Camposol announces results of its exchange offer, reduction of minimum tender condition and extension of expiration date - Seite 2

The Company does not currently have the liquidity to pay the outstanding principal of the Existing Notes not yet tendered in the Exchange Offer at their maturity and cannot assure holders of Existing Notes or New Notes that it will be able to negotiate additional exchanges of Existing Notes and/or extensions of its existing lines of credit in an aggregate amount sufficient to do so. Consequently, it may experience significant liquidity constraints that make it impossible for the Company to comply with its payment obligations in respect of its outstanding debt, including the Existing Notes and the New Notes that will be issued at settlement of the Exchange Offer. If the Company is not able to make payments of interest or principal on its debt when due, that debt could be accelerated, which would result in a cross-default of the New Notes issued in the Exchange Offer.

The Exchange Offer was conducted pursuant to the terms and subject to the conditions contained in the Company's exchange offer memorandum dated April 11, 2016, as amended by the supplement dated May 5, 2016 (the "Exchange Offer Memorandum"). Capitalized terms used but not defined herein have the meanings assigned to such terms in the Exchange Offer Memorandum.

Except as stated above, all terms and conditions of the Exchange Offer Memorandum as stated in the Exchange Offer Memorandum, as supplemented by this press release dated May 20, 2016, remain the same.

Consummation of the Exchange Offer is conditioned upon the valid tender, without subsequent withdrawal, of at least 73.77% of the aggregate principal amount outstanding of the Existing Notes. Subsequent to confirmation of the Exchange Offer, collateral that will secure the Existing Notes that remain outstanding and the New Notes issued in the Exchange Offer, will be perfected pursuant to the terms of a Peruvian Trust Agreement governed by Peruvian law that will be entered into by the Company and the Peruvian Trustee and Collateral Agent for the benefit of all holders of both Existing Notes and New Notes outstanding.  The Company has the right, in its sole discretion, to waive any conditions to the Exchange Offer. The Company will also have the right to terminate or withdraw the Exchange Offer and to extend the Expiration Date in its sole discretion, subject to applicable law.