lobels bread.jpgTroubled bread making firm, Lobels Holdings has reopened its Harare plant after three months of closure, owing to operational constraints compounded by a US$19 million debt.

Following a crisis meeting between the firm and its creditors on the 15th of July in the capital to find lasting solutions to the problems bedevilling the bread making entity, it was agreed that the plant will resume operations on the 1st of August.

A visit by ZBC News at the Harare plant proved that the firm has resumed operations though on a low note as there was no much activity at the premises.

Gates at the firm were closed and sources indicate that the plant is operational with less than 100 000 loaves of bread expected to hit the market this Tuesday.

Efforts to get in touch with the firm’s legal advisors, Dube, Manikai and Hwacha as well as the financial advisors, CBZ Holdings were fruitless.

Lobels Director, Retired Brigadier General David Chiweza was out of reach for the whole day.

According to the agreed terms during a crisis meeting with creditors, Lobels will start repaying its debts on the 30th of this month after resuming operations this Monday.

The firm owes banks approximately US$15 million while trading partners are owed US$4 million.