Cross Country Healthcare, Inc. (Nasdaq:CCRN) announced today that it has entered into a new 5-year $75 million credit facility with Wells Fargo Bank and certain other lenders, which consists of a $50 million senior secured revolving credit facility and a $25 million term loan due July 10, 2017. The revolving line of credit and term loan each bear interest initially at LIBOR plus 200 basis points, with no LIBOR floor. The new credit facility provides an accordion feature to increase the revolving line of credit by up to an additional $25 million. Proceeds were used to repay in full the Company's prior term loan debt of $35.7 million and to pay related transaction costs.
"With this transaction we are able to take advantage of attractive financing terms in today's market, which, among other things, will result in slightly reduced borrowing costs. We are also pleased that all the lenders in our previous revolving credit facility have demonstrated continued confidence in the Company with their on-going participation in our new credit facility," said Emil Hensel, Chief Financial Officer of Cross Country Healthcare, Inc.
About Cross Country Healthcare
Cross Country Healthcare, Inc. is a diversified leader in healthcare staffing services offering a comprehensive suite of staffing and outsourcing services to the healthcare market that include nurse and allied staffing, physician staffing, clinical trial services and other human capital management services. The Company believes it is one of the top two providers of travel nurse and allied staffing services; one of the top four providers of temporary physician staffing (locum tenens) services; as well as a leading provider of clinical trial staffing services, retained physician search services and educational seminars specifically for the healthcare marketplace. On a company-wide basis, Cross Country Healthcare has approximately 4,100 contracts with hospitals and healthcare facilities, pharmaceutical and biotechnology customers, and other healthcare organizations to provide our healthcare staffing and outsourcing solutions. Copies of this and other news releases as well as additional information about Cross Country Healthcare can be obtained online at
www.crosscountryhealthcare.com. Shareholders and prospective investors can also register at this website to automatically receive the Company's press releases, SEC filings and other notices by e-mail.