Liberty signs restructuring deal with DBP

Publicly-listed Liberty Telecoms Holdings Inc. (LTHI) and its subsidiary Liberty Broadcasting Network Inc. have signed an agreement with the Development Bank of the Philippines for the restructuring of more than P296.21 million in debts, a company official informed the Philippine Stock Exchange.

LTHI corporate secretary Heinz Reyes said the agreement, forged last Dec. 27, basically extended the repayment period of two loan tranches by an average of two years, while also easing the accrued interest and charges amounting to an additional P26.22 million.

Reyes said among the highlights include the extension of the principal repayment for a P175.04-million loan for five years, or until August 2007, commencing on Feb. 2005.

Another P94.95 million of DBP loan will be extended payment for six years, or until March 2008, with the principal repayment starting on March 2005.

"For both loans, this pertains to an average two years extension in the original loan term as to principal payment," Reyes said. – Conrado Diaz Jr.