Gray Television, Inc. Reduces Interest Rate on Existing Senior Credit Facility
July 01 2005 - 12:43PM
PR Newswire (US)
Gray Television, Inc. Reduces Interest Rate on Existing Senior
Credit Facility ATLANTA, July 1 /PRNewswire-FirstCall/ -- Gray
Television, Inc. (NYSE: GTN; GTN.A) announced today that it has
amended its existing senior credit facility. The amendment to the
senior credit facility decreases the anticipated annual interest
cost of Gray by approximately $1.4 million annually. Certain loan
covenants and other terms of the senior credit facility were also
modified by the amendment. The senior credit facility has a maximum
term of seven and one half years and the total amount available
under the senior credit facility is $400 million, consisting of a
$100 million revolving facility, a $100 million term loan A
facility and a $200 million term loan B facility. Gray's interest
rate is based on the lender's base rate (generally reflecting the
lender's prime rate) plus the specified margin or a London
Interbank Offered Rate ("LIBOR") plus a specified margin. The
specified margin for revolving and term loan A advances is
determined by Gray's debt leverage ratio as defined in the
agreement. Range of Applicable Range of Applicable Margin for Base
Rate Margin for LIBOR Rate Advances Advances Revolving and term A
advances 0% to 0.25% 0.75% to 1.5% Term B advances 0.25% 1.5% Gray
has elected to borrow these funds under its LIBOR option. The
interest rate under this option is LIBOR plus the current margin of
1.25% for revolving and term loan A advances and a margin of 1.5%
for term loan B advances. The amount outstanding under the senior
credit facility as of July 1, 2005 is $376 million and is allocated
as follows: revolving loan of $76 million, term loan A of $100
million and term loan B of $200 million. Wachovia Bank, National
Association served as administrative agent and as a lender,
Wachovia Capital Markets, LLC served as sole lead arranger and as
sole book runner, Bank of America, NA served as syndication agent
and as a lender, Deutsche Bank Trust Company Americas, Allied Irish
Banks PLC and KeyBank National Association served as documentation
agents and as lenders. Gray Television, Inc. is a communications
company headquartered in Atlanta, Georgia, and currently operates
16 CBS-affiliated television stations, eight NBC-affiliated
television stations, seven ABC-affiliated television stations and
five daily newspapers. DATASOURCE: Gray Television, Inc. CONTACT:
Bob Prather, President, +1-404-266-8333, or Jim Ryan, Chief
Financial Officer, +1-404-504-9828, both of Gray Television, Inc.
Web site: http://www.graytvinc.com/
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