Glimcher Completes Modification and Extension of Corporate Credit Facility
Glimcher Realty Trust (NYSE: GRT) today announced that it recently completed an extension and modification of its corporate credit facility. The company previously modified its credit facility during the first quarter of 2011.
The modification extends the facility's maturity date to October 2014 with an additional one-year extension option available that would extend the final maturity to October 2015. The modification also provides for improved pricing through lower spreads. Based upon the company's current leverage, pricing will be set initially at LIBOR plus 237.5 basis points versus the prior rate of LIBOR plus 350 basis points. Additionally, as part of the modification, the facility's borrowing availability limits and certain financial covenants were adjusted to levels more consistent with current market terms.
Lastly, the modified facility provides the company the opportunity to increase the facility commitment amount to $400 million by providing additional collateral and adding new financial institutions as facility lenders or obtaining the agreement from the existing lenders to increase their lending commitments. The current commitment amount of $250 million remains the same under the modification.
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