VTB and Mechel have agreed the conditions of debt restructuring
The head of VTB, A. Kostin, said that the bank had agreed the parameters of the debt restructuring with Mechel.
“The agreement means that we restructure the amortization of the main debt, we postpone it from 2015-2016 to 2018-2019. We will reduce the interest rate where it has risen as a result of the latest events”, Mr. Kostin said.
According to him, VTB is ready to restructure the debt by these parameters in exchange for the execution of a few conditions by Mechel. The latter is to settle the overdue payment by the interest at the amount of 4.5 bln roubles by the end of the year and make the additional pledge and securities of operational companies at the volume agreed with VTB. If Mechel executes these conditions, in late June-early July the document on the restructuring of the debt will be signed, Mr. Kostin says.