Greek PPC a breath away from destruction

The Greek PPC, the country’s largest company, is a breath away from total collapse registering daily losses of 2.5 million euros and a total of 903 million for 2018. It is a time bomb threatening both the Greek banking system system and the Greek economy.

The responsibilities of both the administration under the chairman and managing director Manolis Panagiotakis and of the Minister of Environment and Energy George Stathakis are obvious and great, with the opposition parties talking about the rendering of criminal responsibilities due to the drastic depreciation of the company from the disastrous choices of the goverment.

“With their choices, they led the PPC to the cliff and turned it into a zombie company with high losses, huge unsecured debts and discarded assets when in 2014 it was a robust company with a profit of 90 million euros”, said shadow Environment and Energy Minister Costas Skrekas. “The wretched speculators who destroyed the PPC will be held accountable. Not only politically but also under the penal code, ” said KIN.AL MP and former Minister of Environment and Energy Yannis Maniatis.

The remarks in Ernst & Young’s auditor’s report, added fuel to the opposition fire, which for the first time opens issues on PPC’s viability, and questions the company’s ability to continue its activities. According to the comments, the great uncertainty about the continuation of PPC activity is caused by the high losses due to the collapse of turnover, but also by the fact that the short-term receivables are significantly lower than the short-term liabilities. As noted in the report, “total short-term liabilities of the group and the parent company exceed the total of short-term assets by approximately 708 million and 949 million respectively. This difference is mainly due to the decrease in operating profitability, the repayment obligation within the year 2019 of long-term debt of € 725.8 million, and a significant part of the additional obligation for purchases of CO2 rights due to the rapid increase in international prices in 2018 “.