Old Dominion enters amended $200 million five-year credit facility

By Aleesia Forni

Columbus, Ohio, Aug. 16 - Old Dominion Freight Line, Inc. entered into a second amended and restated revolving credit facility on Aug. 10, according to an 8-K filed with the Securities and Exchange Commission.

The five-year, $200 million facility replaces the company's previous $225 million facility.

Interest is initially Libor plus 112.5 basis points and can subsequently vary from Libor plus 100 bps to Libor plus 187.5 bps, depending on Old Dominion's consolidated debt to consolidated total capitalization ratio.

Wells Fargo Bank NA is the administrative agent.

Terms of the new facility state that $150 million may be used for letters of credit, while $20 million is a swingline loan.

The revolver has a $100 million accordion feature.

The new facility also requires that the maximum consolidated debt to consolidated total capitalization ratio be no more than 0.60 to 1.00 and a minimum fixed charge coverage ratio of no more than 2.00 to 1.00.

Old Dominion expects to use the new facility for working capital, issuing letters of credit and for general corporate purposes.

Old Dominion is a less-than-truckload motor carrier based in Thomasville, N.C.

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