Resource America extends senior note maturity, redeems $8.8 million

By Ashley Montgomery

Kansas City, Kan., Nov. 29 - Resource America, Inc. said it redeemed for cash $8.8 million of its $18.8 million senior notes due Oct. 5, 2012. The company extended the maturity date of the remaining $10 million of senior notes to Oct. 15, 2013 and lowered the interest rate to 9% from 12%.

Additionally, the company said it extended the maturity of its revolving credit facility to Aug. 31, 2013 from Aug. 31, 2012. It also repaid and then canceled the $1.15 million term loan under the facility.

"We are pleased with the modifications to extend our debt maturities and reduce our interest costs," said Resource America chief financial officer Thomas Elliott in a news release. "The company has significantly reduced its corporate debt exposure while maintaining substantial liquidity and availability under its credit facilities to continue to grow its existing businesses."

Resource America is a Philadelphia-based asset management company.

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