Huttig extends $120 million revolver to 2014; pricing increased

By Angela McDaniels

Tacoma, Wash., Sept. 10 - Huttig Building Products, Inc. amended its $120 million senior secured revolving credit facility on Sept. 3, extending the facility to Sept. 3, 2014 from Oct. 20, 2011.

There is an uncommitted $40 million accordion feature.

Pricing for the amended facility is Libor plus 225 basis points to 300 bps, depending on levels of average availability.

Pricing was Libor plus 100 bps to 175 bps under the prior facility, which was executed in October 2006.

The commitment fee is 30 bps if the average daily unused amount of the facility is greater than $60 million or 37.5 bps if it is $60 million or less.

At closing, pricing is Libor plus 250 bps and the commitment fee is 37.5 bps, compared with Libor plus 125 bps and 30 bps, respectively, before the amendment.

Under the amended credit facility's single financial covenant, the company must maintain a minimum fixed charge coverage ratio of 1.25 to 1.0, compared with 1.7 to 1.0 prior to the amendment.

This covenant is tested only when excess availability falls below $10 million to $15 million, compared with $25 million previously. The exact level depends on the amount of the borrowing base.

General Electric Capital Corp. is the administrative agent. It and Wells Fargo Capital Finance, LLC are the lenders and co-syndication agents.

Huttig is a St. Louis-based distributor of millwork, building materials and wood products.

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