Amber Beverage Group seeks legal protection for Latvian operations due to cash flow pressures from external challenges. The CEO calls it a difficult but necessary decision. The application only covers Latvian facilities, not global sales or distribution. The decision follows issues with Stoli, impacting operations in Russia.

The pressures led to substantial cash flow issues and delays in excise tax payments. After talks with the State Revenue Service, bank accounts were frozen, leading to the need for legal protection. An independent supervisor will oversee the process, with a restructuring plan to be drafted and voted on.

Liabilities before January 30 are frozen, while obligations after will be paid normally. Employee salaries will continue as usual. Management aims to finalize the plan by mid-2026 and exit legal protection in the second half of 2027. The application does not affect the parent company or global sales and distribution.

Amber Beverage Group’s net revenue fell in Q3 2025, but profitability improved. Gross margin rose, supported by cost optimization and sales mix. Operating profit increased, including gains from asset sales. Regional performance was mixed, with growth in some markets and declines in others.

Read more at Yahoo Finance: Amber Beverage Group puts Latvian unit into legal protection