Although permanently insolvent, Cestné Stavby, the Košice-based road and rail construction firm, is paying off its bank loans on time, according to a report in Burza. In 1995, the company sold a 20 million Sk bond issue to employees with interest worth the National Bank's rate of 7 percent.
The company's poor financial standing has forced it to cut its payroll from 1,520 employees in 1993 to 1,186 in 1996.
Among the company's assets are a plant that produces prefabricated bridge parts, 10 asphalt production plants, seven quarries, and a daughter company just across the Ukraine border in Uzhgorod.
The biggest current contract for Cestné Stavby, which forecasts 1 billion Sk worth of sales this year, is with the Slovak Highway Authority for the Hybe-Važec highway in north-central Slovakia, which is worth 500 million Sk ($16.6 million) over several years.
5. Jun 1997 at 0:00 | From press reports of TASR and SITA