The restructuring events database contains factsheets with data on large-scale restructuring events reported in the principal national media and company websites in each EU Member State. This database was created in 2002.
Manufacturing Manufacture Of Material For Textiles, Apparel, Leather And Related Products Manufacture Of Wearing Apparel 14.13 - Manufacture Of Other Outerwear
115 jobs Number of planned job losses
Announcement Date
23 February 2024
Employment effect (start)
23 February 2024
Foreseen end date
23 April 2024
Description
Lithuanian company Kauno Baltija, with 115 employees, goes bankrupt. The company had 4 branches in several regions of Lithuania. The bankruptcy order entered into force on 21 February, stating that the company was experiencing financial difficulties and was unable to meet its financial obligations to its creditors due to a number of circumstances beyond its control.
According to the former CEO, the main reasons that led the company to bankruptcy were the steady increase in the minimum wage, the loss of customers' ability to sell in Russia due to the war, and the increase in interest rates on bank loans.
The company had been operating in Lithuania for more than 30 years.
Eurofound (2024), Kauno Baltija, Bankruptcy in Lithuania, factsheet number 200846, European Restructuring Monitor. Dublin, https://restructuringeventsprod.azurewebsites.net/restructuring-events/detail/200846.
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