Independent News & Media Plc said today that discussions with its syndicate of banks, the ad-hoc committee of holders of the €200 million 5.75% guaranteed bonds and INM's principal shareholders are continuing. INM says discussions signal a consensual solution.

INM says as part of these discussions, it put put forward a comprehensive refinancing proposal - while not yet agreed by any stakeholder - which will require all stakeholders making some necessary material concessions in order to achieve significant deleveraging for INM. One element of this proposal involves INM seeking to raise some capital, subject to shareholder approval, by way of a deeply-discounted rights offering in order to partly repay the bonds.

The current standstill period expires next Friday and and INM said an extension to 24th July 2009, is likely to be agreed.

Goodbody analyst Gerry Hennigan comments: "In general, in order to meet its bond obligation, IN&M is considering a number of fund raising options, including the potential disposal of certain assets, with continued speculation that the flagship UK Independent title will be sold. In a brief market update, IN&M confirmed that talks remain ongoing and that there is a willingness on both sides to reach a ”consensual solution” and further announcements on both the on-going talks and the standstill arrangement will be made in due course."