Espoo, 2013-12-23 09:30 CET (GLOBE NEWSWIRE) --
TRAINERS' HOUSE PLC, STOCK EXCHANGE RELEASE, 23 DECEMBER 2014 AT 10:30
Trainers’ House Plc has agreed on a number of measures aimed at significantly enhancing the company’s financing position and in connection to this specifies its future outlook. According to the estimation of the Company the operating result for the fourth quarter before non-recurring items will be positive.
During past couple of years the market conditions for Trainers’ House Plc’s business operations have been extraordinary challenging due to quickly changing economic outlook and simultaneous significant changes in the industry dynamics. Due to these changes the Satama Interactive –transaction which was signed in 2007 has not delivered the expected results, and consequently the financing agreements related to the transaction, with the total original value of approximately 40 million euro, have been a heavy burden for the company’s current operations. The company has repaid most of these facilities, the outstanding amount under the senior facilities agreement is approximately 4.0 million euro and the outstanding capital of the hybrid bond (without accrued interests) is 5.0 million euro.
At the same time the core of the company’s business operations has remained profitable regardless of the challenging market conditions. The company specifies its outlook so that the company estimates that the operating profit before non-recurring items will be positive in the fourth quarter. Further, the company estimates that also the operating profit before non-recurring items for the full year will be positive. However, at the same the company estimates that the market conditions will remain challenging also in 2014.
Against this background the company has now signed agreements with all of its key financing parties and key persons on arrangements, which the company estimates to significantly strengthen the company’s financial position and possibilities of developing the company’s operations. Key components of the arrangement:
In addition to these measures the company continues the negotiations and measures in order to find a better than current solution to the lease agreement concerning the company’s headquarters.
TRAINERS' HOUSE PLC
BOARD OF DIRECTORS
Aarne Aktan, tel +358 40 342 4440
Chairman of the Board
Nasdaq OMX Helsinki
www.trainershouse.fi > Investors
Trainers' House Oyj