Noreco: NOK 560 million early redemption of bonds and deletion of bond covenant approved

Stavanger, 3rd November 2008:
Norwegian Energy Company ASA (Noreco – OSE:NOR), Noreco has received approval from the NOK 2,800 million bondholders to redeem NOK 560 million of bonds at par value and remove the covenant related to the market adjusted equity ratio in the loan agreement.

“This is another important step in the company’s strategy to reduce financial leverage and interest cost”, says CEO Scott Kerr.

The vote in the bondholders meeting entails that bondholders of the Senior Secured Callable Bond Issue NOR01 and NOR02 get early redemption of 20% of outstanding bonds at par value plus accrued interest, and that the Market Adjusted Equity Ratio I in the Loan Agreement is removed.