Konsumentföreningen Stockholm has also granted RNB RETAIL AND BRANDS a committed line of credit of an additional SEK 50 M. The committed line of credit will be available for use when required through March 31, 2013. Should it be utilized, the credit will run for a period of one year.
"The fact that Konsumentföreningen Stockholm is assuming increased responsibility for the company's financing increases our opportunities to evaluate a number of strategic options in order to establish long-term financial stability. Although, when considered on the whole, the new financing structure will increase our total interest expenses somewhat, this is the price that has to be paid for increased financing security. However, the definitive interest terms and conditions for the loans granted by Konsumentföreningen Stockholm will be negotiated during the first quarter of the 2013 calendar year," says Magnus Håkansson, President and Chief Executive Officer of RNB RETAIL AND BRANDS.
RNB RETAIL AND BRANDS has already been granted business financing from the company's principal owner, Konsumentföreningen Stockholm, totaling SEK 500 M. The previously granted financing runs until June 30, 2015 and an agreement has been reached exempting RNB from repayment of the principal to that date. With the new credit facility that has been granted as of January 1, 2013, financing to RNB RETAIL AND BRANDS AB from Konsumentföreningen Stockholm totals SEK 600 M. To this should be added the committed line of credit of a further SEK 50 M.
For further information, please contact:
Magnus Håkansson, CEO, RNB RETAIL AND BRANDS AB, +46 8 410 520 02, +46 768 87 20 02,
The information is such that RNB RETAIL AND BRANDS AB (publ) is required to disclose in accordance with the Swedish Financial Instruments Trading Act and/or the Swedish Securities Market Act. The information was submitted for publishing on December 19, 2012, at 08.55 a.m.
RNB RETAIL AND BRANDS owns, operates and develops fashion, clothing, accessories, jewelry and cosmetics stores that focus on providing excellent service and a world-class shopping experience. Sales are mainly conducted in Scandinavia through the three store concepts Brothers & Sisters, JC and Polarn O. Pyret, as well as through shops in the department stores NK in Stockholm and Gothenburg. RNB RETAIL AND BRANDS has operation in 10 countries. RNB RETAIL AND BRANDS has been listed on the OMX Nordic Exchange since 2001.
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Source: RNB Retail and Brands AB via Thomson Reuters ONE