Dutch Government Hands Fokker Financial Lifeline
THE HAGUE, Netherlands (AP) _ Struggling aircraft maker Fokker NV was thrown a financial lifeline Friday by the Dutch government while company directors hunt for a foreign bailout partner.
The government plans to give Fokker a 255 million guilder ($153.6 million) credit and a 110 million guilder ($66.2 million) down payment for military planes it had already ordered, economic affairs minister Hans Wijers said.
The funding will Fokker some ``breathing space,″ said board chairman Ben van Schaik.
This week Fokker applied for a month’s protection from its creditors for most of its units after majority shareholder Daimler-Benz AG said it will no longer support the company.
Fokker is estimated to need some 3 million guilders ($1.8 million) a day to survive and Wijers said the financing package should keep the company going for five to six weeks.
Wijers described the state aid as ``primarily a way to keep the concern running,″ enabling it to finish all the work in its portfolio and to pay salaries.