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- Release Date: 18/12/13 17:56
- Summary: GENERAL: SML: Amendment to bank covenant
- Price Sensitive: No
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SML
18/12/2013 15:56
GENERAL
REL: 1556 HRS Synlait Milk Limited (NS)
GENERAL: SML: Amendment to bank covenant
Synlait Milk has agreed with its banking syndicate to temporarily move the
Shareholders' Funds bank facility covenant onto a seasonal covenant structure
effective from 31 December 2013.
The covenant will move from the current 35% threshold to 30% for the period
31 December 2013 to 31 May 2014, before reverting back to 35% from 1 June
2014.
The primary reason for moving to this seasonal covenant structure is to
accommodate higher levels of working capital during the peak period of the
season due to unexpectedly high international commodity prices this financial
year.
The amendment to implement the seasonal covenant structure is supported by
the Company's banking syndicate and is likely to be implemented on a
permanent basis.
End CA:00245378 For:SML Type:GENERAL Time:2013-12-18 15:56:28
