HMV GROUP: SUSPENSION OF TRADING IN ORDINARY SHARES
14 January 2013
HMV Group plc
("HMV" or the "Company" or, together with its subsidiaries, the "Group")
Suspension of trading in the ordinary shares and proposed appointment of administrators
On 13 December 2012, the Company announced that as a result of current market trading conditions, the Company faced material uncertainties and that it was probable that the Group would not comply with its banking covenants at the end of January 2013. The Company also stated that it was in discussions with its banks.
Since that date, the Company has continued the discussions with its banks and other key stakeholders to remedy the imminent covenant breach. However, the Board regrets to announce that it has been unable to reach a position where it feels able to continue to trade outside of insolvency protection, and in the circumstances therefore intends to file notice to appoint administrators to the Company and certain of its subsidiaries with immediate effect. The Directors of the Company understand that it is the intention of the administrators, once appointed, to continue to trade whilst they seek a purchaser for the business. It is proposed that Nick Edwards, Neville Kahn and Rob Harding, partners of Deloitte LLP, will be appointed as the administrators of the Company and certain of its subsidiaries.
The Company's ordinary shares will be suspended from trading on the London Stock Exchange with immediate effect.
For further information, please contact:
James Igoe: 020 7303 8247
Mike Smith Nick Cosgrove Helen Smith
020 7404 5959
Helen Smith Associate
Brunswick Group LLP, 16 Lincoln's Inn Fields, London, WC2A 3ED, United Kingdom Tel +44 (0) 20 7404 5959 Direct +44 (0) 20 7936 7419 Mobile +44 7515 187419 www.brunswickgroup.com<http://www.brunswickgroup.com/>
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