”Let’s do a recap of the payment delays, with a real surprise at the end.
At Lännen Tractors, the delays are roughly the same; there are nearly 30,000 euros in debts in collection here and there.
Uudenkaupungin Työvene is about to have its electricity cut off, as over 20,000 euros of the more than 40,000 euros in payment delays are electricity bills—specifically for transmission, as I understand it. Good luck welding a boat together then, or will they bring a ‘mehumaija’ (juice steamer) from Loimaa to run a generator if some entrepreneur-led gas station still gives them fuel on credit?
The drone company’s parent still has the same 23,000 euro set in collection. Some of these have been outstanding for so long that a bankruptcy petition might soon slide into the district court.
Summa Defence itself still has the assumed rents on its tab, but a real bombshell has now surfaced there. They have failed to pay employees’ TYEL (pension insurance) contributions, and pension companies are known to have a short fuse and an automated bankruptcy process where the system pushes out the necessary paperwork in minimum time.”
A somewhat vaguely phrased message. For example, regarding TyEL, there is a significant difference depending on whether there is a valid payment plan in place for them. Similarly, those delays in electricity bills are not yet catastrophically large. Those who use services like Asiakastieto will get a clearer picture, but it is perhaps a bit unethical to copy the report here.
But indeed, it is not entirely uncommon to make payment plans for TyEL debt; you just have to stick to the plan.
Even if there are unpaid TyEL contributions and a payment plan is in place for them, the fact that they have fallen due still signals the group’s weak solvency. Overdue payments, whether under a plan or not, must be managed at the same time as new TyEL contributions accrue as wages are paid to employees. This is how the snowball effect begins and can escalate to the point where the bailiff is brought in, especially when there are debts elsewhere; in this collection game, the fastest ones have the best chance of getting at least something back. Perhaps Summa’s situation is not yet at that point, but if the direction does not change, that is inevitably where it is headed.
When you drive a group’s solvency to that point, you poison the entire business at the same time. No sensible party will sell even a nut on credit, and every new purchase would require either a bank guarantee (which cannot be obtained with that level of solvency) or an advance payment (for which there is no cash on hand).
That’s exactly what that corporate jargon means in plain English. They have to keep verifying the quality of the financial statements from every angle just to get at least some kind of auditor’s report.