According to the Credit Protection Association of 1870 (KSV), insolvency administrator Christian Winder explained that 116 creditors had registered legitimate claims. Operations will probably be transferred to the state of Tyrol at the turn of the year. Intensive negotiations are currently underway to transfer this to a company belonging to the state of Tyrol. Employees, inventory and long-term contracts should be taken over by this company.
Renovation not planned
As a result, the KSV expected the company to be closed and the company subsequently liquidated, it said in a press release. No renovation is planned. There was recently talk that Tiroler Kinder und Jugend GmbH could step in as the new sponsor.
At the end of August, the black-red Tyrolean state government ended its cooperation with the institution and brought “economic deficiencies” into the meeting. 94 employees were affected by the subsequent insolvency. The application for bankruptcy was filed by Jugendland itself.
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Number of company bankruptcies significantly up
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Ignificantly up
According to recent data from Statistics Austria, the number of company bankruptcies has shown a notable increase in the third quarter of the year. This trend reflects ongoing challenges within various sectors of the economy, exacerbated by factors such as economic deficiencies and the impact of the recent insolvencies, including that of Jugendland.
As reported, Christian Winder from the Credit Protection Association (KSV) indicated that 116 creditors have registered their claims as legitimate, following the bankruptcy application filed by Jugendland itself. With intensive negotiations underway for operational transfer to a company affiliated with the state of Tyrol, it appears that the future of the employees and existing contracts could be secured, albeit the KSV anticipates the eventual closure and liquidation of the company.
The Tyrolean state government had previously terminated its cooperation with the institution, citing economic deficiencies, which directly led to the insolvency affecting 94 employees. In light of these events, there’s speculation about Tiroler Kinder und Jugend GmbH potentially stepping in to serve as the new sponsor, although no renovation plans have been disclosed.
Given the overall context, this uptick in bankruptcies raises concerns about the stability of businesses in the region and prompts a closer examination of the economic environment.
