Eutelsat Com Regulatory News (ETL)

18 Dec 2006 15:04

Eurotunnel PLC/Eurotunnel S.A.18 December 2006 Monday 18 December 2006 Immediate release Eurotunnel Board approves financing for safeguard restructuring plan with enlarged consortium composed of: Goldman Sachs/Deutsche Bank and Citigroup The Eurotunnel Board has studied the two offers of financing for the proposedsafeguard restructuring plan, put forward on the one hand by the consortium ofGoldman Sachs and Deutsche Bank ("GS/DB") and on the other by Citigroup. These two offers, as required by the Eurotunnel tender documents, provide for acomplete financing of the proposed safeguard restructuring plan: • A long term loan of £1,500 million and €1,965 million, equivalent to a total of £2.84 billion*, in the form of a classic bank loan, repayable, by tranche, between 35 and 43 years. • The underwriting of the Obligations Remboursable en Actions (ORAs) (convertible notes) in sterling and Euros, for holders of Tier 3 debt, for an amount of £965 million, allowing for the monetisation of the ORAs. These two offers also take account of the future operational financing needs ofthe company and the possibility of an additional debt stream of £225 million forthe redemption of ORAs. The two offers received, both in line with the company's business plan, werevery competitive and very close. As a result, the Board has decided that: • The GS/DB consortium will lead the financing of the safeguard plan; and • At the request of the company, the GS/DB consortium will propose that Citigroup joins them to assure 30% of the financing. The new Eurotunnel debt, as it results from the proposed financing, issustainable by the company through its operational performance and the reductionin annual financial charges. The financial charges on the new Senior debt should start at around £140 millionper annum, repayments of the capital not becoming due until 2012. This level of financial charges should be compared to the £293 million ofinterest for 2006 and the estimated £320 million for 2007 (taking into accountthe forecast increase in European interest rates) which Eurotunnel would havehad to pay on the old debt. * Exchange rate: £1 = 1.46635 • No 105/2006 For media enquiries contact John Keefe on + 44 (0) 1303 284491.Email: John.keefe@eurotunnel.com For investor enquiries contact Michael Schuller on + 44 (0) 1303 288 749.Email: michael.schuller@eurotunnel.com www.eurotunnel.com Eurotunnel manages the infrastructure of the Channel Tunnel and operatesaccompanied truck shuttle and passenger shuttle (car and coach) services betweenFolkestone, UK and Calais, France. Eurotunnel also earns toll revenue fromtrain operators (Eurostar for rail passengers, and EWS and SNCF for railfreight) which use the Tunnel. Eurotunnel is quoted in London, Paris andBrussels. This information is provided by RNS The company news service from the London Stock Exchange