Huttig Announces Extension of $120 Million Credit FacilityDecember 27th, 2012 | Category: Industry News
St. Louis-based Huttig Building Products Inc. has announced an agreement to amend and extend its $120 million senior-secured credit facility. The amendment will extend the facility for five years through December 21, 2017. The facility, with the new amendment, can be increased up to $160 million through an uncommitted $40 million accordion feature, subject to certain conditions.
“While our existing credit agreement did not expire until September 2014, we believe that the current lending market, along with our improved financial performance, provides an opportunity to secure a long-term agreement which works very well for the company,” says Philip W. Keipp, Huttig’s vice president and chief financial officer. “We are pleased to continue our relationship with GECC and Wells Fargo who have been valued lending partners.
“The amended credit facility will provide the company with additional borrowing capacity and bring increased financial flexibility,” he adds. “We believe the agreement is an endorsement of the company’s proven ability to manage through a challenging market environment while putting itself in position to take advantage of growth opportunities presented by an improving housing market. Executing the facility allows us to remain focused on meeting market challenges and growing our business while mitigating lending risks which may be brought by any general economic or political uncertainty.”
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