Sat, Nov 21 2009

Spain's Martinsa Fadesa reports 2.47B euro loss

Wed, Mar 04 2009 12:14 CET byNick Iliev 785 Views
Spain's Martinsa Fadesa reports 2.47B euro loss

Spanish company Martinsa Fadesa, which has invested in real estate projects in Sofia, has recorded the staggering 2.47 billion euro loss for the fiscal year 2008, website investor.bg reported. This is as opposed to 2007 when the company recorded a net profit of 60 million euro.

Martinsa Fedesa's biggest project in Bulgaria is a large residential complex in the Sofia borough of Vitosha, called Modera Residence.

The company's revenue was down to 626 million euro in 2008, almost half of the 1.21 billion euro in 2007. Consequently, Martina Fedesa has applied for administration protection from impending bankruptcy.

Colonial, another large Spanish real estate company has reported a loss of 3.98 billion euro for 2008. Colonial, currently managed by its creditor banks, reported a net profit of 74 million euro for 2007.

Company officials claim that they have slashed their outstanding financial obligations by 1.6 billion euro for 2008, mainly through the sale of stocks.

Martinsa Fadesa and Colonial are the latest Spanish companies that have been struck hard by the encroaching financial crisis, reporting large losses. They have joined the list of other big-name companies who have declared extensive losses, namely Reyal Urbis, Renta Corporation and Nozar.

In January 2009, Nozar, one of Spain's leading real estate companies, was threatened with bankruptcy after it filed a loss exceeding four billion euros. 

 

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