OREANDA-NEWS. February 16, 2011. Credit Suisse and Deutsche Bank have withdrawn their demand for Ukrtelecom to repay its USD  222mn debt ahead of the schedule, an undisclosed insider told Interfax on Feb 15. This debt restructuring comes into force once Ukrtelecom comes good with its semiannual interest payment of USD 56mn by Feb 25.

Millennium Capital finds the news is POSITIVE for Ukrtelecom. Only a few days after the creditors claimed they would demand early debt repayment, Ukrtelecom managed to negotiate debt restructuring and avoided urgent refinancing at higher cost. As soon as the company repays its regular interest payment in February, its debt is set to be redeemed on initial terms, specifically in 2012.