Hawaiian Electric revises revolver pricing, aims to extend maturity

By Susanna Moon

Chicago, Dec. 6 - Hawaiian Electric Industries, Inc. (HEI) and Hawaiian Electric Co., Inc. (HECO) amended their revolving unsecured credit agreement with a syndicate of eight banks, revising pricing and aiming to push out the maturity by five more years, according to an 8-K filing with the Securities and Exchange Commission.

HEI priced its $125 million line of credit facility and HECO its $175 million line of credit facility at Libor plus 150 basis points. The unused fee is 25 bps.

If either of the company's ratings are downgraded a notch to BBB- by Standard & Poor's and to Baa3 by Moody's Investors Service, interest will rise by 25 bps and the commitment fee by 5 bps.

On the other hand, if the ratings are upgraded a notch, the interest spread will fall by 25 bps and the commitment fee by 2.5 bps.

HEI extended the maturity of its revolver until Dec. 5, 2016, and HECO also will extend the facility, set to expire on Dec. 3, 2012, to Dec. 5, 2016 if the extension is approved by the Hawaii Public Utilities Commission.

Based in Honolulu, Hawaiian Electric is a holding company with its principal subsidiaries engaged in the electric utility, banking and other businesses.

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