ZAGREB, November 2, 2018 - The first step of the new management board of the Uljanik Group is to ensure business continuity for the group, and it is also essential to ensure the continuation of cooperation with ship-owners whose support is vital for the shipyard's business continuity, the new chairman of the three-member management board Emil Bulić said in Pula on Friday.

On Thursday, the group's supervisory board appointed Bulić chairman and Bojan Blagonić and Milko Mihovilović the other two members of the Uljanik Group's management board. They met with the supervisory board and with their predecessors on Friday morning.

"We have assumed the responsibility at a time when the company is in distress and our intention is to create preconditions for the business continuity of the whole group and all our employees as well as business continuity in shipbuilding," Bulić said at a news conference. He thanked all the creditors who, he said, were also essential for Uljanik's survival and had been essential for making sure that the company survived also in the period before embarking on an overhaul plan.

He said that management would start negotiations with the ship-owners whose support is seen by Bulić as essential as well. The new management is going to hold talks with all the relevant state institutions, too.

Asked about models for ensuring funds for unpaid salaries, Bulić said that "the new management is not in a position to make such decisions and they will have to refer this question to the institutions of the Republic of Croatia". "We stepped into office a few hours ago, so we cannot yet comment on a solution to the issue of overdue salaries."

For this issue to be solved, we must reach out to state institutions and we also must take care of Uljanik's long-term interests so as to provide for the future of the company, he added, explaining that the survival of Uljanik is a condition for payment of salaries.

The first step is to hold talks with the Economy Ministry and outline our restructuring plan, which is viable. At that meeting we are going to request assistance in ensuring wages, he said. The overhaul plan is grounded exclusively on ship construction with all the necessary resources, "compensations are certain and necessary, and that is a part of the plan that needs to be hammered out with the government," Bulić said.

Asked about the possible divestiture of the Rijeka-based 3. Maj dock from the Uljanik group, Bulić said the he could not agree with claims that "the divorce of Uljanik and 3. Maj is in the offing". They are part of one group and they act as one company now, he said.

The Uljanik Supervisory Board chairman Samir Hadžić said at the news conference that they expected communication with the government to be better than it used to be.

For more info on Uljanik and other Croatian shipyards, click here.

ZAGREB, November 1, 2018 - As of Thursday, the Uljanik shipbuilding group has a new three-member management board and the supervisory board will reveal their names on Friday, the supervisory board's interim chairman, Samir Hadžić, told Hina.

According to unofficial information, the new management board members are Uljanik's financial experts who until now held executive positions in the group's companies. "I believe this is the second step in Uljanik's recovery process. The first was made with the formation of the new supervisory board," said strike committee head and unionist Boris Cerovac.

Another unionist, Đino Šverko, welcomed the appointment of the new management board, saying this was an important step for the shipyard's future and that it was extremely important that Uljanik be "organised at all levels."

He said the strike committee would meet on Friday to decide about the next steps. Uljanik workers have been striking for two weeks over unpaid salaries for September and the group's bank account has been frozen again, he recalled.

Management board chair Gianni Rossanda resigned on Tuesday. The day before, the Commercial Court in Pazin appointed two supervisory board members, while the third one was elected by the group's assembly. With three members, the supervisory board can make decisions, including on the company's management.

It is still unlikely that the latest move will substantially improve the situation at the shipyard. The problems are shared by another shipyard, “3. Maj” in Rijeka, whose workers are also on strike due to unpaid wages. The Rijeka shipyard is also part of the Uljanik group.

If you are interested in reading more about Croatian shipbuilding industry, click here.

ZAGREB, October 30, 2018 - Uljanik management board chairman Gianni Rossanda handed in his resignation to the shipyard's Supervisory Board on Tuesday, according to the information provided by the company, while the strike committee leader Boris Cerovac said that the new supervisory board had spoken with seven possible candidates for Rossanda's successor.

"On 30th October 2018. Mr. Gianni Rossanda submitted his irrevocable resignation to Supervisory Board as President of Management Board of ULJANIK d.d., with its effect from the day of 31st October 2018," Uljanik said in a notice released on the Zagreb Stock Exchange.

Cerovac confirmed for HINA that the newly appointed Supervisory Board at Uljanik had on Tuesday spoken with possible candidates for the chairman in the new management board that would take control of the company upon the dissolution of the incumbent board. According to Cerovvac, most of the candidates come from Uljanik.

In the meantime the shipyard workers entered their second week of industrial action after not receiving their September wages. “Unfortunately we don't have any good news and don't have any information in that regard. Wages still haven't been paid, and we don't know when they will be. I tried to contact the finance director however, he is not answering,” Cerovac said.

He confirmed that shop steward Samir Hadžić would chair the supervisory board for the time being while later that position would be taken up by Nenad Kapuralin until the next general assembly. Kapuralin was elected to the supervisory board at the last general assembly on October 16.

Economy Minister Darko Horvat said earlier in the day that Uljanik's management board would submit a new restructuring plan within ten days which would not include ships whose orders have already been cancelled and that the ministry then would analyse the plan within three or four days.

If you want to read more about crisis in one of Croatia's major shipyards, click here.

Will Uljanik be saved? Minister Horvat is in negotiations with four potential investors to replace Danko Končar as a partner.

ZAGREB, October 24, 2018 - Finance Minister Zdravko Marić told a government session on Wednesday that in the period from 2010 to September 2018 the government had issued 7.5 billion kuna worth of guarantees for the Uljanik shipbuilding group, of which 4.29 billion kuna had been activated, while the government said that all contracts on the construction of vessels to which the state collateral referred would be checked together with prosecutors.

ZAGREB, October 23, 2018 - Striking workers in the Rijeka-based 3. Maj shipyard on Tuesday continued their industrial action over unpaid wages, and in the morning they left the premises of the dock to take a protest walk through that northern Croatian coastal town.

ZAGREB, October 22, 2018 - About 1,500 disgruntled workers in the Uljanik shipyard started a strike on Monday morning over the unpaid salary for September, and at the beginning of their industrial action they left the premises of the dock and took a protest walk through the city of Pula.

Minister Darko Horvat revealed that Smart Holding, Fincantieri, Royal IHC and Damen were all interested in the heavily burdened Uljanik, but one of them has already stepped down and away from the whole idea.

ZAGREB, October 17, 2018 - Finance Minister Zdravko Marić said on Wednesday that the activation of a state guarantee for the Pula-based Uljanik shipyard would undoubtedly have an impact on state finances and that it would amount to 2.5 billion kuna by the end of 2018, with the shipyard's total debt amounting to 4.25 billion kuna.

ZAGREB, October 17, 2018 - At a regular general meeting on Tuesday which lasted nine hours, shareholders of the Pula-based Uljanik shipyard elected only one new supervisory board member, Nenad Kapuralin, and the Commercial Court in Pazin will appoint two more so the board can function.