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| 2013 ANNUAL REPORT | PRYSMIAN GROUP
On 16 January 2014, the Group was awarded a new contract worth
approximately USD 24 million by Petrobras, the Brazilian oil
company.
The contract refers to the supply of special Down Hole Technology
(DHT) cable systems for the offshore oil&gas industry, which will
be manufactured using Brazilian-sourced materials (steel) at the
Group’s plants in Bridgewater, NJ (USA) and Cariacica, Brazil, and
are due to be delivered in July 2014. DHT systems are technology-
driven specialty products for oil, gas and geothermal wells that
include Tubing Encapsulated Cables, used in individual wells to
monitor temperature, pressure, and other parameters in order to
optimise flows within reservoirs.
On 5 February 2014, the European Investment Bank (EIB) paid
the Parent Company Prysmian S.p.A the Euro 100 million loan,
intended to fund the Prysmian Group’s European research &
development programmes over the period 2013-2016. The loan
agreement was signed in December 2013 and will fund about
50% of the planned investment expenditure by R&D centres
in six countries: France, Great Britain, The Netherlands, Spain,
Germany and Italy. The loan will be repaid in 12 equal half-yearly
instalments starting on 5 August 2015 and ending on 5 February
2021.
On 19 February 2014, Prysmian S.p.A signed a loan agreement for
Euro 100 million with Mediobanca - Banca di Credito Finanziario
S.p.A. The agreement has a five-year term and is intended to
refinance existing debt and working capital requirements.
On 21 February 2014, the Group sent the syndicate of banks
party to the Credit Agreement 2010, a Prepayment Notice that it
would repay early the outstanding loan of Euro 184 million on 28
February 2014.
SIGNIFICANT EVENTS AFTER
THE REPORTING PERIOD
The global economy in 2013 carried on the decelerating
trend, already underway since the second half of 2011,
due to persistent weakness of the Euro and slowdown in
the emerging economies of Asia as well as in the United
States. In the latter part of the year, however, the economic
environment generally stabilised and improved, especially in
areas most affected by the crisis.
In such an economic context, the Group is forecasting for
BUSINESS OUTLOOK
CONSOLIDATED FINANCIAL STATEMENTS >
DIRECTORS’ REPORT
