Bank of America's $150 million credit for apparel retailer Ann Taylor is reportedly oversubscribed after two weeks in the market, said bankers, who noted the credit is supposed to close early next week. CIT Group and Transamerica have reportedly come in with commitments on the credit as well as co-syndication agents J.P. Morgan Chase and First Union and documentation agent FleetBoston Financial. Fees are 25 basis points for $30 million commitments, 20 basis points for $20 million commitments, and 10 basis points for $10 million commitments.
A banker said the loan is a letter of credit facility that will be used for commercial letters of credit. An official at Ann Taylor declined to comment. The deal is priced at LIBOR plus 13/ 4% which a banker said is typical for a BB+ rated L/C facility.