Savonlinna steamship company LP Management settles debts to municipality

The city of Savonlinna announced on Wednesday that the steamship company LP Management has settled its outstanding debts to the municipality. The company owed around €20,000. Just two days prior, the city council was scheduled to review the company’s request for a new payment plan, despite the failure to adhere to previous arrangements. The discussion was postponed as decision-makers sought additional information from LP Management’s management.

The city has been transparent about LP Management’s financial status through its communication channels. According to Mayor Janne Laine, this openness is warranted due to the public discussions surrounding the company’s debts, which have been addressed in the city council meetings. On Monday, the city also issued another statement emphasizing the importance of steamships to Savonlinna.

Tuula Ahvonen, the city’s financial manager, confirmed to Yle that LP Management’s invoices have been cleared. The debt had accumulated since August of last year, with some payments being pursued through collection. Additional costs for overdue invoices, including dockage and electricity fees, were also outstanding.

When Yle inquired about the sudden settlement after the company had sought new payment arrangements at the end of July, CEO Janne Leinonen responded briefly: “We do not wish to be indebted to the city, and we are resolving our payment issues. This way, no one has to speculate about the company’s affairs.”

Mayor Laine emphasized the significance of the steamships to Savonlinna, comparing them to a key attraction like Olavinlinna Castle. Discussions about transferring ownership of the ships are ongoing, with potential decisions anticipated after the summer season, although the vessels will continue to operate summer cruises.