Credit Acceptance Announces Extension and Increase of Revolving Secured Line of Credit Facility
Credit Acceptance Corporation (NASDAQ: CACC) announced today that we have extended the maturity of our credit facility with a commercial bank syndicate from June 22, 2014 to June 22, 2015 and increased the amount of the facility from $205.0 million to $235.0 million.
The interest rate on borrowings under the facility has also been decreased from the prime rate plus 1.25% or the Libor rate plus 2.25%, at our option, to the prime rate plus 0.875% or the Libor rate plus 1.875%, at our option. There were no other material changes to the terms of the facility.
The credit facility continues to be secured by a lien on most of our assets. As of June 15, 2012 we had $8.0 million outstanding under the facility.
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