ST. LOUIS, April 9, 2018 /PRNewswire/ -- Peabody (NYSE:
BTU) announced today that it reduced the interest rate and extended
the maturity of the company's Senior Secured Term Loan. The
transaction is expected to close on April
11, subject to customary closing conditions.
The company's Senior Secured Term Loan would now bear interest
at a rate of LIBOR plus 2.75 percent, reflecting a reduction of 75
basis points. In addition, the amendment provides for the
extension of the maturity of the term loan by three years to
2025. Certain terms will also be modified by the amendment,
including the elimination of the capital expenditures covenant
under the company's term loan and revolving credit facility.
Upon closing, Peabody plans to repay approximately $46 million of its term loan, which would bring
the total outstanding term loan balance to $400 million and Peabody's consolidated debt
balance to approximately $1.4
billion. The company's stated long-term gross debt
target is $1.2 billion to
$1.4 billion. Peabody expects
the additional debt repayment and interest rate reduction to
generate annual cash interest savings of approximately $5 million on a pro forma basis.
Peabody (NYSE: BTU) is the leading global pure-play coal
company, serving power and steel customers in more than 25
countries on six continents. The company offers significant scale,
high-quality assets, and diversity in geography and products.
Peabody is guided by seven core values: safety, customer focus,
leadership, people, excellence, integrity and sustainability. For
further information, visit PeabodyEnergy.com.
Investor
Contact:
Julie Gates
314.342.4336
This press release contains forward-looking statements within
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They may include estimates of revenues, income, earnings per share,
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underlying any of the above. All forward-looking statements speak
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forward-looking statement, except as required by law. By their
nature, forward-looking statements are subject to risks and
uncertainties that could cause actual results to differ materially
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that might cause such differences include, but are not limited to,
a variety of economic, competitive and regulatory factors, many of
which are beyond the company's control, that are described in our
Annual Report on Form 10-K, as well as additional factors we may
describe from time to time in other filings with the SEC. You may
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You should understand that it is not possible to predict or
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SOURCE Peabody