Great River, creditors reach deal

Great River, creditors reach deal

JAKARTA: Garmentmaker Great River International has reached an agreement with its foreign creditors allowing the former to buy back its $172.5 million debt for $26 million.

The company said in a statement that the debt-restructuring plan had been approved by all of its creditors, including Citibank, at a meeting at the Jakarta Commercial Court on Tuesday.

The settlement agreement will be officially signed by GRI and the creditors, and be approved by the panel of judges, during a hearing slated for Thursday.

The company said that of the $26 million to be used to buy back its debt, $24 million would come from a "new lender" and $2 million from the company's own cash pile.

However, the statement didn't elaborate on the source of the funds. -- JP