Primo Benzina AG was retail gas stations offer gasoline, snacks, restaurant meals, and high quality service in Central Europe. The company began operations with four outlets and sales of 2.4 million in 2006 and increased to 24 points of sales and 38.1 million in 2009. Rapid growth in income is accompanied by reduced profitability. Dresdner Bank reluctantly increased the maximum amount available in the company to 12 million from 10 million. In early 2010, Otto Schrader, CEO and Annegret Heuermann, chief financial officer of the company, completed a review of the financial situation of the company. Company executives were confident that the new credit line will allow the company to implement its growth strategy, as the company is now in a limited amount of money to finance the additional costs for working capital and capital expenditures.
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by Graeme Rankine Source: Thunderbird School of Global Management 7 pages. Publication Date: September 24, 2009. Prod. #: TB0013-PDF-ENG
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