Foster Wheeler amends loan, increasing size and lowering synthetic pricing

By Sara Rosenberg

New York, May 7 - Foster Wheeler Ltd. amended its five-year senior secured domestic credit facility, increasing the facility by $100 million and reducing pricing on the synthetic tranche by 50 basis points, according to a company news release.

Furthermore, the amendment added a new $100 million accordion feature to the deal.

The amendment is effective as of May 4.

"This amendment to the facility provides the increased bonding capacity that we require to support the continued growth of our operations and volume of business," said John T. La Duc, executive vice president and chief financial officer, in the release.

"The facility's improved pricing reflects the recent upgrades to our credit ratings by Moody's Investors Service and Standard & Poor's."

The company does plan on drawing on the facility during 2007.

Foster Wheeler is a Clinton, N.J., provider of engineering and construction services to the energy industries.

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