De Beers Diamond Giant Seeks Immediate Financing

De Beers is well known for its monopolistic practices throughout the 20th century, whereby it used its dominant position to manipulate the international diamond market. Using several methods to exercise total control over the market, it commenced by convincing independent producers to join its single channel monopoly. Those who refused to join the cartel found the local market flooded with De Beers diamonds which made a business out of purchasing and stockpiling diamonds produced by other manufacturers in order to control prices through supply. This behavior was obviously deemed acceptable by controlling powers, presumably in exchange for favors, and today, the only way to obtain a certified conflict-free diamond is to buy from a retailer supplied by a De Beers site holder.
De Beers diamond giant, monopolistic today in practices only, expects to conclude negotiations to refinance its $1.5 billion loan, due in March, by the end of the year, for which it has hired accounting firm Price water house Coopers to help in negotiations. The Times, London has prepared a report on De Beers financial outlook for the banks and is reportedly in parallel discussions with them regarding an additional $1.7 billion loan that is due by 2012, bringing its total debt to just above $4 billion.

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