Timbercorp administrators KordaMentha have appointed 26 creditor committees to assess each of the beleaguered agribusiness group's projects at a creditors meeting held in Melbourne yesterday.
According to media reports, the committees consist of the main creditors for each project and include ANZ, Westpac, Commonwealth Bank and BOS International.
KordaMentha will also apply to the Federal Court today to gain access to money for the harvest of partner company Boundary Bend's olive crop.
Reports said it would cost Timbercorp $12 million to harvest the crop over the next seven weeks.
It was anticipated that if the court releases the money, the same principle could be applied to other horticulture projects under administration by the ailing agribusiness manager.
"Discussions are being held with these companies on a daily basis to try and come to some arrangement to continue necessary operations to maintain the assets," KordaMentha administrator Mark Korda said.
Meanwhile, harvesting had resumed at Timbercorp's forestry operations and staff wages were being paid, but there would be no further planting at this stage.
The administrators would continue with the three-point plan outlined last month and look at the current operations to consider which were viable and would consider restructure, recapitalisation or a sale depending on the project.
"The administration is particularly complex because it involves 41 Timbercorp companies, 500 creditors, 700 lessors and 18,500 grower investors," Korda said.
Timbercorp went into voluntary administration two weeks ago.
Preliminary assessments indicate the group has liabilities of $661 million to secured lenders, $250 million in other loans and debts, $14 million to unsecured creditors and $5 million in employee entitlements.
A Korda spokesperson said he had never seen such a complex administration and that it could be some time before for decisions are made on what creditors were owed.
