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Goodman Fielder extends loan facility

Transtasman consumer food company Goodman Fielder has raised $A500 million from a syndicated loan facility.

The dual-listed company (GFF) signalled the move at its annual results presentation, but announced the forward start loan today.

The company said its multi-currency, revolving loan facility was oversubscribed and the move effectively extended the maturity of the majority of its existing $A700 million syndicated loan facility by an additional two years.

It was originally due to mature in November 2010.

Goodman Fielder paid initial margins of 340 basis points, with margins re-setting semi-annually based on the company’s gearing ratio.

ANZ and NAB were lead arrangers for the loan facility, which includes 11 Australian and overseas banks.

Goodman Fielder managing director Peter Margin said the banks' comittment indicated the company's solid financial performance, strong cash management discipline and positive outlook.

“We are pleased with the bank group’s level of interest and confidence in Goodman Fielder, which has resulted in commitments from our existing bank group in excess of our current funding requirements.”

He said over the past 18 months the company had successfully refinanced debt facilities of $A1,370 million. As at 30 June 2009, the company’s net debt was $A999 million.

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