On 22 April the Swedish Government, supported by the Left Party and the Green Party put forward a Bill to Riksdagen (the Swedish Parliament) on Green Cargo. Green Cargo is state-owned and accounts for 80% of the Swedish rail freight traffic. The Bill opens up for new forms of cooperation with other companies, in order to create a long-term viable solution for the company. This could be investment into new activities, selling out or merging with another company or the possibility for infusion of capital. The Governmental Bill includes giving the Government the authorisation in 20004-2005 to take the following measures, each separately or in combination: · Sell the whole or parts of the shares in Green Cargo AB · Acquire shares or other forms of parts in the company or the company group that buys shares in Green Cargo AB · Acquire rights to acquire shares or other forms of parts in the company or company group that acquires shares in Green Cargo AB · Contribute with capital to the company These measures will be financed from the special account in the National Debt Office reserved for stakes in and by the state fully or partly owned limited companies. The Government is also authorised to take the measures that as for the rest are necessary in order to carry through the restructuring of the company. When going behind, what are the main reasons for the Governmental decision at this time? The aim is that Green Cargo is to be a profitable and successful logistics company. The financial results need to be increased considerably and the owner, the Swedish state shall yield that is fitted to the normal market level. The operative measure program must be started immediately in order to increase the profitability of Green Cargo. The Government has described 2 aims that need to be fulfilled in order to keep and increase the competitiveness of Green Cargo as freight operator: · A permanent, efficient and competitive solution for international transports. · A customer offer that means a total solution of the customer’s transport, from door to door. This is best reached by merging with or selling to another freight transporting actor that can offer a broad service offer and that is given the possibility to in an efficient and a competitive manner reach destination outside the borders of Sweden. In order to reach a long-term competitive position Green Cargo needs sufficient financial resources in order to carry through an operative measure program and future investments. The scope of the financial need is also influenced by Green Cargos future owner structure. The Business Plan 2004 - 2006 of Green Cargo has the aim to increase the result by 350 million SEK (39 million EUR) in 3 years. The measure program has the following main focus as regards most important measures: · Customer and Market: Increased profitability through for example increased reloading and an increased sales process. · Resource optimisation; levelling out the resource use over the day and level out production highs, and concentrating the activities on main cities. · Administration, and continued reduction of the administrative costs. So, if Green Cargo is to be sold or not - that is up to the interest from possible buyers! |
