Bankruptcies continue to increase

01/07/2002 10:00

Dutch courts pronounced more than 1,600 bankruptcies in the first quarter of 2002. This twenty percent increase on the same quarter last year continues the upward trend since mid 1999.

Bankruptcies per quarter, 1995-2000

Large differences between legal forms

Fifty-three percent of pronounced bankruptcies are private companies. One third more of these companies were declared bankrupt than in the same period last year.

The number of natural persons declared bankrupt also rose: from 345 to 406, an increase of 18 percent.

Bankruptcies by legal form, 1st quarter

The number of companies and institutions declared bankrupt in the first quarter of this year was 21 percent higher than in the same quarter last year. Private companies going into receivership accounted for more than seventy percent of this increase.

Differences between sectors of industry

With an increase of 48 percent, bankruptcies of companies in the sector mineral extraction and manufacturing showed the largest relative increase. Financial institutions, lease companies and business services came second with an increase of 43 percent. The number of bankruptcies in the hotel and restaurant sector and in transport, storage and communications fell by 21and 27 percent respectively.

Largest increase in North-Brabant

In nine out of the twelve provinces there was an increase in the number of declared bankruptcies. The largest relative increase was in the province North-Brabant with 56 percent. Gelderland came next with an increase of fifty percent.

The largest relative decrease (-44 percent) was in Flevoland.

The highest number of bankruptcies was pronounced in South Holland. In this province 383 bankruptcies were declared in the first quarter of 2002.

Arie Eilbracht