Ad hoc announcement – DF Deutsche Forfait AG: Write-down against restructuring portfolio

  • Reduced value of a receivable available to pay off insolvency creditors
  • No direct implications on Group P/L

Cologne, 17 January 2017, 13:36 CET/CEST – DF Deutsche Forfait AG (ISIN share: DE000A2AA204, ISIN bond: DE000A1R1CC4) has to write down a claim included in the “Restructuring Portfolio” presented in the insolvency plan dated 29 April 2016 by approximately EUR 4.9 million.

As confirmed by the company’s legal advisors today, DF Deutsche Forfait Group has lost the last instance court case against a member of the family behind the debtor, a Dubai-based trading company; the court denied DF Deutsche Forfait AG’s attempt to collect the claim under a personal guarantee originally extended by said individual. The underlying receivable was carried in the portfolio based on a valuation of approximately EUR 4.9 million. It will now have to be written down in total, as the collection of the outstanding amounts are possible only at the level of the trading company‘s individual subsidiaries, which are not solvent, based on current information. Consequently, the assets available to pay off insolvency creditors will be reduced significantly. The entire restructuring portfolio was originally valued at EUR 27.5 million for purposes of the insolvency plan dated 29 April 2016.

The write-down will not directly impact DF Deutsche Forfait AG’s Group P/L; it will merely reduce the value of the restructuring portfolio set aside to pay off the insolvency creditors. An indirect effect on the Group result may occur if the realisation of the entire restructuring portfolio should fail to generate at least EUR 24 million. In this case, the company may be obliged to make a payment of up to EUR 0.8 million to its insolvency creditors, depending on the actual amount generated by the realisation of the restructuring portfolio.