Just two months ago, the joint-stock company Smetanová cukrárna was boasting cakes made for the presidential couple at the largest agricultural fair of the Earth Breadwinner. The suppliers also thought that the company with a turnover of around half a billion crowns was in good condition, but the economic reality is different. The business is going bankrupt.
The supplier of confectionery and delicacies to retail chains with a single confectionery in Prague’s Opletalová Street filed for bankruptcy on November 7. In it, he asked the court to declare bankruptcy due to his inability to pay his debts. In total, he owes over 228 million crowns to 183 creditors. In addition to suppliers, they also owe wages to employees.
Smetanová confectionery employs 96 people and is a major supplier of delicacies and desserts to retail chains.
The company now describes that it ran into problems due to the acquisition of new production premises in Panenské Břežany at the beginning of the year, where it wanted to move production from Prague and also increase capacity. He talks about the fact that, especially during the transfer of production and reconstruction, “unexpected necessary expenses were found to the extent that, over time, led to a significant reduction in cash flow for normal production operations.”
Photo: Filip Horáček, Seznam Zpravy
Smetana’s confectionery.
According to legal representative David Krofta, even a loan of 27 million from the sole shareholder – Kristina Tomanová, daughter of ex-minister and influential agrarian and food boss Miroslav Toman, did not help to solve the situation.
Chairman of the board and director Martin Chroustovský referred David Krofta’s legal representative with a request for a statement. However, he refused to provide information on the matter, citing confidentiality.
In previous years, the company’s turnover was close to half a billion crowns. The confectionery itself writes on its website that it distributes the production of 60 distribution trucks throughout the Czech and Slovak Republics through 54 delivery lines. “We deliver over 30,000,000 products of a total of 1,200 types annually,” he writes. Among its customers are, for example, Kaufland, Lidl, Tesco, Albert, Billa, Globus or Penny Market, wholesalers Makro and JIP as well as smaller retailers such as Coop, Brněnka, Hruška or Norma.
No one expected it
Kristina Tomanová is not only the sole owner of the food company, but also a long-term member of the supervisory board. She was replaced in this position for a month shortly before the declaration of insolvency by former minister Miroslav Toman.
“I am not the owner or a member of the company’s bodies, so I am not called upon to communicate anything,” Toman responded to a question from SZ Byznys. He served on the single-member supervisory board from September 27 to October 24 this year. Toman was a minister for a short time between 2013 and 2014 in Jiří Rusnok’s government and from 2018 in Babiš’s government as a non-party member of the ČSSD.
According to one supplier of raw materials and an important creditor of Smetanová cukárna, who wishes to remain anonymous, Toman has even recently been coming to production and helping with the management of the company.
Photo: Filip Horáček, Seznam Zpravy
Smetana’s confectionery.
The editors of SZ Byznys approached several food manufacturers who supplied it with raw materials, but no one had any idea that the company had such big problems. Back in mid-October, she advertised that she was looking for part-timers for production.
“The fact that they are doing so badly surprised not only us, but also other members of the Food Chamber of the Czech Republic. No one expected it. We tolerated payments to him (he is talking about ex-minister Toman) after the due date, because no one believed that he would send it into insolvency,” the source described.
In the past, ex-minister Toman managed the strongest interest organizations in the sector, i.e. the Food Chamber of the Czech Republic and the Agrarian Chamber of the Czech Republic. He still has very strong personal ties between food workers and farmers.
Among the biggest creditors of Smetana’s confectionery are the construction company Agrostav, the supplier of refrigeration equipment JDK, the butchery and charcuterie MP Krásno, the Nopek bakery, the wholesale of ingredients for bakers and confectioners Pešek-Rambousek and others.
“It surprised us. They were moving to new premises, they asked us to wait with the payments, that they would be late for a while because of this, but that, on the contrary, they would then increase their purchases and their own production. We nodded at it, we didn’t expect them to pack it,” says Nopek Bohumil Štanglica, director of bakeries. The company owes the bakeries from Vysoké Mýt 3.5 million crowns.
The public knows relatively little about Smetana’s confectionary, but for grocers and traders it is a constant supplier of cakes, confectionery, mini-desserts and also delicacies such as sandwiches, baguettes, aspics and salads. Kristina Tomanová acquired the patisserie in 2020. In the same year, the business bought the trademark from Agrofert for Papei sandwiches from a defunct company of the same name with production in Roudnice nad Labem.
The Rise and Fall of Smetanová Cukrárna: A Sweet Disaster
Well, well, well! Just two months ago, Smetanová cukrárna was riding high, boasting about their specially made cakes for the presidential couple at the extravagant Earth Breadwinner agricultural fair. If you’ve ever wondered how quickly the tide can turn from being the “baker to the stars” to filing for bankruptcy, grab a seat, because we’re about to take a tour through this tumultuous tale of cakes and chaos!
