Porsche Liebhaber
Active Member
^Well, not in that manner, I like Porsche the way it is, and I'm afraid that it's gonna change
You mean like VW "ruined" Lamborghini, Bentley and Bugatti?
More info:Reports:Porsche deeper in debt than thought
The financial woes of Germany's Porsche are bigger than previously thought, media are reporting. The sports car maker is some 14 billion euros ($20 billion) in debt, about 5 billion more than Porsche had earlier said.
According to media reports, Porsche was on the brink of insolvency when the struggle between the sports car maker and Volkswagen finally came to a head.
Focus has reported that Porsche would have been insolvent within two weeks had VW not pushed through with its takeover ambitions. Ironically, the maker of iconic sports car like the 911 had initially wanted to gain control over Volkswagen ? and it was the financial burden of that very takeover bid that pushed the sports car maker to the edge.
Porsche had always said its debt level was at around nine billion euros ($13 billion), yet on Saturday the newsmagazines Focus and Der Spiegel both reported that marathon talks between Porsche and VW revealed that in fact, Porsche has run up debts of as much as 14 billion euros.
Ooops. Yeah, that's GM levels of stupidity right there...
VW is being and has always been run by the Porsche family (mainly Ferdinand Piech). Lets not forget that, they are car people and wouldn't just ruin Porsche out of some random marketing plan.
The original plan, maybe.^But it was a really stupid move from Porsche
Yeah, but Piech's beef is with the Porsche family. Remember, he started out at Porsche, and e.g. pushed the 917 through against the disapproval of Porsche family members etc., and apparently only moved to Audi because of the "no family running the business"-rule established in the 70ies - I don't think he'd take it out on the company itself.Porsche used to be the Porsche half of the family, VW the Piech side. The two sides hate each other.. Hence, with Piech in control who knows.
I'm starting to think Porsche shouldn't be bailed out but be allowed to fail instead. Rather than VW having to take on huge debt for it's own shares which Porsche bought at a premium it could just hoover them up at the Porsche fire sale.
And tell us why would VW want to buy their own shares
If they buy back shares, they will have to reduce the amount of issued shares. So Lower Saxony will end up with 40% of the shares as biggest single shareholder. Besides the reduced capital base will also increase borrowing costs and will likely trigger renegotiations on existing debt. So basically your idea is utter nonsense.