Made in Germany

Credit Crunch Hits the German Economy (14.10.2008)

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One victim of the financial crisis is in the eastern Fresian port of Emden -- the traditional Cassens-Werft has declared bankruptcy after its bank cut off all credit. While employees and the region absorbed the shock, the company's order books showed some 226 million euros worth of contracts. The shipbuilder was in the midst of work on a new container ship, but then the customer was unable to pay for it. Cassens executives say that in the past, the bank would help in such situations, but with the financial climate being what it is at the moment, the bank would not take the risk. Carmen Meyer visits the country's western-most port for Made-in-Germany to see how the credit crunch is putting the squeeze on German business.