Large Scale Central

News from Nürnberg; "No reaction in response to Wöhrl's "last

General Discussion
#1

Hi all,

Yes today is the first of the “Next week” and the GARTENBAHNprofi has the following posted:

GBP on 2007/05/07 said:
.................... [b] Keine Reaktion auf Wöhrl's "Letzte Offerte"[/b]

07.05.2007, 17.20 - Der Nürnberger Unternehmer Hans Rudolf Wöhrl und seine Beteiligungsgesellschaft “intro” haben bis heute – und somit zum Fristablauf – keine Reaktionen der Gläubigerbanken auf Ihr drittes und letztes Ãœbernahmeangebot für das insolvente LGB-Werk Nürnberg erhalten. Der Nachrichtensender Bayern 5 verbreitete um 17 Uhr die Meldung, dass man bei “intro” nun von einem Scheitern des Angebots ausgehe. BR 5 berief sich auf “intro”-Projektleiter Dietmar Langner, der mitteilte, dass man weder von Seiten des Insolvenzverwalters, noch von Seiten der Gläubigerbanken eine Reaktion auf das Angebot vom 2. Mai erhalten habe. Offen sei laut Langner, ob es möglicherweise noch weitere Bieter um LGB gibt. Vermutet wird nach wie vor, dass der britische Finanzinvestor Kingsbridge, der mit Märklin seit einem Jahr im Modellbahnmarkt vertreten ist, weiterhin Interesse an der Marke LGB und ihren Produkten habe.

Bereits am vergangenen Freitag hatte LGB-Insolvenzverwalter Steffen Goede gegenüber den Nürnberger Nachrichten anklingen lassen, dass sich die Banken offenbar nicht auf Wöhrls Angebot einlassen würden, weil dieses hinsichtlich Kaufpreis und “weiterer maßgeblicher Konditionen” von einem angeblichen Kompromiss abweiche. Wöhrl indes bestritt, dass es eine solche Kompromisslösung je gegeben habe – diese angebliche Kompromisslinie sei vielmehr eine Forderung der Banken, der man von seiner Seite nie zugestimmt habe.


My Translation

HJ translates said:
...... 2007/05/07 17:20 - The Nürnberger enterpreneur Hans Rudolf Wöhrl and his investment company "intro" have as of today - final deadline - not had a reply from the lender banks in regards to the third and final proposal for the takeover of the insolvent LGB concern in Nürnberg. Radio broadcaster BR5 (Bayerischer Rundfunk Fünf) reported at 17:00 that "intro" assumes the offer has failed. BR5 cited Dietmar Langner, the project manager for "Case LGB", who reported that neither the banks nor the insolvency trustee reacted to the offer from Mai 2nd. An open question, according to Langner, is the possible existence of additional bidders. It is still assumed that the British investment company Kingsbridge Capital, for the past year owner of Märklin, continues to be interested in LGB and its product line.

Insolvency trustee Steffen Goede hinted on Friday already to the Nürnberger Nachrichten, that the banks most likely would not entertain the Wöhrl offer since it was short regarding the purchase price and didn’t fullfill some of the “other significant conditions” thereby departing from a supposed compromise. Wöhrl contested that such a compromise ever existed - the compromise line was rather a stipulation of the banks, to which his side never agreed.


Comment: What’s next?? Track2? Or still one more “last and final offer”?

