Porsche Flirting With Disaster
After making serious headlines with their attempts to acquire Volkswagen, it seems that the wheels have come off at Porsche.
Apparently they’ve gone from selling more product than ever before and earning more money on each vehicle sold than any other manufacturer to asking for bailout funds from the German government. According to a German magazine, Stuttgart’s most famous export accepted a $978 million US loan from Volkswagen to avoid bankruptcy during three days in March, but needs another $3.5 billion US to stay afloat. However, that figure barely scratches the surface of Porsche’s massive total debt. Currently sitting at an amazing $12.6 billion US, Porsche total debt easily eclipses even that of ailing Chrysler (actually surpassing it by a further 50%!), which is amazing given the German’s marques comparatively tiny volume (less than 100,000 units per year).
