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TRINIDAD | Imbert says Economy will suffer if Petrotrin is prevented from moving forward

Featured TRINIDAD | Imbert says Economy will suffer if Petrotrin is prevented from moving forward
PORT OF SPAIN, Trinidad and Tobago, October 8, 2018 - Finance Minister Colm Imbert has warned that Trinidad and Tobago’s economy will suffer “profound implications” if Petrotrin is prevented from moving forward with its restructuring plan.

He said just yesterday he received a letter from Petrotrin asking for financial support by giving Government guarantees for financial facilities to three banks to the tune of TT$1.2 billion and when he signs this it immediately pushes this country’s debt profile up.

Speaking at a news conference yesterday following the Industrial Court judgment restraining Petrotrin from retrenching workers and shutting down the company, Imbert said these financing facilities need to be re-financed on or before October 15.

Minister Colm Imbert said late Monday that, PETROTRIN has two financing facilities “which need to be re-financed or rolled over on or about the 15th of October this year.

“They have a facility with Duetsche Bank in the amount of US$100 million and a facility with Citi Bank in the amount of US$50 million. They also have a facility with Republic bank in the amount of US$22.2 million.

“When you add up all three you get a total of US$172.2 million and when you do the conversion that is TT$1.2 billion and this letter today (from PETROTRIN) advises me as Minister of Finance that unless PETROTRIN gets government guarantees for these facilities within the next week, the company will not be able to pay its bills, and essentially will not be able to continue”

Imbert said he wanted to put the latest financial position facing the company in the public domain noting that while the Industrial Court has made a decision “restraining the company from terminating employees or offering voluntary separation packages” the hearings would take place towards the end of this month and into November.

He said he is also aware of an appeal being filed in the matter and “I would hope the court would treat with this matter in the urgency that it deserves and we will have a quick determination from the Court of Appeal ….

‘But in the interim while this litigation is taking place, I as Minister of Finance have requests for government guarantees totalling TT$1.2 billion which the company has said their banks have told them they must get within the next seven days”.

  • Countries: Trinidad_Tobago

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