Mondragon Loan to Fagor

On april in the year 2007 the coorperate ends with the net value of 13 million euros and one year later with the presentation of 121000 euros of values the net values has been dissapeared mostly totally.

In 2009 it had 20 million euros of loose. In 2010, 9.87 million of loose and in 2011, 25.7 million of euros. The responsibles of the company start making some measurements: decreased of salarys,...

On may, Mondragon loan to Fagor 70 million of euros.In 2012 it had 89 million of looses and decreased 9% in the facturation(1167 million). Without the rescue it had a risk to dissapear and the future was on the hands of Mondragon. The employees of Fagor decided to  reduce the salary 6,48%.

 The company had 60,4 million euros of loose during june and the amount of negotions decreased 19%, from 609 million to 491 million and the debt was about 860 miilion euros.

The 30th of october, BERRIA (a basque newspaper) spread that Mondragon said that it was ready  to help but because of the pression of basque goverment it denied.

The 31st of october the coorperative went to bankruptcy law because it had problems with the financial reciving and that carried the risk of dissapear. Mondragon decided not giving more money. The branch of Polonia (Fagor Mastercook) was the first introducing in the bankruptcy law.

On the way to the liquidation the 6th of novermber, the substitutes of the company met and the responsibles of Mondragon and Fagor  find a solution they said that they went to de bankruptcy law.

The 14th of november, the coorporative of Arrasate went to bankruptcy law because of the bad economic situation and the financing prblems. It was the time to remove the debt. They brought Edesa, Grumal and Proiek, Fagor electodomestics part to the judge merchandise of San Sebastian.

 The 16th of april, Cevital bought the most of FagorBrand builds and it activated them for few weeks.