Communication the key to conquering the credit crunch

by Catherine Woods - Friday, 2nd November 2007 -

The better a company communicates its position to the market, the better it will be able to handle the credit crunch, says Siemens Financial Services FD Steve Mason.

“I think the credit crunch is about two things: it’s about liquidity and it’s about the way people’s expectations change,” Mason says.

“Many credit issues are about people not really knowing enough about who has got what and when it needs to be refinanced and that’s really about communication.”

“Siemens is very careful about the corporate communications channels that it uses to make sure the world capital markets on which it borrows in a variety of forms, fully understand its business. The analysts are there to try to make sure that Siemens continues to give that transparency.

“For me, this is about communication and transparency. The better the businesses are around communicating their position to the capital markets, the less of an issue this will be.”

Picture source

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