Archived posting to the Leica Users Group, 2005/02/23

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Subject: [Leica] Leica article 21.2.2005 translated
From: douglas.sharp at gmx.de (Douglas Sharp)
Date: Wed Feb 23 00:31:38 2005
References: <15390910.1109100081134.JavaMail.root@dewey.psp.pas.earthlink.net> <001701c51928$f43075d0$6401a8c0@LIFEBOOK> <421BADF0.8090208@gmx.de> <p06110400be41796cb03d@[10.0.1.6]>


Henning Wulff wrote:

>> My translation may clear up a couple of points on what is happening 
>> over here.
>> Wallstreet-online reported in German.
>>
>> Leica Camera: Banken k?ndigen teilweise Kreditlinien
>>
>> Die Leica Camera AG meldete am Montag, dass die Banken ihre 
>> Kreditlinien gegen?ber der Gesellschaft teilweise gek?ndigt haben. 
>> Hintergrund dieser Entscheidungen ist eine Meldung vom 17. Februar, 
>> nach der Leica davon ausgeht, dass sich voraussichtlich im M?rz 2005 
>> ein Verlust der H?lfte des Grundkapitals ergeben wird.
>>
>> Die verbleibenden Linien decken den Angaben zufolge den derzeitigen 
>> Liquidit?tsbedarf noch ab. Der Vorstand verhandle mit den Banken ?ber 
>> eine L?sung, die das Unternehmen bis zu einer au?erordentlichen 
>> Hauptversammlung am 31. Mai tr?gt, in der den Aktion?ren 
>> Kapitalma?nahmen vorgeschlagen werden sollen.
>>
>>
>> "Leica Camera AG announced on Monday that their banks have partially 
>> closed the companys credit lines. The basis for this decision is the 
>> announcement dated 17th of February in which Leica expects that the 
>> losses, calculated to March 2005,will comprise one half of the company 
>> capital.
>>
>> According to information supplied, the remaining credit lines will 
>> cover the current liquidity of the company.The board of directors and 
>> the banks are negotiating a solution to keep the company afloat until 
>> the extraordinary general meeting on the 31st of March when a finance 
>> plan will be presented to the shareholders."
>>
>> The points to note here are:
>> 1) Very probably, only those credit lines directly linked to the basic 
>> operation of the company are still open. ie for outstanding 
>> salaries,communal services etc. (ie the banks are very worried)
>> 2) this infers that the credit lines for all other operational aspects 
>> are closed for the time being.(ie the banks are not prepared to back 
>> up present and future investments without some kind of security)
>> 3)The banks are negoitiating a solution which will carry Leica through 
>> only until the end of March 2005. This is the deadline for the 
>> presentation of a new finance plan for the future of Leica.(Leica must 
>> develop and present a plan to satisfy a) the banks and b) the 
>> shareholders that the company has a future and is worth the investment)
>> 4)The new finance plan for the period following the end of March will 
>> have to be approved by the shareholders at the EGM.
>>
>> Personally I don't see Hermes International going along with Leica in 
>> this situation and I expect we'll all get quite a surprise if and when 
>> futureinvestors/partners/owners are announced.
>>
>> regards from Hannover
>> Douglas
> 
> 
> I think you meant May 31st in both instances, not March.
>
Mea culpa, verzeihung, 31te Mai,
Thanks for the correction Henning
Douglas


In reply to: Message from telyt at earthlink.net (Douglas Herr) ([Leica] News From a Leica Insider)
Message from leicaluvr at comcast.net (Tom Schofield) ([Leica] News From a Leica Insider)
Message from douglas.sharp at gmx.de (Douglas Sharp) ([Leica] Leica article 21.2.2005 translated)
Message from henningw at archiphoto.com (Henning Wulff) ([Leica] Leica article 21.2.2005 translated)