#2

And here the message from dpa:

dpa said:
Nürnberg (dpa) - Alle Rettungsversuche für den angeschlagenen Nürnberger Modellbahnhersteller LGB mit rund 130 Arbeitsplätzen sind gescheitert. Die von dem früheren Fluglinien-Betreiber Hans Rudolf Wöhrl angestrebte «fränkische Lösung» hat nach Angaben von Insolvenzverwalter Steffen Goede keine Chance mehr. Wöhrl habe völlig überraschend die in mehreren Wochen mühsam erarbeitete Kompromisslinie verlassen, sagte Goede am Montag. Wöhrls Investmentfirma Intro-Verwaltungs GmbH sei jedoch «in der gegebenen Situation» der einzige Bieter, der die Produktion am Standort Nürnberg hätte erhalten können. «Wir waren auf einer Linie», schilderte Goede die zurückliegenden Verhandlungen mit der Intro GmbH. Bis vor wenigen Tagen habe es noch danach ausgesehen, als würde man einen für beide Seiten akzeptablen Kompromiss finden. Doch vergangene Woche habe sich Wöhrl von früheren Verhandlungsergebnissen so weit entfernt, dass keine Hoffnung mehr bestehe, dass das Angebot zum Tragen komme. Der Insolvenzverwalter bedauerte das «schlechte Ergebnis». Die Übernahme der traditionsreichen Modellbaufirma durch die Intro GmbH sei letztlich an den unterschiedlichen Vorstellungen über den Kaufpreis für das Werksgelände gescheitert. Intro-Projektleiter Dietmar Langner sagte, die Frist für das zuletzt auf 7,5 Millionen Euro nachgebesserte Übernahmeangebot sei am Montagmittag ohne Reaktion der Gläubigerbanken oder des Insolvenzverwalters abgelaufen. Damit sei die letzte Chance auf eine Rettung der rund 130 LGB-Arbeitsplätze am Standort Nürnberg verspielt worden. «Die Akte LGB kommt in den Schrank. Wir werden kein neues Angebot mehr abgeben», betonte Langner. Mit dem am 7. Mai ausgelaufenen Angebot sei «jeglicher Spielraum ausgeschöpft» worden. Die Offerte habe auch die Forderungen der Gläubigerbanken nach einem höheren Kaufpreis für das Grundstück und das Betriebsgebäude der LGB berücksichtigt, wies Langner die Kritik Goedes zurück. In Bankenkreisen hieß es dagegen am Montag, Vertreter der Gläubiger-Banken würden erst an diesem Dienstag zusammenkommen, um abschließend über die Zukunft des Unternehmens zu entscheiden. Man habe dabei die Hoffnung, dass das endgültige Aus für LGB doch noch abgewendet werden könne, sagte ein Bankenvertreter, ohne Einzelheiten zu nennen. LGB hatte im September 2006 Insolvenz angemeldet. Im Dezember hatte Insolvenzverwalter Steffen Goede den Unternehmer Hermann Schöntag als Retter präsentiert. Schöntag, der auf der Insel Rügen die Kleinbahn «Rasender Roland» betreibt, konnte jedoch das Geld für den Fortbestand der Firma nicht aufbringen. dpa tm yybyf z2 kf

von dpa

dpa - Deutsche Presse-Agentur GmbH, 17:44 Uhr
© 2007 dpa - Deutsche Presse-Agentur GmbH


Source of dpa report: Gartenbahn Forum/ Max Müller

my translation;

HJ translates said:
....

Nürnberg (dpa) - All rescue attempts for the battered model railway producer LGb in Nürnberg to preserve the 130 jobs have failed. The “Franconian solution”, launched by the former air line operator Hans Rudolf Wöhrl, has according to insolvency trustee Steffen Goede lost its chance. Wöhrl surprisingly left the “compromise line” which was arrived at after many weeks of hard work, said Goede on Monday. Wöhrl’s investment company “Intro-Verwaltungs GmbH” is in the given situation the only bidder that would retain the jobs in Nürnberg. “Wie were on the same track” characterize Goede the past negotiations with “Intro GmbH”. Only a few days ago it appeared as if a for both sides acceptable compromise could be reached. But during the past week Wöhrl was moving so far from previously negotiated result, that any hope of an agreement disappeared. The insolvency trustee regretted the “bad result”. The takeover of the venerable model producer through “intro” finally collapsed on the differing expectations regarding the purchase price of the real estate.

