PRIVATISATION – WHAT'S NEXT 13 May 2013 - CASE

13 May 2013, WarsawPRIVATISATION – WHAT’S NEXTProperty value and leveragePROPERTY VALUE• Most significant property was in the hands of nonprivatizedcompanies in 2003, and 7 years later, these weresolely privatized companies• Non-privatized companies have lost 20% of the property• Companies privatized according to PL have increasedproperty value by 20%• Companies privatized according to OTL have increasedproperty value by 30%98765432102004 2005 2006 2007 2008 2002 2003 2009 2010 LEVERAGE• New investments were financed mainly by borrowing, andthus all three groups of companies have increased theirdebts• Non-privatized companies remain the most indebted groupof companies due to old debts65432102004 2005 2006 2007 2002 2003 2008 2009 2010 09/05/201305/0 Employment250,000200,000150,000100,00050,000-2002 2003 2004 2005 2006 2007 2008 2009 2010 • Employment has plummeted in all groups of companies–OTL – 139.000–PL – 137.000–Non-privatized – 117.000• Privatization model is not crucial for the employment trend09/05/201305/0 123Serbia: Privatization experience