https://finance.yahoo.com/news/yrc-worldwide-announces-term-loan-131500540.html?.tsrc=applewf
Key provisions of the new Term Loan Agreement as compared to the Company’s prior term loan agreement include:
Key provisions of the new Term Loan Agreement as compared to the Company’s prior term loan agreement include:
- Full elimination of the annual principal amortization of 3% ($18 million in cash savings per year);
- A reduction in the interest rate to LIBOR + 750 basis points from LIBOR + 850 basis points;
- Replacement of the total leverage covenant with a new covenant to maintain a minimum of $200 million in last-twelve-month Adjusted EBITDA (defined as Consolidated EBITDA in the Term Loan Agreement);
- Ability to reinvest cash proceeds on certain future property sales (first $40 million over loan term); and
- Maturity of June 2024 from July 2022.