Echo says debt restructure to cost $22m

Casino owner Echo Entertainment has restructured it debt arrangements to reduce its finance expenses, but it will incur a one-off cost.

Casino owner Echo Entertainment has restructured its debt arrangements to reduce finance expenses. (AAP)

Casino owner Echo Entertainment will incur a one-off charge of $22 million from changes made to its debt arrangements.

But the owner of Sydney's The Star said the changes will reduce its finance costs from the second half of the 2013/14 financial year to the 2015/16 year.

Echo had closed out some of its interest rate swap positions and restructured its lending arrangement, it said.

That will involve pre-tax expenses of $22 million which will be recognised its in results for the first half of the 2013/14 year.

Echo shares were down 7.5 cents, or 3.1 per cent, at $2.325 at 1412 AEDT.