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Journal Communications, Inc. Amends and Restates Credit Facility Through 2017

Friday 07. December 2012 - Journal Communications, Inc. (NYSE:JRN) announced today that it has successfully amended and restated its credit facility.

The agreement provides for a revolving credit facility with aggregate commitments of $200 million and a term loan facility with aggregate commitments of $150 million. The term loan facility amortizes at 10% per annum payable quarterly with the balance due at maturity. Both facilities mature on December 5, 2017. The facilities also include a revised consolidated funded debt ratio of 3.75x increasing, subject to certain conditions, to 4.25x for four quarters following an acquisition, among other changed terms, and are secured by liens on certain assets of Journal and its subsidiaries. Additional information concerning the revised financial covenants, pricing and other changes to the credit facility can be found in the Company’s Form 8-K filed with the Securities and Exchange Commission.
“This transaction continues the evolution of Journal’s capital structure,” said Andre Fernandez, President and Chief Financial Officer of Journal Communications.
“The new structure will allow us to term out a portion of our debt at a competitive rate, while providing us both with additional flexibility and capacity to further grow the business. We are extremely pleased with the result and with the support received from our banking partners.”