Heidelberg Secures $2.01B Credit Line
HEIDELBERG, GERMANY—Heidelberger Druckmaschinen has secured loan guarantees from the German government of 1.4 billion euros, or US$2.01 billion, running through 2012. According to Heidelberg CFO Dirk Kaliebe, the financing will enable the company to "bridge the period until the difficulties in securing loans within the financial system ease."
The company also reported its fifth consecutive quarterly loss, US$98 million, for the period ending June 30. Sales fell 22 percent for the quarter. According to CEO Bernhard Schreier, incoming orders stabilized slightly in the first quarter, an "initial indication that the downturn is leveling out."