Correios Seeks R$10 Billion in Two Weeks, Sets 10,000 Layoffs and 700 Closures to Halt Cash Slide

Overview

• Management is soliciting a Treasury‑guaranteed syndicate to raise at least R$10 billion within roughly 15 days, with a fallback goal of R$5 billion by December to keep payroll and supplier payments current, according to company interlocutors.
• The company’s prior R$1.8 billion facility with BTG, Citibank and ABC Brasil saw its spread step up from CDI+3% to CDI+5% after a covenant breach tied to court‑ordered debts, triggering a R$40.5 million addendum and allowing banks to retain funds from November 15.
• A restructuring blueprint targets a voluntary exit program for about 10,000 employees and the shutdown of around 700 branches and logistics units, aiming to trim payroll by roughly R$2 billion per year.
• Operational reforms under study include consolidating job categories and adopting flexible shifts, such as 12×36 schedules, to expand weekend deliveries and improve competitiveness against private couriers.
• To bolster liquidity, Correios is working with Caixa on a real‑estate fund to monetize 2,366 properties valued at about R$5.4 billion, potentially using sale‑leaseback structures that could include its Brasília headquarters.