Aéropostale amends revolving credit facility, ups size to $230 million

By Tali Rackner

Norfolk, Va., Feb. 27 - Aéropostale, Inc. and some of its direct and indirect subsidiaries entered into an amended and restated $230 million revolving credit facility on Feb. 21, according to an 8-K filing with the Securities and Exchange Commission.

Bank of America, NA is the agent.

The revolver was increased from $175 million.

The additional credit consists of a $30 million first-in, last-out revolving loan facility based on the appraised value of certain intellectual property of the company and an increase in the company's existing revolving credit facility by $25 million to $200 million from $175 million, which still includes a $40 million sublimit for the issuance of letters of credit.

In addition, the accordion feature was reduced to $50 million from $75 million.

GoJane LLC, an indirect wholly owned subsidiary of the company, also joined the credit facility as a new guarantor.

As of Feb. 21, there were no outstanding loan balances under the agreement, and one standby letter of credit in the amount of $200,000 that expires on June 30 had been issued under the agreement.

Aéropostale is a New York-based specialty retailer of casual apparel and accessories.

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