From Earlier: StarTek Announces an Expanded $20 Million Credit Facility with Wells Fargo Bank

StarTek, Inc. SRT yesterday announced that it has signed an agreement with Wells Fargo Bank, N.A. for a three-year $20 million secured revolving credit facility. The amount the Company may borrow under the revolving credit facility is subject to a borrowing base calculation, and has an initial availability of $10 million, with the flexibility to borrow up to $20 million at the Company's option. The facility will replace the Company's $7.5 million secured line of credit with UMB Bank, which was to expire in August 2012. The interest rate on borrowings will decrease from LIBOR plus 3.75% to LIBOR plus 2.50%-3.00% under the new agreement.