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| LeAnne Stewart |
Deutsche Bank is leading a $300 million refinancing for food retail and distribution company Nash Finch Co. The new credit comprises a $100 million revolver and $200 million "B" loan. It replaces a $250 million credit that expires in a year. "It will become current for this year's audited financial statement, which we wouldn't want to have happen," explained LeAnne Stewart, the company's senior v.p., cfo and treasurer. The pricing on the new credit depends on the company's leverage ratio. When the deal goes out it is likely to be at the highest level -- LIBOR plus 1 3/4% on the revolver and LIBOR plus 2 1/2% on the term loan, Stewart noted. "But that could change, hopefully that will change as we bring it to market," she added.
If the bank refinancing is successful, the company intends to use some proceeds to take out $165 million of 8.5% senior subordinated notes due 2008, Stewart said. Deutsche Bank is the lead on the previous credit as well. "We just have a good relationship with them and they've brought us a nice deal," she concluded. A Deutsche Bank spokesman did not return calls.