Vista Outdoor amends credit agreement financial covenants, interest

By Tali Rackner

Minneapolis, May 11 – Vista Outdoor Inc. entered into a first amendment to its amended and restated credit agreement on Monday with Bank of America, NA as administrative agent, according to an 8-K filing with the Securities and Exchange Commission.

Under the amendment, the company must maintain a maximum consolidated leverage ratio on the last day of any fiscal quarter for the following periods of: (a) 4.75 times from July 2 through Dec. 30, 2018; (b) 4.25 times from March 31, 2019 through Dec. 29, 2019; and (c) 4 times from March 31, 2020 and thereafter.

The amendment also provides for a maximum consolidated senior secured leverage ratio on the last day of any fiscal quarter for the following periods of: (a) 3.5 times from July 2 through Dec. 30, 2018; and (b) 3 times from March 31, 2019 and thereafter.

In addition, interest was revised to Libor plus 150 basis points to 250 bps, depending on Vista’s consolidated leverage ratio.

The commitment fee on the unused portion ranges from 25 bps to 45 bps, also based on leverage.

Vista Outdoor is a Clearfield, Utah-based designer, manufacturer and marketer of consumer products in the outdoor sports and recreation markets.

© 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.