Central European Distribution Corporation Announces That It Has Amended Its Local Polish Bank Facility Agreement

Central European Distribution Corporation CEDC today announced that it signed and agreed to an amended set of terms for its credit facilities with Bank Handlowy w Warszawie S.A. and Bank Zachodnia WBK S.A. As part of the amendment, the Company has agreed to repay the remaining 122.5 million PLN ($45.20 million) term facility while at the same time retaining the 120 million PLN ($44.48 million) overdraft facility which is currently not utilized. The overdraft facility will not contain either the Consolidated Coverage Ratio or the Net Leverage Ratio previously required under the Credit Facility. In addition to the elimination of covenants, the revised terms of the overdraft facility provide for an initial 100 basis point reduction in the margin charged to the Company, with further reductions coming over the next nine months, and the maximum amount available for borrowing under the overdraft facility will be reduced over the course of the next nine months as well.