81 Ploymitr Bldg. 6th Fl., Sukhumvit 28 Rd., Klongtoey,
Bangkok Thailand 10110
| TRUE SUCCESSFULLY PLACES BAHT 4 BILLION IN NEW DEBENTURES|
| True Corporation (SET: TRUE) has successfully placed Baht 4 billion of secured debentures with local institutional investors and the public, with the issue being fully subscribed on the first day of the subscription period (May 30, 2007).|
| The proceeds will be used to prepay existing debt ahead of maturity date. This includes an approximately Baht 3.6 billion bond (1/2545) due to mature in July 2008 and approximately Baht 400 million of Thai commercial bank debt. Issuing the debentures will help True extend the repayment schedules of this debt by approximately 4 years and provide the Company with more flexibility in managing its cash flows, while keeping interest costs about the same. This bond issue is part of True’s refinancing plans for this year.|
| True President and CEO, Mr Supachai Chearavanont said the strong demand for the debentures demonstrated the confidence of investors in True’s future financial performance.|
| “True’s financial position continues to improve. Our net debt-to-EBITDA ratio has been falling because of EBITDA growth and debt repayment. At the same time our business strategy of being Thailand’s leader in convergence lifestyle is taking shape.” |
| The Company offered the debentures to the public from May 30 to June 6, 2007. The debentures are divided into three tranches as follows:|
Debenture with 2 years 1 month and 1 day maturity due in 2009. The debenture carries a fixed interest rate of 5.70% per annum. The issued amount of tranche 1 is Baht 1 billion.
Debenture with 3 years 1 month and 1 day maturity due in 2010. The debenture carries a fixed interest rate of 6.20% per annum. The issued amount of tranche 2 is Baht 2 billion.
Debenture with 5 years 1 month and 1 day maturity due in 2012. The debenture carries a fixed interest rate of 6.80% per annum. The issued amount of tranche 3 is Baht 1 billion.
| All three tranches are subject to bullet payments for the principal amounts at their maturities with interest payments to be made on a quarterly basis.|
| The debentures are rated ‘BBB” by Tris Rating Co., Ltd. (TRIS) and the lead underwriter is The Bank of Ayudhya Plc (BAY). The other underwriters are Siam City Bank Plc (SCIB) and Ayudhya Securities Plc (AYS)|
| For more information, please contact:(094) 11/06/2007
PR Department, True Group
Pimolpan ,Sisadhi 02699 2772 ,02643 2463
PR SOLUTION www.prsolution.co.th
PR SOLUTION Prapas/ Chitruetai/ Sitthikorn
Tel: 0-2656-8059 / 08-1827-7354 / 08-1613-1865