Hi all,
Here is my translation of the interview published by “Spielzeug Messe Extra 2007”. This is the daily Online newsfeed provided by the Nürnberg Toy Fair.
spielzeug messe extra said:
[i]Translation of interview with Hermann Schöntag in "das spielzeug messe extra 2007"[/i][b]New turnouts (directions) at LGB
Hermann Schöntag (58) is since Jan 1 2007 the new owner of modelrailroad manufacturer Ernst Paul Lehmann, who last year declared insolvency. We spoke with the Upper-Swabian enterpreneur about LGB, rumours and the future.[/b]
sme: Mr. Schöntag, how did the first weeks for you as the new owner develop?
Schöntag: During the first four weeks I had to get a good, thorough feel for the company. I reflected on this extensively during the leadtime prior to the acquisition. Now I had to get to the detail of the problem together with the employees. To put it casually: I’m faced with a considerable construction site.
sme: At least you as a private investor prevailed against Märklin.
Schöntag: Looking at the two business models, I would say that mine is the one with the long term perspective. People who need to report to outside investors, need to show a profit sooner or later. I’m aiming for that, too, but I don’t necessarily have to. I see that as my strength. I would like to show with savvy and my own initiative: I have a few years to get the company back to being profitable.
sme: From Swabia or Franken?
Schöntag: Naturally from Franken. As has been announced to the employees of EPL, I will move to Nürnberg.
sme: To what extent is the Richter family still involved in the company?
Schöntag: Wolfgang Richter represents this make and this company. I would really like to have some kind of continuity. The big, clear breaks are not really my style. Talks with Rolf and Johannes Richter regarding the future are being held. The negotiations are ongoing.
sme: Amongst other things you are also in charge of the “Rügen Railway”. How is that project progressing?
Schöntag: That contract will expire at the end of this year i.e. the contract is up for bid submissions. If all the prerequisites are favourable I will bid.
One could say that I’m active in both the prototype and model sector. For me that has a certain fascination.sme: LGB presents this year 60 New Items, do you have a personal favourite among them?
Schöntag: Creating New Items requires naturally a certain market knowledge. That is ground on which I feel relatively confident. The highlight for me would be the “99 4632-8”, one of the Rügen engines. The connection is very pleasant, since the prototype runs on Rügen. By the way this New Item was planned prior to the takeover.
sme: Personal insolvency, 18 million Euro for LGB, suspicions of malfeasance - what are your comments regarding the rumours which circulate in the newspapers in relation to your persona?
Schöntag: The buying price is confidential. The 18 million Euro are certainly not correct. The buying price must allow for a continuance. On the other hand are certain charges which imply that I, as an enterpreneur enriched myself on a specific object, which is objectively incorrect. The assertion was made, without even the slightest attempt at factuality in the matter - and I will now attempt to get that corrected.
sme: What are your goals?
Schöntag: Naturally for the early part of the year consolidation of the company. We would like to very quickly reach a high production level, in order to preserve as many jobs as possible. Of great importance to me is retaining the “soul” of the product, that means continuing to produce high quality products in Nürnberg at a price that is competitive in the market place. I also wish to strengthen the contact to the dealers, since they are the intermediaries and promoters for our product.
Interesting!