Hellaby confirms debt reduction, bank refinancing

1 July 2009

Hellaby confirms debt reduction and bank refinancing

Investment company Hellaby Holdings Limited today announced that the company has completed its financial year with core bank debt significantly lower than target.

Managing Director John Williamson said that Hellaby’s core bank debt had reduced to $51 million at 30 June 2009 from $80 million at 31 December 2008 - a 36% decrease during the six month period. There were no acquisitions or divestments during the year to 30 June 2009.

“Hellaby’s balance sheet and free cashflows have been significantly strengthened by ongoing working capital improvements during the past year. This has resulted in substantially lower inventories and improved collections across our businesses,” he said. Core bank debt at 30 June 2008 was $85.5 million and $118.5 million at 31 December 2007.

Hellaby also advised today that it has renegotiated its banking facilities with its principal bank Westpac for a two year period to 31 July 2011.

Hellaby will report its full year financial results as scheduled on 27 August 2009.

ENDS

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