Netia subsidiaries file for composition proceedings in the Netherlands
WARSAW, Poland - July 15, 2002 - Netia Holdings S.A. (Nasdaq: NTIAQ, WSE: NET), Poland's largest alternative provider of fixed-line telecommunications services (the "Company"), today announced that on July 12, 2002, three of its subsidiaries, Netia Holdings B.V. ("BV I"), Netia Holdings II B.V. ("BV II") and Netia Holdings III B.V. ("BV III"), each filed applications with the Court in Amsterdam, the Netherlands, in order to restructure the obligations owed under the high yield notes issued by BV I and BV II and under a cross-currency swap agreement executed by BV III. As requested in the applications, the Court in Amsterdam granted on July 12, 2002 provisional payment suspensions on the repayment of obligations of BV I, BV II and BV III, respectively.
The composition plans presented by BV I, BV II and BV III to the Court in Amsterdam include canceling the obligations under the high yield notes and the swap agreement in exchange for issuing new notes with a total value of EUR 50 million, to be issued by BV I. The last day for filing of claims against each of BV I, BV II and BV III in the Dutch proceedings is August 1, 2002.
Some of the information contained in this news release contains forward-looking statements. Readers are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, and that actual results may differ materially from those in the forward-looking statements as a result of various factors. For a more detailed description of these risks and factors, please see the Company's filings with the Securities and Exchange Commission, including its Annual Report on Form 20-F filed with the Commission on March 28, 2002, its Current Report on Form 6-K filed with the Commission on April 3, 2002, it Current Reports on Forms 6-K filed with the Commission on May 6, 2002, its Current Report on Form 6-K filed with the Commission on May 7, 2002, its Current Report on Form 6-K filed with the Commission on May 20, 2002, its Current Report on Form 6-K filed with the Commission on May 24, 2002, its Current Report on Form 6-K filed with the Commission on June 28, 2002, and its Current Report on Form 6-K filed with the Commission on July 2, 2002. The Company undertakes no obligation to publicly update or revise any forward-looking statements.