BREAKING: LTG Cargo Ends Partnership with Skinest Baltija Over Service Failures

LTG Cargo has officially terminated its contract with Skinest Baltija due to persistent underperformance and failure to meet contractual obligations regarding the maintenance of its freight train fleet.

According to LTG Cargo, this decision comes after the company faced over 100 instances of inadequate service provision from Skinest Baltija, ranging from delays in delivering essential spare parts for diesel engines and systems to the delivery of defective goods. Skinest Baltija's repeated failures have not only resulted in over 100 days of delayed deliveries but have also accumulated more than EUR 30,000 in liquidated damages for LTG Cargo. The repeated delays and substandard goods led to numerous disruptions in scheduled freight services, prompting LTG Cargo to undertake unscheduled repairs and adjustments to its operations.

Eglė Šimė, CEO of LTG Cargo, emphasized the critical nature of reliable rail freight services for the country's logistics network and the importance of maintaining the fleet to the highest safety and operational standards. "We can no longer trust a supplier that continuously fails to fulfill its obligations properly, so we have decided to take extreme measures–to terminate the contract and add Skinest Baltija to the list of Unreliable Suppliers," said Šimė.