(Reuters) – A number of German companies, including Adidas
Here is a list of companies that have applied for the aid package or that plan to do so:
ADIDAS
The sportswear maker will receive a total of 3 billion euros ($3.25 billion) from a banking consortium, 2.4 billion of which will be provided by the German state-owned lender KfW Group
TUI
To cope with the COVID-19 impact, the holiday operator received a 1.8-billion euro loan commitment from KfW to increase the company’s existing 1.75 billion euros credit agreement. “The commitment of the KfW bridging loan is an important first step for TUI to successfully bridge the current exceptional situation,” said Chief Executive Fritz Joussen.
CECONOMY
The electronics supplier decided to apply for state-backed loans after it had to close most of its stores in Europe due to the official requirements to contain the pandemic. According to a source familiar with the matter, Ceconomy seeks a credit line of about two billion euros. The holding company said its existing credit lines had been exhausted by the end of March.
PUMA
The sportswear maker said it needed the help of KfW for a new credit line. According to sources familiar with the matter, the amount involved is in the three-digit million range and is to be used to bridge Puma’s sales losses of up to 80%. However, negotiations are still ongoing.
LEONI
The battered German auto supplier will stay afloat with state aid of several hundred million euros. The financing should compensate for the delayed payments following halted car production as well as for ongoing costs. Leoni said on April 20 it was in advanced talks with its banks to obtain a loan, 90% of which would be guaranteed by the federal government and the state of Bavaria. The firm’s banks, which are supposed to bear the rest of the risk, have already shown their support to the plan.
LUFTHANSA
The airline, which has slashed its capacity by over 95%, put its staff on short time work and suspended its dividend, and said already in mid-March that it was sounding out financial aid with the federal government. According to people familiar with the matter, the ongoing talks consider the option of a state-guaranteed loan and of the government owning a stake in the company. Lufthansa Chief Executive Carsten Spohr said early in April he was optimistic that the talks would lead to positive results.
CONDOR
Due to the extended suspension of air traffic, the leisure airline needs an additional 200 million euros from the state, say people familiar with the matter. According to those people, Condor has already been promised a cash injection in order to remain liquid during the COVID-19 crisis even after a state-run group that owns Polish national airline LOT pulled out of the deal to buy the company. In addition, the debtor-in-possession financing of 380 million euros from the state-owned KfW bank will be extended. Condor has confirmed it applied for state aid, but declined to comment on the amount or type of the financial support.
(Compiled by Bartosz Dabrowski, Linda Pasquini and Veronica Snoj in Gdansk; Editing by Tomasz Janowski)
