Several options for CMNP debt restructuring<\/p>\n
JAKARTA (JP): Publicly listed toll road operator PT Citra
\nMarga Nusaphala Persada is considering a number of options to
\nrestructure its US$97.8 million foreign debts, the company's
\nexecutive said here on Thursday.<\/p>\n
CMNP's newly appointed president Daddy Hariadi said the
\noptions for the restructuring of the debts, which will mature
\nnext year will include buy back, refinancing, right issues, loan
\nextension and cash settlement.<\/p>\n
"If the debt payment is not rescheduled, CMNP will suffer a
\nshortage of funds of about Rp 366 billion (about US$36.6 million)
\nwhen the debts fall due early next year," he told a press
\nbriefing.<\/p>\n
He said that the company's foreign debts comprise $60 million
\nin Eurobonds and $37.8 million in floating rate notes (FRN),
\nwhich will both fall due in February, next year.<\/p>\n
About $61.3 million of the debts have been hedged with its
\nown funds, he said, adding that about $41.6 million of the
\nhedging funds came from its bank deposit and the remaining $19.7
\nmillion from the company's other internal sources.<\/p>\n
"We hope the company and creditors will be able to reach
\nagreement on the debt restructuring proposal in November this
\nyear," he said.<\/p>\n
Daddy said that CMNP has also proposed that the government
\nraise its tolls tariff not only to help its debt restructuring
\nbut also to convince foreign investors that investment on
\nIndonesia's toll road is still promising.<\/p>\n
CMNP, through PT Jasa Marga, has recently proposed an increase
\nof between 50 percent to 112.5 percent from the existing rate, he
\nsaid.<\/p>\n
The company's tolls tariff, which were last increased in 1996,
\nis already too low to cope with the operating costs, he said.<\/p>\n
Last year, the company booked a net profit of Rp 19.99 billion
\n($1.9 million), compared with a net loss in 1999 of Rp 298.8
\nbillion in the previous year.<\/p>\n
In 2001, the company expected an increase of at least 275
\npercent in its net profit to Rp 71.9 billion ($7.1 million) due
\nto the continuing increase of traffic volume, and the estimated
\nhike of toll tariffs. (05)<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/several-options-for-cmnp-debt-restructuring-1447893297",
"image": ""
},
"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
}