HANOVER, Germany (Aug. 31, 2009)—Continental A.G.'s supervisory board has approved an increase in the firm's capital by more than $2 billion and disclosed it wants to discuss with its creditor banks ways to handle credit instruments worth $5 billion that will come due in August 2010.
The capital increase will provide Conti with a sound financial structure for the medium and long term, the firm said. It will raise the capital by issuing new shares, according to former Executive Board Chairman Karl-Thomas Neumann, who stepped down from that post Aug. 12.
"This capital increase provides us not only with greater entrepreneurial flexibility," he said, "it also gives all of us a bit more security."
The decision also will benefit Conti's largest shareholder, Schaeffler Group, Mr. Neuman added.
What issue concerns you most heading into 2019?
|The threat of more tariffs.||
27% (27 votes)
|The new Congress in Washington.||
35% (35 votes)
|Price fluctuations for the products we sell.||
10% (10 votes)
|More disruptions across the industry.||
29% (29 votes)
|Total votes: 101|