Banks have 21m-euro exposure to Trident's insolvency

Trident, the second-largest Romanian food retailer, which filed for insolvency with 25-26 million euros in debt in August, expects to end this year with a 30 million-euro turnover. The chain currently operates 4 supermarkets, which in 2008 posted a 47 million-euro turnover, according to data supplied by the company.
"The overall loans taken out during the time when Trident was developing its operations amount to 21 million euros in all - the initial repayment schedule has been maintained for some of them, while others have been rescheduled. Debts to suppliers and to some of the business partners amount to around 4-5 million euros," said the representatives of the operator of Trident supermarkets.
The retailer's shareholders filed for insolvency shortly after the closure of the Trident Shopping Center in Sibiu, the biggest real estate project of spouses Constantin and Alina Mateescu. They invested around 15 million euros in the project, for which they got a 10 million-euro loan from Romexterra Bank. Trident shareholders now rely on selling real estate assets to reduce its debts.
The Trident supermarket chain in Sibiu, which has been insolvent for around four months, expects a 30 million-euro turnover this year, down by almost half against the 55 million euros reported in 2008.
The retailer closed a supermarket in Alba Iulia and its only Sibiu-based supermarket, which it opened in April. The company also gave up plans to expand to Bucharest - this year was set to see the opening of the first Trident supermarket in Bucharest.
"The turnover we expect at the end of this year is 30 million euros. The company's management put off the expansion of the Trident chain to Bucharest, focusing instead on streamlining operations in its four medium-sized and large stores in Medias, Sibiu, Sfantu Gheorghe, and Deva," said representatives of Trident Trans Tex, the chain's operator.