Alcatel-Lucent announced EUR 1.615 billion in senior secured credit facilities. commitments with Credit Suisse AG and Goldman Sachs Bank USA.
Commenting on the initiatives, Ben Verwaayen, CEO Alcatel-Lucent, said: “Today’s announcement of a multi-year financing commitment allows Alcatel-Lucent to operate and adapt our business in a manner which is appropriate in today’s markets. The proceeds from the new financing will be used to effectively extend our maturity profile over the next several years and provide additional flexibility to finalize our previously announced Performance Program priorities, including the Euro 1.25 billion cost reduction target and the exiting or restructuring of unprofitable Managed Services contracts and geographic markets. We will take advantage of the flexibility provided by this new financing in order to aggressively look at all options to drive long-term sustainable profitability, enhance our strategic positioning and improve our balance sheet.”
