Court declares OKD mining company bankrupt

The OKD mining company was declared bankrupt by the regional court in Ostrava on Monday, allowing creditors two months to file claims. The court named Lee Louda as bankruptcy manager to oversee the situation; a meeting of creditors will take place in August to decide upcoming steps. Court spokeswoman Lucie Olšarová said that these could be a restructuring of the company or a selling off of assets. The mining company filed for insolvency last week, with CEO Dale Ekmark saying the company lacked the funds to carry on and blaming the situation on historically low coal prices. The state made clear earlier that helping miners at the ailing plant was a priority.

Author: Jan Velinger