It may very well be the maker of one of the fastest, sexiest, and most impressive automobiles around, but apparently Aston Martin is no safer than anyone else when it comes to being affected by the recession.
Kuwait’s Investment Dar, owner of 51% of the Gaydon-based automaker, is reportedly having some troubles in terms of re-financing its debt. After buying Aston Martin from Ford in 2007, Kuwait’s Investment Dar had their trading suspended on its shares after it failed to meet the submission deadline for its 2008 financial records. In addition, in April Dar allegedly defaulted on a $100 million Islamic bond before seeking out advice from Credit Suisse regarding restructuring and renegotiation of a $1 billion loan.
In December 2008, the automaker’s financial troubles truly became obvious. Forced to shut down its plant for about a month over the Christmas and New Year holidays, the company also cut 600 jobs, which is equivalent to one-third of its workforce in Gaydon.
After reaching an agreement with banks and investors regarding the latest problems with re-financing its debt, Aston Martin is said to have bought some time to “suspend individual claims relating to investment arrangements,” at least until the end of 2009.
It is clear that regardless of Aston Martin’s reputation among car enthusiasts and recent announcements introducing new models through the year 2012, including the four-door Rapide and One-77, Aston Martin is certainly no different from anyone else when it comes to feeling the pricey sting of the recession.
Via: Luxury Insider