Relevant Information on Sinking Fund (2017-2020)
Prospectus Issue of €20,000,000 6.2% Bonds 2017 – 2020
(subject to an over-allotment option of an additional €5,000,000 in the event of over-subscription)
The issuer binds itself to ensure that it will, with effect from the end of the financial year ending on 31st December 2012, over the period up to the Maturity date, build a reserve (the “Bond redemption Fund”), the value of which will, by the end of such period, be equivalent to at least fifty per cent (50%) of the aggregate outstanding principal amount of the Bonds at the relevant time with a view to funding in part the repayment of capital on the Bonds on the Maturity date. The Guarantor will, at the request of the issuer, periodically advance the necessary funds for the build-up of this reserve. These advances will be made out of the guarantor’s net cash flows from operating activities; that is, operating profits adjusted for non-cash items and movements in working capital, net of capital expenditure and payment of taxes and net finance costs, as well as borrowing repayments.