Foot Locker gets $200 million asset-based revolver

By Sara Rosenberg

New York, March 24 - Foot Locker Inc. closed on a $200 million four-year asset-based revolving credit facility, according to an 8-K filed with the Securities and Exchange Commission on Tuesday.

Bank of America and JPMorgan acted as the joint lead arrangers and joint bookrunners on the deal that was completed on March 20, with Bank of America the administrative agent, JPMorgan and Wells Fargo the co-syndication agents and U.S. Bank the documentation agent.

Pricing can range from Libor plus 325 basis points to 375 bps and the commitment fee can range form 50 bps to 75 bps, based on availability.

Covenants include a consolidated fixed-charge coverage ratio of at least 1.1:1.0 and pro forma excess availability of at least 25% of the loan cap. If availability is less than 17.5% of the loan cap, the adjusted consolidated fixed-charge coverage ratio must be at least 1.1:1.0.

There is a $100 million accordion feature.

The new facility replaces the company's prior revolver.

Proceeds will be used to finance the acquisition of working capital assets in the ordinary course of business and capital expenditures, and for general corporate purposes.

Foot Locker is a New York-based retailer of athletic footwear and apparel.

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