Italian Banks Continue to Lend to Stagnant Companies as Debt Pile Mounts
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The office of Intesa Sanpaolo in Turin, Italy. Last year, the book seller Feltrinelli was able to secure a 50 million euro line of credit from a syndicate that included Intesa Sanpaolo.CreditMarco Bertorello/Agence France-Presse — Getty Images
In Italy, where two decades of economic stagnation have created a long line of barely breathing companies, Feltrinelli, one of the country’s largest booksellers, stands out.
Since 2012, the company has chalked up three consecutive years of losses totaling nearly 11 million euros ($12.4 million).
Even so, late last year, Feltrinelli was able to secure a fresh €50 million line of credit from a syndicate that included two of Italy’s largest banks, UniCredit and Intesa Sanpaolo, at an interest rate below what top-rated companies in Europe were paying…
Italian Banks Continue to Lend to Stagnant Companies as Debt Pile Mounts
