ZiL spokesman Vladimir Nosov said ZiL's parts-producing divisions would restart Monday but that the main production line would remain idle. He said it was not clear yet when it could resume work.
Nosov said that top government officials were studying the company's financial problems and were likely to provide ZiL with some sort of financial aid.
"The ZiL issue is being discussed on a very high level in the government, and we hope the government will help," Nosov said, adding that ZiL general director Valery Saikin had already met with Prime Minister Viktor Chernomyrdin.
But government spokesman Sergei Surov said he was not aware of such a meeting, adding that first Deputy Prime Minister Oleg Soskovets, not Chernomyrdin, was studying the ZiL issue. Officials at Soskovets' office were not available for comment Friday.
All 12 divisions of ZiL, famous for making limousines for Soviet and Russian VIPs, closed down Tuesday due to a lack of money to buy integral car parts.
Saikin said ZiL needed over $250 million to overcome the crisis, but said it was unlikely that the company would receive any new credits from the state. ZiL's board of directors is scheduled to meet Jan. 24 to seek a solution to the crisis.
Although ZiL was one of the first big Russian companies to go under the hammer during the first stages of privatization 1992, it has continued to rely on cheap state credits to survive as shrinking farm and military budgets cut into demand for its trucks.
A Message from The Moscow Times:
Dear readers,
We are facing unprecedented challenges. Russia's Prosecutor General's Office has designated The Moscow Times as an "undesirable" organization, criminalizing our work and putting our staff at risk of prosecution. This follows our earlier unjust labeling as a "foreign agent."
These actions are direct attempts to silence independent journalism in Russia. The authorities claim our work "discredits the decisions of the Russian leadership." We see things differently: we strive to provide accurate, unbiased reporting on Russia.
We, the journalists of The Moscow Times, refuse to be silenced. But to continue our work, we need your help.
Your support, no matter how small, makes a world of difference. If you can, please support us monthly starting from just $2. It's quick to set up, and every contribution makes a significant impact.
By supporting The Moscow Times, you're defending open, independent journalism in the face of repression. Thank you for standing with us.
Remind me later.