With the upcoming deliberations in the multi-part courts of first instance of Patras and Athens on the Rio and Alexandroupoli casino consolidation agreements, the request to Glafka Capital is for employees to sit on the same side of the table as the Greek-British fund that bought out the distressed companies’ loans. The next period is critical to achieving this goal as applications for confirmation of reorganization agreements by Theros International Gaming (Rio Casino) and Vivere Entertainment Emporiki and Partitions (Alexandroupolis Casino) will be considered on February 7th and 8th. The case is also being closely monitored by the EEEP, which advocates for the consolidation and viability of troubled casinos.

The tug-of-war that has been created is due, among other things, to the distrust of workers, primarily the casinos of Rio, that they will receive the full amount of their accrued wages – and for the time that the business was closed – along with allowances from tips, holidays and etc. .t.l. Glafka Capital offered to compensate most of the 215 employees for a total of 400,000 euros before the reorganization agreement is ratified (about 25 employees issued a payment order and confiscated casino equipment). However, their representatives do not seem to agree with this proposal, demanding the immediate payment of compensation in the amount of 1.2 million euros. The Rio Casino Settlement Agreement, which was submitted to the court for ratification, secured the required majority as it was signed with creditors representing 68.9% of all claims affected. It provides for payment of 100% of accrued wages, unallocated tips, overtime pay due to breaks, accrued overtime wages and compensation due. In terms of remuneration, part-time wage loss obligations and appointed solicitors refund remuneration at a rate of 27% and will be paid in 240 monthly installments, with the first payment due within five days of the date the transaction was completed.

In addition, it provides for the satisfaction of accrued wages that will arise from the moment of filing an application for recognizing the reorganization agreement as valid until the moment it is recognized by the court. According to the text of the reorganization agreement, accrued wages (1.10.2020-31.05.2022) are posted in the amount of 808,000 euros, 709,400 euros – awarded wages for overtime work, 1.2 million euros – reserves for employee benefits, 1.2 million euros – debts of euros from undistributed tips, accrued income of 1.1 million euros (until 1.10.2020). All these amounts are transferred to the new company, which will be created after the ratification of the resolution agreement. The same applies to the workers’ union, to which the debts of 321,000 euros are transferred to the new company and repaid in full without interest or additional charges. The business plan also provides for the implementation of voluntary exit programs in the amount of 1.6 million euros (70-80 people), while it is also planned to implement an increase in the authorized capital (AMK) by 4 million euros, as well as additional AMC through debt. to equity capital of 6 million euros.