This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Kraton Performance Polymers, Inc. Announces Refinancing Of Bank Credit Facilities

HOUSTON, March 28, 2013 /PRNewswire/ -- Kraton Performance Polymers, Inc. (NYSE: KRA), (the "Company") a leading global producer of styrenic block copolymers, announced today that it has closed an aggregate $250 million of revolving credit facilities.  The facilities are comprised of a $150 million five-year, secured U.S. revolving credit facility and a $100 million five-year, secured non-U.S. revolving credit facility.  Availability under the facilities will be subject to a borrowing base and the facilities will be secured by receivables and inventory.  The facilities include a $100 million uncommitted accordion feature that, subject to borrowing base availability and approval of the bank syndicate, could increase aggregate availability to $350 million.

The new revolving credit facilities replace the company's $200 million revolving credit facility and bank term loan.  An initial draw of $40 million under the new U.S. revolving facility was used, in conjunction with cash on hand, to repay the $82 million balance outstanding under the company's bank term loan.

"The favorable credit market conditions provided us with an opportunity to refinance our existing bank facility.  We believe this new facility will provide greater financial flexibility while also lowering our cost of capital," said Stephen E. Tremblay, Kraton's Vice President and Chief Financial Officer.    

Bank of America, N.A. served as Administrative Agent, Collateral Agent and Security Trustee.  Merrill Lynch, Pierce, Fenner & Smith Incorporated, J.P. Morgan Securities, LLC and Wells Fargo Capital Finance, LLC were Joint Lead Arrangers and Joint Book Managers.  J.P. Morgan Chase Bank, N.A. and Wells Fargo Bank, National Association served as Co-Syndication Agents and Barclays Bank PLC served as Document Agent. The syndication also included Siemens Financial Services, Inc. and HSBC Bank USA, N.A.

In conjunction with the refinancing, the company expects its first quarter 2013 results to reflect a non-cash charge of approximately $5 million resulting from accelerated amortization of debt issuance costs and a charge of approximately $0.7 million due to the termination of an interest rate swap, both of which will be reflected in interest expense for the period.

ABOUT KRATON

1 of 2

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
DOW 16,986.32 +66.73 0.39%
S&P 500 1,987.68 +6.08 0.31%
NASDAQ 4,531.2250 +3.7110 0.08%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs