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Bulgartabac plant in Plovdiv closed

Mon, May 12 2008 21:27 CET byElitsa Grancharova 105 Views
Bulgartabac plant in Plovdiv closed

State-run tobacco firm Bulgartabac Holding closed its cigarette plant in Plovdiv on May 12, a company spokesperson told The Sofia Echo on the same day. The holding did so despite the fact that until a day earlier, the plant's employees worked in three shifts due to many orders from Bulgaria and abroad, private broadcaster bTV reported.

Bulgartabac Plovdiv is the oldest tobacco factory in Bulgaria. The information memorandum for the unit sale has to be ready within three months. However, some of the employees fear that the future buyer would not receive licence for cigarettes production. In such case, the huge building fund of the factory could be split up and sold piecemeal.

At the beginning of 2008 Bulgartabac Holding decided to close down its Plovdiv unit because it was under-performing.

After the announcement, Bulgartabac Plovdiv employees went on protests. After negotiations with the workers, the holding's management agreed to give them compensation of almost two salaries for each year of service but despite this, the employees said they still hoped to receive back their working positions after the new owner re-opens the factory.

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