Add to balance / Manage account | User: | Log out |
Prospect News home > News index > List of issuers A > Headlines for AAR Corp. > News item |
AAR increases revolver to $500 million, extends it, lowers pricing
By Angela McDaniels
Tacoma, Wash., March 25 – AAR Corp. amended its credit agreement on Tuesday to increase the revolving credit commitment to $500 million from $475 million, extend the maturity date by two years to March 24, 2020 and generally decrease the interest rate by 25 basis points, according to an 8-K filing with the Securities and Exchange Commission.
Following the amendment, the initial interest rate is Libor plus 125 bps. The margin over Libor ranges from 100 bps to 200 bps depending on the company’s leverage ratio.
The initial commitment fee is 20 bps. It ranges from 20 bps to 35 bps.
Under certain circumstances, the company can request an up to $250 million increase to the revolving commitment.
The amendment also deleted the minimum fixed charge coverage ratio and added a minimum interest coverage ratio.
Bank of America, NA is the administrative agent.
AAR is a Wood Dale, Ill.-based aerospace and defense contractor.
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.