| Add to balance / Manage account | User: | Log out |
| Prospect News home > News index > List of issuers A > Headlines for American Craft Brewery LLC > News item |
Boston Beer enters $150 million five-year replacement revolver
By Marisa Wong
Los Angeles, Dec. 22 – Boston Beer Co., Inc. and its subsidiaries, Boston Beer Corp. and American Craft Brewery LLC, entered into a third amended and restated credit agreement on Dec. 16 for an up to $150 million revolving credit facility, according to an 8-K filing with the Securities and Exchange Commission.
The parent company and the Boston Beer subsidiary are the borrowers, and American Craft is the guarantor.
Bank of America, NA is administrative agent.
The revolver includes a sublimit for letters of credit for up to $5 million.
The revolver matures on Dec. 16, 2027.
Interest accrues at term SOFR plus an applicable margin of 110 basis points.
The credit agreement contains the following financial covenants: the company must not permit the ratio of consolidated EBITDA to consolidated interest expense as of the end of any period of four consecutive fiscal quarters to be less than 2.00 to 1.00; and the company must not permit the ratio of consolidated funded debt to consolidated EBITDA as of the end of any period of four consecutive fiscal quarters to be greater than 2.50 to 1.00.
The credit agreement amends, restates and replaces the company’s second amended and restated credit agreement dated July 1, 2002. Bank of America was also a party under the prior credit agreement.
The prior facility was terminated upon closing of the new facility. At termination, the aggregate amount of principal outstanding, together with all accrued interest and other unpaid sums, was zero. The borrowers did not incur any early prepayment or early termination penalties.
The Boston-based company makes Samuel Adams brand beer and other alcoholic beverages.
© 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.