The Sales Machine, controller of Ricardo Eletro, presented this Tuesday (10/13) the draft of the judicial recovery plan. The process is running at the 1st Bankruptcy and Recoveries Court in São Paulo.
The plan provides for the advance payment of labor credits for three thousand former employees. The measure may take place even before the creditors’ meeting votes on the plan. The company said it is only waiting for the release of tax blocks. Another 5,000 workers will also be eligible.
According to the Sales Machine, properties can be used to accelerate the payment of creditors with collateral and unsecured (unsecured), respecting the priority of labor claims.
The plan must take place according to the following guidelines:
- Labor credits: will be paid in up to 12 months, respecting the ceiling of 150 minimum wages per creditor, in a progressive discount table, so as not to harm workers who have less to receive;
- Secured or unsecured credits: annual payment through cash sweep (use of cash surplus for early amortization of amounts, interest and other charges) after minimum annual cash of R $ 100 million;
- Micro and small businesses: credits of up to R $ 1,500 will be paid in 24 months. Values that exceed this limit will follow the same rule established for the unsecured.
Judge Tiago Limongi, from the 1st Bankruptcy Court, accepted the request for judicial reorganization in August this year. Laspro Consultores has been appointed as a judicial administrator.
The magistrate also released R $ 28.8 million deposited in a tax enforcement process and authorized the release of cards. The company’s debt is over R $ 4 billion.
The company said it has struggled to receive Chinese products since the beginning of the Covid-19 epidemic. He also affirms that he started to suffer from burning of cash since the measures of social isolation came into force in Brazil.
Pedro Bianchi, CEO of Ricardo Eletro, said he hoped the company would “overcome the mistakes of the past” and “capture as many hits as possible”. “We are confident that, with humility, respect for creditors and society, we will seek new heights”, he says.
Click here to read the draft