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Clearwater Reports $57 Million Loan

CANADA - Clearwater has announced that an agreement has been reached with a term financing syndicate for a $57 million, three-year term loan representing an important component of the June 8, 2009 refinancing.

Clearwater Seafoods Limited Partnership has reported that it has reached an agreement for a three-year $57 million term debt facility with a syndicate of lenders as part of a debt refinancing scheduled for June 8, 2009.

The syndicate which includes GE Capital, is being arranged by GE Capital Markets Ltd. and GE Capital Markets, Inc. as co-arranger, The Business Development Bank of Canada , Export Development Canadaand the Province of Nova Scotia, through the Industrial Expansion Fund.

This new term debt facility will bear interest at market rates and be secured by mortgages and charges on all property, vessels and interest in licenses of Clearwater and certain of its wholly owned subsidiaries and is structured in two tranches.

Clearwater currently has outstanding approximately Canadian $95 million of debt facilities, but is confident the debt will be settled at maturity on June 8, 2009 with the proceeds from this new term facility and an asset-based revolving facility arranged by GECM.

Colin MacDonald, Chairman and Chief Executive Officer commented "The completion of this agreement in what has been one of the toughest credit markets in recent history speaks to the ongoing strength of Clearwater's business model. We wish to express our appreciation to GE Capital in Canada for their commitment to the organization and in particular would like to express our appreciation for the leadership shown by the Province of Nova Scotia, BDC and EDC to ensure successful Nova Scotia based companies continue to have access to capital and support to be competitive and sustainable. We appreciate this support and look forward to concluding this refinancing on June 8, 2009".

David Surrette, Regional Vice President, Atlantic Canada for EDC added "Clearwater is an excellent example of a strong Canadian company that could be helped by EDC's capacity to undertake domestic financing. EDC is happy to be able to bring this much needed capacity to Canadian companies like Clearwater to help alleviate the effects of the credit crunch."

the Fish Site Editor

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