Belneftekhim companies report $2bn indebtedness to banks
<p> MINSK, Jun 29 - PrimePress. The accumulated debt of enterprises subordinate to the state petrochemical concern Belneftekhim total over $2 billion, says Belneftekhim Vice Chair Svetlana Gurina. </p> <p> </p> <p> “The total debt of the enterprises is over $2 billion. As the indebtedness under credits to finance investment operations is gradually decreasing, the proportion of the debt on loans taken to finance current operations in the total loan portfolio remains at around 67%,” Gurina says. </p> <p> </p> <p> These are the funds borrowed for a short turnover period, which, in the face of falling product prices, are becoming increasingly difficult to repay and service. The share of revenues allocated for repayment averaged around 46% in 2019, and reached 61% in 2020. </p> <p> </p> <p> “Therefore, the concern applies net cash flow from current operations as the main criterion for the assessment of production programs effectiveness and sales plans,” says Gurina, “Most enterprises meet effectiveness targets, thereby retaining the status of reliable borrowers.” </p> <p> </p> <p> According to Gurina, Belneftekhim’s companies succeed in finding mutually acceptable solutions with lending banks on emerging issues and on optimization of terms of financing and refinancing. </p> <p> </p> <p> As reported, Belneftekhim enterprises reduced exports of commodities in January-March 2020 by 55.8% year on year to $921.2 million, while the plan was to step up exports by 3.5%. </p> <p> </p> <p> The Belarusian State Concern for Oil and Chemistry (Belneftekhim Concern) unites more than 60 chemical and petrochemical enterprises engaged in production, refining and transportation of crude oil, and oil products supplies, and units that ensure the functioning of petrochemical facilities and provide scientific backup services. The enterprises produce more than 500 types of commodities, including oil products, chemical fibers and threads, mineral fertilizers, tires, high-pressure polyethylene, fiberglass products, varnishes, paints, polyethylene and polypropylene pipes, etc. Nearly 70% of the products are exported to more than 100 countries. End </p>
2020-06-30
Primepress
Belneftekhim companies report $2bn indebtedness to banks
MINSK, Jun 29 - PrimePress. The accumulated debt of enterprises subordinate to the state petrochemical concern Belneftekhim total over $2 billion, says Belneftekhim Vice Chair Svetlana Gurina.
“The total debt of the enterprises is over $2 billion. As the indebtedness under credits to finance investment operations is gradually decreasing, the proportion of the debt on loans taken to finance current operations in the total loan portfolio remains at around 67%,” Gurina says.
These are the funds borrowed for a short turnover period, which, in the face of falling product prices, are becoming increasingly difficult to repay and service. The share of revenues allocated for repayment averaged around 46% in 2019, and reached 61% in 2020.
“Therefore, the concern applies net cash flow from current operations as the main criterion for the assessment of production programs effectiveness and sales plans,” says Gurina, “Most enterprises meet effectiveness targets, thereby retaining the status of reliable borrowers.”
According to Gurina, Belneftekhim’s companies succeed in finding mutually acceptable solutions with lending banks on emerging issues and on optimization of terms of financing and refinancing.
As reported, Belneftekhim enterprises reduced exports of commodities in January-March 2020 by 55.8% year on year to $921.2 million, while the plan was to step up exports by 3.5%.
The Belarusian State Concern for Oil and Chemistry (Belneftekhim Concern) unites more than 60 chemical and petrochemical enterprises engaged in production, refining and transportation of crude oil, and oil products supplies, and units that ensure the functioning of petrochemical facilities and provide scientific backup services. The enterprises produce more than 500 types of commodities, including oil products, chemical fibers and threads, mineral fertilizers, tires, high-pressure polyethylene, fiberglass products, varnishes, paints, polyethylene and polypropylene pipes, etc. Nearly 70% of the products are exported to more than 100 countries. End