Pegas Says Does Not Expect Impact from Unipetrol Stoppage

Czech artificial fabrics maker Pegas Nonwovens is on the "safe side" with raw material supplies for now despite a stoppage of production at supplier Unipetrol, Pegas's chief executive said on Thursday.

 

A fire earlier this month halted petrochemical production at Czech downstream oil group Unipetrol's plant and the company said on Thursday a resumption of full production was still a matter of months.

 

When asked about the impact on Pegas, CEO Frantisek Rezac said the company had the support of other suppliers and also had its own safety stock of raw materials and finished products.

 

"Even without this production we will have enough material in September and we will be still keeping our standard level of safety stock," he said on a call with analysts. "And we have promises from other suppliers to continue with support when we will need it. It means now that we are on the safe side."