Celestica Inc. to redeem its 7.875% Senior Subordinated Notes due 2011
28 September 2009 - 1:00PM
PR Newswire (US)
(All amounts in U.S. dollars) TORONTO, Sept. 28
/PRNewswire-FirstCall/ -- Celestica Inc. ("Celestica") (NYSE, TSX:
CLS), a global leader in the delivery of end-to-end product
lifecycle solutions, today announced that it will exercise its
option to redeem all of its outstanding 7.875% Senior Subordinated
Notes due 2011 (the "Notes"). The outstanding principal amount of
the Notes is US$339.4 million. The redemption is in accordance with
the terms of the Notes at a price of 101.969% of the principal
amount, together with accrued and unpaid interest to the redemption
date. The company expects that the redemption will occur within
30-60 days of this release. The redemption will be funded out of
the company's existing cash resources. Based on the June 30, 2009
financial results, upon completion of the redemption of the Notes,
the company will have approximately $764 million in cash, $223
million in senior subordinated notes outstanding due 2013, and an
estimated reduction to its 2010 net interest expense of
approximately $14 million. The CUSIP number of the Notes is
15101QAB4. The Bank of New York Mellon (as successor to JPMorgan
Chase Bank) is the Trustee pursuant to the Indenture dated June 16,
2004. About Celestica --------------- Celestica is dedicated to
delivering end-to-end product lifecycle solutions to drive our
customers' success. Through our simplified global operations
network and information technology platform, we are solid partners
who deliver informed, flexible solutions that enable our customers
to succeed in the markets they serve. Committed to providing a
truly differentiated customer experience, our agile and adaptive
employees share a proud history of demonstrated expertise and
creativity that provides our customers with the ability to overcome
any challenge. Safe Harbour and Fair Disclosure Statement
------------------------------------------ Statements contained in
this press release which are not historical facts, including those
relating to the redemption of the Notes and the expected benefits
of such redemption, are forward-looking statements. Such
forward-looking statements are predictive in nature, and may be
based on current expectations, forecasts or assumptions involving
risks and uncertainties that could cause actual outcomes and
results to differ materially from the forward-looking statements
themselves. Such forward-looking statements may, without
limitation, be preceded by, followed by, or include words such as
"believes," "expects," "anticipates," "estimates," "intends,"
"plans," or similar expressions, or may employ such future or
conditional verbs as "may", "will", "should," or "would," or may
otherwise be indicated as forward-looking statements by grammatical
construction, phrasing or context. For those statements, we claim
the protection of the safe harbor for forward-looking statements
contained in the U.S. Private Securities Litigation Reform Act of
1995 and in any applicable Canadian securities legislation. Forward
looking statements are not guarantees of future performance. Risks
and uncertainties, as well as other information related to the
Company, are discussed in the Company's various public filings at
http://www.sedar.com/ and http://www.sec.gov/, including our Annual
Report on Form 20-F and subsequent reports on Form 6-K filed with
the Securities and Exchange Commission and our Annual Information
Form filed with the Canadian Securities Commissions.
Forward-looking statements are provided for the purpose of
providing information about management's current expectations and
plans relating to the future. Readers are cautioned that such
information may not be appropriate for other purposes. Except as
required by applicable law, we disclaim any intention or obligation
to update or revise any forward-looking statements, whether as a
result of new information, future events or otherwise. DATASOURCE:
Celestica Inc. CONTACT: Laurie Flanagan, Celestica Global
Communications, (416) 448-2200, ; Paul Carpino, Celestica Investor
Relations, (416) 448-2211,
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