Ferretti Italy - Renegotiating debt

Ferretti official statement

By IBI Magazine

Ferretti SpA, parent company of the Italian boatbuilding group Ferretti, has released an official statement following reports that the organisation is in financial difficulty:

"The board of directors of Ferretti SpA announces that it has begun a process of renegotiating its debt with The Royal Bank of Scotland and has appointed Rothschild as its financial advisor, Chiomenti, Linklaters and CBA as legal advisors and KPMG as industrial advisor.

"The purpose of the deal is to renegotiate the terms of the loan agreement entered into in January 2007, at a time when the market was especially dynamic and therefore substantially different from the current negative economic situation that has developed at the global level in recent months.

"The board of directors has also examined the guidelines for the business plan, which has been revised in the light of the current international scenario.

"The chairman and CEO Norberto Ferretti together with the shareholders of Ferretti SpA are determined to undertake all necessary action to consolidate the group's position in the luxury motoryacht sector and to resolve the short-term financial tension.

"From a business standpoint, although the nautical market is passing through a period of contraction, the Ferretti group confirms the programmes of its nine brands.

"From a commercial standpoint, the group continues to participate in all of the most important Italian and international trade fairs. Following the Düsseldorf show — where the group displayed nine yachts on a stand extending over more than 2,000m², Ferretti will be at the 2009 Miami International Boat Show (February 12-16) with 25 models.

"The Miami show will be followed by trade events in emerging markets, such as the shows in Mumbai, Dubai and Shanghai. Ferretti will also be attending various Italian shows throughout the spring.

"Projects for 14 new boats are currently being completed. The yachts will be presented at forthcoming autumn boat shows, bringing the number of new models scheduled for release in the next three years up to 50.

"Given the present macro-economic situation, the Ferretti group is also implementing a series of measures aimed at bringing its organisational structure in line with the current market scenario. In this context, the group has decided that it will implement ordinary redundancy fund measures for some of its shipyards as a precaution. These measures have been made necessary for a limited period of time due to the decline on the market of small yachts, while the production of superyachts remains regular."

Ferretti SpA oversees nine yacht brands: Ferretti Yachts, Pershing, Itama, Bertram, Riva, Apreamare, Mochi Craft, CRN and Custom Line. Norberto Ferretti founded the Ferretti group in 1968. The group now employs 3,000 people and is present in 80 countries.


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(5 February 2009)