Farmer Bros. entered into a new, five-year $75 million senior secured revolving credit facility led by JPMorgan Chase Bank, as administrative agent, and SunTrust Bank, as syndication agent, to replace the company’s existing $75 million credit facility with Wells Fargo Bank that expired on March 2, 2015. The revolver includes an additional $50 million accordion feature subject to approval by applicable lenders.

The company intends to use the proceeds to refinance certain existing indebtedness, to finance the company’s working capital needs, and to finance certain expenses and other capital expenditures related to the company’s corporate relocation plan announced on February 5, 2015.

Combined with the company’s cash flows from operations and other liquid assets, the borrowing capacity provided by the revolver is expected to be sufficient to fund the company’s existing working capital needs as well as growth.

“We are encouraged by the strong support from Chase and SunTrust in establishing this new credit facility, and look forward to building a productive relationship,” said the company’s treasurer and CFO Mark Nelson. “We are very pleased with the terms of this new revolver, and believe that this financing will provide for the requirements of our upcoming corporate relocation, while also serving as a resource for our future growth initiatives.”

Torrance, CA-headquartered Farmer Bros. is a manufacturer, wholesaler and distributor of coffee, tea and culinary products.