BGN 60 mln, announced the Chairman of the Confederation of Independent Trade Unions, Belyo Staykov for the website klassa.bg. For this amount, new equipment for a electrolytic workshop for zinc production is being promised and a steam-gas power plant. The equipment, which was manufactured by the Spanish company Asturiana De Zink, is not in the Lead and Zinc Complex PLC-Kardzhali, but is being stored on the territory of the Kremikovtzi metallurgical plant, specified Staykov. Bank representatives have not responded to any questions posed by the employees, but only clarified that the inventories of the assets are precautionary. The total amount of the plant's liabilities is BGN 320 mln, while the assets' value is nearly BGN 270 mln, but the owner of the complex Valentin Zahariev disputed both amounts. He owes the employees BGN 1.7 mln in unpaid wages since February, and another BGN 100,000 to the laid-off workers in 2011 from the lead production sector, specified Staykov. We are completely unaware of what is happening with the negotiations with the Polish consortium Silesia because the company's owner Zahariev has not visited the plant for a long time, stated the trade unions. Two days ago, it became clear that the Bulgarian company Chmimport and the group associated with the Russian Uralmash machine-building corporation have officially withdrawn from the negotiations. So far, there has been no clarity on the plant's future, On Thursday, the metalworkers are staging new protests.As of 9 am, they will stage a protest action at the intersection of Bulgaria Blvd. and Bulair Str., - the key crossroad blocking the road to the town of Haskovo. The protest will be held on June 22. On the same day, those employed in workshops with all-round shifts (zinc production lines, burning workshops, substations) will stop working, thus, perhaps, causing an environmental disaster.
Source: Class (21.06.2012)

Workers from the Lead and Zinc Complex in Kardjali to sue Valentin Zahariev for wages More than 250 steelworkers from the Lead and Zinc Complex in Kardjali have submitted applications for calculating the amount of their overdue wages by the owner Valentin Zahariev, reported BGNES. The workers have not been paid since February 2012. After receiving the accounting records, they will seek their money in court. The submission of applications in the accounting office of the lead and zinc plant will continue in the next few days. This morning, the syndicates at the enterprise informed the steelworkers of the talks held during the weekend with First Investment Bank (FIB), which has found an investor for the Lead and Zinc Complex but it is not the Polish holding company Silesia. Currently, this stops workers from taking extreme action and, for the time being, they will refrain from going off their jobs as they announced last week. Today, only three applications for this were submitted. The name of the new investor is kept secret and none of the steelworkers knows the name of the company. The liabilities of the Lead and Zinc Complex in Kardjali to FIB amount to almost BGN 54 mln. The loan is secured by buildings in the zinc plant, ore concentrates and equipment for the construction of entirely new facilities. A distraint on these has already been imposed. According to pundits, the idea is for the bank to take possession of the property and to begin to manage it, claims BGNES. According to Vassil Hristov, Executive Director of FIB, a solution is expected within two or three weeks. We will wait and will not urge our members to go off their jobs, said the two syndicates at the enterprise. FIB is one of three creditors of the plant. The other liabilities of the Lead and Zink Complex are to Credit Suisse and Paribas. Their position on the future of the first Bulgarian metallurgical plant is not known.
Source: Class (26.06.2012)

