Firm Euro Insol is Vulcan’s court-appointed administrator.
According to the company, Vulcan lacks financing to cover debts and its only chance of survival is reorganizing operations.
Vulcan’s sales fell from 104.9 million lei (EUR24 million) in 2010 to RON93.2 million in 2011 and RON73.7 million in 2012. The company registered loss of RON19.6 million in 2010, which expanded to RON30.6 million in 2011 and to RON48.5 million last year.
In 2012, Vulcan said it had difficulties in ensuring working capital, following an increase in orders.
At the end of last year, Vulcan registered debts of RON160.8 million, of which RON29.4 million to the state budget. It employs some 900 people. (EUR1=RON4.3485)