Leica dismisses CEO as part of rescue attempt

15th April 2005, Comments 0 comments

15 April 2005, SOLMS - Struggling German camera company Leica has dismissed its chief executive, Ralf Coenen, the supervisory board announced on Friday.

15 April 2005

SOLMS - Struggling German camera company Leica has dismissed its chief executive, Ralf Coenen, the supervisory board announced on Friday.

The announcement said Coenen, 43, would be replaced on an interim basis by Josef Spichtig, 61, who has been called in to try to revamp the prestigious camera maker.

The board also approved a reduction of shares capital and the liquidation of some reserves in order to help offset a EUR 14.2 million loss from 2004.

Leica has had its share of financial difficulties. Things started to go awry shortly after the company was floated on the stock exchange in 1996 and its shares have been losing value for years.

Amid the company's problems, banks have partially cancelled credit lines. In February, Leica began holding talks with six financiers in a bid to raise fresh loans.

In recent years Leica has laid off 400 workers and currently employs around 1,050 people worldwide, 415 of them at the factory in Solms.

DPA

Subject: German news

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