Ann: Open Briefing - Convertible Note Extension , page-2

re: Ann: Open Briefing - Convertible Note Ext... ASX ANNOUNCEMENT: 26 May 2010
Group CEO on Convertible Note Extension
Open Briefing with Becton Property Group CEO Matthew Chun

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Group CEO Matthew Chun : -

Approval is crucial because it will give us time: time for Becton to recapitalise and further progress important development projects that bring cash into the business; time for debt markets to improve, potentially enabling us to refinance and to do so on better terms; and time for property markets to stabilise and improve, both in terms of value and the level of income our commercial assets generate.


Group CEO Matthew Chun : -

Our ability to continue paying interest to noteholders at 9.5 percent required a significant concession from our major corporate banker.


By Group CEO Matthew Chun : -

By supporting the proposed extension, noteholders will continue to receive interest on their investment and improve Bectons ability to repay the notes in June 2012. On the other hand if they do not support the extension proposal, there is a real risk that Becton will be unable to repay the notes in June, resulting in an erosion of noteholder value.
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Matthew Chun and his fellow directors have signed a declaration in Becton's financial statements and notes in accordance with the Corporations Act 2001, to the effect - and I quote - "there are reasonable grounds to believe that Becton Property Group Limited will be able to pay its debts as and when they become due and payable".