Gn Store Nord A/s · OMXCOP:GN
Gn Store Nord A/s — Corporate Update (January 2012)
8 slides from Gn Store Nord A/s's corporate update, Jan 13, 2012
Slide 1: DPTG/TPSA Settlement
DPTG/TPSA Settlement CFO, GN Store Nord Anders Boyer VP, IR & Communications, GN Store Nord Mikkel Danvold Copenhagen, January 13, 2012
Slide 2: Background
Background • GN Store Nord has been involved in an arbitration case against Telekomunikacja Polska S.A. (TPSA) through its 75% share of DPTG I/S for more than 10 years • The dispute concerns determination of traffic volumes carried over the NSL fiber optical telecommunication system in Poland • Acco
Slide 3: Settlement agreement between DPTG & TPSA of EUR 550 million
Settlement agreement between DPTG & TPSA of EUR 550 million • On January 12, DPTG and TPSA has entered into a final settlement, where TPSA agrees to pay a total of EUR 550 million to DPTG as full and final payment • As the agreement is a full and final settlement of the dispute it covers all claims
Slide 4: Impact on the Financial Statements
Impact on the Financial Statements - DKK 0.7 billion to be recognized above EBITA • The part of the settlement not related to Phase 1 and accrued interests already taken as income will be booked in a separate line above EBITA in the financial statements for Q4 2011. The gross additional amount will
Slide 5: Tax and cash flow effect
Tax and cash flow effect • The settlement amount is subject to the Danish corporate tax rate of 25%. However, as previously communicated in connection with the award for Phase 1 in September 2010, GN has certain tax losses carried forward • The cash effect for GN is thus expected to be around DKK 2.
Slide 6: Utilization of the Proceeds (I)
Utilization of the Proceeds (I) • Based on the settlement GN intends to buy back shares amounting to DKK 1.3 billion with the purpose to reduce the company’s share capital • Acting under the current authorization granted by the shareholders to acquire up to 15% of the company’s shares, the buyback p
Slide 7: Utilization of the Proceeds (II)
Utilization of the Proceeds (II) • The remaining DKK 1.2 billion will initially be utilized to repay the current debt of the company • GN’s capital structure policy (net debt up to a maximum of two times EBITDA) remains unchanged • GN’s long term policy continues to be to distribute excess cash to s
Slide 8: Thank you
Thank you Q&A