April 17 (Reuters) - Atlas Iron Ltd AGO.AX :
* Atlas will reduce the principal amount it owes to its lenders, known as the
term loan B lenders from US$267M to US$135M
* Cash interest Atlas pays on this debt will be cut by circa 65 per cent,
saving atlas around A$20M a year
* Atlas will issue new shares and options to these lenders, who will emerge
with a total combined stake in the company of 70 per cent
* Restructuring plan, if approved, will result in several major changes to
Atlas' financial and corporate position
* Strongly of the view that there is a high risk atlas will be placed into
voluntary administration should the deal not be approved
* In this scenario, shareholders would be likely to receive nothing for their
shares
* Note independent proxy adviser recently recommended that atlas shareholders
approve issue of securities under restructuring deal
* Says urge shareholders to maximise the prospects of the restructuring deal
being approved
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