Denmark: TORM Reaches Temporary Standstill with Its Bank Group and Time Charter Partners

TORM and the Company’s bank group have as expected extended the deferral of installments and covenant standstill until 30 April 2012.

The temporary agreement is subject to the continued progress of the negotiations towards the financing framework agreement in principle as described in announcement no. 14 dated 4 April 2012.

Simultaneously, the vast majority of time charter partners have agreed to realign charter rates to the current market level until 30 April 2012, whilst finalizing the conditional framework agreement in principle.

“This is a strong signal that TORM’s major creditors wish to contribute to the completion of a financial solution,” says CFO Roland M. Andersen.

[mappress]

Source: TORM, April 15, 2012