Pfleiderer Reaches Agreement on Restructuring

Neumarkt, Germany, March 21, 2011 -- Pfleiderer AG said it has reached an agreement with its creditors' negotiating committee on the key points of the company's financial restructuring and refinancing.

The package of measures aims to achieve a significant debt reduction for the Pfleiderer Group.

The agreement is to be approved by the responsible boards of the individual creditors by the end of this month, Pfleiderer said.

The implementation of the measures decided upon will last until well into the second half of 2011, the company said.

As part of the agreement, Pfleiderer will receive loans of 100 million euros from the involved banks and hedge funds to keep the company solvent while it implements the financial restructuring.

The standstill agreement with the banks, which includes the suspension of regular loan repayments and is initially limited until March 31, is to be extended until April 30.