Further decrease in company insolvencies

The Federal Statistical Office today reported another fall in company insolvencies for November 2006. Local courts recorded 2326 company insolvencies, which represent a decrease by 17.6% as compared to November 2005. The number of private insolvencies, however, continued to rise.

With 9087 cases in November 2006 the frequency of private insolvencies rose by 31.1% as compared to November 2005. In total courts registered 14.249 insolvencies in November 2006 (+14.4%). In the period from January to November 2006 there were 28.046 company (-17.3%) and 84.227 private insolvencies (+36.2%). Overall courts registered 141.490 insolvencies in this period which represents a 14.3% increase compared with the same period in 2005.

Courts reported claims by creditors to the value of an estimated 31.0 billion Euros for the period from January to November 2006, whereas the figure for 2005 was 33.2 billion Euros. Even though company insolvencies accounted for only about one fifth of the total number of insolvencies, they nevertheless account for 60% of the total amount of debts. GERMAN