International Textile amends loan, reducing size, raising pricing

By Sara Rosenberg

New York, Oct. 7 - International Textile Group Inc. amended its credit facility, reducing the size to $129 million from $165 million and increasing pricing to Libor plus 275 basis points, according to an 8-K filed with the Securities and Exchange Commission Tuesday.

In addition, the amendment reduced the availability level at which the company first becomes required to comply with a fixed-charge coverage ratio and increased the frequency at which it is required to deliver borrowing base certificates when borrowing availability falls below a certain minimum average.

As part of the amendment, affiliates of Wilbur L. Ross, Jr., chairman of the board of directors, agreed to provide up to $15 million in additional capital to the company upon the occurrence of certain events relating to availability levels.

The additional capital is permitted to be in the form of either a capital contribution or a loan.

The amendment was completed on Oct. 1.

General Electric Capital Corp. is the agent on the deal.

International Textile is a Greensboro, N.C.-based manufacturer of textiles.

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