CROATIAN PRIVATISATION FUND OFFERS ANOTHER SOLUTION TO 'NAMA' CASE

ZAGREB, May 16 (Hina) - The Croatian Privatisation Fund's (HFP) steering board on Tuesday negatively assessed the NAMA Management's proposal, based on the letter of intent of the Privredna Bank Zagreb (PBZ) for the recovery of that chain of stores. The Fund described the proposal as negative, read a statement the Fund publish today after a unionist, Mario Ivekovic, on Monday said the Fund had refused the rehabilitation of NAMA. According to today's statement, the Fund is prepared to give the entire portfolio of NAMA shares to the Privredna Bank provided that the bank carries out the rehabilitation and commits itself to ensuring the regular and normal work of this chain of stores with the current number of employees in next five years. If the Bank accepts such a solution the Fund will ensure means for the payment of the additional two salaries to NAMA employees, read the statement. NAMA workers' union on Monday asked Croatian Premier Ivica Racan to convene an urgent session about the NAMA case. Mario Ivekovic, the leader of the Zagreb branch of the Croatian Federation of Unions (HUS), told a press conference that a Deputy Premier Slavko Linic and Economy Minister Goranko Fizulic had rejected the model for NAMA's recovery, proposed by the NAMA Management, and accused them of insisting on bankruptcy procedures. Ivekovic claimed that NAMA's recovery would not at all financially burden the government. (hina) mm ms