Metro-Goldwyn-Mayer completed a newly structured $1 billion five-year revolving credit facility arranged by J.P. Morgan with a syndicate of lenders.

This facility replaces MGM’s existing $665 million RCF, lowers its borrowing rate to LIBOR+2.25% and augments certain other terms within the agreement. MGM also prepaid its $300 million second lien term loan, resulting in expected interest savings of approximately $50 million over its remaining term.

“I am truly honored and humbled by the vote of confidence in MGM demonstrated by the syndicate of lenders that supported this credit facility, many of whom were part of our prior facility,” said Gary Barber, MGM’s chairman and GEO. “The size and structure of this new facility are indicative of MGM’s strong financial position and bright future, and will provide us with the financial flexibility to continue executing on our strategic growth initiatives.”

Metro-Goldwyn-Mayer is a leading entertainment company focused on the production and global distribution of film and television content.