CHATTANOOGA, Tenn.--(BUSINESS WIRE)--
CBL & Associates Properties, Inc. (NYSE: CBL) today announced that it
closed the modification of its three major secured credit facilities
with aggregate capacity of $1.15 billion including its $520 million
secured credit facility, its $525 million secured credit facility and
its $105 million secured credit facility. Outstanding balances on all
three lines of credit will no longer be subject to a LIBOR floor and
will bear interest at an annual rate equal to LIBOR plus a range of 200
to 300 basis points, depending on the Company’s leverage ratio. The
reduction in interest rates represents a more than 200 basis point
improvement in average borrowing cost for the facilities.
The maturity of the $520 million facility remains August 2011, with an
option to extend the facility to April 2014 (subject to continued
compliance with the terms of the facility). The maturity of the $525
million facility was extended by two years, from February 2012 to
February 2014, with an option to extend the maturity for one additional
year to February 2015 (subject to continued compliance with the terms of
the facility). The maturity of the $105 million facility was extended
for one year to June 2013.
Commenting on the closing, John N. Foy, Chief Financial Officer, said,
“We are pleased to extend our major lines of credit and significantly
reduce our borrowing costs under the credit facilities. Our bank group
continues to demonstrate confidence in our business and the results we
have achieved and we appreciate their ongoing commitment.”
Wells Fargo Bank NA is the administrative agent under the $520 million
facility and the $525 million facility. First Tennessee Bank NA is the
administrative agent under the $105 million 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 157 properties, including 85 regional malls/open-air centers.
The properties are located in 26 states and total 84.9 million square
feet including 3.4 million square feet of non-owned shopping centers
managed for third parties. 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