Marconi hit by loans repayment fears

More dark clouds on the horizon...

By Kate Hanaghan, 22 March 2002 11:00

NEWS Stricken telco equipment maker Marconi saw its share price slump even lower this morning after it said it failed to reach an agreement with lenders on its loan facilities. The value of shares slumped 55 per cent to 8p after it warned poor market conditions would last longer than expected. The company has been in talks with lenders regarding a E4.5bn (£2.8bn) fully drawn loan and an additional unused E3bn (£1.8bn) loan. Although its fourth quarter results, due at the end of March will be in inline with forecasts It expects poor markets conditions to continue to March 2003.

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