Porsche debt a massive 14 billion euros
July 23, 2009 by David Twomey
Porsche Automobil Holding SE, the administrative company of the Porsche business, amassed 14 billion euros (US$19.75 billion) in debt in its failed attempt to take full control of Volkswagen, Germany’s Bild newspaper has reported, citing an informed source.
Sources told Reuters Newsagency recently that Porsche’s debt was “clearly” higher than the10 billion euros that had so far been revealed by the German sports car maker.
As a result of the immense debt, Der Spiegel magazine reported on Saturday that Volkswagen would pay 8 billion euros to Porsche SE to buy its fully owned sports car business, Porsche AG.
The two companies are set to decide on the issue tomorrow in Germany.
Print it: 
*****PRIMO!*****
Firstly, well done to C/A for showing the origonal debt in Euro and THEN also showing it in the local AUS currency, as you jolly well should!
This is a BIG debt and porker is not going to be able to pay it, VW will have to step in and save them [or the arabs as they said they would]
The really nasty bit is that the CEO walks away with $120 MILLION dollars as a golden-handshake, how could he run up such a debt and yet gladly hold out his hand for that sort of payment, have these CEO’s no shame?
Cheers,
F-0
“…amassed 14 billion euros (US$19.75 billion) in…”
must have missed the Australian currency part
LOL @ flying high…guess he did…anyhow frugal it is $24billion in ozzi dollars for your info…
AS fro the ceo is going to get that much is that true Frugal?, that is insane especially when they are in so much trouble. not good for porsche id say. Looks like another famous company will be bought or bankrupt…
I love ferrari anyhow so im not too upset…heheheh
Marcoz Says: I love ferrari anyhow so im not too upset…heheheh
Doesn’t FIAT own Ferrari?
I know this will sound stupid, but how does a company lose 14 billion euros taking over another company? And more importantly, why does Porsche want to take over Volkswagen in the first place?
Guessing they paid too much for extra shares in VW in the attempt to take it over hence the debt.
They took out loans (ie. debt) to buy the share in VW!
Probably a questionable strategy in the first place and the GFC only made it much much worse.
Seems like Porsche choked on the big fish VW
Baddass “And more importantly, why does Porsche want to take over Volkswagen in the first place?”
As I said in another post
They cannot be independent anymore, there are whole of car marker CO2 restrictions in place soon which means Porsche could not remain is business. Their thirsty cars have to be part of a bigger maker to “dilute” the CO2 across many smaller cars. Hence VW
Yes Imprompt Fiat does own part of Ferrari, But they do not make Ferrari’s…So what is your point?????
I still love them…great cars, great company…fiat part owned or not….!!!
:)