19 Jan 2009 13:56
JJB Sports plc - Statement Re Press Speculation
JJB Sports plc (the "Company") notes the recent press speculation regarding the terms of the arrangements entered into with its three lenders Barclays, HBOS and Kaupthing (the "Lenders") in December 2008. The Company confirms that the arrangement with its Lenders referred to in its announcement of 10 December 2008 was set out in a standstill agreement entered into between the Company and the Lenders on 10 December 2008 (the "Standstill Agreement") which provides for the extension of the Kaupthing facility, and continued access to both the Barclays and HBOS facilities, to 30 January 2009. In consideration, the Company agreed to a margin uplift for both the Barclays and HBOS facilities to bring them in line with the terms of the Kaupthing facility and to pay fees of approximately £8.3 million to the Lenders, with payment expected in February and April 2009.
Barclays, HBOS and Kaupthing remain supportive of the Company under the leadership of the new Executive Chairman, Sir David Jones. The Lenders and the Company are in constructive discussions to extend the term of the Standstill Agreement and the Lenders will be considering the provision of medium term facilities to support the business.
Contacts
| Maitland | 0207 379 5151 |
| Neil Bennett | |
| Emma Burdett | |
ENDS