Examiner appointed to Eircom – telco protected from creditors

30 Mar 2012

Eircom CEO Paul Donovan, who will step down from the role at the end of this year

High Court judge Mr Justice Peter Kelly has appointed Michael McAteer of Grant Thornton as interim examiner to three Eircom companies – Eircom Ltd, Meteor Mobile Communications and Irish Telecommunications Investments Ltd.

A full hearing on the application for examinership will be heard on 18 April. Examinership protects Eircom from its creditors as it works to put in place a viable plan to save the company’s future.

Eircom employs 5,000 people and is €3.7bn in debt.

Eircom’s CEO Paul Donovan, who will be leaving the company at the end of the year, said: “We welcome today’s High Court order and Mr Justice Kelly’s acknowledgement of Eircom’s strategic importance to the State.

“It is business as usual at Eircom during the examinership process. Customers can be reassured that all voice, broadband and data services will continue. In addition, the company will honour all outstanding work and payments to suppliers. Staff will continue to be paid on time.

“We fully intend to honour our existing investment commitments, including fibre rollout to deliver high-speed broadband and TV services for Eircom customers. This network upgrade is already under way and new services should be offered later this year,” Donovan said.

John Kennedy is a journalist who served as editor of Silicon Republic for 17 years