Aktuální report č. 10 / 2013

Signing of a loan agreement with ING Bank Śląski SA

The Management Board of Budimex SA reports that on 19 February 2013 the company was informed by ING Bank Śląski SA about the signing of the confirmed short-term loan agreement.
Under the aforementioned agreement, the Bank made the promised standby overdraft of up to PLN 25,000,000 (twenty-five million zloty) available to Budimex until 18 February 2014.
On account of using the overdraft facility, the company will pay to the bank the interest calculated as per the WIBOR1M base rate increased by the amount of the margin. As security for the repayment of the amounts due to the bank under the above-mentioned agreement, Budimex made a representation on voluntary submission to bank enforcement under the provisions of the Banking Law Act. Other terms and conditions are standard for this type of agreement.     
The above-mentioned agreement has been concluded as part of the overdraft facility of PLN 201,000,000 already available to the company, which has been previously used by Budimex to instruct the bank to issue bank guarantees. Therefore, the Bank and the company also concluded an addendum to the Framework Agreement regarding bank guarantees which specified the the new limit of bank guarantees to be PLN 176,000,000.
The available loan limit exceeds 10% of the equity of Budimex S.A.