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Safe bet in money crisis? Safes

Oct 08 2008 21:38

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Paris - As the financial crisis sends shudders round the globe, more people appear to be storing their money the old-fashioned way - in a safe.

Specialist companies in the French capital said on Wednesday sales of safes were booming.

"People are clearly saying that they are scared, that they want to empty their coffers, transform their money into gold or pick up their old Napoleons (gold coins) and tuck it all away in a safe," said Hugo Gervaise, salesperson at safe specialist Solon.

Bank of France Governor Christian Noyer said on Tuesday there was no sign people were closing their accounts for fear of their bank collapsing.

But Solon, which has been in the safe-making trade since 1920, has seen a 30% to 40% rise in sales over the past three or four weeks since the collapse of US investment bank Lehman Brothers last month, Gervaise said.

Demand runs from a safe of 30 cm height worth a few hundred euros to the man-size, 1.8-metre tall model that sells for €13 000.

The company's new customers are also quite varied.

"It goes from CEOs to your average Joe. People from Paris, the suburbs, the provinces, from everywhere," Gervaise said.

In Paris's upmarket 16th District, another safemaker reported a similar phenomenon.

"Over the past two or three weeks there have been more requests for information and purchases of small safes at between €300 and €500," said Jonathan Chazeau of Point Fort Fichet.

- Reuters

 
 
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