Summary
Realty Income Corporation (O) announced on May 16, 2008, the execution of a new Credit Agreement, effective May 15, 2008. This agreement establishes a new unsecured revolving credit facility totaling $355 million, which replaces the company's existing $300 million acquisition credit facility. The facility matures on May 13, 2011, providing the company with a significant source of liquidity for its operations and growth initiatives. The new credit facility offers flexibility in borrowing costs, with interest rates tied to either the LIBOR rate or the base rate, plus a margin of 1.00% for LIBOR loans, subject to the company's debt ratings. A commitment fee of 0.275% per annum is also applicable. This updated credit arrangement demonstrates the company's ongoing efforts to manage its capital structure and ensure access to funding in the current market environment.
Key Highlights
- 1Realty Income Corporation (O) entered into a new Credit Agreement on May 15, 2008.
- 2The agreement establishes a $355 million unsecured revolving credit facility.
- 3This new facility replaces the company's previous $300 million acquisition credit facility.
- 4The credit facility matures on May 13, 2011.
- 5Interest rates are based on LIBOR or base rate plus a margin of 1.00% for LIBOR loans.
- 6A commitment fee of 0.275% per annum is payable on the revolving committed amount.
- 7Wells Fargo Bank, National Association is the Administrative Agent and Sole-Lead Arranger.