CHATTANOOGA, Tenn.--(BUSINESS WIRE)--
CBL & Associates Properties, Inc. (NYSE: CBL) today announced that it
closed the extension and modification of its $560 million credit
facility, maintaining 100% lending capacity. The facility was scheduled
to mature in August 2011 (assuming exercise of the remaining extension
option) and has been extended to April 2014. The extended facility is
currently partially secured and will be converted to a fully secured
facility over the new term. The conversion includes drawing available
amounts under the facility to retire property-specific mortgage loans as
they mature. The unencumbered properties will then be used as collateral
to secure the credit facility.
Commenting on the closing, John N. Foy, Chief Financial Officer, said,
"Early in the year we outlined a plan to address our major debt
maturities. We are pleased to be able to announce the next major
milestone in executing this plan. To-date we have refinanced or extended
over $1.4 billion in maturing debt including the $560 million new
secured facility and the $525 million secured facility. We appreciate
the continuing confidence of our lending relationships."
The extension and modification agreement calls for amounts outstanding
under the $560 million new secured facility to bear interest at an
annual rate equal to one-month, three-month, or six-month LIBOR (at the
Company's option) plus a spread that increases over the facility's term,
commencing with a spread of 75 to 120 basis points (depending upon CBL's
leverage ratio) through August 2010, a spread of 145 to 190 basis points
through August 2011 and increasing thereafter to 325 to 425 basis points
until maturity, with LIBOR subject to a minimum of 1.50%, beginning
December 31, 2009.
CBL previously announced that it closed the extension and modification
of its $525 million secured line of credit, maintaining 100% lending
capacity. The facility was extended from February 2010 to February 2012,
with an option to extend the maturity for one additional year to
February 2013 (subject to continued compliance with the terms of the
facility).
About CBL & Associates Properties, Inc.
CBL is one of the largest and most active owners and developers of malls
and shopping centers in the United States. CBL owns, holds interests in
or manages 163 properties, including 88 regional malls/open-air centers.
The properties are located in 27 states and total 87.8 million square
feet including 3.0 million square feet of non-owned shopping centers
managed for third parties. CBL currently has one project under
construction totaling 500,000 square feet, The Pavilion at Port Orange
in Port Orange, FL. Headquartered in Chattanooga, TN, CBL has regional
offices in Boston (Waltham), MA, Dallas (Irving), TX, and St. Louis, MO.
Additional information can be found at cblproperties.com.
Information included herein contains "forward-looking statements"
within the meaning of the federal securities laws. Such
statements are inherently subject to risks and uncertainties, many of
which cannot be predicted with accuracy and some of which might not even
be anticipated. Future events and actual events, financial and
otherwise, may differ materially from the events and results discussed
in the forward-looking statements. The reader is directed to the
Company's various filings with the Securities and Exchange Commission,
including without limitation the Company's Annual Report on Form 10-K
and the "Management's Discussion and Analysis of Financial Condition and
Results of Operations" incorporated by reference therein, for a
discussion of such risks and uncertainties.
Source: CBL & Associates Properties, Inc.
Contact: CBL & Associates Properties, Inc.
Katie Reinsmidt, 423-490-8301
Vice President - Corporate Communications and Investor Relations
katie_reinsmidt@cblproperties.com