UPDATE 1-Northgate post loss, scraps dividend; to raise money

* Agrees new loan facilities worth 880 mln stg

* To raise 114.4 mln stg via placing, rights issue

* FY pretax loss 195.6 mln stg vs profit 79.49 mln yr-ago

* Says CEO Smith to remain in office until June 2010 * Shares rise 2 pct (Adds details)

July 10 (Reuters) - British van hire company Northgate Plc (NTG.L) scrapped final dividend as it slipped to a full-year loss mainly on impairment charges and said it agreed on new lending facilities totaling 880 million pounds ($1.43 billion).

Northgate also plans to raise 114.4 million pounds through a placing and rights issue, the company, which rents light commercial vehicles and sells a range of fleet products to businesses, said.

"The speed and severity of the current economic downturn resulted in a sudden and prolonged period of reduced vehicle utilisation and a significant decline in the residual value of used vehicles, necessitating the impairment of assets," it said in a statement.

The company posted a pretax loss of 195.6 million pounds for the year ended April 30, compared with a profit of 79.5 million pounds a year earlier. Revenue rose 5 percent to 609.6 million pounds.

Exceptional items of 217.9 million pounds included impairment of goodwill and assets of 180.9 million pounds, the company said.

Northgate, which had given a final dividend of 16.5 pence last year, said it would not pay a final dividend this time to preserve cash. The company said trading in the early part of the current year was broadly in line with its estimates, but it remained cautious about its outlook.

Northgate said its Chief Executive Steve Smith, who was due to step down on Aug. 1, has agreed to remain in office until June 30, 2010.

Northgate shares were up 1.8 percent at 70 pence at 1125 GMT. They touched a high of 73 pence earlier in the session. ($1=.6145 Pound) (Reporting by Kumar Alagappan in Bangalore; Editing by Gopakumar Warrier)