BRISTOL, Tenn., Dec. 6, 2021 /PRNewswire/ -- Alpha
Metallurgical Resources, Inc. (NYSE: AMR), a leading U.S. supplier
of metallurgical products for the steel industry, today announced
the successful refinancing of its Asset-Based Revolving Credit
Facility (ABL), which was previously set to expire in April 2022.
The new $155 million facility will
mature in December 2024 and includes
$125 million committed availability
for letters of credit and another $25
million uncommitted on a cash collateralized basis.
Proceeds from this ABL will be the same as the prior
facility: issuance of letters of credit, working capital, and
incremental liquidity needs.
"Continuing our efforts to strengthen the company's balance
sheet, we are pleased to close on this refinancing, which amends
and extends our ABL until December
2024," said Andy Eidson,
Alpha's president and chief financial officer. "Though the total
capacity is smaller than our prior ABL, this new facility more than
covers our letters of credit requirements and provides additional
borrowing capacity. Coupled with our plans to continue
substantially reducing our long-term debt level, we believe today's
closing is another important step in simplifying our balance sheet
and further strengthening the company financially."
Under the terms of the agreement, interest on letters of credit
will be 5.25 percent. Interest on any loans drawn on the new
facility would be calculated using the secured overnight financing
rate (SOFR).
The terms of the credit facility include customary
representations and warranties, customary affirmative and negative
covenants, and customary events of default.
Citibank serves as administrative agent and collateral agent on
the refinance and BMO and Eclipse serve as co-collateral
agents.
About Alpha Metallurgical Resources
Alpha Metallurgical Resources (NYSE: AMR) is a Tennessee-based mining company with operations
across Virginia and West Virginia. With customers across the
globe, high-quality reserves and significant port capacity, Alpha
reliably supplies metallurgical products to the steel industry. For
more information, visit www.AlphaMetResources.com.
Forward-Looking Statements
This press release includes forward-looking
statements. These forward-looking statements are based on
Alpha's expectations and beliefs concerning future events and
involve risks and uncertainties that may cause actual results to
differ materially from current expectations. These factors are
difficult to predict accurately and may be beyond Alpha's
control. Forward-looking statements in this press release or
elsewhere speak only as of the date made. New uncertainties
and risks arise from time to time, and it is impossible for Alpha
to predict these events or how they may affect Alpha. Except
as required by law, Alpha has no duty to, and does not intend to,
update or revise the forward-looking statements in this press
release or elsewhere after the date this release is issued. In
light of these risks and uncertainties, investors should keep in
mind that results, events or developments discussed in any
forward-looking statement made in this press release may not
occur.
INVESTOR
CONTACT: ALEX ROTONEN
|
MEDIA
CONTACT: EMILY O'QUINN
|
InvestorRelations@AlphaMetResources.com
|
CorporateCommunications@AlphaMetResources.com
|
(423)
956-6882
|
(423)
573-0369
|
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SOURCE Alpha Metallurgical Resources, Inc.