Ameritrade Extends Credit Agreement.Business Editors OMAHA Omaha, city, United States Omaha (ō`məhä, –hô), city (1990 pop. 335,795), seat of Douglas co., E Nebr., on the west bank of the Missouri River; inc. 1857. , Neb.--(BUSINESS WIRE)--Dec. 17, 2002 Ameritrade Holding Corporation (Nasdaq:AMTD AMTD Arithmetic Mean Temperature Difference AMTD Automatic Magnetic Tape Distribution AMTD Affordability and Manufacturing Technology Demonstration ) has entered into an amended and restated revolving credit agreement Revolving credit agreement A legal commitment in which a bank promises to lend a customer up to a specified maximum amount during a specified period. revolving credit agreement See line of credit. . The agreement permits borrowings up to $50 million through December 15, 2003, bears interest initially at the lesser of (i) the prime rate or (ii) one month LIBOR LIBOR See: London Interbank Offered Rate LIBOR See London interbank offered rate (LIBOR). plus 2.75 percent and is secured primarily by the stock of the Company's subsidiaries. As of today, the interest rate would be 4.17 percent. The Company will pay a commitment fee of 0.375 percent of the unused borrowing capacity through the maturity date. Ameritrade has no outstanding indebtedness INDEBTEDNESS. The state, of being in debt, without regard to the ability or inability of the party to pay the same. See 1 Story, Eq. 343; 2 Hill. Ab. 421. 2. under the revolving credit agreement. The previous revolving credit agreement permitted borrowings up to $20 million and bore interest equal to the greater of (i) the prime rate or (ii) 90-day LIBOR plus 2.5 percent, subject to a minimum rate of 5.0 percent. As of today, the interest rate would be 5.0 percent. About Ameritrade Holding Corporation Ameritrade Holding Corporation (www.amtd.com) has a 27-year brokerage history of providing a self-directed approach to investment services. The Company, through its Private Client and Institutional Client divisions, provides tiered levels of brokerage products and services tailored to meet the varying investing, trading and execution needs of individual investors, financial institutions and corporations. |
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