Bayer boosts liquidity buffer to cover the impact of the euro zone debt crisis

10-Nov-11

Germany’s Bayer has boosted its liquidity buffer to cover the impact of the euro zone debt crisis, which has left it with a significant amount of unpaid bills from clients in Italy, Spain and Portugal, as per Reuters. "At the moment our liquidity position is 3.8 bln euros (US$5.2 bln)," Bayer's Chief Financial Officer Werner Baumann was quoted by Boersen-Zeitung. Normally the company holds about 700 million euros in liquidity. The buffer is estimated to be maintained until April when the company will redeem a 2 bln euro bond. Currently, Bayer has a significant amount of unpaid bills (approximately three-digit million) from clients in Italy, Spain and Portugal as a result of the debt crisis in the euro zone.