iesy Repository GmbH - Irish Stock Exchange

COURTESY TRANSLATION FROM THE GERMAN LANGUAGE
FOR INTERPRETATION, THE GERMAN TEXT SHALL PREVAIL
KABELNETZ NRW HoldCo GmbH, Cologne
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR FISCAL YEAR 2003—(CONTINUED)
Accruals for contractual risks in the amount of €7,200k relate to obligations within the scope of the mutual termination
of a service contract with Callahan Associates International. In addition further risks from contractual disputes with third
parties were accrued.
Liabilities
The following schedule of liabilities shows liabilities by their respective due dates:
353
Total
within
one year
Thereof due
between
one and five
years
In more
than five
years
(€000) (€000) (€000) (€000)
Liabilities to banks 675,423 16,470 658,953 0
Trade payables 50,764 26,764 24,000 0
Capital lease liability 390,670 7,600 36,780 346,290
Other liabilities 114,376 14,376 100,000 0
1,231,233 65,210 819,733 346,290
Included in liabilities due to banks is a loan of €633,273k which derives from the Senior Credit Facility, which was
renegotiated during the restructuring of ish NRW in 2002, with a lender consortium of which Citibank International Plc is
agent.
The total amount consists of two tranches, €518,273k of non-elevated secured debt and €115,000k of elevated secured
debt. Both tranches have interest of 3% over LIBOR and are due upon the earlier October 1, 2006 or of the sale of ish NRW
or refinancing (“Exit Event”).
In addition to the loan under the Senior Credit Facility, the liabilities due to banks also include liabilities in the amount
of €35,000k arising from a Term Facility Agreement (original amount: €115,000k) concluded in the 2002 financial year. This
also elevated secured loan bears interest at 3.5% over LIBOR. Scheduled repayments in the amount of €15 million on each of
July 1, 2003 and October 1, 2003 were made. In addition a special repayment of €50 million was made on December 17,
2003. Furthermore, repayments are due of €8.2 million on each of July 1, 2004, October 1, 2004 and July 1, 2005. Any
unpaid amounts are due upon the earlier October 1, 2006 or of the sale of ish NRW or refinancing (“Exit Event”).
Liabilities due to banks from the Senior Credit Facility and from the Term Facility are secured by the entire fixed and
current assets of ish NRW.
Both the Term Facility and the Senior Credit Facility contain certain restrictions regarding operational and financial
issues. These include limitations on the sale of assets, on the occurrence of additional debt, on dividends to shareholders, on
certain investments and acquisition. Additionally, the agreements require the satisfaction of certain financial covenants.
Included in the liabilities due to banks is an amount of €7,150k for amendment fees in connection with the renegotiation of
the Senior Credit Facility, and for restructuring fees in connection with the negotiation of the Term Facility in financial year
2002. These liabilities are payable upon the due date of the final instalment of the Term Facility.