Advance America gets $270 million amended and restated revolver

By Sara Rosenberg

New York, March 26 - Advance America, Cash Advance Centers Inc. closed on a $270 million five-year amended and restated revolving credit facility, according to an 8-K filed with the Securities and Exchange Commission Wednesday.

Bank of America acted as lead arranger, bookrunner and administrative agent on the deal that was completed on March 24.

Pricing on the revolver can range from Libor plus 250 basis points to 325 bps, based upon the company's total leverage ratio. Initial pricing is Libor plus 275 bps.

There is a $95 million accordion feature.

Covenants include minimum net worth, maximum leverage and senior leverage, minimum fixed-charge coverage and maximum charge-off ratios.

Proceeds were used to refinance the company's existing credit facility and are available to finance dividends on and repurchase of shares of common stock, and for working capital, capital expenditures and other general corporate purposes.

Advance America is a Spartanburg, S.C.-based provider of payday cash advance services.

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