Clearnet Communications Inc. lets bank commitment expire.PICKERING, Ontario--(BUSINESS WIRE)--April 25, 1995-- Clearnet Communications Inc. Tuesday announced that its wholly-owned operating subsidiary An operating subsidiary is a business term frequently used within the United States railroad industry. In the case of a railroad, it refers to a company that is a subsidiary but operates with its own identity and rolling stock. , Clearnet Inc., has agreed with BT Bank of Canada Bank of Canada Canada's central bank, established under the Bank of Canada Act (1934). It was founded during the Great Depression to regulate credit and currency. The Bank acts as the Canadian government's fiscal agent and has the sole right to issue paper money. (a wholly-owned subsidiary of Bankers Trust The Bankers Trust is a historic American banking organisation that was acquired by Deutsche Bank in 1998. It was originally set up when banks could not perform trust company services. Co., New York New York, state, United States New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of ) and Bank of Montreal “BMO” redirects here. For the mathematics competition, see British Mathematical Olympiad. Bank of Montreal/Banque de Montréal (TSX: BMO, NYSE: BMO) is Canada's fourth largest bank[1], and is classified as a Domestic Chartered Bank (Schedule I). to let the commitment for an $85 million bank facility expire. Robert McFarlane, vice president & chief financial officer of Clearnet said, "given that Clearnet currently has no debt outstanding and cash on hand in excess of $100 million, as well as strong strategic shareholders, Clearnet has unutilized borrowing potential. "Unfortunately we were unable to resolve with the bank syndicate an acceptable basis to accommodate other financings which Clearnet is currently considering. We have decided to refocus our efforts on establishing an appropriate debt facility that is better suited for our future requirements. Accordingly, we decided to let the existing commitment lapse." George Cope, president & chief executive officer of Clearnet, indicated that, "we are currently in discussions with certain banks concerning establishing a credit facility in excess of $100 million that, if obtained, would provide significantly increased borrowing availability than the old $85 million commitment which we have decided to allow to expire. "Clearnet appreciates the efforts of Bankers Trust and Bank of Montreal over the past year and these institutions remain valued friends of Clearnet." Clearnet is currently building-out Canada's first fully integrated digital wireless network. Clearnet intends to complete full digital coverage of the Windsor through Quebec City corridor in the spring of 1996, and to follow that up with coverage in Vancouver and lower mainland British Columbia and the Edmonton to Calgary, Alberta corridor. Clearnet also recently announced a personal communications services See PCS. (PCS (1) (Personal Communications Services) Refers to wireless services that emerged after the U.S. government auctioned commercial licenses in 1994 and 1995. This radio spectrum in the 1. ) trial for the Kitchener-Waterloo, Ontario area with Motorola, a strategic shareholder. Clearnet is a Canadian controlled company. CONTACT: Clearnet Communications Inc., Pickering Robert McFarlane Vice President and Chief Financial Officer Phone: 905/831-6222 Internet: InvestorRelations@Clearnet.com |
|
||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion