Atlas Copco to Write Down the Value of Rights to Notes.STOCKHOLM, Sweden -- Regulatory News: Atlas Copco Atlas Copco is a Swedish industrial company that was founded in 1873. It manufactures industrial tooling and equipment. The Atlas Copco Group, founded already in 1873, is a global industrial group of companies headquartered in Stockholm, Sweden. has decided to write down to zero the value of the Group's rights to notes, which were a conditional extra-payment in the 2006 divestment of its US construction equipment rental business. The charge, approximately MSEK MSEK Meyer, Suozzi, English & Klein (New York law firm) MSEK Million Swedish Kroner 850, will be booked in the fourth quarter, as a financial cost without cash-flow effect. Issuance of the interest-bearing notes is contingent upon Adj. 1. contingent upon - determined by conditions or circumstances that follow; "arms sales contingent on the approval of congress" contingent on, dependant on, dependant upon, dependent on, dependent upon, depending on, contingent RSC RSC Royal Society of Chemistry (UK) RSC Royal Shakespeare Company RSC Responsabilidad Social Corporativa (Spanish: corporate social responsibility) RSC Royal Society of Canada Equipment Rental Inc. reaching certain agreed EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortization) A metric used to show a company's profitability, but not its cash flow. EBITDA became popular in the 1980s to show the potential profitability of leveraged buyouts, but has become levels during the period 2006-2008. The analysts' average estimates indicate an increase in EBITDA in 2007 over 2006 and a further increase in 2008, but the EBITDA is not anticipated to reach the threshold levels that would require RSC Holdings Inc. to issue notes to Atlas Copco. Atlas Copco also owns approximately 11.5% of the shares in RSC Holdings Inc. The market value of the shares, as per December 19, 2007, is approximately MSEK 950, which exceeds the initial book value by approximately MSEK 570. This unrealized value-increase has been recognized directly in equity during the year. In the event of a sale of the shares, the realized result would be recorded in the income statement. Atlas Copco discloses the information provided herein pursuant to the Securities Markets Act and/or the Financial Instruments Trading Act. The information was submitted for publication at 08:00 on December 21, 2007. Atlas Copco is a world leading provider of industrial productivity solutions. The products and services range from compressed air compressed air, air whose volume has been decreased by the application of pressure. Air is compressed by various devices, including the simple hand pump and the reciprocating, rotary, centrifugal, and axial-flow compressors. and gas equipment, generators, construction and mining equipment, industrial tools and assembly systems, to related aftermarket Aftermarket See: Secondary market. aftermarket See secondary market. and rental. In close cooperation with customers and business partners, and with more than 130 years of experience, Atlas Copco innovates for superior productivity. Headquartered in Stockholm, Sweden, the Group's global reach spans more than 150 markets. In 2006, Atlas Copco had 25 900 employees and revenues of BSEK 51 (BEUR 5.6). Learn more at www.atlascopco.com. This information was brought to you by Cision http://newsroom.cision.com |
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