SECOND MAGISTRATE RULING IN FAVOUR OF EMPLOYEES OF MERCURI INTERNATIONAL SPAIN

SECOND MAGISTRATE RULING IN FAVOUR OF EMPLOYEES OF MERCURI INTERNATIONAL SPAIN

As of March 9th, 2009 Mercuri International España still exists and a Magistrate from the Mercantile Court has issued a judicial ruling stating that:

Ø “Although the Company is in liquidation, it shows a clear capacity to generate new resources through the continuation of the activity which the bankrupt part in the lawful exercise of freedom of enterprise, guided by criteria of business convenience has decided not to continue.”

Ø “Moreover, it must be borne in mind that the fiscal memory of the year 2008 of Mercuri International Spain, S.A. shows a situation of economic certainty and viability of the company that only 9 months afterwards becomes an insolvent situation”.

Ø “This application is a reproduction of the one submitted on July 24^th, 2009, which appears to be inserted into the mechanics of liquidation of the Company by the mother company at the lowest possible cost”.

Ø “Because of the lack of reasons to agree on the extinction due to objective reasons, it is considered that it is appropriate to agree upon an unfair dismissal, this taking into account the existence of atypical factors involving a real and effective negotiation”.

Ø “Taking into account the allegations of the part on the existence of a business group involving the identification of a unique employer for labour purposes, the parties are referred to the labour tribunal where they can exercise action against the companies included in the group and demand joint accountability”.

Therefore, this is the second time that a Magistrate has agreed to reject the termination of the employment relations by objective reasons for the staff of Mercuri International Spain, requested by the Company.