[Leica] The news from Solms - Leica fights for the existence

[tim at KairosPhoto.com (Timothy Atherton)]

And the same babelfished

http://www.mittelhessen.de/artikeldruck.php?content_id=230285&dir=153

babelfished:

> Leica fights for the existence
>
> 27.05.2005
>
> Of Ralph Menz
> Tel.: (0 64 41) 95 91 95
> E-Mail: r.menz@mail.mittelhessen.de
>
> Solms. In unusually clear form the executive committee of the
> Solmser Leica Camera AG in its invitation made the situation of the
> tradition enterprise clear for the shareholders the extraordinary
> general meeting on coming Tuesday in Solms: The "fortbestand of the
> society and the company of the Leica Camera AG" depends "" on the
> conversion of the suggested reorganization concept and the
> procurement of new capital. Are correct if the shareholders what
> the new chairman of the board and Sanierer Dr. Josef Spichtig as
> well as the supervisory board prepared, not too, money is missing
> for continuing, and the Leica Camera AG would possibly stand before
> the insolvency.
>
> The red Leica point is in danger: Again and again the shifted
> introduction on the market of the digital rear wall for the mirror
> reflex row "R" (photo) cost Leica market shares and brought the
> company deeply into the red numbers. Now a rescue plan was forged.
> (photo: Leica)
> The future of the tradition enterprise, which stands itself, 1849
> in Wetzlar of Carl waiter based and later by the partner Ernst
> Leitz further developed further, on which for invention of the 35mm
> camera, which Ur-Leica develops, by Oskar Barnack, on measurer cut.
> So that the jobs will receive to be saved to be able and the
> company in its whole can, the shareholders must copy lost money and
> pay new additionally.
>
> To Solms one points oneself kaempferisch to master the heaviest
> crisis in enterprise history.
>
> The confidence
>
> "we made errors and disappointed in us set confidence, but the
> technological development is now so far that after the pixel Hipe
> of the digital photography the window for the Leica cult opens
> again and we have a chance in the niche of the world-wide photo
> market again to make money. In addition however first the financial
> problems must be solved, and the AG must get new money for the
> order ", describes employer speaker Gero Furchheim the situation,
> for which it selects the words" particularly deep crisis ".
>
> In the past months it went for Leica steeply downhill. Expectation
> for a balanced result changed itself fast into an announcement of
> loss, on which then still times few millions a euro minus had to be
> draufgepackt. For in March the locked financial year 2004/2005 the
> entrepreneurial group Leica Camera AG counts on a yearly deficit of
> approximately 15.5 million presumably euro, is called it in first
> the published report of the executive committee. Principal reasons
> are the clearly declining sales development of the past months as
> well as costs of the restructuring.
>
> In order to master the crisis, the enterprise needs a capital
> supply of approximately 23 million euro according to data of the
> executive committee in the coming weeks. If the plan should fail in
> addition, then it makes the executive committee, gives it at
> present no other solution clear for the shareholders - easily
> hedged in by clauses - to further maintain the solvency of Leica
> medium-term. A bypass financing carried by large shareholders and
> banks makes it possible to Leica at present to finance "the period
> by 16 June 2005". Outside of the reorganization concept with an
> increase of the bar capital, suggested now, exist no readiness to
> send the society money without as partners in the enterprise to be
> taken part at the same time. That means: Also the banks close the
> money cock after the loss messages. Since the financial basis of
> the enterprise verzehrt the losses of the past months nearly has,
> first the nominal value of the shares must be adapted to the
> enterprise value, before then over the expenditure of new shares
> new money can come into the cashes. This is to happen as follows:
>
> The rescue plan
>
> Three shares each with a nominal value of 2,56 euro (in former
> times five-D-mark shares) are folded up and have then a new nominal
> value of a euro. The shareholder has thus afterwards fewer shares,
> which besides are still less worth - independently of current
> market prices. By this capital impairment around approximately ten
> million euro Leica would have brought its balance back in order and
> losses and depreciation around this amount balanced.
>
> In a second step Leica wants to spend approximately 13.5 million
> new shares with a nominal value of a euro on 1,70 euro the piece.
> Thus the capital stock is to be supplemented again on 15 million
> and be available liquid means for the restructuring and
> reorganization concept. Thus the AG would have again a stronger own
> capital funds basis and would get more easily credits. Own capital
> funds on approximately 440,000 euro had shrunk last - with a
> balance sheet total of approximately 65 million euro.
>
> The decision
>
> Whether the rescue plan can be converted, depends now on the
> shareholders. According to law governing share transactions the
> capital impairment three quarters of the capital stock represented
> at the general meeting must agree. The two principal shareholders
> Herm?s (France) and ACM (Austria) - it possess together
> approximately 60 per cent - already it signaled that they would
> carry the scheme of reconstruction, since they have a avowed long-
> term interest in their investments.
>
> The small shareholders could develop a check minority against it
> only if they represent so much capital on Tuesday that the 60-
> Prozent-Anteil of the principal shareholders constitutes less than
> 75 per cent of the present capital. That might be however only
> difficult to reach, there long all shareholders their right to vote
> locally not exercise or a bank or a representative transfer.
>
> If the plan succeeds, Leica has at least again a chance. And one
> wants to use those in Solms, is safe itself of employer speakers
> Gero Furchheim: "we offer largest worth stop with our products, we
> have the best optics at the market, and with the digital module r
> we offer both technologies. We have a chance!"
>