Koor Industries (NYSE:KOR) has reached a debt rescheduling arrangement with Bank Leumi, the conglomerate said Wednesday morning. The bank, Israel's second-largest, agreed to extend $120 million in loans over five years, to 2006.

Koor had already rescheduled its credit from Bank Hapoalim and the First International Bank of Israel back in October 2001.

The $265 million Koor owes to Bank Hapoalim in long-term loans was spread over five years. Hapoalim also agreed to lend Koor another $50 million, in total, for terms of two years to five years.