Eurotunnel, the operator of the rail link between Britain and France, has said that it is seeking more time to negotiate with its creditors as it tries to avoid bankruptcy. It wants to keep talking to the banks and other creditors until the 12th of July about ways of cutting its more than nine billion euros of debt.
Eurotunnel says that from the start of next year it does not expects to be able to generate enough revenue to meet the repayments on the money it owes up.
Because of doubts over future operations, the company has not been able to release details of last year’s earnings, including its losses.
The problem for Eurotunnel is that from November the amounts it receives from the tunnel’s users – like Eurostar – will fall.
In January, Eurotunnel reported that its revenue last year was 793 million euros.
Its train shuttle services carrying cars and trucks contributed 55% of that, while 43% came from freight and passenger train operators using the tunnel.
Analysts say because there are so many diverse creditors, it will be difficult to reach an agreement on renegotiating the debt.