Several news agencies have reported that the German manufacturer was given the go-ahead from the Economy Ministry earlier this month.
Reuters quoted a spokesperson for the ministry as saying: “The decision on Heidelberger Druck’s application (is) positive.” According to German news magazine Spiegel, Heidelberg was aiming to secure a guarantee to the tune of €400 million (A$705m) and a loan of €300m (A$529m).
However, PrintWeek understands that a final decision on the aid package is yet to be reached.
The speculated request for financial support comes after the group reported a large drop in orders for the financial year 2008/2009 (to 31 March of this year). Sales were down 18% to €2.99bn, down from €3.67bn and incoming orders were also down by 20%.
The company has embarked on a major cost-cutting initative. Around 1,400 roles have been cut since the start of the financial year 2008/2009, with overall employee levels standing at 18,926 at the beginning of April. It is thought the total figure will reach 5,000 cuts in total.
Read the original article at www.printweek.com.
Comment below to have your say on this story.
If you have a news story or tip-off, get in touch at editorial@sprinter.com.au.
Sign up to the Sprinter newsletter
