Goodyear completes bank credit restructuring. (Corporate, Financial News).Goodyear Tire & Rubber, Akron, OH, has successfully completed a comprehensive refinancing Refinancing An extension and/or increase in amount of existing debt. and restructuring restructuring - The transformation from one representation form to another at the same relative abstraction level, while preserving the subject system's external behaviour (functionality and semantics). of its bank credit and accounts receivable accounts receivable n. the amounts of money due or owed to a business or professional by customers or clients. Generally, accounts receivable refers to the total amount due and is considered in calculating the value of a business or the business' problems in paying facilities. These new agreements are said to provide Goodyear with additional financial flexibility and liquidity. Goodyear is replacing a total of $2.94 billion in financing with $3.3 billion in credit facilities credit facilities npl → facilidades fpl de crédito credit facilities npl → facilités fpl de paiement credit facilities that include a $750 million secured U.S. revolving credit Revolving Credit A line of credit where the customer pays a commitment fee and is then allowed to use the funds when they are needed. It is usually used for operating purposes, fluctuating each month depending on the customers current cash flow needs. facility due in 2005; a $645 million secured U.S. term facility due in 2005; $650 million of secured European facilities due in 2005; and $1.3 billion of secured asset-based facilities due on 2006. The restructured credit agreements replace facilities that generally had shorter maturities but, with the exception of $763 million in U.S. and Canadian accounts receivable facilities, were unsecured. Certain international accounts receivable securitizations, which the company intends to replace or restructure, remain in place, as do a limited amount of additional foreign committed and uncommitted lines of credit. |
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