Doux admits it may ask for legal intervention in France
The French group Doux, which in Brazil recently leased its chicken processing plants to JBS, has said it will try to deal with creditors in France, but it may request the appointment of an intervener - a type of bankruptcy in which an independent trustee is appointed to resolve the debt, reports Dow Jones Newswires, citing the French agency AFP.
"We are dealing with two options: reaching an agreement with our partners or announcing this measure," said a spokesman for the company. It would help the company out given its unsustainable debts and isolate its French operation from the heavy losses made at the Brazilian subsidiary.
Both outcomes are possible, according to the same source at Doux, which is the fifth-largest chicken exporter in the world, with customers in 130 countries. The company has 3,400 employees in France and in 2010 reported sales of € 1.4 billion. The market estimates Doux’ debt at € 437 million, including € 200 million at the Brazilian subsidiary, Doux Frangosul.
Information provided by Valor Economico