Glitnir Resolution Committee Operation Costs Up by 35 Percent Skip to content

Glitnir Resolution Committee Operation Costs Up by 35 Percent

The operation costs of the bankrupt estate of Glitnir totaled ISK 3.9 billion (USD 31 million, EUR 24 million) for the first six months of this year, an increase of 35 percent from last year and 44 percent since the first half of 2010. The increase is mainly attributed to the increased costs in relation to the composition agreement.

glitnir-headq-winter_pkGlitnir’s headquarters. Photo by Páll Kjartansson.

Staff of the bankrupt estate have received ISK 3 billion (USD 24 million, EUR 18.7 million) in salary. Around 40 people are working on the resolution committee but part of the group are contractors who are not on the payroll, Fréttablaðið reports.

According to the paper’s sources, Glitnir has preferred to use local consultants where as creditors have preferred to use foreign consultants which tend to cost more.

Viðskiptablaðið reported on Thursday that two pension funds have filed a lawsuit to the District Court to obtain information on Glitnir’s labor costs.

Click here to read about the composition agreement.

ZR

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