Erickson given final approval to access $60 million DIP financing

New York, Dec. 1 – Erickson Inc. received final court approval to access its $60 million debtor-in-possession financing on Thursday.

The term loan facility will provide sufficient liquidity to fund the company’s ongoing operation, according to a news release.

Erickson previously received interim approval allowing it to access $49 million of the term loan.

The DIP financing also includes a $116 million gradual roll-up of an existing revolving credit facility, an arrangement covered under the interim approval.

The DIP loans will mature in six months.

Interest on the revolver will accrue at a rate of Libor plus 750 basis points. Interest on the term loan will accrue at 12%.

Wilmington Savings Fund Society, FSB is the administrative and collateral agent for the term loan.

Erickson, an aircraft manufacturer based in Portland, Ore, filed bankruptcy on Nov. 8 in the U.S. Bankruptcy Court for the Northern District of Texas. The Chapter 11 case number is 16-34393.

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