Howmet Aerospace draws $400 million of term loans, sets interest rate

By Wendy Van Sickle

Columbus, Ohio, Dec. 28 – Howmet Aerospace, Inc. drew the full amount of its $200 million senior unsecured delayed-draw term loan facility in December, according to an 8-K filing with the Securities and Exchange Commission.

The company also drew about $200 million from a ¥33 billion senior unsecured delayed-draw term loan facility. Both term loans were entered on Nov. 22 and both mature on Nov. 22, 2026, as previously reported.

Howmet also entered into interest rate swaps to exchange the floating interest rates of the term loan facilities into fixed rates. With the benefit of Howmet’s credit rating upgrade by S&P Global Ratings on Dec. 15, the company obtained a weighted average fixed interest rate of approximately 3.9%.

Pittsburgh-based Howmet is a global provider of advanced engineered solutions for the aerospace and transportation industries.

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