PKP Cargo subsidiary seals creditor deal while parent remains mired in debt dispute

PKP Cargo’s rolling-stock maintenance subsidiary, PKP Cargotabor, has secured a legally binding deal to repay its debts, ending two years of restructuring and bringing some stability to a key part of the Polish freight operator’s business. Its parent company, however, remains locked in a dispute with creditors over its own financial rescue.

PKP Cargotabor’s restructuring proceedings have formally concluded after a Warsaw court’s approval of its agreement with creditors became legally binding on 24 October. The company, responsible for maintaining and repairing PKP Cargo’s locomotives and freight wagons, will now begin implementing the agreement and repaying creditors.

“The completion of the restructuring proceedings at PKP Cargotabor is an important step both for the company itself and the entire PKP Cargo Group,” said Monika Starecka, acting president of PKP Cargo’s management board. “Cargotabor plays a significant role in our technical support, so we want the company to be able to focus on stable operations and the provision of rolling stock maintenance services.”

Cargotabor entered restructuring in September 2024, following the financial troubles that engulfed its parent company. In August this year, 250 of 271 creditors who voted backed its proposed agreement. The court approved the arrangement in mid-October, with the decision becoming final on 24 October.

This story was originally published by RailFreight.com. Read the full story at RailFreight.com →