Intertainment and Kinowelt reach agreement on restructuring liabilities
Munich, October 5, 2006 - Intertainment AG and INTERTAINMENT Licensing GmbH, both in Munich, have reached an agreement with Kinowelt GmbH, Leipzig, about restructuring liabilities amounting to some 15 million euros arising from a loan taken out by INTERTAINMENT Licensing GmbH. The restructuring package replaces a repayment agreement concluded between Intertainment and Albis Finance AG, Hamburg, in May of this year.
That agreement was subject to a cancellation condition if the stock purchase contract between the Kinowelt Group and major Intertainment shareholder Rüdiger Baeres was not closed by September 30, 2006. The restructuring package with Kinowelt has not included this condition. The two parties agreed that Intertainment would pay the tranches due for repayment in each case three months later than originally scheduled. Hence, the first tranche becomes due for payment on September 30, 2007.
Kinowelt also has the right to serve notice on the agreement effective January 1, 2007 with a period of notice of three months. If Kinowelt asserted this right, the legal disputes associated with the liabilities between Intertainment and Hypo Vereinsbank/Albis and with Kinowelt GmbH, due to enter the proceedings, would be resumed.
End of the ad-hoc Press Release
Contact:
Intertainment AG, Investor Relations
Frauenplatz 7, 80331 Munich, Germany
Telephone: +49 (0)89 21699-0
Fax: +49 (0)89 21699-11
Internet: www.intertainment.de
E-Mail: investor@intertainment.de