Echo Entertainment restructures financing to cut costs

    Echo Entertainment Group Limited said it has completed a program to close out some of its out-of-the-money interest rate swap positions and restructure lending arrangements to cut financing costs. 

    The close-out of the swap positions coincides with a partial restructuring of Echo’s lending arrangements, which involved a reduction in a syndicated revolving facility by $150m and the establishment of a $150m bridge facility. The company said that this restructuring will reduce FY2015 statutory net finance costs by approximately $8m relative to the position of the swaps having remained in place, under constant interest rate assumptions.