AVI Global Trust plc has entered into a preliminary agreement to issue JPY 8 billion fixed rate unsecured debt, for a term of ten years. Subject to final documentation, the annual interest rate on the debt will be 1.38%. The debt will be denominated in JPY and is equivalent to approximately £48 million at current exchange rates.

The Company currently has in issue the following fixed rate debt: £30 million 4.184% Series A Sterling Unsecured Loan Notes, due 15 January 2036, EUR 30 million 3.249% Series B Euro Unsecured Loan Notes, due 15 January 2036 and EUR 20 million 2.93% Series B Euro Unsecured Loan Notes, due 1 November 2037. In addition, the Company has a JPY12 billion multi-currency revolving credit facility. There are no drawings under this facility at present.

The Company is currently ungeared on a net basis (96% invested) and, following the issue of this new JPY fixed rate debt, will have available liquidity of £234 million Assuming that the debt issue proceeds as planned, the Company's weighted average interest on its fixed rate borrowings will be reduced to 2.70%, compared with 3.56% currently.