Daily News: May 17, 2013

US Airways Said to Reduce Rate on $1.6B Term Loan

Bloomberg reported, according to a person with knowledge of the transaction, that US Airways lowered the rate on $1.6 billion of term loan debt it’s seeking to refinance.

According to Bloomberg, a $1 billion term loan will pay interest at 3.25% over LIBOR, with a 1% minimum on the lending benchmark versus an originally proposed margin of 3.50% to 3.75% with the same floor.

Bloomberg said a $600 million loan will now pay interest at 2.5% over LIBOR versus an originally proposed interest rate margin of 2.75% to 3.0% with the same LIBOR floor.

Bloomberg notes that Citigroup, Barclays, Morgan Stanley and Goldman Sachs are arranging the debt.

To read the entire Bloomberg story, click here.

Previously on abfjournal.com:
American Airlines Receives Court Approval for $3.25B Loans, Friday, May 10, 2013