Provisonal aministrator Meyer strikes an agreement: Leysieffer employees to receive substitute benefits

Good news for Leysieffer customers and staff: following the temporary closure of the company’s stores and production facilities, operations will resume at all locations as quickly as possible from today. Ms Anna Winkler, managing director of Leysieffer, and provisional insolvency administrator Mr Stefan Meyer from PLUTA Rechtsanwalts GmbH greatly welcome the decision reached today by the Federal Employment Agency following very intensive negotiations in recent days.

Having initially declined the application for substitute benefits last week, the agency has revised that decision today. The employees’ wages and salaries will now be guaranteed for a period of three months thanks to these specific substitute benefits provided under German insolvency law. The intention is to secure pre-financing of these benefits as quickly as possible so that payments can be made without delay once the prerequisites for this have been met. The employees were immediately informed about this new development today.

Restructuring expert Mr Meyer said, “Business operations will be continued. We will now hold negotiations with all key business partners in order to get the business up and running again as quickly as possible and then stabilise it. Today’s pleasing decision by the Federal Employment Agency to grant the substitute benefits gives us the time we need to review the restructuring options and then implement these within the proceedings. We will do everything within our power to preserve the company on a permanent basis.” In addition to the provisional insolvency administrator, the PLUTA team consists of attorneys Dr Ria Brüninghoff and Ms Stefanie Breitenströter-Brüggemann, among others.

Leysieffer GmbH & Co. KG filed for insolvency with the Local Court of Osnabrück. Following this, the court ordered provisional insolvency proceedings to be opened for the company’s assets on 1 July 2022.