Even with a new investor the Lead and Zinc Complex in Kardjali may be recommissioned in two months at the earliest “Even if a new investor turns up, the Lead and Zinc Complex in Kardjali may start operating efficiently in two months at the earliest because basic production facilities need repair,” Belyo Staikov, Chairman of the Confederation of Independent Trade Unions in Bulgaria (CITUB) in the company, told Klassa.bg. Since the end of last week, a bailiff is making an inventory of the property of the lead and zinc smelter and its main creditor - First Investment Bank (FIB) – assumed possession of part of the company. The Bank began hiring temporarily workers from the enterprise to take care of the property. However, it proposed work to only five of the nine workers of the brigade which takes care of the continuous power supply to the electrolytic furnaces and this created tension. Ultimately, six workers withdrew their applications for leaving the enterprise. The entire lead smelter and some of the auxiliary workshops are practically pledged with FIB. The steelworkers are being appointed on contract at the security company that services the bank and their colleagues are annoyed by that. “There is a conflict because certain people are offered a contract,” commented Belyo Staikov. The bank claims that its main task is to preserve the smelter’s equipment and maintain the technological cycle until the arrival of a new investor. The syndicates have information that a powerful group intends to acquire the shares of the owner Valentin Zahariev. An American investor has shown interest but the name has not been specified, BNT claims. For the time being, the workers refuse to leave the enterprise as of July 2. Since the beginning of the protests in March 2012, more than 160 steelworkers have gone off their jobs. SEWRC transfers the responsibility for the wrong forecasts onto producers “The State Energy and Water Regulatory Commission (SEWRC) is neither obliged, nor responsible for making forecasts. The way the process is structured is fully controlled by the operators,” SEWRC’s Chairman Angel Semerdjiev told BNR on Sunday. “Once a year, we get the operators’ forecast. I explained the reason for the change in the price – the surplus charge for green energy was introduced on the demand of operators at the end of April. Over the last two months, investments in the construction of photovoltaics have increased dramatically, significantly changing the forecasts. Expectations are quite different from the documents. There were indications that the investment process might accelerate, but it is being controlled by the operators,” added Semerdjiev. He underlined that even before SEWRC had corrected forecasts of operators and he could list numerous such cases from previous years, and SEWRC’s forecasts always came true. The prices and the surcharge for green energy were set on the basis of companies’ statements at the beginning of May. All statements and publications point to that. The processes in May and June are fully controlled by the National Electric Company (NEK), Semerdjiev reiterated. He pointed out that operators control this process and submit information to SEWRC on this basis. When the statement of a certain company is submitted, a report is made, as well as comments on the report. The final decision is made when all the circumstances which may affect the change of one or another parameter are taken into consideration,” explained Semerdjiev. Only one component in the price of electricity is a surprise – that for green energy. “None of the other components influencing the price has been corrected during this period,” stated Semerdjiev.
Source: Class (02.07.2012)

Fibank describing the assets of Lead & Zink One of the main creditors of the Lead & Zink Complex – Kardzhali, First Investment Bank (Fibank), has begun describing part of the assets of the Complex. Trade unions believe this was the first step towards seizing the assets. Their representatives said that the bank had set a final 2-month term to the owner of the Complex Valentin Zahariev to pay the debts that had expired on Friday. The Complex has not been operating for months, the metalworkers are protesting over unpaid salaries while part of them have quit. An investor has not been found for the Complex in spite of such intentions announced by the government. A source said there was a tender organised for the assets, but no official information has been released on the matter so far.
Source: Capital (03.07.2012)

A bankruptcy procedure was opened for the glass factory Rubin that has been registering increasing losses for the past several years, at the request of its creditors, by decision of the Pleven District Court dating 16 July 2012. Among the creditors is Corporate Commercial Bank that is indirectly related to the majority shareholder of the company. The company was declared bankrupt as of 30 April 2011. The motives of First Instatement Bank (Fibank) to ask for the company to be declared insolvent match those of the company’s management itself. Rubin was incapable of repaying its debts, totalling up to BGN 48.7 million by end-April 2012. It owes Fibank BGN 4.1 million by 15 June 2012. Òhe glass factory’s largest creditor is CCB with overdue loans for a total of BGN 26.3 million. Rubin has another debt of EUR 12 million to UniCredit Bulbank
Source: Capital (23.07.2012)

Workers defend OZK with human chain OZK workers in Kardzhali will form a human chain to protest against the intention of one of the creditor banks to close induction furnaces and collect the zinc in it. According to Chairman of Zashtita trade union Stefan Atanasov, BNP Paribas hired 15 former workers for the job. The furnace contains 20 tons of zinc that cost between USD 25 thousand and USD 30 thousand. Not long ago the other creditor bank, First Investment Bank, announced that the name of the new investor will be announced within two weeks. It turned out to be a bluff so that workers do not leave their jobs, Atanasov also said.
Source: money.bg (24.07.2012)

A supplier asked for the insolvency of Roads Holding Yet another infrastructure company controlled by Vasil Bozhkov is threatened with insolvency – an unknown construction company has asked for a bankruptcy procedure to be initiated for the Roads Holding. On 3 August the Groupstroy company, registered in the city of Levski, has filed and appeal at the Sofia City Court. The Roads Holding responded that it had no debts to Groupstroy. Representatives of the holding told the Capital Daily that in 2008 the company supplied it with concrete elements, but as it turned out that they were of poor quality, the company had to pay damages for the losses suffered. More than a year ago another company of Bozhkov – Moststroy, went bankrupt, mainly due to debts to United Bulgarian Bank (UBB). The Roads Infrastructure Holding Company asked for such procedures to be launched for some of its subsidiary companies. In September 2011, by request of UBB, the accounts of Roads Holding at UniCredit Bulbank and First Investment Bank (Fibank) were levied a distraint upon to the amount of BGN 7.6 million due to a debt of Infracom 2007 that the holding was a co-debtor to. In end-June the credit from UniCredit Bulbank was already overdue and under renegotiation. In the first few months of the year the credits of the Roads Holding from Fibank were also renegotiated. Asked on whether they were facing difficulties in repaying their loans the Roads Holding representatives said that that they had undertaken the necessary measures to meet their obligations. The report of the holding for the first half of 2011 shows a loss of BGN 2.6 million compared to BGN 6.4 million a year earlier. Its income almost halved to BGN 4.3 million. Debts with a redemption date in over 12 months amount to BGN 137.6 million or 5% more compared to end-June 2011.
Source: Capital (07.08.2012)

