Gottschalks refinances $165 million three-year revolver

By Reshmi Basu

New York, Mar. 2- Gottschalks Inc. said it has refinanced its $165 million three-year revolving credit facility to include new terms with GE Commercial Finance's Corporate Lending business Tuesday.

The new facility has a term of three years, with an expiration date of Feb. 28, 2007.

Inventory and certain assets will be used as collateral for the credit facility.

The company said the new agreement will result in a significant reduction of interest costs.

"The new credit agreement provides us with increased liquidity and financial flexibility, under more favorable terms than our prior facility," said Gregory Ambro, chief administrative and financial officer, in a news release. "We will enjoy less restrictive covenants and lower interest rates, reflecting our improved financial and business situation as well as a better borrowing environment."

Gottschalks is a Fresno, Calif. department store chain.

© 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.