USEC says to refinance 6 5/8% senior notes

By Ted A. Knutson

Washington, March 16 - USEC Inc. said it plans to refinance the remaining $325 million in principal amount of 6 5/8% senior notes due Jan. 20, 2006 prior to the maturity date.

The Bethesda, Md.-based used uranium processing firm expects the interest rate on the debt will remain close to the existing charge. USEC's rationale is that the firm's lower credit rating for the company since the original notes were issued in 1999 will be offset by lower interest rates in general in the marketplace.

USEC repurchased $25 million of the notes in December.

On another matter, USEC said it will renegotiate or replace its $150 million revolving credit facility before the loan package expires Sept. 27.

The company made the announcement in its annual 10-K filing with the Securities and Exchange Commission.

In the SEC report, the company also said it will probably issue debt to pay for part of the $1.5 billion American Centrifuge Plant, which is scheduled for groundbreaking in 2007.

© 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.