Elsa goes offline

The struggling German graphics board maker pulls its Web site down as it faces debt repayments and possible insolvency
Written by Matthew Broersma, Contributor

The Web site of German graphics board maker Elsa went offline this weekend, two days after the company announced it was considering filing for insolvency.

The company, which has been hit by intense competition in the graphics market, on Saturday replaced its site with a message attributing the outage to "a server switch". The site also provides links to hardware drivers.

On Thursday Elsa announced it was considering filing for insolvency after a banking consortium cut off credit facilities worth 28 million euros (£17m) as of 15 February. One member of the consortium also said it would not extend a credit facility of 10 million euros, provided until March 30. Elsa also faces a loan repayment to the consortium by 15 February, for which it doesn't have the funds, the company said.

"Going concern of the company is therefore unsecured," Elsa said in a message on its Web site last week.

Founded in 1980, Elsa employs 600 people. The company pulled out of the US market last year. It is listed on Germany's Neuer Markt, which faced a rash of insolvencies at the end of last year.

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