The claim for insolvency of Holding Roads Jsc, submitted by Grupstroy two days ago, was withdrawn, the company controlled by Vasil Bozhkov informed. The holding received a message by the company that had submitted the claim for insolvency informing that it had given up the procedure due to “lack of claims”. According to the balances of Holding Roads, the company has no liabilities to Grupstroy. As a whole, however, the holding is indebted. Last September UBB demanded that the holdings accounts in UniCredit Bulbank and First Investment Bank (Fibank) were seized because of an outstanding debt to Infracom 2007. At the edn of June, the company’s debt to UniCredit Bulbank was overdue and is being renegotiated. The company’s loans to Fibank were also restructured. Other road construction companies, controlled by Vasil Bozhkov, were also claimed insolvent. That is what happened to Moststroy because of debts mainly to UBB.
Source: Capital (09.08.2012)

Assets of the Lead and Zinc Complex in Kardjali worth BGN 8.3 mln put up for sale Assets of the Lead and Zinc Complex in Kardjali worth BGN 8.3 mln put up for sale One of the largest creditors of the Lead and Zinc Complex in Kardjali - First Investment Bank (FIB) - won the case in court and obtained a writ of execution, BGNES posted on Saturday. This happened as the majority owner of the enterprise Valentin Zahariev was not able to either service the credit extended by FIB or pay to the hundreds of steelworkers and this practically lead to the closure of the lead and zinc smelter. Zahariev has pledged as collateral for the loan half of the entire enterprise – the zinc producing unit - and the bank requires its sale in order to get its receivables. The initial price of the collateralised assets located on an area of 326,230 sq m is BGN 8,307,592 and the tender will be held today. If no buyers turn up within the set one-month term, the collateralised buildings and production facilities will become property of FIB and the financial institution will dispose of them, informed sources requesting anonymity explained. According to them, the demanded initial price is a trifling part of the loan extended against the collateral. Even if buyers turn up, they will want to cut the equipment for scrap and the money from that would not cover even the initially set price, commented the sources. The Lead and Zinc smelter has liabilities of about BGN 300 mln, nearly BGN 54 mln of these – to FIB. The credit is secured by buildings of the plant, ore concentrates and equipment for building entirely new facilities. A distraint has been imposed on the collateralised assets. According to informed sources, the idea is for the bank to take possession of the property and manage it through a company close to it. In addition to FIB, the smelter has liabilities to two other banks - Credit Suisse and BNP Paribas.
Source: Class (13.08.2012)

More than BGN 50 mln paid in interest to citizens in six months by five banks A total of 15 out of the 29 commercial banks operating in Bulgaria and providing services to individuals and households paid over BGN 10 mln in interest on deposits in the first six months of 2012, posted Profit.bg, whose experts made their calculations on the basis of Bulgarian National Bank data. Among the five financial institutions that paid the highest amount of interest on deposits are: First Investment Bank, DSK Bank, Post Bank, Corporate Commercial Bank and United Bulgarian Bank. They paid over BGN 50 mln, or more than 57% of the entire amount of interest on deposits.
Source: Class (15.08.2012)

Teximbank preparing for a capital raise Sofia. Teximbank is planning a BGN 20 million capital raise, it transpires from an invitation for a general meeting of shareholders on 10 September published in the Commercial Register. The company would also become public once the capital raise is complete. The current capital of Teximbank is BGN 10 million. In the beginning of 2011 it transpired that 33% of Teximbank’s capital is owned by four companies, part of which are related to the Chimimport Group – Finance Consulting, Intrade, Datamax and Datamax System Holding. With he latest decision on a capital raise Teximbank followed the example of other financial institutions that undertook a similar step, among which First Investment Bank (Fibank), Corporate Commercial Bank (CCB), Central Cooperative Bank, Tokuda Bank and Investbank. According to its annual financial report the general capital adequacy ratio of Teximbank was 25.97% in end-2011.
Source: Capital (21.08.2012)

