Bakrie to Restructure Debts

VIVAnews - PT Bakrie & Brothers Tbk (BNBR) will restructure its debts to Piper, Price & Company whose due date fell on April 21, 2009.

Earlier, the remaining debts of Bakrie & Brothers reached Rp 4.26 trillion to Oddickson Finance SA, which had been taken over by Piper, Price & Company.

"The company has signed debt restructuring agreement with Piper, Price & Company on April 17, 2009," said Director and Corporate Secretary of Bakrie & Brothers, RA Sri Dharmayanti on Tuesday, April 21, in a written statement that the Indonesia Stock Exchange announced.

According to him, the company and Piper, Price & Company agreed to restructure Bakrie's debts in two tranches:
 
Tranche A, having basic loan of Rp 1.16 trillion, falls due on January 20, 2012, with 15 percent of interest per year. The debts will be fully repaid during due date based on the loan agreement signed on April 17.

Tranche B has basic loan of Rp 3.1 trillion and will be settled by issuing notes based on a purchase agreement signed on April 17.

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Translated by: Bonardo Maulana Wahono