| Wed 8 Jul 2009, 14:35 | | SAP - Sappi - Sappi Provides Update On Debt Refinancing |
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SAP
SAVVI
SAP - Sappi - Sappi Provides Update On Debt Refinancing
Sappi Limited
(Incorporated in the Republic of South Africa)
Registration number: 1936/008963/06
JSE share code: SAP
ISIN code: ZAE000006284
("Sappi" or "the company")
Announcement
NOT FOR DISTRIBUTION TO U S NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED
STATES. ANY FAILURE TO COMPLY WITH THIS RESTRICTION MAY CONSTITUTE A VIOLATION
OF U S SECURITIES LAW.
Sappi provides update on debt refinancing
08 July 2009 -- Sappi today announces that as part of its stated objective to
improve the maturity of its debt profile, it has recently commenced, and is
presently engaged in, the bank syndication process for a new secured revolving
credit facility and a new secured OeKB term loan facility in order to refinance
or replace its existing revolving credit facility (which matures in May 2010)
and OeKB term loan facility (which matures in December 2010). Sappi is also
considering the possibility of accessing the capital markets in order to arrange
long term secured debt to refinance some of its existing short-term debt and
other debt. The completion of Sappi`s refinancing efforts will be subject to a
number of factors, including liquidity and market conditions in the banking and
capital markets. There can be no assurance that the refinancing or any capital
markets transaction will be completed.
Forward-looking statements
Certain statements in this release that are neither reported financial results
nor other historical information, are forward-looking statements, including but
not limited to statements that are predictions of or indicate future earnings,
savings, synergies, events, trends, plans or objectives. Undue reliance should
not be placed on such statements because, by their nature, they are subject to
known and unknown risks and uncertainties and can be affected by other factors,
that could cause actual results and company plans and objectives to differ
materially from those expressed or implied in the forward-looking statements (or
from past results). Such risks, uncertainties and factors include, but are not
limited to, the impact of the global economic downturn, the highly cyclical
nature of the pulp and paper industry (and the factors that contribute to such
cyclicality, such as levels of demand, production capacity, production, input
costs including raw material, energy and employee costs, and pricing), adverse
changes in the markets for the group`s products, consequences of substantial
leverage, including as a result of adverse changes in credit markets that affect
our ability to raise capital when needed, changing regulatory requirements,
unanticipated production disruptions, adverse changes in the political situation
and economy in the countries in which we operate or the effect of governmental
efforts to address present or future economic or social problems, the impact of
investments, acquisitions and dispositions (including related financing), any
delays, unexpected costs or other problems experienced with integrating
acquisitions and achieving expected savings and synergies and currency
fluctuations. The company undertakes no obligation to publicly update or revise
any of these forward-looking statements, whether to reflect new information or
future events or circumstances or otherwise.
Contact details
Brunswick South Africa Tel +27 (0) 11 502 7300
Robert Hope
Group Head Strategic Development
Sappi Limited
Tel +27 11 407 8492
e-Mail Robert.Hope@sappi.com
Andre F Oberholzer
Group Head Corporate Affairs
Sappi Limited
Tel +27 11 407 8044
Mobile +27 83 235 2973
e-Mail Andre.Oberholzer@sappi.com
Sponsor: UBS South Africa (Pty) Ltd
Date: 08/07/2009 14:35:01 Produced by the JSE SENS Department.
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