BERLIN, July 2 (Reuters) - German luxury fashion house Escada (ESCG.DE) is considering applying for state aid once it has successfully completed its refinancing efforts, which are not yet certain, Escada's chief executive told Reuters.

Escada

Bruno Saelzer said demand for Escada's latest collection was stronger than expected, but the spring/summer 2010 collection may never hit the shelves.

Escada's future is entirely at the mercy of bondholders who have been asked to forego more than half of their investments as part of a rescue plan to avoid insolvency as early as August.

Escada -- known for draping stars like Christy Turlington and Katie Holmes -- said it has looked into asking for state aid, but realised quickly that without a successful bond swap it would not meet the various programmes' criteria.

"Everything depends on this bond exchange," the CEO said in an interview on the sidelines of the Berlin Fashion Week.

(Reporting by Eva Kuehnen)

(([email protected]; +49 69 7565 1244; Reuters Messaging: [email protected])) Keywords: ESCADA/

(C) Reuters 2009. All rights reserved. Republication or redistribution ofReuters content, including by caching, framing or similar means, is expresslyprohibited without the prior written consent of Reuters. Reuters and the Reuterssphere logo are registered trademarks and trademarks of the Reuters group ofcompanies around the world.nBAE001674