press release 2010-07-06

PARAT completes period of insolvency

2010-07-06

Neureichenau/Remscheid: The Wuppertal local court officially terminates insolvency proceedings against PARAT Schönenbach GmbH + Co. KG with effect from 3 July 2010. For this reason the path to future and  continuation of the company lies open. After a large majority of the creditor´s meeting agreed to the insolvency plan submitted by PARAT itself as holistic restructuring plan even in March of this year, an important regional employer is now back on track again.

As the management board underlines, PARAT can currently look upon order situation more favorably due to increased orders on hand and acquiring new customers. As a consequence, some of the workers, who lost their jobs in January, have been re-employed in Neureichenau during the past few weeks.

With entry of INVEST AG and ENDURANCE CAPITAL AG in the shareholder group, with Raiffeisenlandesbank Oberösterreich as PARAT´s new principal banker and with support by the Minister of Economic Affairs, Mr Martin Zeil, going along with a credit guarantee issued by the LFA Förderbank Bayern (Bavarian public funding body), the company was able to work out a supportive and future-oriented concept. This concept places PARAT in a position to further provide tried and true know how, technologies and an extremely high quality level to all customers within the business divisions recreational vehicles, convertible roof systems and tool bags/cases in line with a "one firm strategy".

PARAT has put a focus on niche submarkets as well as on technology- and customer-oriented benefit strategy. If the overall positive economic development continues in the business year 2010, the company will target an annual turnover of about € 45 million with an upward tendency in the next few years. This is possible because PARAT´s customers have shown since date of insolvency their willingness to continue business relationship with PARAT as a competent and highly innovative partner and have supported the company´s management regarding implementation of the restructuring plan with great confidence and close cooperation. In this way PARAT was able to realize new development requests and projects in all business divisions even during insolvency proceedings. This gives reasonable hope for the next few years to experience a development of stability and growth.

The company said that it was especially proud of the more than successful collaboration of all parties involved - customers, suppliers, employees and external partners - which all had a share in successfully completing the self-administered insolvency plan of PARAT within a very short period of time.

Works council chairman Siegfried Nachbar appreciates this positive trend as well and is highly pleased that many employees were able to return to their working places in Neureichenau. The company presently employs approximately 320 people in Neureichenau and further 20 staff members in Remscheid.