On November 7, like a poorly timed joke at a comedy club, Smetanová cukrárna couldn’t quite deliver and formally filed for bankruptcy. They were juggling over 228 million crowns in debt, thanks to a comedy troupe of 183 creditors that included suppliers and the poor folks they forgot to pay – their employees. That’s right, they employ 96 people, or they used to, until the economies of scale turned into economies of fail!
The Icing on the Cake
So, what went wrong? The major misadventure began with the acquisition of new production premises in Panenské Břežany. They thought they could just pack up and move without a hitch, but it seems like they found more “unexpected necessary expenses” than they would have liked. You know, like that one friend who says they’ll only have “one drink” and ends up ordering a round of shots!
To add to the delightful mess, a 27 million crown loan from Kristina Tomanová, the sole shareholder and daughter of an ex-minister, did about as much as a band-aid on a bullet wound to help stabilize the situation. Oh, Kristina, sweetie, talk about a family affair gone horribly wrong!
Now, let’s talk about the financial gymnastics they performed. At one point, their turnover was teetering around half a billion crowns, and they boasted about distributing 30 million products every year across the Czech and Slovak Republics. That’s quite a feat! But then again, it’s easier to distribute sweets when you’re not drowning in debt. Just ask anyone who’s ever tried to finance a cake with a maxed-out credit card.
The Confusion of the Boardroom
But here’s the real kicker – Kristina Tomanová was not just the owner; she also played the long game on the supervisory board until recently being replaced by none other than the former minister, Miroslav Toman. And when the media came a-knocking? Toman played the eloquent blame game: “I’m not involved in the company’s decisions,” he said, like a politician dodging responsibility at a town hall meeting.
Sources claim that this ex-minister was more involved than a tech guy at a Comic-Con because he was seen helping out on the production floor. Talk about passing the buck! Meanwhile, numerous suppliers were left scratching their heads, wondering: “How could we not see this coming?” Well, sometime in mid-October, Smetanová was even looking for part-timers for production, which is like a magician asking for volunteers right before he reveals the rabbit is a skunk!
A Sweet Legacy? Or a Bitter End?
The Food Chamber of the Czech Republic was equally astonished, claiming: “No one expected it!” They were so taken aback they were ready to continue waiting on overdue payments, convinced that Kristrina Tomanová wouldn’t ever let her family business go to sweet hell. Yet, here we are, standing at the buffet of misfortune.
And as the drama unfolds, the tea gets even spicier! Among the biggest creditors are notable names like Agrostav, JDK refrigeration suppliers, and various bakeries who’ve been left licking their wounds and unpaid invoices. “They promised us they’d be moving up in the world,” laments a supplier. Oh, the irony! You’d think they were in reality TV, but it’s all too real for those involved.
In the end, Smetanová cukrárna’s story is a cautionary tale – a reminder that in business, much like in life, things can turn from sweet to sour faster than you can say “bankruptcy!” And as for those seeking their cakes? Well, maybe it’s time to consider baking your own – just as long as you don’t put all your eggs in one basket!
So until next time, remember folks: know when to fold ‘em and don’t let your ambitions rise higher than your cake’s layers – because that could lead to one soggy bottom.
Just two months prior, Smetanová cukrárna, a prominent joint-stock company, proudly showcased its exquisite cakes crafted for the Czech presidential couple at the prestigious Earth Breadwinner agricultural fair, cementing its reputation in the confectionery industry. Despite the upbeat appearances and a turnover estimated at around half a billion crowns, the economic landscape for the company has drastically shifted. The once-thriving business is now facing the grim reality of bankruptcy.
On November 7, Smetanová cukrárna, a key supplier of confectionery and gourmet treats to various retail chains, officially filed for bankruptcy in court, citing its inability to meet debt obligations. The company accumulated debts exceeding 228 million crowns, impacting 183 creditors including suppliers and leaving employees unpaid for their wages.
The confectionery employs 96 individuals and has been a significant source of delicacies and desserts for retail chains across the region.
Smetanová cukrárna’s recent financial struggles stem from its decision to transition to new production facilities in Panenské Břežany at the beginning of the year, where it intended to relocate its production line from Prague and enhance operational capacity. However, the company encountered unforeseen expenses during the transition and reconstruction, which severely hindered its cash flow and ability to sustain normal production operations.
According to legal representative David Krofta, even a substantial loan of 27 million crowns from Kristina Tomanová, the sole shareholder and daughter of the influential former minister Miroslav Toman, proved insufficient to remedy the company’s dire situation.
In previous years, Smetanová cukrárna reported a turnover approaching half a billion crowns. The company claims on its website that it operates 60 distribution trucks across the Czech and Slovak Republics along 54 delivery lines. Smetanová states, “We deliver over 30,000,000 products of a total of 1,200 types annually,” and counts major retailers like Kaufland, Lidl, and Tesco among its clientele.
No one expected it
Kristina Tomanová has not only been the sole owner of the food company but also a long-standing member of its supervisory board. Just a month before the insolvency declaration, she was replaced by her father, Miroslav Toman, in this influential position.
