Stuttgart - The parent company of luxury sportscar manufacturer Porsche reported Thursday that it made a 4.4-billion- euro (6.5 billion dollars) before-tax loss in the year to July 31, on the back of its failed bid to conquer Volkswagen. A statement from the Stuttgart-based Porsche Automobil Holding SE said that "the primary factor in the loss reported by Porsche SE was the write-down recognized for the cash settlement options to Volkswagen shares."
By contrast, in the previous year Porsche made a before-tax profit of 8.6 billion euros.
Porsche amassed some 10 billion euros in debt during the year in its attempt to buy a controlling stake in Volkswagen, one of the world's largest carmakers by volume.
The attempt ended with a deal meaning that from 2011, Porsche would be majority-owned by Volkswagen and the Emirate of Qatar.
