Werner obtains final approval of $99 million DIP facility

By Caroline Salls

Pittsburgh, July 26 - Werner Co. obtained final court approval of its $99 million debtor-in-possession facility, according to a Tuesday filing with the U.S. Bankruptcy Court for the District of Delaware.

The DIP facility, provided by Black Diamond Commercial Finance, will provide Werner with additional liquidity and will be available to help with payments to suppliers.

The DIP facility includes a $24 million revolving credit line and a $75 million term loan.

Interest on the revolver and term loan will be Libor plus 400 basis points.

Werner will pay a 75 basis point commitment fee, a 2% arrangement fee, a $100,000 facilities administration fee and a $200,000 expense deposit.

Maturity will be the earliest of 18 months, the effective date of a plan of reorganization, upon the termination or expiration of the company's exclusive period to file a plan of reorganization and upon acceleration of the loans.

Werner, a Greenville, Pa., manufacturer and distributor of ladders, climbing equipment and ladder accessories, filed for bankruptcy on June 12. Its Chapter 11 case number is 06-10578.

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