B&G Foods yesterday (5 August) completed an amendment to its senior secured credit facility.
Credit Suisse has been appointed as administrative agent under the credit facility to replace Lehman Commercial Paper.
The amendment permits the US food group to make or offer to make any optional or voluntary payment, prepayment, repurchase or redemption of the company’s 12% senior notes due 2016 for cash.
B&G can also make payment, prepayment or repurchase notes in exchange for Class A common stock and refinance the notes with senior unsecured indebtedness.
The amendment extends the maturity date for the company’s existing undrawn $25m revolving credit facility from 10 January 2011 to 26 February 2013 so that it will have the same maturity date as the company’s existing $130m term loan facility.
Last month the company posted an increase in net profit for the first two quarters of 2009 to US$11.9m from $7.9m in 2008. Net sales for the period increased 2.6% to reach $241.5m. The result however, was negatively impacted by a poor maple syrup crop in Canada in 2008 that led to a global shortage.
The group reaffirmed its guidance and said it expects EBITDA for fiscal 2009 to be around $99m to $102m. Capital expenditures are expected to be around $11m.
Click here to read an interview with B&G Foods CEO David Wenner.
