Date: June 1, 2011
Source: Clean Harbors, Inc.
Clean Harbors, Inc. (Norwell, MA), taking advantage of its stellar performance of late, has obtained a new credit facility that increases its borrowing capacity to $250 million while lowering its borrowing costs by 50 basis points. The new five-year revolving credit facility is an increase from a previous $120 million facility that was scheduled to mature in July 2013. It increases to $150 million the amount of borrowings which the Company and its U.S. subsidiaries may obtain and allows the Company's Canadian subsidiaries to obtain up to $100 million of borrowings to facilitate ongoing activities in Canada. The new agreement matures in 2016. "With increased borrowing capacity on more favorable terms, this credit facility greatly enhances our financial flexibility and ability to execute our corporate strategy," said Clean Harbors Chairman and Chief Executive Officer Alan S. McKim. "Coupled with the $250 million of senior secured notes we issued earlier this year, this credit agreement reflects the confidence of the lending community in our prospects for growth through acquisition and internal investments."
June 1, 2011
Clean Harbors Signs $250 Million Credit Agreement
Expanded Credit Facility Increases Borrowing Capacity and Lowers Interest Rate
Clean Harbors, Inc. ("Clean Harbors"), the leading provider of environmental, energy and industrial services throughout North America, today announced that it has entered into a five-year $250 million revolving credit facility. The agreement increases the total commitments available under the Company's previous $120 million credit facility, which had been scheduled to mature in July 2013.
The amended agreement increases to $150 million the amount of borrowings and letters of credit which the Company and its U.S. subsidiaries may obtain. The facility also allows the Company's Canadian subsidiaries to obtain up to $100 million of borrowings and letters of credit that will facilitate the Company's ongoing activities in Canada.
In addition, the amended credit facility reduces by 50 basis points the interest rate paid on outstanding borrowings and extends the maturity date of the facility from 2013 to 2016. The agreement was arranged by Bank of America, N.A., who serves as the administrative agent on the facility.
"With increased borrowing capacity on more favorable terms, this credit facility greatly enhances our financial flexibility and ability to execute our corporate strategy," said Clean Harbors Chairman and Chief Executive Officer Alan S. McKim. "Coupled with the $250 million of senior secured notes we issued earlier this year, this credit agreement reflects the confidence of the lending community in our prospects for growth through acquisition and internal investments. We are pleased to strengthen our relationship with Bank of America and our lenders, who have been valuable partners to Clean Harbors."
About Clean Harbors
Clean Harbors is the leading provider of environmental, energy and industrial services throughout North America. The Company serves more than 50,000 customers, including a majority of the Fortune 500 companies, thousands of smaller private entities and numerous federal, state, provincial and local governmental agencies.
Headquartered in Norwell, Massachusetts, Clean Harbors has more than 175 locations, including over 50 waste management facilities, throughout North America in 36 U.S. states, seven Canadian provinces, Mexico and Puerto Rico. The Company also operates international locations in Bulgaria, China, Singapore, Sweden, Thailand and the United Kingdom. For more information, visit www.cleanharbors.com.
Safe Harbor Statement
Any statements contained herein that are not historical facts are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements may include, but are not limited to, statements about acquisitions and internal investments, the Company's plans, objectives, expectations and intentions and other statements that are not historical facts. Such statements are based upon the beliefs and expectations of Clean Harbors' management as of this date only and are subject to certain risks and uncertainties that could cause actual results to differ materially, including, without limitation, those items identified as "risk factors" in the Company's most recently filed Form 10-K and Form 10-Q. Therefore, readers are cautioned not to place undue reliance on these forward-looking statements. The Company undertakes no obligation to revise or publicly release the results of any revision to these forward-looking statements other than through its various filings with the Securities and Exchange Commission, which may be viewed at www.cleanharbors.com/investor_relations.
SOURCE: Clean Harbors, Inc.
For more information, contact:
Clean Harbors, Inc.
James M. Rutledge
EVP and Chief Financial Officer
Sharon Merrill Associates
Executive Vice President