Rog Kolesa in Compulsory Settlement
LJUBLJANA, Slovenia (August 26) – Tevz Tavcar, the first man at Skimar and president of the board of Rog Kolesa, anounced that they have voted for a compulsory settlement for Rog kolesa d.d. (also known as Elan bikes). On August 17th this was confirmed by the court. The management of Rog/Elan bikes has to make […]
LJUBLJANA, Slovenia (August 26) – Tevz Tavcar, the first man at Skimar and president of the board of Rog Kolesa, anounced that they have voted for a compulsory settlement for Rog kolesa d.d. (also known as Elan bikes). On August 17th this was confirmed by the court. The management of Rog/Elan bikes has to make new financial plan by the middle of September.
Compulsory manager Melita Butara said that for now she can’t talk about creditors or amounts. The biggest creditor is Skimar, who gave a big loan to Rog kolesa two years ago. With the help of this loan and other financial injections Rog climbed out of the red and was soon after renamed in Elan Bikes. After personal and financial troubles last Autumn they changed the name back to Rog. Many believe that was not good idea, but Rog still has the license to use the Elan name for bikes.
Some speculate that Rog will end this year with 500 mio SIT (approx € 2.1 million) loss. Tavcar didn’t confirm this, but only said that this would mean a better result than last year… Rog now employs 70 people (was over 200 one year ago) and plans are to reduce that to about 40 employees.
There is no doubt that Rog is in a very difficult financial position, but they still have plans to continue bike production and sales and this is the reason they have opted for compulsory settlement, not for bankruptcy. If we take a look at Elan ski’s just a few years back, we can see a very similar situation. Elan ski’s were on the verge of going under several times and were even bought by a Croatian bank and sold back some years later, but somehow they still managed to operate. Hopefully this will be also the case for Rog/Elan bikes.
A connected story are the Elan shops, which operated under another Skimar company, Atac. They had 12 sport stores in Slovenia, but in August almost all were closed. Only two stores (in Ljubljana and in Begunje) remained open. Reason for this were bad financial results and competition – they just couldn’t compete with mega sports stores like Hervis and Intersport. (GS)