Barry Callebaut signs Revolving Credit Facility

With EUR 850 million, the facility is EUR 110 million higher than initially planned, following the great response from the banking market. The company will cancel other financing arrangements to compensate for the increased amount.

30/08/05 Barry Callebaut AG, the world’s leading manufacturer of high-quality cocoa and chocolate products, said today that it has signed the previously announced Revolving Credit Facility with a group of 15 banks. This facility replaces the EUR 575 million Term and Revolving Facility in place since March 2003 and July 2004, respectively. With EUR 850 million, the facility is EUR 110 million higher than initially planned, following the great response from the banking market. The company will cancel other financing arrangements to compensate for the increased amount. The facility was initially underwritten by ING, ABN AMRO, Fortis and Natexis Populaires and subsequently offered to the syndicated loan market.

The agreement consist of three parts:

1. A Revolving Credit Facility of EUR 435 million with a minimal tenor of 5 and a maximum of 7 years

2. A Revolving Credit Facility of EUR 250 million with a minimal tenor of 3 and a maximum of 5 years, serving as back-up for the company’s Commercial Paper program

3. A Revolving Credit Facility of EUR 165 million with a minimal tenor of 5 and a maximum tenor of 7 years to refinance the High Yield Bond 2003-2010 as from March 2007. The cost reduction as from fiscal year 2007/08 will be approx. CHF 14 million p.a.

The margin of the new facility is linked to a rating grid and starts with an applicable margin of 82.5bps for the first period until November 2005. The commitment fee is 35% of the margin. However, as from December 2005 onwards, Barry Callebaut expects to benefit from a lower applicable margin of 65bps.

“The new agreement is a milestone in our commitment to strengthen our Balance Sheet and will greatly enhance our financial flexibility and security,” said Dieter Enkelmann, Barry Callebaut’s CFO. “The oversubscription of more than 50% of the facility based on terms typically found in the investment grade syndicated loan market is evidence of the confidence the financial community has in our operational performance and market position.”

The syndicate consists of ABN AMRO Bank NV (books), Fortis Bank NV (books), ING Belgium NV (books), Natexis Banques Populaires as Underwriters/MLA’s, KBC Bank NV, Lloyds TSB Bank plc, Coöperatieve Centrale Rabobank B.A. as MLA’s, BNP Paribas, Credit Suisse, Mizuho Corporate Bank Nederland NV as Lead Arrangers, Banque LBLux SA, NIB.

www.barrycallebaut.com