JPMorgan Chase Bank served as the administrative agent on an amended and restated $1.5 billion revolving credit agreement for Alcoa.
The amended revolver will, among other things:
- Extend the maturity date of the credit facility from November 14, 2022 to November 21, 2023
- Permit release of the collateral should the company achieve an investment grade rating with a stable outlook or better
- Decrease the applicable interest rate margin on LIBOR and base rate loans and subject them to further decreases for so long as the company has an investment grade rating
- Provide additional flexibility for Alcoa to make restricted payments, make investments and incur indebtedness
“Our ability to successfully amend our revolving credit agreement reflects Alcoa’s improving financial profile,” said William Oplinger, Alcoa executive vice president and chief financial officer. “We look forward to continuing to strengthen the Company to gain even greater flexibility in the future.”
Operating for 130 years, Alcoa is a global industry leader in bauxite, alumina and aluminum products.