Remington Arms amends loan, changing revolver maturity and pricing

By Sara Rosenberg

New York, April 20 - Remington Arms Co. Inc. amended its credit facility, extending the revolver maturity to Jan. 4, 2011 and revising pricing, according to an 8-K filed with the Securities and Exchange Commission on Monday.

The term loan is now priced at Libor plus 400 basis points and revolver pricing can now range from Libor plus 300 bps to 450 bps based on availability, up from a previous range of Libor plus 100 bps to 200 bps.

In addition, the commitment fee on the revolver was increased to 50 bps.

The amendment also increases the amount available for cash repurchases of the company's 10½% senior notes due 2011 to $50 million from $20 million, restricts capital expenditures to $15 million, increases the limit on permitted acquisitions to $15 million and provides for a consent to a potential acquisition.

The amendment was completed on April 14.

Wachovia is the lead bank on the deal.

Remington is a Madison, N.C.-based designer, producer and seller of sporting goods products for the hunting and shooting sports markets, as well as military, government and law enforcement markets.

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