Yuri Gagarin AD’s Board of directors took a decision to termination by mutual agreement of the contract, which the company had to buy 100% stake in Hungarian trading company Filstayl-Hungaria. In this connection the company took measures to early repayment of the loan investment to the amount of EUR 6 million, on the contract signed with First Investment Bank for the purchase of the Hungarian company. Besides this, thr contracted mortgage for real estate of Yuri Gagarin in June will be written off. The decision for giving up thr investment for the purchase of the Hungarian company was explianed by changes in business environment. They impose Bulgarian company’s change in investment policy. At the beginning of the month Yuri Gagarin terminated production of these products that form nearly half of its sales, due to ban, imposed by the Law for tobacco and tobacco products.
Source: Darik Radio (27.08.2012)

Bulgarian banks rank 4th in Europe Bulgarian banks are among the best in Europe, showed the Mystery Shopper survey of International Service Check. Our country ranks 4th in the final rating of all financial institutions on the Old Continent and Societe Generale Expressbank, Allianz Bank and Piraeus Bank found their place among the best credit institutions. The Mystery Shopper survey is conducted via a personal visit to the respective branch where dummies pretending to be clients evaluate the banks. First Investment Bank (FIB) is among the best 1,000 banks in a global ranking of the prestigious British magazine The Banker, representatives of the financial institution boasted. FIB is the only bank with Bulgarian capital which has found a place in the international ranking according to the Tier One Capital indicator. The Banker has been ranking the Top 1,000 World Banks since 1970, including financial institutions in Asia, the Middle East, Africa, the US and Latin America, Central and Eastern Europe. The entire ranking has already been published in the July issue of the The Banker. The top 10 banks in the world are: Bank of America, JPMorgan Chase & Co, ICBC, HSBC Holding, Citigroup, China Construction Bank Corporation, Mitsubishi UFJ Financial Group, Wells Fargo & Co, Bank of China and Agricultural Bank of China.
Source: Class (30.08.2012)

Bulgaria's First Investment Bank (FIB) has denied recent media reports that it is about to purchase two two high-circulation dailies, Trud and 24 Chasa. The reports had stated that FIB owners Tseko Minev and Ivaylo Mutafchiev intended to purchase the two papers that are owned by Lyubomir Pavlov and Ognyan Donev. FIB has reminded that it would not be allowed to acquire assets that are not linked with the bank's financial activity. On Wednesday, it was reported that Bulgarian Prime Minister Boyko Borisov has pressured Pavlov , to sell Trud and 24 Chasa to the notorious New Bulgarian Media Group. The New Bulgarian Media Group is linked with Corporate Commercial Bank of Bulgarian banker Tsvetan Vasilev. If the group buys the two newspapers, it is believed that the ruling centrist-right GERB will achieve an almost full monopoly on the press, a precedent since the times of the Communist regime. In July, Pavlov and Donev were charged with tax evasion, while Pavlov is also facing money laundering charges.
Source: Dnevnik (31.08.2012)

The second largest bank in Bavaria- Bayern LB, sells its foreign units as part of its obligations for return of German government’s bailout. One of them is the Bulgarian bank MKB Unionbank, which was acquired by Bayern LB’s subsidiary the Hungarian MKB Bank. Now it holds 94% of the capital of the Bulgarian institution, the European Bank for Reconstruction and Development has 6%. At present sale of the Bulgarian MKB Unionbank is structured. The procedure is expected to start in the middle of September with sending invitations to potential candidates. It is not a matter of sale of troubled assets, as the Bulgarian unit is a well functioning middle class bank on the domestic market. There are several local candidates to buy the bank- First investment bank. Chimimport, foreign Societe General Expressbank.
Source: Capital (04.09.2012)

The sales of the Yuri Gagarin Company in Plovdiv dropped 12% to BGN 4.16 million in August, mainly due to the 15% less sales of cardboard and paper packaging. The sales of semi-finished cigarettes decreased slightly after a few months ago legislative amendments disallowed their production or trade. The company, however, may sell the old quantities abroad. Many representatives of the branch vowed against the amendments saying they were openly lobbyist and were made in favour of the Bulgartabac Holding, as instead of buying cheap tobacco and semi-finished cigarettes, smokers would have to rely on Bulgartabac’s cheaper cigarette brands. Yuri Gagarin is property of companies close to First Investment Bank (Fibank). The main shareholder is the Baranko Company that privatised Yuri Gagarin with a loan from Fibank. Some representatives of the branch also voiced suspicions that the legislative amendments were an attempt to weaken the company so that it may later be acquired by Bulgartabac.
Source: Capital (11.09.2012)

