2nd Nov 2007 10:50
Whitbread PLC02 November 2007 Whitbread PLC2 November 2007 Share buyback authority - publishing of shareholder circular Whitbread PLC ("Whitbread") announces that it is today publishing a circularseeking the approval of its ordinary shareholders to the renewal of its sharerepurchase authority. On 24 April 2007 the Company announced that, following a review of the Group'sbalance sheet, it would be appropriate to increase the level of leverage in thebusiness and that this would be achieved through the issue of bonds secured onthe hotel and restaurant assets. It was further announced on 16 October 2007that the work on the bond issue had largely been completed but, given the stateof the debt market, the timing and appropriateness of any issue was unclear. In the meantime, given the Company's commitment to increasing the leverage ofthe Group, as an alternative the Company has been using its current debtfacilities to conduct a share repurchase programme in accordance with itsexisting shareholder authority, which allows repurchases of up to 10% of theCompany's issued ordinary shares. As at 30 October 2007, Whitbread hadpurchased 11,819,876 ordinary shares representing approximately 5.96% of itsissued ordinary shares at an aggregate cost of £193.97m. The Whitbread Board believes that it is appropriate that it renews the authorityto buy back shares and that it is desirable to retain flexibility to continuethe repurchase programme once its existing shareholder authority has been fullyutilised. The circular therefore convenes a general meeting on 27 November 2007at which a resolution will be proposed to authorise Whitbread to makerepurchases of up to an additional 10% of its ordinary shares. Full details of the share buyback authority are contained in the circular. Two copies of the circular together with the notice of and form of proxy for thegeneral meeting are being submitted to the Financial Services Authority and willbe available for inspection at the Document Viewing Facility which is situatedat: The Financial Services Authority25 The North ColonnadeCanary WharfLondon E14 5HS Copies of these documents are available on request from Whitbread's registeredoffice at Whitbread Court, Houghton Hall Business Park, Porz Avenue Dunstable,Bedfordshire LU5 5XE. They will also be available on the "Investors" page ofWhitbread's website at www.whitbread.co.uk/investors/. For further information: Daren LowryAssistant Company SecretaryTel: 01582 889346 This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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