08:45, Thursday, 19 October 2006 Sydney - Thursday - October 19:...

08:45, Thursday, 19 October 2006

Sydney - Thursday - October 19: (RWE Aust Business News) - Coles
Myer (ASX:CML) has rejected a revised proposal from the KKR-led leveraged
buyout consortium at $15.25 a share.
Chairman Rick Allert said the proposal, received after the
stockmarket closed yesterday, was still substantially undervaluing the
company and its prospects.
He said the proposal remained non-binding and conditional upon,
amongst other things, due diligence.
"The conditionality of the proposal gives no certainty that the
price proposed would be delivered to shareholders," he said.
"The board believes that shareholder interests will be better
served by the company pursuing its growth strategy."
He said the consortium said it was the final proposal and it
would not increase the indicative price.
It will withdraw and publically announce its disengagement if it
does not have the support of the CML board by 9am October 23 2006.
The consortium has been reduced to five members: Kohlberg Kravis
Roberts & Co, Carlyle Group, CVC Asia Pacific, Texas Pacific and
Blackstone Group.