Few things happen on the sluggish capital market in Bulgaria and unfortunately none of them is positive. The latest scandal unfolded when the management of Elarg Fund for Agriculture Land accused First Financial Brokerage House (FFBH) in manipulating the trade in Elarg stocks on BSE-Sofia. That accusation coincided with the publishing of the protocol from the GM of Elarg, whereby it transpired FFBH had requested the voiding of the preliminary agreements between the two companies over doubts in the true value of the assets for sale. Elarg and FFBH are both leaders in their sectors. Elarg is one of the nation’s largest real estate funds, ran by Agromanage. The latter paid BGN 20.1 mln for 49.5% of Elarg in the summer of 2011 in a deal backed by Industrial Holding Bulgaria and the companies of Allianz. FFBH is among the top investment intermediaries in the country, owned by Fibank’s major shareholders Tseko Minev and Ivaylo Mutafchiev.
Source: Capital (11.09.2012)

Bulgaria's First Investment Bank, the largest creditor of troubled Lead and Zinc Complex (OTzK) Kardzhali, said it will financially support the plant's new owner, Harmony 2012. The offshore company, registered just as reports broke out that mismanaging OTzK prior owner Valentin Zahariev will have to sell the plant, acquired assets of Bulgaria's largest non-ferrous metal works just this Friday for BGN 8.6 M. A vast number of Bulgarian media have reported reliable information pointing that Harmony 2012 is controlled by the people controlling First Investment Bank. One of the people behind FIB, Tseko Minev, is also president of the Bulgarian Ski Federation and owner of the Yulen and Vitosha ski ski companies, and is known to be close to Bulgaria's PM Boyko Borisov. Saturday Borisov was present at the ceremony for the ownership transfer of OTzK, saying that the government had "done everything to preserve the metal works' life." The crisis around the Lead and Zinc Complex broke out early 2012, after previous owner Zahariev chronically failed to cover his loan installments to creditors and pay workers' wages. The tender was launched on August 13 with a month-long deadline, after a private law enforcer listed for sale 50% of the troubled non-ferrous behemoth. The enforcer took up the measure after FIB won a court case against the factory and obtained a court order. The total debt of the plant is estimated at BGN 350 M. Harmony 2012 has acquired not the entire plant, but a significant part of its facilities and 50% of the land. Two other institutions participated in the tender, one of them being First Investment Bank itself.
Source: Capital (17.09.2012)

Lead and Zinc Complex in Kardjali sold for BGN 8.6 mln The assets of the Lead and Zinc Complex in Kardjali were purchased for BGN 8.6 mln by Harmony 2012 at the public tender on Friday. The company will acquire almost the entire plant, the ancillary workshops and half of the land plot on which the enterprise is located. The initial tender price was BGN 8,307,593. The other bidders in the tender were Finance and Consulting and First Investment Bank (FIB), which was entitled to participate in the bidding as an interested party, without submitting an offer. They offered BGN 8.4 mln and BGN 8.5 mln, respectively. If Harmony 2012 fails to remit the purchase price within a week, the candidate with the second highest bid, i.e. FIB will acquire the assets of the lead and zinc smelter. The Commercial Register shows that Harmony 2012 was established on June 12, 2012 and a sole shareholder of the company’s capital is Harmony Holdings Limited, registered in the Virgin Islands and managed by 32-year old Ilian Bozhidarov, claims Mediapool. According the private bailiff Rosen Sirakov who conducted the tender for the sale of the enterprise’s assets, interest towards the smelter was also shown by US investors, the London Exchange and even Indians. The Lead and Zinc Complex in Kardjali was put up for sale on August 13. The tender was invited after its owner Valentin Zahariev stopped servicing his bank loans and FIB won a lawsuit against him, obtaining a writ of execution.
Source: Class (17.09.2012)

2 more auction for OZK Kurdzhali Two more auction for sale of property were announced by the bailiff of OZK Kurdzhali - Rosen Sirakov. The first is worth BGN 1.4 million for 35 buildings in the plant without the land beneath them. The second auction is for the treatment plant and 45 acres of land on which it is located. The initial price for the property is BGN 1.5 million. The tender is brought by First Investment Bank for the unpaid debts of the metallurgical plant. Public sale began yesterday and will end on October 17.
Source: Standart (18.09.2012)

