 The Channel Tunnel is a strategic asset, governments say |
Shares in Eurotunnel have dropped by more than 10%, amid rumours that creditors may soon take control of the debt-laden firm. Shareholders ousted Eurotunnel's board last week, but the new directors do not have long to prove themselves capable.
The French and British Governments are reported to be worried that Eurotunnel's main asset, the Channel Tunnel, is no longer in safe hands.
Key technical and safety personnel may desert Eurotunnel, ministers fear.
Burden of proof
According to media reports, Paris and London have been in touch with the banks to which Eurotunnel owes �6.4bn, to discuss scenarios for taking over the company.
The Sunday Telegraph reported that banks would this week give Eurotunnel's new board three months to demonstrate its competence. During the bitter exchanges ahead of last week's boardroom reshuffle, Eurotunnel's rebel shareholders were criticised for their lack of relevant expertise, and in some cases for their chequered commercial histories.
The company's shares have now lost one-quarter of their value since last week, despite promises to put the loss-making company on a sounder financial footing.
One-Minute World News 
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