INDONESIA: Indorayon Debt Restructure Put On Hold
Plans to restructure the debt of troubled pulp and rayon fibre maker PT Inti Indorayon Utama (IIU) cannot be implemented as its creditors want to wait until it resumes operation, a company official said.Lennardi Anggijono, a company director, said a plan to restructure the US$293 million debts had been sent to the Capital Market Supervisory Board (Bapepam) and the Jakarta Stock Exchange (JSX). The debt includes Rp72bn (US$8m) in loans from banks and US$825m in bonds.Lennardi said the company management could not say when the debt could be restructured although it has been allowed to operate its pulp production facility. Its rayon fibre plant is not yet allowed to operate as it is seen as the main cause of environmental issue that caused its problems.The company's US$600m factory in North Sumatra has been lying idle for more than two years over environmental and social disputes.Its shareholders in a meeting on Wednesday changed the name of the company to PT Toba Pulp Lestari and at the same time decided to replace the management when it resumes operation to allow the local people to take part in the management.The new chief commissioner is Julian Christopher Hill and the president is Bilman Philipus Butarbutar.
Get full access to all content, just $1 for 30 days
A Message From The Editor
just-style gives you the widest apparel and textile market coverage.
It’s our best ever membership offer – just for you.
Leonie Barrie, editor of just-style
- Will new Vietnam wage hinder competitiveness?
- Digitisation to drive new apparel-making models
- Fashion fit for the future – strategies for speed
- Under Armour Lighthouse will disrupt production
- How TAL Apparel is staying ahead of the game
- Gap to shutter all UK Banana Republic stores
- MAS Holdings shares commitment to sustainability
- M&S "unappealing" clothing a barrier to growth
- Reebok Liquid Factory reinvents shoe production
- Bangladesh tops China as lead cotton importer
- Africa-Med strategic sourcing review – comparing East Africa, North Africa and Turkey
- REPORT BUNDLE: Africa-Med, Southeast Asia and Central America strategic sourcing pack
- Southeast Asia strategic sourcing review – a focus on Cambodia, Vietnam and Myanmar
- Apparel (GLOBAL) - Industry Report
- Global Sports and Fitness Wear Market 2016-2020