Troubled Japanese camera and medical equipment maker Olympus says it believes its lenders will support it, despite admitting it lied in its financial reports.
Last year the group's British Chief Executive revealed the firm had been covering up huge losses on complicated investments dating back nearly 20 years.
He was forced out but the company's reputation was battered, resulting in a share-price loss of nearly 80%
MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Olympus has recovered in 2012 but the lies in its financial reporting mean it will be in breach of its loan covenants with lenders.
The Financial Times was reporting on Thursday the amount of loans which might be pulled could total $4.1bn.
Olympus officials are, however, saying they expect the lenders to continue offering "support".
Japanese business has been rocked by the scandal, which has thrown into doubt the competence of regulators in Tokyo and made foreign investors wonder openly whether investing in Japanese firms is worth the risk.
BS
-
Would you delay retirement to help your children through university?Parents are missing out on as much as £45,000 that could have gone into their pensions because they are using that money to pay their children’s way through university, according to new research
-
Family face £100k stamp duty bill after avoidance scheme crashes in court – the mistakes to avoidA couple faces a substantial stamp duty bill after trying to reduce the amount they owed
