SAF-HOLLAND S.A.: Financing secured until 2014
SAF-HOLLAND S.A. / Banking Syndicate 29.11.2009 Dissemination of an Ad hoc announcement according to § 15 WpHG, transmitted by DGAP - a company of EquityStory AG. The issuer is solely responsible for the content of this announcement. --------------------------------------------------------------------------- SAF-HOLLAND has reached agreement with its banks on a restructuring and extension of the existing EUR 316 million credit line until 2014. Negotiations have been successfully completed. With this new agreement, the Company improves its financial strength and secures flexibility and sufficient liquidity for its long-term growth course. SAF-HOLLAND is now equipped to participate in the anticipated upswing in the truck and trailer market. The financing takes into consideration the clear changes in the framework conditions that have occurred since mid-2008 and creates a solid foundation for a secure future. The new financing consists of the following key elements: The existing financing with a credit line of EUR 316 million which has been in place since February 2008 will be extended until September 2014. The first repayments of principal will be made in February 2012. The changed market and risk situation has been taken into account with the new conditions. The original trustee structure demanded by the banks has been dropped. The agreement gives the Company additional liquidity and flexibility. In exchange, the banks obtain enhanced security in the event of pending illiquidity or imminent insolvency. The new contract is subject to approval from an extraordinary Annual General Meeting of SAF-HOLLAND S.A. The new financing is part of a comprehensive restructuring. SAF-HOLLAND reacted to the market collapse that arose as a result of the global economic crisis at an early stage and has created a solid foundation for a secure future. The trailer market has now stabilized and the first signs of a recovery in the truck market are shown. The restructuring measures are expected to result in savings in personnel and non-personnel expenses of EUR 62 million by the end of 2009. To that end, locations will be consolidated and capacities reduced. In the course of the restructuring process, the Board of Directors of SAF-HOLLAND S.A. resolved to reduce the size of the Board. As a consequence, Martin Schwab will step down as a member of the Board on completion of the financing agreement. Luxemburg, 29. November 2009 Board of Directors Contact: SAF-HOLLAND Group GmbH Barbara Zanzinger Hauptstraße 26 63856 Bessenbach Phone +49 6095 301-617 barbara.zanzinger@safholland.de 29.11.2009 Financial News distributed by DGAP. Media archive at www.dgap-medientreff.de and www.dgap.de --------------------------------------------------------------------------- Language: English Company: SAF-HOLLAND S.A. 68-70, boulevard de la Pétrusse L-2320 Luxembourg Luxemburg Phone: +49 6095 301 - 0 Fax: +49 6095 301 - 260 E-mail: info@safholland.de Internet: www.safholland.com ISIN: LU0307018795 WKN: A0MU70 Listed: Regulierter Markt in Frankfurt (Prime Standard); Freiverkehr in Berlin, Düsseldorf, München, Hamburg, Stuttgart End of News DGAP News-Service ---------------------------------------------------------------------------