Gov’t, unions worry about impact of Abengoa bankrupcty on Spanish economy, labour market

Abengoa solar plant in n Sanlúcar La Mayor, Sevilla. Photo: EFE
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• Creditors say solar, wind powerhouse’s debt level exceeds 9 bn euros

• Spanish renewables giant employs 7,000 in Spain and 28,000 worldwide

Spain’s renewable energy company Abengoa, struggling to stave of creditors in the wake of its recent bankruptcy filing, is causing concern in Spain and worldwide over the number of jobs that could be sacrificed if the company does not remain solvent.

A global powerhouse in bio-fuels, solar and wind power that employs more than 28,000 in some 80 countries worldwide and 7,000 in Spain alone, Abengoa filed for preliminary creditor protection on Nov. 25th saying it could not meet its debt obligations of nearly 9 billion euros.

The preliminary creditor protection gives the renewable energies powerhouse four months to find a solution to cover its financial obligations. Since then, creditors have said that the company’s outstanding debt could stand at as much as 25 billion euros.

The Spanish government and labour unions representing workers at Abengoa’s Spanish subsidiaries are concerned about the negative impact an eventual bankruptcy could have on Spain’s labor market and economy.

Read the Full Story in English at The Local >>

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