Business & Finance
Business and Finance
Business and Finance
Wed, October 19, 2011
Tue, October 18, 2011 CommonWealth REIT Extends Term and Reduces Rate on Existing Credit Facility
NEWTON, Mass.--([ BUSINESS WIRE ])--CommonWealth REIT (NYSE: CWH) today announced that it has amended its existing $750 million unsecured revolving credit facility.
Prior to this amendment, CWHa™s credit facility had a maturity date of August 8, 2013 and interest paid on drawings was LIBOR plus 200 basis points, subject to adjustments based on changes to CWHa™s credit ratings. The maturity date of the amended credit facility is extended to October 18, 2015 and interest paid on drawings is reduced to LIBOR plus 125 basis points, subject to adjustments based on changes to CWHa™s credit ratings.
The amended credit facility includes a borrowera™s option to extend the facility for one year to October 18, 2016. In addition, the amended facility also includes a feature under which maximum borrowing may be increased up to $1.5 billion in certain circumstances.
Wells Fargo Securities, LLC and Merrill Lynch, Pierce, Fenner & Smith served as Joint Lead Arrangers for the amended credit facility. Banks participating in the amended credit facility are as follows:
Name of Institution | Facility Title | |||||||||
| Wells Fargo Bank, N.A. | Lead Arranger/Administrative Agent | |||||||||
| Bank of America, N.A. | Lead Arranger/Syndication Agent | |||||||||
| Regions Bank | Documentation Agent | |||||||||
| Royal Bank of Canada | Documentation Agent | |||||||||
| Mizuho Corporate Bank, Ltd. | Documentation Agent | |||||||||
| PNC Bank, National Association | Senior Managing Agent | |||||||||
| BBVA Compass Bank | Senior Managing Agent | |||||||||
| Sumitomo Mitsui Banking Corporation | Senior Managing Agent | |||||||||
| TD Bank, N.A. | Senior Managing Agent | |||||||||
| BB&T Capital Markets | Managing Agent | |||||||||
| The Bank of New York Mellon | Managing Agent | |||||||||
| Bank of Tokyo-Mitsubushi UFJ, Ltd. | Lender | |||||||||
| Capital One, N.A. | Lender | |||||||||
| Comerica Bank | Lender | |||||||||
| U.S. Bank National Association | Lender | |||||||||
| Union Bank, NA | Lender | |||||||||
| First Hawaiian Bank | Lender | |||||||||
| Chang Hwa Commercial Bank, Ltd. | Lender | |||||||||
| RBS Citizens, N.A. | Lender | |||||||||
| Citibank, N.A. | Lender | |||||||||
| Morgan Stanley Bank, N.A. | Lender | |||||||||
| UBS Loan Finance LLC | Lender |
CommonWealth REIT is a real estate investment trust, or REIT, which primarily owns office and industrial properties located throughout the United States. CWH is headquartered in Newton, Massachusetts.
WARNING CONCERNING FORWARD LOOKING STATEMENTS
THIS PRESS RELEASE INCLUDES FORWARD LOOKING STATEMENTS WITHIN THE MEANING OF THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995 AND OTHER SECURITIES LAWS. THESE INCLUDE STATEMENTS REGARDING (1) FUTURE AVAILABILITY OF BORROWINGS UNDER THE AMENDED CREDIT FACILITY, (2) INTEREST PAID ON BORROWINGS UNDER THE AMENDED CREDIT FACILITY, AND (3) A FEATURE UNDER WHICH CWH MAY EXPAND THE MAXIMUM AVAILABILITY UNDER THE AMENDED CREDIT FACILITY. ACTUAL RESULTS MAY DIFFER MATERIALLY FROM THOSE CONTAINED IN OR IMPLIED BY THESE FORWARD LOOKING STATEMENTS AS A RESULT OF VARIOUS FACTORS. FOR EXAMPLE:
- CONTINUED AVAILABILITY OF BORROWINGS UNDER THE AMENDED CREDIT FACILITY IS SUBJECT TO CWH'S SATISFYING CERTAIN FINANCIAL COVENANTS AND MEETING OTHER CUSTOMARY CONDITIONS.
- ACTUAL ANNUAL COSTS UNDER THE AMENDED CREDIT FACILITY WILL BE HIGHER THAN LIBOR PLUS A PREMIUM ON DRAWINGS BECAUSE OF OTHER FEES AND EXPENSES ASSOCIATED WITH THE FACILITY.
- INCREASING THE MAXIMUM BORROWINGS UNDER THE AMENDED CREDIT FACILITY IS SUBJECT TO OBTAINING ADDITIONAL COMMITMENTS FROM LENDERS, WHICH COULD BE IMPACTED BY CHANGES IN OUR FINANCIAL CONDITION, THE ECONOMY OR THE CAPITAL MARKETS.
SOME OF THESE FACTORS ARE BEYOND CWH'S CONTROL. FORWARD LOOKING STATEMENTS ARE NOT GUARANTEED TO OCCUR AND MAY NOT OCCUR. FOR THE FOREGOING REASONS, AMONG OTHERS, INVESTORS ARE CAUTIONED NOT TO PLACE UNDUE RELIANCE UPON FORWARD LOOKING STATEMENTS. EXCEPT AS REQUIRED BY LAW, CWH DOES NOT INTEND TO UPDATE OR CHANGE ANY FORWARD LOOKING STATEMENTS AS A RESULT OF NEW INFORMATION, FUTURE EVENTS OR OTHERWISE.
A Maryland Real Estate Investment Trust with transferable shares of beneficial interest listed on the New York Stock Exchange.No shareholder, Trustee or officer is personally liable for any act or obligation of the Trust.
