Torm reaches temporary standstill

Torm has extended its agreement with the Company’s bank group about a deferral of instalments and covenant standstill until 30 April. The temporary agreement is subject to the continued progress of the negotiations towards the financing framework agreement in principle.

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 Torm’s CFO Roland M. Andersen.

Source: Torm