Petromidia debts under negotiation

Rompetrol chairman Dinu Patriciu is personally negotiating the situation of Petromidia Refinery’s debts to the state budget with the representatives of the Finance Ministry. Patriciu on Wednesday met with state secretary Maria Manolescu, the official in charge of monitoring the budgetary debt payment schedule, as well as with Finance minister Mihai Tanasescu. “Petromidia has already become a public debate issue. I don’t know if a debt-for-equity swap is the best solution. We have not made a decision yet,” Tanasescu on Wednesday said. He explained that in case negotiations fell through, the legal step no one could challenge would be a forced execution of the company. Tanasescu added the role Petromidia might have in the economy would need to be considered, though. Dinu Patriciu on Tuesday said he had sent a memorandum to all the institutions involved in building the state budget, explaining Petromidia’s debt situation and asking for a solution to the refinery’s problems. The company failed to comply with its long overdue debt payment schedule and therefore lost the right to rescheduling. Ordinance 40/2002 on budgetary arrears collection says Petromidia may not apply for rescheduling again in less than one year. ZF