The Ukrzaliznytsia public railway company plans to restructure UAH 5 billion in loan debt by September 2016, Ukrzaliznytsia’s board member Oleksandr Buzhor announced during a roundtable at the American Chamber of Commerce on Wednesday, the Interfax Ukraine news agency reports.

"We hope that an additional UAH 5 billion will be restructured by September out of the approximately UAH 20 billion that is subject to restructuring. Only UAH 3-4 billion that is connected with the Donetsk railway in one way or another will remain," he said.

According to information from Ukrzaliznytsia, its liabilities amounted to UAH 41.979 billion as of the end of 2015, including UAH 20.811 billion in short-term liabilities. Out of these liabilities, UAH 25.807 billion were bank loans, UAH 12.129 billion were Eurobonds, UAH 3.691 billion were domestic bonds, UAH 346.487 million were other loans, and UAH 4.713 million were overdrafts.

As the CFTS reported, the holders of Ukrzaliznytsia’s Loan Participation Notes worth USD 500 million approved the company’s offer to restructure the notes in February 2016. In particular, the coupon on the securities will increase from 9.5% to 9.875% (effective from 21 November 2015) and their maturity will be extended from 21 May 2018 to 15 September 2021.