DGAP-News: Phoenix Solar Aktiengesellschaft / Key word(s): Miscellaneous Phoenix Solar Aktiengesellschaft: financing negotiations successfully concluded - restructuring well on the way 11.05.2012 / 13:21 --------------------------------------------------------------------- Phoenix Solar AG: financing negotiations successfully concluded - restructuring well on track - Financing volume totalling EUR 132 million agreed with the syndicate banks with a term covering the period through to the end of March 2014 - Restructuring plan largely implemented - Preliminary figures: tumbling prices and write-downs impact revenues and results in the financial year 2011; share of international business rises to 57.2 percent - Outlook for the current and the next financial year Sulzemoos 11 May 2012 / Phoenix Solar AG (ISIN DE000A0BVU93, Prime Standard of the Frankfurt Stock Exchange) has successfully concluded negotiations on a new financing package with a volume totalling EUR 132 million and a term through to the end of March 2014. The centrepiece is a new syndicated loan agreement signed today consisting of cash and guarantee facilities of a total volume of around EUR 100 million with the existing banking syndicate under the lead management of BayernLB. The financing volume fully covers that required for operations in the context of planning through to 31 March 2014. Negotiations on refinancing became necessary as the negative business development in the financial year 2011 meant that Phoenix Solar no longer fulfilled the covenants of the previous syndicated loan agreement. Restructuring plan largely implemented The newly agreed financing volume was determined on the basis of a restructuring plan drawn up together with external consultants and geared to significantly optimising cost, organisation and risk structures and processes. This plan has already been largely implemented. The downsizing of around 60 percent envisaged for the workforce in Germany to a target figure of approximately 130 employees has already reached an advanced stage and is likely to be virtually completed by the end of the first half of 2012. The Group will then have around 230 employees worldwide (as per 31 December 2011: 409). As regards procurement, negotiations conducted on an existing long-term supply contract with a module manufacturer were successfully concluded, resulting in considerably more flexible terms. Future focus of the restructuring process will be on the ongoing optimisation of internal processes and concerted measures to expand international business. The business model with its twin pillars of solar power plant construction and distribution of solar power systems, solar modules and other components will be essentially retained. Preliminary figures: tumbling prices and write-downs impact revenues and results in the financial year 2011 - share of international business rises to 57.2 percent In the financial year 2011, Phoenix Solar AG experienced a downturn in revenues of 38.1 percent to EUR 393.5 million (2010: EUR 635.7 million) according to the preliminary figures. Whereas domestic business declined by 64.2 percent to EUR 168.5 million, international revenues rose by 36.8 percent to EUR 225.0 million, corresponding to a share of 57.2 percent of total revenues (2010: 25.9 percent). Earnings before interest and taxes (EBIT) came to EUR -84.7 million (2010: EUR 36.4 million). This figure is very strongly impacted by considerable write-downs on inventories due to the extraordinarily sharp decline in prices in 2011 as well as by one-off effects from the impairment of project rights. As already communicated in the ad-hoc release on 2 April 2012, the dates announced for the release of the Annual Report 2011 on 25 April and for the Interim Report on the first quarter of 2012 on 10 May had to be postponed as the financing negotiations had not yet been brought to a close. Now that the new syndicated loan agreement has been signed, the date for the publication of the two reports has been scheduled for 15 May. Outlook for the current and the next financial year Phoenix Solar AG has budgeted for consolidated revenues of between EUR 210 and 240 million and an EBIT of between EUR -25 and -19 million in the financial year 2012. This result is impacted by special items from restructuring and refinancing as well as ongoing costs incurred, for instance by the reduction in personnel capacities. The Executive Board anticipates a return to rising revenues in the region of EUR 280 to 310 million and an EBIT of EUR -5 to 0 million in the financial year 2013. Given that the market environment in Germany as the leading market is expected to deteriorate further, the company will continue to forge ahead with the process of internationalisation. It will be focusing particularly on the regions of Asia and North America. This is an English translation of the German original. Only the German version is binding. About Phoenix Solar AG Phoenix Solar AG, which has its headquarters in Sulzemoos near Munich, is a leading international photovoltaic system integrator. The Group develops, plans, builds and operates large-scale photovoltaic plants and is a specialist wholesaler for turnkey photovoltaic power plants, solar modules and accessories. With sales operations throughout the whole of Germany and subsidiaries on three continents, the company has sold solar modules with a peak power of more than one gigawatt since it was first founded. The shares of Phoenix Solar AG (ISIN DE000A0BVU93) are listed on the Regulated Market (Prime Standard) of the Frankfurt Stock Exchange. www.phoenixsolar-group.com Contact: Phoenix Solar AG Jutta Stolp Hirschbergstrasse 8 85254 Sulzemoos Germany Tel.: +49 (0)8135 938-315 Fax: +49 (0)8135 938-399 j.stolp@phoenixsolar.de www.phoenixsolar-group.com Local Court of Munich HRB 129117 Ust-ID Nr. DE 812868419 Board of Directors: Dr. Andreas Hänel (CEO), Dr. Bernd Köhler, Dr. Murray Cameron Head of Supervisory Board: J. Michael Fischl End of Corporate News --------------------------------------------------------------------- 11.05.2012 Dissemination of a Corporate News, transmitted by DGAP - a company of EquityStory AG. The issuer is solely responsible for the content of this announcement. DGAP's Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases. Media archive at www.dgap-medientreff.de and www.dgap.de --------------------------------------------------------------------- Language: English Company: Phoenix Solar Aktiengesellschaft HirschbergstraÃe 8 85254 Sulzemoos Germany Phone: +49 (0)8135-938-000 Fax: +49 (0)8135-938-099 E-mail: kontakt@phoenixsolar.de Internet: www.phoenixsolar-group.de ISIN: DE000A0BVU93 WKN: A0BVU9 Listed: Regulierter Markt in Frankfurt (Prime Standard); Freiverkehr in Berlin, Düsseldorf, Hamburg, Hannover, München (m:access), Stuttgart End of News DGAP News-Service --------------------------------------------------------------------- 169244 11.05.2012
DGAP-News: Phoenix Solar Aktiengesellschaft: financing negotiations successfully concluded - restructuring well on the way
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