Association of Shipmasters & Chief Engineers

BREAKING NEWS

The Slovenian Government has resolved to transform the seamen's retained wages into ownership quotas in Splosna Plovba d.o.o.

The legality of our model of ownership transformation of seamen's retained wages into ownership quotas has been upheld.

N E W S

The Association of Shipmasters & Chief Engineers in Maritime Transport of the Republic of Slovenia signed a new agreement with Splosna Plovba d.o.o. which provides for a settlement of seamen's claims until June 30, 1998 the latest for the part of their retained wages up to 31.12.1994. The Association has given its support in securing social peace among the seamen. This support will be withdrawn in case their claims would not be realized until June 30, the latest. The agreement reconfirms the seamen's claims and precisely defines the quota of the company which would be privatized by the seamen. This agreement is thus an additional document which reconfirms the credibility of all the efforts of the Association in assuring an equitable and fair solution to the seamen's claims taking into account also the interests of the company.

TRANSFORMATION OF CLAIMS FOR THE PART OF RETAINED WAGES INTO OWNERSHIP QUOTAS

The proposed proceedings for transforming the claims of the seamen employed by SP and GSH for the part of their retained wages up to 31.12.1994 into a 20% ownership quota of SP were already prepared in 1996. The founding of an authorized designated company was foreseen and its capitalization with the transformation of the seamen's claims into an ownership quota of Splosna Plovba d.o.o. and the proceedings needed for the seamen to become the owners of the designated company.

With the finalization of the said procedures, the ownership structure of Splosna Plovba d.o.o. would change. The designated company would acquire an ownership quota of 20%, its owners being the seamen in ratio to their retained wages. The Republic of Slovenia would retain her ownership quota of 80%.

All foreseen procedures which were up to us to realize have been concluded. We have been waiting for some time now for the government to finally resolve on the matter, i.e. in accordance with the Company Act to adopt a resolution on the capitalization of Splosna Plovba d.o.o. Because it has not done so as yet, the whole process of ownership transformation is bogged down. We can only hope that the new agreement which has been signed this year with the Government of Slovenia will lead to the solution of this problem.