Scotia Capital, Salomon Smith Barney and Bank of America launched syndication of an $800 million refinancing credit for Levi Strauss & Co. last Wednesday. Pricing is LIBOR plus 33/ 4% on the $400 million revolver and LIBOR plus 4% on the "B" term loan, according to a banker familiar with the credit. Levi Strauss currently has a $1.05 billion facility with the three banks that matures in August of 2003. Credit Suisse First Boston, Fleet Boston Financial and J.P. Morgan have committed to the revolver. A B of A official declined to comment while officials at Salomon and Scotia did not return calls.
The credit is part of San Francisco-based Levi Strauss' plan to refinance its existing debt and bonds maturing next year. Last month, Levi Strauss announced a sale of $425 million in 121/ 4% senior notes due 2012. The branded-apparel company expects to complete its refinancing plans by next quarter, said a spokeswoman, declining to comment specifically on the credit facility.