Ternium: Venezuelan government late on final Sidor payment

Friday, 26 November 2010 10:15:13 (GMT+3)   |  
       

Ternium SA, Luxembourg-based steelmaker with main assets in Central and South America, has announced that Venezuela has missed the deadline for the final payment of $255.6 million plus interest resulting from the nationalization of its subsidiary Sidor in that country.

The company said that, following the expiration of the 15-day period available to Corporación Venezolana de Guayana (CVG) to resolve any payment default under the agreements governing the transfer of Sidor to Venezuela, Ternium has not yet received the final installment of its compensation for that transfer.

"Ternium reserves all of its rights under contracts, investment treaties and Venezuelan and international law in connection with the Sidor compensation payment still owing to it," the company said.

The full compensation agreement agreed for the nationalization that took place in 2008 by the Venezuelan government was $2 billion in total.