BETHESDA, Md.--(BUSINESS WIRE)--Aug. 18, 2005--USEC Inc. (NYSE:USU) announced today that it has successfully closed on a five-year, $400 million bank credit facility, replacing a three-year, $150 million facility set to expire in late September. The facility is available to finance working capital needs, refinance existing debt and fund capital programs, including the American Centrifuge.
Ellen Wolf, USEC senior vice president and chief financial officer, said, "We are very pleased with the size of the facility and the banking community's strong show of support. The substantial size of the credit facility and its longer maturity reflects our lenders' confidence in USEC and its strategic vision."
"USEC has developed a comprehensive plan to address near-term and long-term capital requirements and this credit facility is the first major step to ensure that USEC has the financial capacity to meet those requirements," Wolf said. "We expect to announce additional actions to implement that plan in the near future."
JPMorgan Chase Bank, N.A. continues in its role as administrative agent. J.P. Morgan Securities, Inc., Merrill Lynch Capital, and Goldman Sachs Credit Partners, L.P. served as joint book managers and joint lead arrangers. Wachovia Bank and GMAC Commercial Finance LLC served as co-documentation agents, and CIT Capital Securities, LLC served as co-agent. All of the banks in the previous facility signed on as a member of the syndicate and five banks not in the previous credit facility are also participating.
The facility provides up to $400 million in revolving credit commitments, including up to $300 million in letters of credit, secured by assets of the Company and its subsidiaries. The newly established interest rate margin is 50 basis points lower than the previous facility. Borrowings under the new facility are subject to limitations based on established percentages of eligible accounts receivable and inventory. A copy of the agreement will be filed with the Securities and Exchange Commission on a Form 8-K.
USEC Inc., a global energy company, is the world's leading supplier of enriched uranium fuel for commercial nuclear power plants.
CONTACT: USEC Inc.
Steven Wingfield, 301-564-3354
or
Mari Angeles Major-Sosias, 301-564-3353
SOURCE: USEC Inc.