Scotia Capital, Salomon Smith Barney and Bank of America had close to $200 million in commitments for Levi Strauss & Co.'s $400 million "B" piece at press time. The spread on the term loan is set at LIBOR plus 4% and the lead banks have no plans at present to alter pricing, said a banker familiar with the deal. He added that commitments were due by today. The tranche is part of an $800 million refinancing credit for the company launched Dec. 11. Pricing is LIBOR plus 33Ž 4% on the $400 million revolver. Levi Strauss currently has a $1.05 billion facility with the three banks that matures in August of 2003. Credit Suisse First Boston, FleetBoston Financial and J.P. Morgan have committed to the revolver. Scotia and B of A officials declined to comment, while a Salomon official 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 121Ž 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 (12/16).