iesy Repository GmbH - Irish Stock Exchange

(6) To record the assumed reduction of historical interest expense due to the repayment of iesy’s previous senior credit
facility of €93.8 million and the assumed interest expense pursuant to the Refinancing:
(€m, except percentage)
Pro forma
financial
debt
72
Interest
rate
Pro forma
interest
expense (a)
for the
twelve months
ended
December 31,
2004
Pro forma
interest
expense (a)
for the
period
from
January 1
to
February 7,
2005
Existing Notes (offered in February 2005) 215.0 8.75% 18.8 4.7
Historical interest expense (5.7) (3.1)
Pro forma interest expense adjustment 13.1 1.6
(a) The pro forma interest expense adjustment excludes (i) commitment fees on the undrawn balance of the
revolving credit facility and (ii) debt issuance costs. Under German GAAP the debt issuance costs of €14.0
million, which consist of underwriting discounts and fees and expenses relating to the offering of the Existing
Notes, are expensed as incurred and recorded as extraordinary expenses.
(7) To record the incremental amortization expense associated with the goodwill (€735.3 million) recognized in connection
with the ish Acquisition, for which the expected useful life is 12.5 years.
(8) To record for the twelve month period ended December 31, 2004 the change in accounting policy for the co-utilization
rights for cable ducts by adjusting the rent expense by €36.6 million, the depreciation by €16.5 million and the interest
expense by €29.0 million. To record for the three months ended March 31, 2005 the change in accounting policy for
the co-utilization rights for cable ducts by adjusting the rent expense by €9.2 million, the depreciation by €4.1 million,
and the interest expense by €7.2 million. In accordance with iesy’s accounting policy, the rights are accounted for as
operating leases.
(9) To record the assumed reduction of historical expense due to the repayment of ish’s indebtedness of €692.7 million and
the assumed interest expense pursuant to the Financing:
(€m, except percentages)
Pro forma
financial
debt
Assumed
interest rate (b)
Pro forma
interest
expense (a)
for the
twelve months
ended
December 31,
2004
Pro forma
interest
expense (a)
for the
three months
ended
March 31,
2005
Pro forma adjustment for the ish Acquisition,
Refinancing and the Financing
Term loan B 200.0 EURIBOR +2.75% 10.0 2.5
Term loan A 225.0 EURIBOR +2.25% 10.1 2.5
Term loan B 250.0 EURIBOR +2.75% 12.5 3.1
Term loan C 375.0 EURIBOR +3.25% 20.6 5.1
Subordinated Bridge Facility 360.0 29.7 7.4
1,410.0 82.8 20.7