Business News

American Greetings Announces Refinancing of Revolving Credit Facility and Repayment of Term Loan

Thursday 17. June 2010 - American Greetings Corporation (NYSE: AM) today announced that it has successfully amended and restated its existing $350 million revolving credit facility. The amended and restated credit facility will continue to permit borrowings up to $350 million and will mature June 11, 2015. The credit facility had no borrowings at the closing of the refinancing.

American Greetings has also repaid the entire principle balance outstanding under its $99 million term loan. The Company used cash on hand to fund the repayment.

Chief Financial Officer Stephen Smith said, “We are very pleased to have refinanced our credit facility despite the recent erratic market conditions. Our Treasurer, Greg Steinberg, orchestrated a thoughtful process that wisely extended the term to 2015, retained important components from our prior facility and jettisoned components that were no longer applicable. Our agent banks, PNC Bank as global agent, Bank of America and JPMorgan Chase as co-syndication agents, as well as KeyBank and the Bank of Nova Scotia as co-documentation agents, worked diligently along side Greg and his team to help us achieve this favorable outcome.”