Low spirits for alcohol sector in face of critical report

Several cases of unjustified lowering of prices, ineffective collection of liabilities and general mismanagement in the Polmos spirit producing companies, was what the Supreme Board of Inspection (NIK) revealed in its latest report on the enterprises. The document highlights the unfavorable situation the sector is in and shows its difficulties are growing as privatization is delayed. Despite bold restructuring plans accepted by the previous government of Prime Minister Buzek back in 1998, no real progress in privatizing the sector had been made until 2001 and 15 companies are still waiting for an investor. Meanwhile, the real value of production in 2000 reached just 40% of the figure recorded in 1992. Referring to particular companies, NIK described serious abuses in Polmos Poznan which occurred just before it was privatized, including continuing supplies to an insolvent wholesaler. NIK also indicated that several Polmos enterprises, including those in Krakow, Szczecin, Lodz, Warsaw (Koneser) and Sieradz, should have already gone into receivership. (Rzeczpospolita, p. B2) M.K.