Actions taken:

• Production – closing unprofitable production lines
• Customers – reducing number of customers with small profit potential
• Suppliers – locating new suppliers for raw materials
• Personnel – adjusting the number of employees to the sales and production capacity
• Financials – raising money for operation for the purpose of working capital
• Profit centers – every production line started operating as a profit center

End result – high profitability during the operating period and locating an investor for the factory.

The following changes have been implemented:

• Rehabilitation of the group
• Restoring investors’ faith in the group
• Appointment of a new board of directors for the group – to restore investors’ faith
• Appointment of new CEOs to the subsidiaries for improved management
• Expanding subsidiary Kopel brand to “New Kopel”
• Raising bank financing for increasing number of transactions
• Selling the group’s non-profitable operations

After a period of two years and the rehabilitation of the group, subsidiaries were sold to potential investors, and investors’ entire money was returned.

Sold companies:

• Ishtak Capital Markets
• Ishtak Technologies
• New Kopel Leasing