BNB babcock & brown limited

in dispute with bank over release of deposit

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    SYDNEY (Dow Jones)--Babcock & Brown Ltd. (BNB.AU) said Thursday it is in dispute with a bank over release of a deposit of a "material amount" and requested a trading halt until the situation is resolved.

    This comes just a day after Babcock said it is in negotiations with its banks and that it will be "difficult" to remain in compliance with debt covenants in the near term.

    The investment advisor also unveiled Wednesday a major restructuring of its business in order to cut costs and eventually repay half of the A$3.1 billion that it owes.


    -By Cynthia Koons, Dow Jones Newswires; 61-2-8235-2959; [email protected]


 
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Currently unlisted public company.

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