Orphanides: BoD approves suppliers’ plan
3/1/2013 17:20
The Board of Directors, at today’s extraordinary meeting, authorized Mr. Christos Orphanides to sign a preliminary “Memorandum of Cooperation” with Mr. Giorgos Georgiou, who happens to be authorized representative of a large number of suppliers of the Company, which provides for the following arrangement:
1. The Company will suspend every activity in the sector of trade and will grant exclusive rights to use of the largest part of its supermarkets to a company that will be recommended by suppliers who wish to participate for a period of ten years.
2. The Suppliers’ Company will undertake the employment of the staff working in the super markets under the same terms of employment and will purchase the stock and commodities.
3. The Suppliers’ Company will pay to the Company or its Bankers or the owners of the non self-owned supermarkets at least 2% of the total turnover of each super market as a consideration for the allocated license as well as 1 per mille of the total turnover for the use of Orphanides or Orphanides Super Market trademark.
4. The Company has the right to regain the use and operation of the super markets after the period of 12 months, given that it will be able to repay the suppliers, to undertake the stock and to pay the compensation amount that will be determined based on the profitability of the super markets.
5. The Company hopes that with the implementation of the agreed cooperation, Orphanides Super Markets will continue to serve consumers in Cyprus for many more years.
1. The Company will suspend every activity in the sector of trade and will grant exclusive rights to use of the largest part of its supermarkets to a company that will be recommended by suppliers who wish to participate for a period of ten years.
2. The Suppliers’ Company will undertake the employment of the staff working in the super markets under the same terms of employment and will purchase the stock and commodities.
3. The Suppliers’ Company will pay to the Company or its Bankers or the owners of the non self-owned supermarkets at least 2% of the total turnover of each super market as a consideration for the allocated license as well as 1 per mille of the total turnover for the use of Orphanides or Orphanides Super Market trademark.
4. The Company has the right to regain the use and operation of the super markets after the period of 12 months, given that it will be able to repay the suppliers, to undertake the stock and to pay the compensation amount that will be determined based on the profitability of the super markets.
5. The Company hopes that with the implementation of the agreed cooperation, Orphanides Super Markets will continue to serve consumers in Cyprus for many more years.
