Q:
A:
Zastava Elektro sale contract signed
Raca,
12 April 2010
Deputy Prime Minister and Minister of Economy and Regional Development Mladjan Dinkic said today that the directors of Zastava Elektro and South Korean Yura Corporation signed a sale agreement today.
The Zastava Elektro factory produces electrical installations for the car industry.
Dinkic and Yura Corporation Director General Nam Yong Woo then signed an investment incentive agreement.
The Minister stressed that the South Koreans will invest €8 million and will employ over 1,000 workers.
The incentive contract refers to Serbian government funds in the amount of €4,500 per employee, which the government will cede to Yura Corporation as an incentive, he said.
Yura Corporation plans to build another factory in Serbia, Dinkic announced.
Dinkic recalled that the company last week in a bid bought the Zastava Elektro factory for €3 million, after the previous privatisation had been revoked after months of strikes for violation of the sale agreement.
He pointed out that Yura is one of the largest companies in South Korea in the car industry, with an annual turnover of €700 million with four of its factories now operating in Europe.
The Deputy Prime Minister has announced employment for one thousand new workers by end of the year, adding that the new owner will immediately take over responsibility for 200 out of 280 Zastava Elektro employees.
In three months the halls of the factory in Raca will be renovated, he said.
Dinkic said that more than 90% of production will be for export, given that Yura Corporation supplies Hyundai and KIA in Central Europe.
The Director General of the South Korean company pointed out that Korean workers work hard, and that the same is expected from workers in Raca.
Dinkic and Yura Corporation Director General Nam Yong Woo then signed an investment incentive agreement.
The Minister stressed that the South Koreans will invest €8 million and will employ over 1,000 workers.
The incentive contract refers to Serbian government funds in the amount of €4,500 per employee, which the government will cede to Yura Corporation as an incentive, he said.
Yura Corporation plans to build another factory in Serbia, Dinkic announced.
Dinkic recalled that the company last week in a bid bought the Zastava Elektro factory for €3 million, after the previous privatisation had been revoked after months of strikes for violation of the sale agreement.
He pointed out that Yura is one of the largest companies in South Korea in the car industry, with an annual turnover of €700 million with four of its factories now operating in Europe.
The Deputy Prime Minister has announced employment for one thousand new workers by end of the year, adding that the new owner will immediately take over responsibility for 200 out of 280 Zastava Elektro employees.
In three months the halls of the factory in Raca will be renovated, he said.
Dinkic said that more than 90% of production will be for export, given that Yura Corporation supplies Hyundai and KIA in Central Europe.
The Director General of the South Korean company pointed out that Korean workers work hard, and that the same is expected from workers in Raca.
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