Alcoa Corporation Amends Revolving Credit Agreement with Improved Terms and Greater Flexibility
November 16 2017 - 3:10PM
Business Wire
Alcoa Corporation (NYSE:AA), a global leader in bauxite, alumina
and aluminum products, today announced that it has successfully
amended its $1.5 billion revolving credit agreement with improved
terms for the Company.
The amendment on the revolving credit agreement eases certain
financial covenants to provide greater flexibility for the Company
in a range of areas, including expanded options for permitted debt
and investments.
“In our first year as an independent company, we’ve realized
solid financial performance supported by favorable market
conditions,” said William Oplinger, Executive Vice President and
Chief Financial Officer. “The amendment to the revolving credit
agreement is a recognition of our strengthened financial position,
and the improved terms provide greater latitude to deliver on our
strategic priorities to reduce complexity, drive returns and
strengthen the balance sheet.”
The amended revolving credit agreement also provides more
flexibility for Alcoa to execute its capital allocation
strategy.
“As a commodity company, we will maintain a conservative
strategy for capital allocation that places a priority on
maintaining a healthy cash balance, sustaining current operations
and then investing in return seeking projects,” Oplinger said.
“After meeting those objectives and our obligations, we aim to
return cash to our stockholders in a sustainable way.”
Alcoa Corporation, Alcoa Nederland Holding B.V. and 24
participating financial institutions finalized the amended
revolving credit agreement on November 14, 2017. The agreement
extends the maturity date from November 1, 2021 to November 14,
2022. JPMorgan Chase Bank serves as the administrative agent.
About Alcoa
Alcoa (NYSE: AA) is a global industry leader in bauxite, alumina
and aluminum products, with a strong portfolio of value-added cast
and rolled products and substantial energy assets. Alcoa is built
on a foundation of strong values and operating excellence dating
back nearly 130 years to the world-changing discovery that made
aluminum an affordable and vital part of modern life. Since
inventing the aluminum industry, and throughout our history, our
talented Alcoans have followed on with breakthrough innovations and
best practices that have led to efficiency, safety, sustainability
and stronger communities wherever we operate. Visit us online on
www.alcoa.com, follow @Alcoa on Twitter and on Facebook at
www.facebook.com/Alcoa.
Dissemination of Company Information
Alcoa Corporation intends to make future announcements regarding
company developments and financial performance through its website
at www.alcoa.com.
Forward-Looking Statements
This press release contains statements that relate to future
events and expectations and as such constitute forward-looking
statements within the meaning of the Private Securities Litigation
Reform Act of 1995. Forward-looking statements include those
containing such words as “anticipates,” “believes,” “could,”
“estimates,” “expects,” “forecasts,” “intends,” “may,” “outlook,”
“plans,” “projects,” “seeks,” “sees,” “should,” “targets,” “will,”
“would,” or other words of similar meaning. All statements that
reflect the Company’s expectations, assumptions or projections
about the future, other than statements of historical fact, are
forward-looking statements. Forward-looking statements are not
guarantees of future performance and are subject to known and
unknown risks, uncertainties, and changes in circumstances that are
difficult to predict. Although the Company believes that the
expectations reflected in any forward-looking statements are based
on reasonable assumptions, it can give no assurance that these
expectations will be attained and it is possible that actual
results may differ materially from those indicated by these
forward-looking statements due to a variety of risks and
uncertainties. Additional information concerning factors that could
cause actual results to differ materially from those projected in
the forward-looking statements is contained in our filings with the
Securities and Exchange Commission. The Company disclaims any
obligation to update publicly any forward-looking statements,
whether in response to new information, future events or otherwise,
except as required by applicable law.
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version on businesswire.com: http://www.businesswire.com/news/home/20171116006426/en/
Alcoa CorporationInvestor Contact:James Dwyer,
412-992-5450James.Dwyer@alcoa.comorMedia Contact:Jim Beck,
412-315-2909Jim.Beck@alcoa.com
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