Ardagh Glass Finance plc - Irish Stock Exchange

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Continued)
14. Financial assets and liabilities (Continued)
8 7 ⁄8% Senior Notes due 2013
In July 2003, Ardagh Glass Finance B.V. issued A175 million 8 7 ⁄8% senior notes due 2013.
The notes are the general unsecured obligations of Ardagh Glass Finance B.V. and rank senior in
right of payment to any and all of its existing and future unsecured debt that is subordinated in right of
payment to the notes. The notes also rank equally in right of payment with all of Ardagh Glass
Finance B.V.’s existing and future unsecured debt that is not subordinated in right of payment to the
notes, and effectively subordinated to all existing and future secured debt of Ardagh Glass Finance B.V.
to the extent of the assets securing such debt. Ardagh Glass Holdings Ltd and certain of its direct and
indirect wholly owned subsidiaries have guaranteed payment under the notes on a senior and on a
senior subordinated basis, respectively. In addition, the senior guarantee from Ardagh Glass
Holdings Ltd is effectively subordinated to all existing and future obligations of its direct and indirect
wholly owned subsidiaries.
New Anglo Irish Senior Secured Credit Facility
Ardagh Glass Holdings Limited entered into a facility agreement dated March 9, 2007 with Anglo
Irish Bank Corporation plc, providing for borrowings in an aggregate principal amount of up to
A495 million, of which A394 million of which remains outstanding as at 31 December 2008. This facility
comprises three elements all of which mature in June 2014:
• A295 million senior secured term loan facility used to part finance the Rexam Glass business;
• A50 million senior secured term loan facility to be used for capital expenditure and restructuring;
and
• A150 million senior secured revolving credit facility.
The facility is guaranteed by certain of Ardagh Glass Holdings Limited’s direct and indirect wholly
owned subsidiaries and is secured by security interests in respect of the property and assets of each
guarantor, subject to certain agreed security principles. It also contains financial covenants usual to this
type of agreement, including covenants to maintain certain minimum levels of EBITDA to; senior debt,
total debt, total senior debt interest payable, total cash interest payable, minimum tangible net worth
and a maximum capital expenditure.
Anglo Irish Senior Secured Credit Facility
Ardagh Glass (UK) Ltd and Ardagh Treasury Ltd entered into a facility agreement dated June 26,
2003, with Anglo Irish Bank Corporation plc, providing for senior secured borrowings in an aggregate
principal amount of up to £65 million all of which was drawn in July 2003 and £38 million of which
remains outstanding as at 31 December 2008. Effective as of June 2007 the terms of this facility were
amended to extend its maturity to June 2014 and replace all financial covenants with an undertaking to
procure full compliance with the financial covenants of the New Anglo Irish Senior Secured Credit
Facility. The facility is secured by a guarantee and debenture creating fixed and floating charges over
the property and other assets of each member of the Ardagh Glass (UK) Ltd sub-Group and Ardagh
Treasury Ltd. Interest charges are based on LIBOR plus a margin.
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