websterforrest Posted February 23, 2005 Share Posted February 23, 2005 A lot of us are concerned I'm sure about the news coming from Solms of the problems that Leica is having - I attach a recent press release from the Leica Camera website. I'm not a banker or accountant; can anyone on the forum who genuinely works in the financial sector give a real-life translation of this? I ask because this is the text from Leica itself, rather than a rumour. "Following the ad hoc announcement of Leica Camera AG, Solms, of February 17, 2005, stating that the Company expects a loss of half of its registered share capital in March 2005, the banks have partially terminated their credit lines. The remaining lines still cover the current liquidity requirements. The Company?s Board of Management has entered into negotiations with the banks on a solution that will carry the Company until the time of its Extraordinary General Meeting on May 31, 2005, at which capital measures are to be proposed to the shareholders." On a side topic: I imagine there will be a few garage sales out there to raise money for an MP while they're still available new! Link to comment Share on other sites More sharing options...
frank_reidelbach Posted February 23, 2005 Share Posted February 23, 2005 If you earn 3000 a month and continue to do this for 2 or 5 years, your bank will think, this person is worth a credit of 6000 without asking. You do not need to take this whole sum, of course... So, next 3 months, business goes down to 1500 a month. Now the bank lowers the credit line to 3000, because it take 2 months to pay it back (at best). If you took form your credit line 4000 in the good times, now the bank will start asking seriously for securities. House, car, cameras, whatever. This is what happens to LEICA now. Sales went low because everyone is waiting for the new Zeiss-Ikon. New Summilux sale will not bring LEICA through the winter. I wouldn't say "dämmerung" (stock price has reduced to a half but still good) but it's serious. cheers, Frank Link to comment Share on other sites More sharing options...
__jon__ Posted February 23, 2005 Share Posted February 23, 2005 >This is what happens to LEICA now. Sales went low because everyone is waiting for the new Zeiss-Ikon. A La Carte is a flop... Link to comment Share on other sites More sharing options...
._._z Posted February 23, 2005 Share Posted February 23, 2005 Webster, read some of the recent threads in this forum about this. Link to comment Share on other sites More sharing options...
kajabbi Posted February 23, 2005 Share Posted February 23, 2005 Of course Summilux sales won't bring them through the winter. They are not making them. If all the Summilux orders, canceled by potential buyers after waiting six months, were supplied, Leica would have had a great Quarter. Now they "think" that by announcing another new lens, their situation will inprove. Who are they trying to inpress. maybe a potential buyer? Perhaps they should have appointed a Priest as CEO so that proper "Last Rights" can be administered. Link to comment Share on other sites More sharing options...
henricus Posted February 23, 2005 Share Posted February 23, 2005 Is Leica going out of business the same as a famous artist dying? Will their work be worth more? Link to comment Share on other sites More sharing options...
chris_henry1 Posted February 23, 2005 Share Posted February 23, 2005 "Will their work be worth more?" A facetious question, I think. The problem is that not enough people think their cameras are worth what they are selling for now. Link to comment Share on other sites More sharing options...
olivier_reichenbach Posted February 23, 2005 Share Posted February 23, 2005 " The problem is that not enough people think their cameras are worth what they are selling for now. " No wonder, if they follow the example of some members of this forum. Link to comment Share on other sites More sharing options...
ben z Posted February 23, 2005 Share Posted February 23, 2005 Sorry, but a while ago I'd have been the first to jump to Leica's defense but then I bought an MP, my first late-model Leica. Operationally it works fine, but it doesn't do anything better as a photo-making tool than an M6. Plus I had to caulk up the eyepiece and buy after using it at a wedding I found I definitely needed to buy a rewind crank. The finish has worn to the level of KEH bargain. I just got an M6 KEH bargain for $850, which is $2000 less than a new MP costs. It has a crank for rewinding, the eyepiece doesn't need caulking, and it already looks cosmetically (not that I care really)in better shape than my MP. I'm keeping my MP till doomsday but it'll be a cold day in you-know-where before I let myself get honeytalked into buying a new Leica product again. Link to comment Share on other sites More sharing options...
el_fang Posted February 23, 2005 Share Posted February 23, 2005 <i>"Sorry, but a while ago I'd have been the first to jump to Leica's defense but then I bought an MP, my first late-model Leica. Operationally it works fine, but it doesn't do anything better as a photo-making tool than an M6."</i> <p>Ah, finally somebody snaps out of the reverie. Link to comment Share on other sites More sharing options...
Recommended Posts
Create an account or sign in to comment
You need to be a member in order to leave a comment
Create an account
Sign up for a new account in our community. It's easy!
Register a new accountSign in
Already have an account? Sign in here.
Sign In Now