Foundation Coal Unit Refinances Facility
Coal producer Foundation Coal Holdings Inc. said Monday a subsidiary completed its refinancing of a senior secured credit facility.
The new $835 million facility has better pricing and flexibility than the $685 million facility it’s replacing, the company said. The new facility will mean about $4 million in annual pre-tax benefits, the company said.
Foundation Coal expects to write off about $9.5 million of non-cash unamortized debt issuance costs in the third quarter.
The new facility includes a five-year $335 million term loan and a five-year $500 million revolving credit facility. It replaces $335 million in term loans and a $350 million revolving credit facility.
Foundation Coal shares rose 20 cents to $45.68 in morning trading on the New York Stock Exchange. (AP)
