| Add to balance / Manage account | User: | Log out |
| Prospect News home > News index > List of issuers C > Headlines for Cloud Peak Energy Inc. > News item |
Cloud Peak extends credit agreement, cuts capacity to $150 million
By Sarah Lizee
Olympia, Wash., May 24 – Cloud Peak Energy Inc. wholly owned subsidiary Cloud Peak Energy Resources LLC entered into an amended and restated credit agreement with PNC Bank, NA as administrative agent on Thursday to extend the term of the facility and reduce the maximum borrowing capacity, according to an 8-K filing with the Securities and Exchange Commission.
The new three-year term extends maturity to May 24, 2021 from Feb. 21, 2019.
The maximum borrowing capacity was reduced to $150 million from $400 million.
New quarterly financial covenants include a minimum ratio of first-lien gross debt to EBITDA of 1.75 times, a minimum ratio of EBITDA less capital expenditures to fixed charges of 1.15 times and a maximum ratio of funded debt less unrestricted cash to EBITDA of 4 times through June 30, 2019, 3.5 times from Sept. 30, 2019 to Dec. 31, 2019, 3 times from March 31, 2020 to June 30, 2020 and 2.5 times from Sept. 30, 2020 to maturity.
The minimum liquidity covenant was revised to require minimum liquidity of $100 million as of the last day of each fiscal quarter, reduced from the prior requirement to maintain minimum monthly liquidity of $125 million.
Other various negative covenants and baskets that would apply to, among other things, the incurrence of debt, making investments, asset dispositions and restricted payments were also modified, the filing noted.
There were no borrowings under the credit agreement and no undrawn letters of credit outstanding as of March 31.
PNC Capital Markets LLC and Huntington National Bank are joint lead arrangers with PNC as bookrunner and Huntington as syndication agent.
Cloud Peak is a Gillette, Wyo., coal mining company.
© 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.