Corinthia announces new bond issue

Corinthia Finance said today that it had submitted an application to the Malta Stock Exchange to offer €15 million in new bonds redeemable in 2019, but which may be redeemed between 2016 and 2019.

The bonds will be guaranteed by Corinthia Palace Hotel Co. Ltd.

The bonds will be interchangeable with the 6.25% Corinthia Finance Bonds issued in accordance with the prospectus dated 28th August 2009, and will be merged as one bond on the next interest payment date in September 2010.

The funds from the new bond will be used for the redemption of the 6.5% Corinthia Finance p.l.c. Bond 2010 which matures on 8th April 2010.

Preference will be given to holders of the 6.5% Corinthia Finance p.l.c. Bonds 2010 who surrender their existing holding in favour of a holding in the new bonds.

The last trading date of the Maturing Bond will be 2nd February 2010.