date:Apr 09, 2013
U.S. law firm Dewey LeBoeuf LLP, owed $2.45 million in legal fees.
The companys financial challenges surfaced after almost two decades of success in Poland. CEDC expanded into Russia just as Poles began drinking less vodka and Russia raised taxes and costs to discourage alcohol consumption. The global financial crisis, a 37 percent collapse in Russias currency, and accounting errors exacerbated the situation.
Russians drank less vodka in 2011 than they did in 2008, while Poles cut back by 7.