International rating agency Fitch confirmed its assessment of two Bulgarian banks. Fitch confirmed the Support rating of UniCredit Bulbank at 2. The assessment reflects “the high support that UniCredit Bulbank would receive by its major shareholder UniCredit in need. The Italian banking group owns directly 92% of its Bulgarian division through UniCredit Bank Austria. “That is the highest possible rating support that the bank can receive at the moment”. According to Fitch, Central and Eastern Europe and Bulgaria in particular are a “strategically important region for UniCredit in medium term. Fitch states in its report that UniCredit Bulbank is a strong local bank and ranks first in terms of assets. Two years ago Standard & Poor’s raised UniCredit Bulgaria’s rating after Bulgaria’s rating was also increased. Fibank’s rating was also confirmed: its support rating was 3, while its long-term rating is BB- with a stable outlook. The bank’s market share continues growing. At the end of the first half of 2012, Fibank ranked fourth in terms of its volume of assets (8%) and its volume of deposits (14%).
Source: Capital (21.09.2012)

Insurance company Armeec entered the Top 100 ranking of the largest insurance companies in Southeast Europe, taking the prestigious 21st spot. The ranking is done in three categories - companies, insurers and banks. A total of 21 Bulgarian insurers ranked, among them DZI General Insurance, Bulstrad, Lev Ins, Allianz Bulgaria, Bul Ins, UNIQA Insurance, Euro Ins , Energia and Victoria. 13 Bulgarian companies are among the leaders of the South-Eastern Europe in the SeeNews TOP 100 - Lukoil Neftochim occupies the prestigious 3rd place in the overall ranking, which gives it the first place in Top 100. The 6 th place in Southeast Europe is taken by Aurubis Bulgaria. The Top 100 also includes NEK, Bulgargaz, CEZ Electro Bulgaria, Mobiltel and others. Top 100 banks in Southeastern Europe include 18 Bulgarian lenders. UniCredit Bulbank is 7th and the rest that enter the Top 100 are DSK, UBB, Raiffeisenbank, FIB, Post Bank, Corporate Commercial Bank, SG Expressbank, Central Cooperative Bank.
Source: Standart (12.10.2012)

Rusted Empire of Valentin Zahariev Three businesses lost, big ones. This is the description of the business of the former owner of Kremikovtzi Valentin Zahariev in 2013. In the spring his mining company for lead and zinc ores GORUBSO - Madan was sold under pressure from the government over unpaid wages, recently OCK - Kardzhali was requested to go bankrupt by creditors of the company, and now his factory Inter Pipe near Sofia entered insolvency procedures. Lenders sell millions of assets of the Sofia and Kardzhali enterprises. And while Zahariev still got a few million for GORUBSO – Madan, these two plants are in the hands of creditors - banks and state. A judgment from 1 October of the Sofia City Court declared the company Inter Pipe insolvent and opened bankruptcy proceedings. A temporary receiver was appointed, and the general meeting of creditors is scheduled for Nov. 6. And although the decision is subject to appeal, the future of the inoperative plant looks predetermined - sale. And it runs smoothly. Now the real estate of the company are for sale by a bailiff for a total of BGN 51.45 million. Movable property that is pledged in favor of First Investment Bank, partly changed its owner, and the remainder is being sold. Insolvency proceedings of Inter Pipe was initiated at the request of one of the small creditors of the company - Kremikovtzi-Autotransport, which is 100% owned by Kremikovtzi (also in bankruptcy). The company has not received a total of BGN 36,900 providing transport workers for the period August - October 2006. The deadline given to the debtor for voluntary payment was July 28, 2011, but the amount has not been transferred. This date has been determined by the court as beginning of the insolvnecy. The financial and accounting analysis of Inter pipe shows that the financial difficulties of the company "are lasting and irreversible," said the judgment. As an indicator for the establishment of insolvency was used the Current liquidity ratio, which shows the ratio of current assets to current liabilities and the base is 1. In the case of Inter Pipe the indicator is much lower - only 0.1861, which means that the company can not deliver its payments. Adding the accumulated loss of BGN 22.7 million for 2008-2010, the court decided that "the debtor has no assets sufficient to cover its liabilities, without danger to the interests of creditors." Indeed, examination has shown that the Inter Pipe has hefty outstanding obligations to other creditors, although, as with other companies of Zahariev, commitment to entities from the group make up the bulk of the liabilities, but there are also taxes, obligations to workers, etc. The reports for 2008-2010 show that the operating revenue does not cover the cost of operations, and in 2010 was reported a loss of BGN 4.1 million. This fact can not be seen from the Trade Registry, where despite legal requirements the last published statement is from 2008. Revenue of the company has decreased from BGN 38.4 million in 2008 to BGN 5.1 million in 2011, and the staff has shrunk tenfold to 23 people at the end of last year. Even that number seems surprisingly large, as according to people familiar with the state of the company, the plant is not working for at least two years. The last months have also been active for other creditors of Zahariev looking for a quick way to collect debts. The procedure for public sale of the property for BGN 51 million, which was published earlier this week and has a start date October 19 is formed at the request of the Sofia Municipality, said bailiff Georgi Dichev responsible for the sale. He declined to specify what kind of debt it is, but said that "the sum is great." Asking price for real estate advertised seems shockingly high, said a source familiar with the available assets. Dichev also acknowledged that the price is amazing, but it was determined by an expert and is due to the fact that the buildings on the site are very nice and renovated. The starting price for the sale is also 25% lower than the assessment itself. Sale of movable property is in the hands of First Investment Bank (FIB) as Inter Pipe used it as collateral for a loan of Intertrust Holding (also Valentin Zahariev’s) amounting to BGN 31.7 million. Since the company stopped servicing the loan, in April the financial institution proceed with the implementation of the pledge. The equipment has most probably been already sold to a company close to the Bank. So far, all of these procedures go in parallel, but soon all sales can go entirely to the baliff, not to disturb the bankruptcy. "In declaring a company bankrupt, all civil enforcement cases are stopped", said lawyer of Kremikovtzi-Autotransport Alexander Malkochev. He said that the company is appealing the decision in the part on the date of insolvency. "We asked for a starting date to be announced December 31, 2008 because of evidence in the case was clear then that the company was insolvent and had liabilities - tax, insurance, workers etc," he added . We still do not know whether the decision was also appealed by Inter Pipe. The deadline for this expired yesterday (October 17). Whatever legal proceedings follow, however, one thing is clear - the end of Zahariev’s empire approaches. Since the beginning of the year in the former metalworker owner had to part with some of his businesses. The first of these - GORUBSO - Madan was his undisputed favorite and the only profitable company in the group. Because of the reluctance of Zahariev however to pay the workers and creditors, he was virtually forced by the government to sell the company, which passed into the hands of Varba - Batantsi - a joint venture between Minstroy Holding of Nikolai Valkanov and KCM 2000. About the same time, it became clear that Zahariev cannot cope with OZK, where production stopped at the end of 2011, and workers marched for unpaid wages. In Kardzhali, the government failed in its mediation in finding a buyer because the plant requires huge investments to operate. The only relatively attractive part of it – the zinc production, changed ownership through a private bailiff and fir a month is controlled by Harmony 21, associated to FIB. Meanwhile, two suppliers asked to declare the plant bankrupt, but the court has not yet ruled. It is difficult to say what causes the failure of Zahariev. Unions have always claimed that his scheme is to work with several related companies and drain them. According to the people from his entourage, the problem is the uncontrolled desire to invest in new ventures without assessing his power. Certainly there stands the question about how good are his managerial skills. Unlike the past when reselling the indebted Kremikovtzi allowed him to buy new plants, now the resurrection of his empire or the creation of a new one looks improbable, at least because of the lack of financial resources.
Source: Capital (18.10.2012)

