LEMMINKÄINEN CORPORATION STOCK EXCHANGE RELEASE 17.6.2009 at 15.45
LEMMINKÄINEN MAKES NEW FINANCING ARRANGEMENTS
Lemminkäinen has rearranged EUR 270 million short-term credit facilities. The
Company has also negotiated a bank guarantee for EUR 115 million of its TyEL
pension premium loan allocation.
The financing arrangements include amendment of the terms of the EUR 150 million
short-term line of credit agreed in summer 2008. Additionally, other short-term
borrowings have been combined into a single EUR 120 million bullet loan. Both
credit facilities are subject to quarterly reviewed covenants. The ratio of
Lemminkäinen's net debt to EBITDA may be at most 3.5 - 4.5, and the Company's
equity ratio must exceed 23%. The loans mature in 2011 and have been arranged by
Nordea, Pohjola Bank, Sampo Bank, SEB, Handelsbanken and Ilmarinen.
The use of TyEL pension premium loan allocations requires a bank guarantee.
Lemminkäinen has negotiated a EUR 115 million bank guarantee for the purpose of
drawing down a TyEL premium loan of the same amount during the autumn. The loans
have a maturity of five years. The lenders are Ilmarinen and Etera, and the bank
guarantee is issued by Nordea and Pohjola Bank. After the arrangement,
Lemminkäinen will have an unused TyEL pension premium loan allocation of approx.
EUR 40 million.
”The agreed financing arrangements will safeguard Lemminkäinen's liquidity going
forward and give the Company more financial leeway. Furthermore, the drawing of
TyEL loans will restructure Lemminkäinen's overall debt position from short-term
to long-term liabilities,” states Lemminkäinen's Chief Financial Officer, Robert
Robert Öhman, Chief Financial Officer, tel. +358-40-5400 741,
NASDAQ OMX Helsinki Oy
Lemminkäinen Group operates in all areas of the construction sector. The Group's
business sectors are building construction, infrastructure construction,
technical building services, and building products. Net sales in 2008 were
approx. EUR 2.5 billion, of which international operations accounted for over a
quarter. The Group employs about 9,800 people. Lemminkäinen Corporation's share
is quoted on NASDAQ OMX Helsinki Ltd.