Austria builder Alpine says liquidity assured
VIENNA, Oct 10 (Reuters) - Austrian construction group Alpine Holding is taking measures to deal with tough market conditions and has adequate liquidity, it said on Wednesday, rejecting a magazine report that its finances were stretched.
"All the steps needed to address the difficult situation have been implemented. The owner has promised full support. Liquidity has been sufficiently secured," Austria's second-biggest construction company, a unit of Spain's FCC , said in a statement.
It was responding to a report that Austrian magazine Profil had put on its website. FCC declined to comment on the report.
Citing from what Profil called an internal management document presented to owners in Madrid on Sept. 20, the magazine said that Alpine needed 31 million euros ($40 million) in cash by the end of next week to keep going.
Profil said an external review ordered by Alpine Holding head Johannes Dotter had shown Alpine faced a 2012 pretax loss of 263 million euros after taking up to 400 million euros in writedowns for "endangered projects" and low-value stakes.
Alpine's statement said it had hired a consultant to evaluate its situation.
"Various scenarios were described in the report that were presented to the supervisory board to show how management envisioned handling the situation. The online (Profil) report picks out only one of the scenarios," it added.
Profil had said management was considering consultant KPMG's recommendations to make divestments, get a capital injection from FCC, and negotiate with lenders to get longer repayment terms and 75 million euros in additional financing.
Talks with banks were planned for Friday, Profil said.
(Reporting by Michael Shields and Angelika Gruber in Vienna, additional reporting by Carlos Ruano in Madrid; Editing by Mike Nesbit)
Keywords: ALPINE FCC/REPORT