Polskie Konsorcjum Tytoniowe to enter construction sector

Polskie Konsorcjum Tytoniowe (PKT) will change its profile and become a construction company. The enterprise is concluding talks with the Bancroft fund about potential investments. "We were close to bankruptcy, but we managed to save the company and have reached agreements with our creditors," said PKT president Paweł Mikołajczuk. Last year the concern paid zł. 6.8 million back to its creditors. Thanks to the settlement agreement, PKT managed to reduce its liabilities by zł. 15.2 million. Currently, no more than 60% of its turnover is generated by cigarettes sales which, "Have very low profitability and do not cover their full distribution costs. We own some properties, on which we intend to build shopping malls with other companies," said Mikołajczuk. (pp. 1, 7) M.M.