Credit Suisse First Boston last week launched syndication of a $200 million, six-year term loan "C" for Cincinnati-based optical network communications company BroadWing Inc., formerly Cincinnati Bell. As first reported on LMW's Web site, Bank of America is syndication agent and Citibank is the administration agent on the deal, which refinances a $1.8 billion credit originated in November 1999 and amended to $2.1 billion in January 2000. A banker familiar with the situation said the money would pay down a portion of the $900 million revolving credit portion of that deal, in order to enhance liquidity. Pricing is LIBOR plus 21/2 % on the Ba1 rated credit. Citibank led the original loan.
The $2.1 billion loan also has a $750 million term loan "A" priced at LIBOR plus 13/4 % and a $450 million term loan "B" priced at LIBOR plus 21/4 %. The creditcontains debt to EBITDA, senior secured debt to EBITDA, debt to capitalization covenants, and interest coverage ratios