VICTORIA, June 24, 2013 /CNW/ - British Columbia Ferry Services Inc. (BC Ferries or the "Company") announced today that it has exercised its right to redeem all $140 million of the outstanding senior notes of Series 08-2 Bonds (the "Bonds") of the Company on July 24, 2013.
In accordance with the provisions of the Master Trust Indenture dated as of May 19, 2004 and the Eighth Supplemental Indenture dated December 19, 2008, the Company will pay to the registered holders of Bonds ("Bondholders") the Redemption Price, together with unpaid interest accrued thereon to the Redemption Date. The Redemption Price will be determined on July 17, 2013.
A notice of redemption was delivered today to CDS Clearing and Depository Services Inc. (CDS) and the trustee, Computershare Trust Company of Canada. Non-registered holders (banks, brokerage firms or other financial institutions) who maintain an interest in the Bonds through CDS should contact their CDS customer service representative with any questions about the redemption. Alternatively, beneficial holders with any questions about the redemption should contact their representative brokerage firm or financial institution, which holds an interest in the Bonds on their behalf.
BC Ferries will fund the redemption of the Bonds using cash from operations and proceeds from its credit facility. It is the Company's intention to refinance these bonds and it will be monitoring the capital markets for appropriate opportunities.
SOURCE: British Columbia Ferry Services Inc.
For further information:
BC Ferries, Media Relations
Victoria: (250) 978-1267
Victoria: (250) 386-3431
Toll-free: 1-888-BCFERRY (1-888-223-3779)