Pacific Brands repays $A25m, extends $A175m facility
Struggling clothing, footwear and homewares company repays term debt as cashflow remains strong and two properties are sold.
BUSINESSDESK: Struggling clothing, footwear and homewares company Pacific Brands said it has extended its $A175 securitisation facility and repaid $A25 million of term debt.
The Australia-based company, which owns the Stubbies, Berlei, Bonds, Dunlop and Sheridan brands among others, said the securitisation facility had been due to expire on May 24, 2013, but has now been extended to July 31, 2015.
“The repayment of debt reflects continuing strong operating cashflow and follows completion of the sale of the Kingsgrove, New South Wales, and Coolaroo, Victoria, surplus properties,” Pacific Brands said.
The $A25 million repayment reduces the limit of Tranche Two of the company's syndicated debt facility from $A175 million to $A150 million, it said.
In February, Pacific Brands reported a $A362.4 million first-half net loss, a 19.6% drop in sales and warned second-half underlying sales would also be down.
In May, it said annual operating and net profit before one-off losses and write-downs would be “materially down”.
While dual-listed in Australia and New Zealand, Pacific Brands trades mostly on the ASX where they are half a cent higher at 50.5 Australian cents.
That is up from their low at 46.5 Australian cents late last month, which was their biggest dip since March 2009. The shares have been trending lower since, hitting $A1.52 in October 2009.
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Pacific Brands repays $A25m, extends $A175m facility
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