LONDON, Dec. 14, 2004 (PRIMEZONE) -- COLT Telecom Group Plc (NASDAQ:COLT), a leading pan-European provider of business communications solutions and services, announced today that it has given notice of the redemption of all of the outstanding GBP50 million 10.125% Senior Notes due 2007 and the DM150 million 8.875% Senior Notes due 2007. The redemptions will be at the principal amount of the Notes plus accrued interest and will be funded out of COLT's cash and liquid resources. The aggregate amount payable will be approximately GBP81.7 million. The redemptions will take place on 21 January 2005.
COLT's Chief Financial Officer, Marina Wyatt said:
"The early redemption of these Notes reflects the Board's confidence in the financial strength of COLT. Cash flow has improved in 2004 and we expect to be free cash flow positive on a sustainable basis during 2005. The early redemption of these Notes will save approximately GBP14.1 million of net interest over the next three years."
The early redemption of these Notes follows the early redemption of GBP324 million of Notes on 19 October 2004.
About COLT
COLT Telecom Group plc is a leading pan-European provider of business communications services. COLT has over 19,000 network services and data centre solutions customers. The company owns an integrated 20,000 kilometre network that directly connects 32 major cities in 13 countries augmented with a further 42 points of presence across Europe and 11 Data Solution Centres. COLT supplies customers across the full spectrum of industry, service and government sectors with unrivalled end-to-end network security, reliability and service.
COLT Telecom Group plc is listed on the London Stock Exchange (CTM.L) and NASDAQ (COLT). Information about COLT and its products and services can be found on the web at www.colt.net
This information is provided by RNS The company news service from the London Stock Exchange