“Intro” project manager Dietmar Langner said : the deadline of the offer, which had been increased to 7.5 million Euro, expired on Monday noon without a reaction from the banks or the insolvency trustee. With that one had gambled away any chance of retaining the 130 jobs at LGB in Nürnberg.

“The “Case LGB” dossier will be filed away. We will not submit a new offer” emphasized Langner. The offer that expired on May 7th used up all of the existing leeway. The offer also took into account the higher purchase price for the real estate demanded by the banks, was how Langner rejected Goede’s contention. Banking circles reported that a meeting of the lending banks had only been set for Tuesday to come to a decision regarding the future of the company. One is hoping to avoid a total disappearance of LGB, mentioned a banker, without mentioning details.

LGB reported insolvency in September of 2006. Insolvency trustee Steffen Goede presented enterpreneur Hermann Schöntag in December as “the saviour”. Schöntag, who is the operator of the “Rasender Roland” railway on Rügen, was unable to gather the required funds to continue the LGB company.


My comment: while Schöntag was certainly a curious “saviour”, to me he was no more curious than the “intro/LGBoA saviours”.

As for Goede: Less drinking of Sekt with the Richters and closer attention to what was “cooking” could have brought a better result, no guarantee but a distinct possibility!

#3

are the ventilators foaming yet?

#4

Yes I’m drowning in it…but as least I’ve got a sense of humour!

#5
Andy Worsfold said:
Yes I'm drowning in it.....but as least I've got a sense of humour!
It helps, it helps! :lol: ;) :lol:
#6

Andy-
Nobody wants LGB to fold that I have read.
All we can do is ask questions, find answers, and keep a sense of humour about the whole thing.

#7
Curmudgeon said:
Andy- Nobody wants LGB to fold that I have read. All we can do is ask questions, find answers, and keep a sense of humour about the whole thing.
Ah, ha ha ha ha, The laugh of the day post from Dave Goodson could be a winner.
#8

Okay.
You’re on.

Show me in print where anybody says that.
Including me.

Waiting.
Patiently.

#9
Ken Fillar said:
Curmudgeon said:
Andy- Nobody wants LGB to fold that I have read. All we can do is ask questions, find answers, and keep a sense of humour about the whole thing.
Ah, ha ha ha ha, The laugh of the day post from Dave Goodson could be a winner.
Kenny,

Have you been designated as “Ventilator of the Day” by the publicist or is it just the usual?

We all hope that LGB in Germany will survive in some fashion.

I can only cite ROCO as a prime example of how an insolvency could work.

ROCO went into insolvency, the former owner Peter Maegdefrau was out!
A team of the employees was awarded the bid.

Sure they had to revamp some of the items to which Maegdefrau held the patents on a private basis (as opposed to Roco) , no big deal they manage quite nicely.

That was a very nice solution: toss the incompetent, highflying, castles in the sky building owner and get on with it. Good for them!

Not so good for LGB!

PS Someone on the European fora mentioned that, with the three ring circus the EPL Patentwerk insolvency became, in Austria there would have some people in “the big house”. Mean customs in Austria, eh?

#10

Holy Crap!

I just wonder if they (Intro) didnt low balled it at the last minute on the hopes that the banks would take the easy money and walk.

I agree with Dave, no one WANTS to see LGB go down, but these banks are really playing hardball about this, they want their money and dont give a rats ass about the employees, the product line or heritage or any of that non-money related subjects.

Sound like this is it for LGB, the company as we have known it is likely Banta fodder! Say goodbye to those jobs in Nurmburg. Thats what gets me.

Now we wait and see if Marklin gets it, and if so what will become of LGBs product line.

Has anyone thought to consider what happens if Marklin does NOT get it, whats going to happen? Could we see an auctioning off of everything?

Its happened here to more than a few companies here! Everyone rememeber what happened to Delton? Their molds went to 3 different companies!

PS maybe we should put a watch out on a certian hardcore crowd, they may take this badly and we dont want any mass koolaid drinking now do we.

