Yesterday, Service Point Solutions’ CFO sent a letter to the Spanish Stock Exchange to inform the Stock Exchange about the progress of Service Point’s efforts to refinance its debt.
The letter was prepared in Spanish, and here’s a link to the original letter:
For those of you who do not read Spanish, I used Google-Translate to create an English-language version of the letter. Note that Google-Translate does not do a perfect job.
Okay, here’s the English-language version of the letter:
D. Iñigo de la Lastra
Department of Secondary Markets CNMV
March 6, 2012
Hereby, Service Point Solutions, Inc. in accordance with Article 82 of Law 24/1988, Stock Market and related provisions wishes to inform the following.
As communicated last January 3, 2012, Service Point Solutions SA has begun a process of refinancing your financial liability with entities that are part of its syndicated loan of 90 million euros.
Negotiations are progressing positively.
So far today the discussions conducted in a constructive way, are intended to extend maturities, (which now include a bullet maturity in July 2013) giving the company a financial structure under the current economic environment and reduce the financial burden of the group.
The company recently announced its results for 2011, which are in line with the estimates for previous months and banks showing substantial improvement in the operational side, with a net increase in sales to € 218.6 million, the EBITDA improved to reach 14 million euros (64% higher than in 2010) and EBIT of EUR 1.8 million compared to operating losses in the previous year of € 2.5 million.
We will continue to inform the market about the progress of these negotiations, which are expected to reach an agreement over the next two months.
Without further ado, I salute you carefully,
Chief Financial Officer