The buidling, situated in Veliko Turnovo’s center, known as Sky center is already property of First investment bank. The title deed has a date of October 11th 2012. It is for transfer of property’s ownership instead of for money debt to the amount of BGN 11 million. This is the sum that Capital Investmnet owes to the bank. First investmnet bank is to get the building, as well as other extras around it, so that the huge debt is paid fully. The indebted company’s exectuive director solves his financial problems that way, as he has a debt to the amount of EUR 5 million to FIB. It is taken in the form of a mortgage on the building, situated at 32 Tsnako Tserkovski Street. The bank is to pay money back to other companies such as Pirgos plast, atlas, SJ Correct,etc. It takes 23 properties around the land. Tax’assessment of the property for sale is BGN 5.9 million. Despite this, the deal is struck for BGN 11 million, as Capital investment owes around BGN 2 million VAT on the property to the Revenue agency.
Source: Borba - Veliko Tarnovo (24.10.2012)

Lead units of Lead & Zinc Complex offered for sale Some 63 properties of the Lead & Zinc Complex in Kardzhali will be offered for sale. Prospective buyers can examine the relevant documents in the District Court or in the office of the enforcement agent by November 26. The sale was demanded by First Investment Bank (Fibank), which is the main creditor of the lead and zinc smelter. The initial price of the 63 properties totals BGN 474,862. Sofia-based company Harmony 2012 bought on October 18 35 buildings and 61 movable properties necessary for the production cycle of the complex. The company, which is registered on the British Virgin Islands and is related to Fibank, bought the zinc smelter on September 14 for BGN 8.6 million.
Source: Duma (26.10.2012)

OZK is without management The Lead and Zinc Complex (OZK) in Kardzhali has no management. The one-month notice of Executive Director Slaveya Stoyanova expired on Wednesday and she is now out of job. In two days 60 workers filed applications to be dismissed. 98 people still remain hoping to be hire by new owner of the complex – Harmoni 2012. First Investment Bank, the main creditor of the metallurgic complex, authorized two employees from its branch in Kardzhali to monitor the situation in the complex. Duma daily wrote.
Source: Standart (02.11.2012)

