Roundy's amends loan to allow for sale of two distribution centers

By Sara Rosenberg

New York, March 16 - Roundy's Inc. amended its credit facility to allow for the sale of two distribution centers to Nash Finch Co. for about $225 million, according to an 8-K filed with the Securities and Exchange Commission Wednesday.

Under the amendment, the company is required to use $125 million of the proceeds from the asset sale to repay a portion of its term loan and reinvest the remaining net proceeds.

Furthermore, the annual limitation on capital expenditures was increased to $100 million.

The amendment was completed on March 10.

Bear Stearns is the administrative agent on the deal.

Roundy's is a Pewaukee, Wis., food retailer and wholesaler.

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