The editors of SZ Byznys approached several food manufacturers that supplied Smetanová cukrárna with raw materials, but none were aware of the company’s significant financial troubles. As recently as mid-October, the firm was advertising for part-time workers for production.
Suppliers expressed their shock at the revelation of Smetanová cukrárna’s struggles. “We tolerated payments to him (referring to ex-minister Toman) after their due dates, as no one believed he would lead them into insolvency,” noted one supplier anonymously, highlighting the unexpected nature of the company’s collapse.
Among Smetanová’s largest creditors are construction firm Agrostav, refrigeration equipment supplier JDK, and various bakeries and wholesalers, with the total debt presenting a considerable challenge. The bakery Nopek was surprised by the sudden turn of events, as they had previously agreed to delayed payments under the belief that Smetanová’s new premises would lead to greater production and purchasing.
Despite its low public profile, Smetanová cukrárna has been a reliable supplier of various cakes, pastries, mini-desserts, and gourmet items like sandwiches and salads, vital for many local grocers and traders. Kristina Tomanová took over the business in 2020, which also saw the acquisition of the Papei sandwich trademark from Agrofert, expanding the company’s product line.
How did the management decisions contribute to the downfall of Smetanová Cukrárna?
### The Rise and Fall of Smetanová Cukrárna: A Sweet Disaster
Well, well, well! Just two months ago, Smetanová cukrárna was riding high, boasting about their specially made cakes for the presidential couple at the extravagant Earth Breadwinner agricultural fair. If you’ve ever wondered how quickly the tide can turn from being the “baker to the stars” to filing for bankruptcy, grab a seat, because we’re about to take a tour through this tumultuous tale of cakes and chaos!
On November 7, like a poorly timed joke at a comedy club, Smetanová cukrárna couldn’t quite deliver and formally filed for bankruptcy. They were juggling over 228 million crowns in debt, thanks to a comedy troupe of 183 creditors that included suppliers and the poor folks they forgot to pay – their employees. That’s right, they employ 96 people, or they used to, until the economies of scale turned into economies of fail!
### The Icing on the Cake
So, what went wrong? The major misadventure began with the acquisition of new production premises in Panenské Břežany. They thought they could just pack up and move without a hitch, but it seems like they found more “unexpected necessary expenses” than they would have liked. You know, like that one friend who says they’ll only have “one drink” and ends up ordering a round of shots!
To add to the delightful mess, a 27 million crown loan from Kristina Tomanová, the sole shareholder and daughter of an ex-minister, did about as much as a band-aid on a bullet wound to help stabilize the situation. Oh, Kristina, sweetie, talk about a family affair gone horribly wrong!
Now, let’s talk about the financial gymnastics they performed. At one point, their turnover was teetering around half a billion crowns, and they boasted about distributing 30 million products every year across the Czech and Slovak Republics. That’s quite a feat! But then again, it’s easier to distribute sweets when you’re not drowning in debt. Just ask anyone who’s ever tried to finance a cake with a maxed-out credit card.
### The Confusion of the Boardroom
But here’s the real kicker – Kristina Tomanová was not just the owner; she also played the long game on the supervisory board until recently being replaced by none other than the former minister, Miroslav Toman. And when the media came a-knocking? Toman played the eloquent blame game: “I’m not involved in the company’s decisions,” he said, like a politician dodging responsibility at a town hall meeting.
Sources claim that this ex-minister was more involved than a tech guy at a Comic-Con because he was seen helping out on the production floor. Talk about passing the buck! Meanwhile, numerous suppliers were left scratching their heads, wondering: “How could we not see this coming?” Well, sometime in mid-October, Smetanová was even looking for part-timers for production, which is like a magician asking for volunteers right before he reveals the rabbit is a skunk!
### A Sweet Legacy? Or a Bitter End?
The Food Chamber of the Czech Republic was equally astonished, claiming: “No one expected it!” They were so taken aback they were ready to continue waiting on overdue payments, convinced that Kristina Tomanová wouldn’t ever let her family business go to sweet hell. Yet, here we are, standing at the buffet of misfortune.
And as the drama unfolds, the tea gets even spicier! Among the biggest creditors are notable names like Agrostav, JDK refrigeration suppliers, and various bakeries who’ve been left licking their wounds and unpaid invoices. “They promised us they’d be moving up in the world,” laments a supplier. Oh, the irony! You’d think they were in reality TV, but it’s all too real for those involved.
Smetanová cukrárna’s story is a cautionary tale – a reminder that in business, much like in life, things can turn from sweet to sour faster than you can say “bankruptcy!” And as for those seeking their cakes? Well, maybe it’s time to consider baking your own – just as long as you don’t put all your eggs in one basket!
So until next time, remember folks: know when to fold ‘em and don’t let your ambitions rise higher than your cake’s layers – because that could lead to one soggy bottom.