Caleres Announces Amendment and Extension of Credit Agreement
January 18, 2019 at 04:15 pm EST
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Caleres announced it has entered into an amendment of its credit agreement, which extends its senior secured asset-based revolving credit facility to January 2024, reduces upfront and unused borrowing fees, provides for less restrictive covenants, and offers more flexibility. The company’s borrowing capacity under the agreement is $500 million, and the agreement includes an accordion feature, which allows the company to request an increase in the size of the facility to $750 million in the aggregate. The credit facility will be used for working capital, as backing for trade letters of credit, and for investments in infrastructure, potential acquisitions and general corporate purposes. Bank of America, N.A. is the administrative agent, collateral agent and lead issuing bank. Wells Fargo Bank, National Association is an issuing bank and a syndication agent. Bank of America, N.A. is the documentation agent. Bank of America, N. A and Wells Fargo Bank, National Association were the joint lead arrangers and joint bookrunners.
Caleres, Inc. is a global footwear company. The Company operates retail shoe stores and e-commerce websites, and designs, develops, sources, manufactures and distributes footwear for people of all ages. The Company operates through two segments: Famous Footwear and Brand Portfolio. The Famous Footwear segment consists of its Famous Footwear retail stores, famousfootwear.com and famousfootwear.ca. The Famous Footwear segment operates over 860 stores selling primarily branded footwear for the entire family. The Brand Portfolio segment includes its wholesale operations that designs, develops, sources, manufactures, markets and distributes branded, licensed and private-label footwear primarily to online retailers, national chains, department stores, independent retailers and mass merchandisers, as well as Company-owned Famous Footwear, Sam Edelman, Naturalizer and Allen Edmonds stores and e-commerce businesses, including naturalizer.com, naturalizer.ca, naturalizer.co.uk and others.