Hawker Beechcraft granted final approval of $400 million DIP facility

By Caroline Salls

Pittsburgh, June 4 - Hawker Beechcraft, Inc. received final court approval of its $400 million of debtor-in-possession financing, according to a Monday filing with the U.S. Bankruptcy Court for the Southern District of New York.

Credit Suisse AG, Cayman Islands Branch is the administrative agent and collateral agent for the DIP facility.

The facility consists of $400 million in delayed-draw loans, a portion of which may be applied to provide cash collateral for the issuance of letters of credit with a total maximum face amount of up to $75 million and cash collateralized in an amount equal to 104% of the face amount.

The DIP loan termination date will be the earliest of Dec. 15, 2012, the date of acceleration of any outstanding borrowings under an event of default, conversion or dismissal of the Chapter 11 cases and the effective date of a plan of reorganization.

The drawn interest spread on the delayed draw loan will be Libor plus 800 basis points with a 175 bps Libor floor. A 300 bps original issue discount will be paid in full at closing based on the total commitment.

Hawker Beechcraft, a Wichita, Kan.-based manufacturer of business, special mission, light attack and trainer aircraft, filed for bankruptcy on May 3. The Chapter 11 case number is 12-11873.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.