Just Energy Renews Revolving Credit Facility
TORONTO, ONTARIO -- (Marketwired) -- 10/02/13 -- Just Energy Group,
Inc. (TSX:JE) (NYSE:JE), a competitive retailer of natural gas and
electricity, today announced that it reached agreement with its
syndicate of lenders to renew and extend its revolving credit
facility for a period of two years from the closing date of October
2, 2013. Based on projected operating requirements, the line has been
set at $300 million with a Just Energy option to draw up to $340
million between closing and February 28, 2014. The pricing of the
renewed facility is the same as that of the previous extension.
The agreement has been reached with a syndicate of 7 banks led by
Canadian Imperial Bank of Commerce and including Royal Bank of
Canada, National Bank of Canada, The Toronto Dominion Bank, The Bank
of Nova Scotia, Alberta Treasury Branches and HSBC Bank Canada.
Commenting on the renewal, CEO Ken Hartwick stated: "We have made it
a priority to reduce our overall level of indebtedness and are
pleased to complete another step in our efforts to strengthen our
balance sheet. When we announced our first quarter results, we noted
that our projected need for our revolving credit line would decrease
based on the improving cash flow of our business. Based on this, we
have reduced our line to $340 million and will further reduce it to
$300 million by February 28, 2014. We remain focused on executing on
our long-term growth strategy, which includes enhancing market share
in North America, continued expansion in the U.K. market and
increasing customer value through product bundling."
Executive Chair Rebecca MacDonald added: "I am very pleased with the
continued confidence in Just Energy shown by our lending syndicate in
renewing our revolving facility for an additional two year term. We
have a longstanding relationship with our bankers and we look forward
to working with them to support the future growth of our Company.
This renewal reflects one step in the Just Energy's plan to reduce
its overall debt level. The Company is reviewing a number of options
for further debt restructuring and reduction."
About Just Energy Group Inc. Established in 1997, Just Energy is
primarily a competitive retailer of natural gas and electricity. With
offices located across the United States, Canada and the United
Kingdom, Just Energy serves close to 2 million residential and
commercial customers (4.5 million RCEs) through a wide range of
energy programs and home comfort services, including fixed-price or
price-protected energy program contracts, the rental of water
heaters, furnaces and air conditioners and the installation of solar
panels. The Company's JustGreen(R)products provide consumers with the
ability to help them reduce the environmental impact of their
everyday energy use. Just Energy is the parent to Amigo Energy,
Commerce Energy, Hudson Energy, Hudson Energy Solar, National Home
Services, Momentis, Tara Energy and Terra Grain Fuels.
Just Energy's press releases may contain forward-looking statements
including statements pertaining to customer revenues and margins,
customer additions and renewals, customer attrition, customer
consumption levels, general and administrative expenses, dividends,
distributable cash and treatment under governmental regulatory
regimes. These statements are based on current expectations that
involve a number of risks and uncertainties which could cause actual
results to differ from those anticipated. These risks include, but
are not limited to, levels of customer natural gas and electricity
consumption, rates of customer additions and renewals, rates of
customer attrition, fluctuations in natural gas and electricity
prices, changes in regulatory regimes and decisions by regulatory
authorities, competition and dependence on certain suppliers.
Additional information on these and other factors that could affect
Just Energy's operations, financial results or dividend levels are
included in Just Energy's annual information form and other reports
on file with Canadian securities regulatory authorities which can be
accessed through the SEDAR website at www.sedar.com, on the U.S.
Securities Exchange Commission's website at www.sec.gov or through
Just Energy's website at www.justenergygroup.com.
Neither the Toronto Stock Exchange nor the New York Stock Exchange
has approved nor disapproved of the information contained herein.
Just Energy Group, Inc.
Ms. Beth Summers, CPA, CA
Chief Financial Officer
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