Summary
Corning Incorporated (GLW) filed an 8-K on December 16, 2010, to announce the execution of an Amended and Restated Credit Agreement. This new agreement, effective December 16, 2010, replaces their existing credit facility from November 2006. A significant event noted is the full repayment of a $1,120,000,000 borrowing made by Corning Finance Luxembourg S.a r.l. on November 16, 2010, prior to the restatement. The Amended and Restated Credit Agreement establishes a new revolving credit facility with a maximum commitment amount of $1 billion, which can be increased by an additional $250 million. This facility is available in multiple currencies (Dollars, Sterling, Yen, Euros) to Corning and its wholly-owned subsidiaries. The agreement includes flexible interest rate options based on LIBOR or a base rate, with margins that adjust according to Corning's credit ratings. The facility is set to mature on December 16, 2015, with potential one-year extensions available.
Key Highlights
- 1Corning Incorporated entered into a new Amended and Restated Credit Agreement effective December 16, 2010.
- 2The existing Credit Agreement from November 21, 2006, has been amended, restated, and replaced.
- 3A $1,120,000,000 borrowing under the previous agreement was repaid in full on December 16, 2010.
- 4The new credit facility has a maximum commitment of $1,000,000,000, with an option to increase by $250,000,000.
- 5Borrowings are available in U.S. Dollars, Sterling, Yen, and Euros.
- 6Interest rates are based on LIBOR or a base rate plus a margin that varies with Corning's credit ratings.
- 7The agreement has a termination date of December 16, 2015, with possible one-year extensions.