PKP against PLK separation

The Polish railways PKP do not want to let go one of its most valuable subsidiaries - PLK (Polskie Linie Kolejowe), Railway Market - CEE Review reported. The company PKP PLK is responsible for maintenance and modernization of railway infrastructure. The Ministry of Infrastructure plans to exclude PLK from the PKP group's structures and to take over managing it. The Minister Cezary Grabarczyk wanted to implement these changes already in January 2010. However, works over the project had to stop as the president of PKP Andrzej Wach decided to cover Polish railways' PLN 90.5 billion (EUR 19.64 billion) debt with PLK's shares. The company owes it to the State Treasury.

- I am managing the company and I have to take care of its businesses, - explains Andrzej Wach. His idea did not get the Minister of Finance Jacek Rostowski's approval. He would prefer to receive ready money from the railways.

Source: Transportweekly