CNP (ASX) centro has extra liquidity

Dont know if its been posted: From Business Spectator

Centro has extra liquidity; JV facility extended to Sept 30

Source: News Bites

Centro Properties Group announced additional liquidity facilities have been provided by its financiers and $2.3 billion in aggregate owed to the Australian lending group and $US450 million ($A469 million) owed to US private placement noteholders are confirmed as extended to December 15, 2008.

The US lending group has reconfirmed the extension of the US joint venture facilities to September 30, 2008 as a result of finalisation of the matters outlined above.

Certain inter-creditor arrangements have also been agreed between Centro’s financiers.

Finalisation of these matters was required under the extension of Centro’s financing arrangements announced on May 8.

Certain financiers had previously provided a liquidity facility and other support to Centro totalling A$55 million. Additional liquidity facilities and other support totalling $100 million have been arranged with Australian financiers and US private placement noteholders. Centro now has $155 million in liquidity facilities and other financier support.

Ongoing fees and margins of 3.75% per annum are payable on the liquidity facilities. Otherwise, interest margins payable by Centro during the extension period remain as previously announced.

The extension remains subject to the conditions outlined in Centro’s announcement of May 8 whereby the following must occur by September 30, 2008:

the Australian financiers and US private placement noteholders to be satisfied as to Centro’s progress in implementing its strategic plan;

the US lending group, which is owed in aggregate $US1.1 billion associated with Centro’s joint venture with Centro Retail Trust, agreeing to further extend those facilities from September 30, 2008 to a date no earlier than December 15, 2008;

and the Australian financiers, US private placement noteholders and the US lending group reaching a further agreement by September 30, 2008 on the terms on which assets can be sold and the proceeds of such sales applied after that date.