Everyone just breath, the comet will pass, thiers no starship behind it, the sun will come up tomorrow and we will all move on…breath, just breath…

Delton lives on, so will LGB.

#11

Lots of the older H0 and 0 stuff lives on under a different name.

I do know when there is nothing of fact some can give they get personal.

That’s okay.

The closest I ever came was saying the hobby won’t end if LGB folds.
But nobody wants it to just go “poof”.

I would like to know more of the lead-up to this whole mess, just because I tend to like to gather information.

#12
Victor Smith said:
........................................

I agree with Dave, no one WANTS to see LGB go down, but these banks are really playing hardball about this, they want their money and dont give a rats ass about the employees, the product line or heritage or any of that non-money related subjects.

Sound like this is it for LGB, the company as we have known it is likely Banta fodder! Say goodbye to those jobs in Nurmburg. Thats what gets me.

Now we wait and see if Marklin gets it, and if so what will become of LGBs product line.

Has anyone thought to consider what happens if Marklin does NOT get it, whats going to happen? Could we see an auctioning off of everything?

Its happened here to more than a few companies here! Everyone rememeber what happened to Delton? Their molds went to 3 different companies!

PS maybe we should put a watch out on a certian hardcore crowd, they may take this badly and we dont want any mass koolaid drinking now do we.

Everyone just breath, the comet will pass, thiers no starship behind it, the sun will come up tomorrow and we will all move on…breath, just breath…

Delton lives on, so will LGB.


Vic,

Yes, the banks played nice with the Schöntag bid.

Looks like they got perfect vision, aka 20/20, on the second go around and weren’t to be played for chumps. How about the securities on those loans are so water tight that you could pi… all over them and not a drop would leak?

Then let’s have a look at the Märklin possibility, they’re in the process of tightening up their product line. From what I hear they plan on really getting with the program. That to me sounds a lot better than some of the alternatives for the LGB rescue that have been bandied about! Remember they had someone go through the LGB books with a microscope and they are, supposedly, still bidding. Tells me plenty!

On that hardcore crowd, let’s just hope there won’t be any hack attacks on certain fora!!! :frowning: :wink: :frowning:

#13

Now we wait to see what the German banks and courts have to say about ownership of the US branch, and trademarks, copyrights and patents.

For the price they are asking, one would think the US branch is included in the “deal”, along with all trademarks, patents and copyrights, but who knows.

The best laid plans…

#14
Curmudgeon said:
Okay. You're on.

Show me in print where anybody says that.
Including me.

Waiting.
Patiently.


Dave,

Whatever you do, don’t hold your breath!

The RBB and the “LGB Ventilators” are long on hope and very short on facts!

Let them do whatever digging they like, that should keep them busy for the rest of their days without a shred of proof!

:lol: :lol:

#15

Ah, a campaign to discredit.

I wonder if that will be as successful as the e-mail campaign?

#16

If Marklin as assumed… is still bidding… or their bid is still on the table… has it been updated? If not, is it at or above the “Intro” offer in total? ( at least in the leinholder’s eyes) Does it contain differing terms (I’m relatively sure that it does) that allow the banks to potentially recover additional monies from the sale of the LGB real estate at later potentially more favorable prices??

Marklin al la KingsBridge may very well be the white knight here if they can keep the product flowing, and deliver it at competitive prices. They obviously, if in fact are still interested, (I’ve seen no report that their offer is still intact), believe the ultimately reduced market share is still worth it…

However, I would not be suprised if they did not/or have not reduced their offer due to the current loss of share and customer good will that this dance of the elephants (on the head of a pin) has caused.

The value of the company declines every day as dealers struggle to answer questions from the average customer. My experience says for every 30 days in recievership you lose 3 to 5 % of value… based on sales share and the time it takes to get back to production.

Mark

#17

Too bad. Looks like the employees are screwed. Followed by the dealers, right? Especially those who paid for product not yet received?