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Actions should mean it has more money left over to pay down its overall borrowings
Thursday 06 Jul 2017 Author: David Stevenson

Roadside assistance firm AA (AA.) is refinancing its borrowings to reduce the cost of servicing its debt. The company is issuing new bonds and replacing an existing debt facility. It is also extending the maturity of debt.

These actions will provide annual interest cost savings, so it has more free cash flow to pay down overall debt – which is central to the investment case.

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