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14th March, 2019

MNB prepares to close NHB bank

The MNB appears to be preparing to shut down the troubled NHB bank, website Menedzsment Forum reports.

Acting as the financial supervisory, the MNB has told the deposit guarantee fund OBA to prepare to pay NHB clients.

The MNB order limiting the withdrawal of deposits from NHB ends on March 18. The deadline cannot be extended further, as it has already been extended twice.

As a result, the MNB has to decide whether to end the withdrawal restrictions or start to liquidate the bank.

NHB has been unable to repay Ft 30 billion of deposits since December 18, 2018, when the MNB imposed a Ft 7 million ceiling on withdrawals and placed the bank under the control of a commissioner.

An audit by the MNB resulted in negative findings about the liquidity of the bank.

NHB closed all nine of its branches outside Budapest on January 25.

BanKonsult, a company owned by Tamas Szemerey, a cousin of MNB governor Gyorgy Matolcsy, has a 98.5% stake in NHB, while Lebanon-based Fransa Holding has 1.5%.

Security guard company Valton may lose money on the liquidation of NHB because it had billions deposited with the bank, in an amount above the guarantee threshold. (mfor.hu; napi.hu; portfolio.hu; nepszava.hu; index.hu; hvg.hu)
14th March, 2019

Strike threat grows at Metro

The Retail Workers Union (KASZ) set up a strike committee at Metro on Monday because employees reject the wage policy of the cash and carry chain, KASZ president Zoltan Karsai announced on Tuesday.

The law grants the employer seven days to engage in negotiations after the strike committee is formed before workers are allowed to strike legally.

The union demands that the lowest gross wage should be Ft 210,000 per month, with 13th- and 14th-month bonuses.

The KASZ also demands the launch of a loyalty bonus scheme.

In response, Metro said it is proceeding with its wage development plan established in early 2018, which is valid until 2020.

According to earlier reports, Metro raised the base monthly wage from Ft 180,500 valid in 2018 to Ft 190,000 and later to Ft 200,000. (index.hu; napi.hu; portfolio.hu; hvg.hu)
14th March, 2019

SEGA dismisses striking workers

SEGA has fired four or five employees who took part in a failed strike at its Miskolc plant last week, news website G7 learned.

The company, formerly part of the Bosch group, now owned by Chinese investors, employs 1,600 people.

Of these, 50-60 participated in the strike which failed after two days last Friday.

The employees were dismissed at a meeting on Monday, where executives thanked the workers who did not participate in the strike.

That was humiliating and served the purpose of displaying power, a dismissed employee said.

SEGA said it is releasing temporary workers on various grounds. (g7.hu)
14th March, 2019

Hankook functioning despite strike

Production at the Hankook tyre factory is above the level estimated for a strike, as production is at nearly 70% of capacity, the South Korean company announced on Wednesday.

Hankook said the union continuously releases fake information and contradicting news, adding that it will not respond to media reports.

The union went on an indefinite strike on Tuesday, after staging a two-hour warning strike last week.

The factory employs workers from Ukraine and Mongolia who are not permitted to join the strike, Nepszava reports,

The union says it has increased its membership by about 100 during the strike to 1,300 of the 3,100 people employed by Hankook.

About half of the workers went on strike, the union said. (nepszava.hu; portfolio.hu; index.hu; magyarnemzet.hu)
14th March, 2019

State utility suppliers to merge

The electricity and natural gas distributor subsidiaries of the state utility company NKM will merge on June 30, 2019 under the name NKM Energia, NKM announced on Wednesday.

The new entity will have assets of Ft 313 billion and net capital of Ft 210 billion.

It will be the first company in Hungary to provide both electricity and gas, NKM underlined. (portfolio.hu)
14th March, 2019

Alteo plans private placement

Alteo has decided to carry out a capital increase in the form of a private placement, the alternative energy company announced yesterday on the stock exchange website.

Alteo will issue new shares at Ft 660-670 per share to a total value of Ft 500 million to Ft 2 billion, depending on demand.

The board of directors will set the final price after the preliminary subscription period ends on March 19.

The company says it has identified promising investment possibilities requiring Ft 7-10 billion and will use revenues from the capital for that purpose.

The capital increase will give management greater speed and flexibility in exploiting investment opportunities, said CEO Attila Chikan Jr. (napi.hu; portfolio.hu)

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