Reuters reported that Austria's voestalpine has applied to German authorities for a state loan guarantee.

A voestalpine spokesman said that "We have applied for it and are in talks at the moment." He would not disclose the amount the company is seeking but said the criteria were strict.

voestalpine, which received a state loan guarantee of EUR 300 million earlier this month from the Austrian government, has ruled out a capital hike to help it through the credit crunch.

A spokesman from Germany's KfW, which is responsible for such guarantees, said that an Austrian company had applied but did not give the name or say how much was being requested.

He said that KfW would only help with investments in Germany and the maximum a large company could apply for is EUR 300 million. This type of request would also need the green light from the German government.

(Sourced from www.reuters.com)