PAK contract continues to cause Elektrim a headache

Elektrim reportedly wants to renegotiate with the Treasury Ministry its privatization contract for Zespół Elektrowni Pątnów Adamów Konin (PAK), a company insider informed on Thursday. Elektrim is likely to propose a nine month extension to the deadline for fulfilling its investment obligations in the power plants. At present all investment in PAK have been brought to a halt due to Elektrim's financial difficulties. Elektrim is now in talks with several bank creditors, but the positive outcome of the negotiations depends to a large extend on the Ministry's decision. The company's investment so far in PAK is EUR 210 million and a further EUR 330 million is required to complete the works. (Parkiet, p. 1) J.K.