Ramco-Gershenson to remain a stand-alone company, announces changes

By Lisa Kerner

Charlotte, N.C., Sept. 8 - Ramco-Gershenson Properties Trust said its review of strategic and financial alternatives resulted in a number of deleveraging activities and governance changes as the company continues to operate on a stand-alone basis.

The Farmington Hills, Mich., real estate investment trust confirmed its commitment to:

• Deleveraging the company's balance sheet;

• Extending debt maturities;

• Enhancing corporate governance;

• Curtailing development activities and costs; and

• Pursuing sales of additional non-strategic assets.

Ramco-Gershenson said its has received commitments for a new secured credit facility totaling $250 million as well as a commitment to amend its secured revolving credit facility for the Town Center at Aquia.

The company used $27.4 million, the proceeds from the sale of three triple net lease assets, to reduce outstanding borrowings under its unsecured revolving credit facility.

Governance changes include termination of the company's shareholder rights plan and a proposal to declassify the board in 2010.

Current board member Stephen Blank was elected the non-executive chairman.

Dennis Gershenson will continue as the company's chief executive officer and president.

Ramco-Gershenson management recommended to the board a quarterly dividend of $0.16325 cash per common share. Record date for the dividend is expected to be Sept. 20, the company said.

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