Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


Telecom trims and extends banking facility

Telecom trims and extends banking facility

April 15 (BusinessDesk) - Telecom Corp, the country’s biggest telecommunications company, has trimmed the size of a banking facility, while pushing out its maturity date until 2017.

The Auckland-based company reduced the $400 million committed standby revolving credit facility with Australasian and global banks to $300 million, while extending the maturity date one year to April 14, 2017, it said in a statement. Telecom had total debt of $1.22 billion as at Dec. 31, with bank funding of $440 million.

“The agreement of this facility helps ensure Telecom has sufficient liquidity to meet its business needs over the next three years,” chief financial officer Jolie Hodson said. “Telecom remains committed to an A band credit rating.”

In December, Telecom said it would use the A$450 million from the sale of its AAPT unit to repay debt in the first instance. The company borrowed $390 million of long-term debt and $565 million in short-term debt in the six months ended Dec. 31, while repaying $253 million and $466 million respectively. It had a net cash inflow from its financing activities of $116 million in the period, which also includes dividend payments.

The shares rose 0.8 percent to $2.66, and have gained 15 percent this year, outpacing the 4.3 percent increase on the NZX All Index, a capital measure of domestic equities, over the same period.

(BusinessDesk)


© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Final Frontier: Rocket Lab And NASA Sign Commercial Space Launch Agreement

Rocket Lab has signed a Commercial Space Launch Act Agreement with the National Aeronautics and Space Administration (NASA). The agreement enables Rocket Lab to use NASA resources - including personnel, facilities and equipment - for launch and reentry efforts. More>>

ALSO:

Scoop Business: Wheeler Downplays Scope For ‘Large’ Rates Fall

Reserve Bank governor Graeme Wheeler says some market commentators are predicting further declines in interest rates that would only make sense for an economy in recession, although some easing is likely to be needed to maintain New Zealand’s economic growth. More>>

ALSO:

Ruataniwha Dam: Consent Conditions Could Mean Reduced Intensity

Legal advice sought by the Hawke’s Bay Regional Council on the Ruataniwha Dam consent conditions has confirmed that farmers who sign up to take water from the dam could be required to reduce the intensity of their farming operation to meet the catchment’s strict nitrogen limit. More>>

Health And Safety: Bill Now Sees Rules Relaxed For Small Businesses

Health and safety law reform sparked by the Pike River coalmine disaster has been reported back from the industrial relations select committee with weakened requirements on small businesses to appoint health and safety representatives and committees. More>>

ALSO:

Bearing Fruit: Annual Fruit Exports Hit $2 Billion For First Time

The value of fruit exported rose 20 percent (up $330 million) for the June 2015 year when compared with the year ended June 2014. Both higher prices and a greater quantity of exports (up 9.0 percent) contributed to the overall rise. More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news