Banacol's High Debt Leads to Restructuring

<p>Banacol, Columbia's second largest banana company, which sources bananas from Columbia and Costa Rica, has reported that seven of its subsidiary companies will undergo financial restructuring, according to Elcolombiano.com.<hr class="legacyRuler"><hr class="legacyRuler"><hr class="invisible minimal-padding"><hr class="invisible minimal-padding"><a class="btn btn-sm btn-primary col-lg-12" style="white-space: normal;" href="http://translate.google.com/translate?hl=en&amp;sl=es&amp;u=http://www.elcolombiano.com/BancoConocimiento/A/altas_acreencias_llevan_a_banacol_a_reorganizacion/altas_acreencias_llevan_a_banacol_a_reorganizacion.asp&amp;prev=/search%3Fq%3DElcolombiano%2Bbanacol%26rlz%3D1C1CHFX_enUS566US566%26espv%3D210%26es_sm%3D93" target="_new"> Click Here to View Translated El Colombiano Article </a><hr class="legacyRuler"><hr class="legacyRuler"><hr class="invisible minimal-padding"><hr class="invisible minimal-padding">Banacol reportedly has <b>assets worth $208.6 million</b>, while its current <b>liabilities are valued at $183.6 million</b>.<hr class="legacyRuler"><hr class="legacyRuler"><hr class="invisible minimal-padding"><hr class="invisible minimal-padding">A supervisory body appointed by the Columbian government will oversee the reorganization of Banacol's finances.<hr class="legacyRuler"><hr class="legacyRuler"><hr class="invisible minimal-padding"><hr class="invisible minimal-padding">The Banacol board approved the application for the reorgnization process on December 27, 2013. Reasons for Banacol's financial woes are said to include low international prices, high production costs compared with other competing countries, bad weather, and the appreciation of the peso against the dollar.<hr class="legacyRuler"><hr class="legacyRuler"><hr class="invisible minimal-padding"><hr class="invisible minimal-padding">Banacol's existing trade commitments and contracts with clients in Europe and North America are not expected be impacted by the restructuring.<hr class="legacyRuler"><hr class="legacyRuler"><hr class="invisible minimal-padding"><hr class="invisible minimal-padding"><a class="btn btn-sm btn-primary col-lg-12" style="white-space: normal;" href="http://www.banacol.com/home/1" target="_new"> Banacol </a></p><hr class="legacyRuler"><hr class="invisible minimal-padding"><hr class="invisible minimal-padding">