Bulgarian Bank Swallows Non-Ferrous Behemoth Bulgaria's First Investment Bank, FIB, the largest creditor of troubled Lead and Zinc Complex (OTzK) Kardzhali, has acquired its lead plant in a tender without competition. The tender's results were announced Tuesday, BGNES reports. The office of private law enforcement officer, Rosen Sirakov, has received only FIB's offer within the one month deadline for submitting the documentation. There were two public sales in the Complex' assets – 63 buildings with a listing price of BGN 474 862 and 50% of the land plot on which they are located for the price of BGN 3 704 683. FIB upped the listing price by just BGN 1. The Bank must deposit the money within one week in order become the official owner. Sirakov is quoted saying that the entire OTzK is now sold. In September 2012, Harmony 2012, an offshore company, registered just as reports broke out that mismanaging OTzK prior owner Valentin Zahariev will have to sell the plant, acquired the zinc assets of Bulgaria's largest non-ferrous metal works for BGN 8.6 M. A vast number of Bulgarian media have reported reliable information pointing that Harmony 2012 is controlled by the people controlling FIB. One of the people behind FIB, Tseko Minev, is also president of the Bulgarian Ski Federation and owner of the Yulen and Vitosha ski ski companies, and is known to be close to Bulgaria's PM Boyko Borisov. The crisis around the Lead and Zinc Complex broke out early 2012, after previous owner Zahariev chronically failed to cover his loan installments to creditors and pay workers' wages. The tender was launched on August 13 with a month-long deadline, after a private law enforcer listed for sale 50% of the troubled non-ferrous behemoth. The enforcer took up the measure after FIB won a court case against the factory and obtained a court order. The total debt of the plant is estimated at BGN 350 M. In September, Harmony 2012 also acquired 50% of the land. Two other institutions participated in the first tender, one of them being First Investment Bank itself.
Source: econ.bg (28.11.2012)

All workers at the troubled OTzK Kardzhali, Bulgaria's largest non-ferrous metal works, will be shortly fired, according to media reports. The news comes just days after Bulgarian First Investment Bank, one of the indebted factory's main creditors, officially acquired the plant this Tuesday. In mid-September, the Lead and Zinc Complex (OTzK) was sold to a newly-founded venture dubbed Harmony 2012, which was the sole bidder in the tender. At the time of the sale, the Harmony 2012 management and Bulgarian Minister of Economy Delyan Dobrev stated that the factory is to be revived. Now, from 550 workers employed by OTzK last year, only 84 have remained, and they will soon be dismissed, reports bTV. The First Investment Bank is expected to keep only 10 employees at the factory to serve as guards of the premises. The bank is controlled by notorious Bulgarian Ski Federation president and ski companies owner Tseko Minev, who is also believed to be behind Harmony 2012. The Lead and Zinc Complex ran into serious financial trouble after chronic mismanagement by previous owner Valentin Zahariev, which also caused social unrest in Kardzhali, after Zahariev failed to pay employees' salaries for months on end.
Source: Capital (03.12.2012)

Creditors demanded BGN 66 million from Inter Pipe for a month Over BGN 26 million are the claims of creditors of Inter Pipe a month after the company of former owner of Kremikovtzi Valentin Zahariev went into bankruptcy. Separately, nearly BGN 40 million of claims were dismissed as unfounded by the trustee, but the decision may be appealed. The companies to which the troubled plant has debts still have two months to make claims, so it is too early to tell how high the amount could reach. The list will likely add First Investment Bank (FIB), which is among the largest creditors, even though it began to sell property over outstanding debts as early ad the spring. According to the published list in the Commercial Register, the greatest amount due to the company is to the registered in the Seychelles Waldrop Inc. Its director is Michael Patrick Duen and its attorney lawyer in Bulgaria is Milen Shopov.
Source: Capital (07.12.2012)

Repeated public offering is announced for offices and editor’s office of the oldest newspaper in Kardjal “Nov jivot”. Premises are owned by the completely sold out Lead and Zinc Complex. The first auction that took place in October could not attract candidates for the high price. The twelve rooms, service room and corridor an initial price to the amount of BGN 395 691 is set. The repeated sale of the property is due to happen after the 18th of January 2013. Public sale is the writ of the Sofia-based company "BRENNTAG Bulgaria" Ltd. and First Investment Bank, which is among the major creditors of the metallurgical plant
Source: econ.bg (15.12.2012)