Peko back in operation - Slovenians to sell facilities and lay off workers

After a two-week break, Slovenia's footwear industry has restarted production, but it will also start dismissing workers and selling facilities in Slovenia and the region due to liquidity problems.

The company management is working hard to maintain liquidity, which is why they negotiate a moratorium on loan repayment with banks, Finance reports and adds that Peko is selling its properties in Serbia, Croatia and Slovenia that are currently unused.

Peko also starts downsizing its personnel. It is expected that about 50 out of the total of 360 employees in Slovenia will lose their job, but no production worker is going to be dismissed.

Peko has been facing liquidity problems for a while now, given that the company lacked working capital for production investments early this year. The company then took out additional loans in order to be able to begin production for its Fall/Winter collection.