Debenhams FD refinances with lower interest

Debenhams FD Chris
Woodhouse has arranged the refinancing of a new credit facility worth £650m, at
an anticipated lower interest rate than its current finance plan.

Woodhouse anticipates the interest rate on the facility will drop to 4.5%
when it begins in April next year, from its current facility of 7%.

The credit is made up of a £250m long term loan and £400m in revolving credit
which expires in October 2013.

Woodhouse said: “The new facility puts Debenhams on a strong footing for the
future, extending the group’s debt maturity horizon beyond three years and, in
combination with related hedging, significantly reducing the group’s interest
charge for the future.”

The current credit facility runs until April 2011, when the new facility

The refinancing costs are £10m and will be repaid over the lifetime of the
new facility.

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