On August 23rd 2011, Grupa LOTOS S.A. extended its USD 400m inventory refinancing and financing credit facility agreement with a bank consortium including Bank PEKAO S.A., PKO BP, BRE Bank and Nordea Bank Polska S.A.
General
On August 23rd 2011, Grupa LOTOS S.A. extended its USD 400m inventory refinancing and financing credit facility agreement with a bank consortium including Bank PEKAO S.A., PKO BP, BRE Bank and Nordea Bank Polska S.A.
Grupa LOTOS S.A. and the four banks signed an amending agreement to extend by 12 months, i.e. until December 20th 2012, the credit facility agreement for the refinancing and financing of inventories, dated December 20th 2007, providing for a revolving credit facility of USD 400m.
"This is good news for our Company," said Mariusz Machajewski, Vice-President of the Management Board, Chief Financial Officer of Grupa LOTOS S.A. The terms and conditions on which we have extended the agreement remained unchanged relative to those we obtained in December 2007, still before the outbreak of the financial crisis," he added.
In connection with the increase of production capacity of Grupa LOTOS S.A.'s Gdańsk refinery subsequent to the implementation of the 10+ Programme and a strengthening of the Group's market share, it is necessary to maintain the legally required levels of mandatory stocks while at the same time there is the need to generate liquidity to finance the Company's operations.
The achievement of this objective is supported by refinancing of inventories using a dedicated credit facility, available to the Company next to the main facility financing implementation of the 10+ Programme and the working capital loan.
Marcin Zachowicz, spokesperson for Grupa LOTOS S.A., ul. Elbląska 135, 80-718 Gdańsk, Poland, tel. +48 58 308 75 70, +48 505 050 454, e-mail: marcin.zachowicz@grupalotos.pl
