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Heavily-indebted German bearings maker Schaeffler Group has presented a restructuring plan to its creditor banks, co-owner Georg Schaeffler said in an interview with Der Spiegel magazine released on Saturday.
"We hope they will respond quickly to our proposed plan because we want to avoid being drawn into the election campaigns," Schaeffler said in the interview, made available before publication in the magazine's March 23 edition.
Schaeffler Group borrowed 16 billion euros ($21.91 billion) to finance last year's takeover of car parts maker Continental (CONG.DE), a much larger company, but it is struggling with high debt service payments and the automobile industry crisis.
The future of Schaeffler Group, along with a number of other struggling companies, is a sensitive issue for Germany's ruling parties which have become awkward coalition partners since campaigning for September general elections has started.
Family-owned Schaeffler Group said in February it needed up to 6 billion euros in fresh financing and urged help from the German government.
Creditors, principally Commerzbank (CBKG.DE) and Royal Bank of Scotland (RBS.L), have largely agreed on interim financing to allow some breathing space, but want the future of the group to be decided soon, sources familiar with the situation have said.
Financial sources have said that Schaeffler Group may have to sell shares in Continental to the banks to boost its liquidity, or that bank debt may be swapped for an equity stake to secure the viability of the group.
Schaeffler said that under the latter option, it was not inconceivable that the family's share could drop to below 10 percent, if today's market value were applied.
But he said that expectations of better times after the crisis should be factored into any current value assessments.
| Product Model | Inside Diameter | Outside Diameter | Thickness |
| 11206 KOYO | 30 | 62 | 48 |
| 7001B KOYO | 12 | 28 | 8 |