German chancellor pledges to keep Meyer Werft afloat

'Meyer Werft is an asset that we must not give up and that we will not give up,' Scholz said, according to news reports.

Though it has a strong orderbook, including recent orders for a series of Disney Cruise Line ships, Meyer Werft has been struggling to meet near-term debt payments, a hangover from the pandemic, inflation and global supply chain issues.

State taking control for now

Details of the rescue plan are still to be worked out, but media reports speculate it entails the state taking over a majority of shares in the family-owned business, and guarantees for future loans. A statement by Bernard Meyer seemed to confirm the family would give up control for now but that the agreement has a buy-back right for the family, which will continue to be involved in the supervisory board.

Scholz and Lower Saxony's Minister President Stephan Weil addressed shipyard workers Thursday.

Meyer Werft CEO Bernd Eikens and the company's restructuring expert, Ralf Schmitz, declared in a joint statement that 'The way has now been paved for the start of restructuring and securing the future of the shipyard.'

They welcomed Scholz and Weil's announcement as a 'key contribution by politicians to give the shipyard and its many thousands of employees and their families as well as business partners secure prospects for the future.'

They added: 'We can now continue to work at full speed on the realignment of the company on the basis of Deloitte's restructuring report,' with final details still to be clarified in talks with commercial banks.

'Not easy for the family'

On behalf of his family, Bernard Meyer thanked both Scholz and Weil, who had met with him privately and paid tribute to his entrepreneurial achievements.

In a statement, Bernard Meyer said: 'The solution that has now been found is not easy for the family, but we have always said that the interests of the company take precedence over those of the family. We see a great opportunity to get the company back on track for the future. This is also shown by the pleasing development of the orderbook to €11 billion in recent months.

'The willingness of the federal and state governments as well as our associated commercial banks to support us in the form that has now been agreed also shows that we have achieved a special position in shipbuilding with our company over decades We know our business and see the opportunity for long-term and successful further development at our sites,' he continued.

'Opportunity to become a family business again'

'The agreement on a buy-back right for the family gives us the opportunity to become a family business again,' Meyer said. 'As the second largest company after the public sector and through our involvement in the supervisory board, we will constructively support the further development of the shipyard.'

Papenburg orderbook

Meyer Werft recently won a four-ship contract from Disney, closely following the order of a Wish-class ship for Japan by Oriental Land Co., which owns and operates Disney parks in Tokyo. 

The Papenburg yard has 10 cruise ships (seven for Disney, Asuka III for NYK Cruises and two Excel class for Carnival Cruise Line), a research vessel and four offshore converter platforms in its orderbook for delivery until 2031.

Meyer also is completing Disney Adventure (originally Global Dream)at the former MV Werften in Wismar,