Building Materials gets waiver on credit pact

NEW YORK (Reuters) - Construction services company Building Materials Holding Corp BLG.N said on Friday it had obtained a temporary waiver from lenders on a credit agreement that it has not been compliant with.

The lenders will allow the company to borrow up to $60 million from the credit facility through September 30 while it works to complete a permanent amendment to the agreement that would bring its expectations in line with current market conditions, the company said in a statement.

A group of lenders to the company had formed an ad-hoc committee to discuss the credit agreement, the lenders' law firm said on Thursday.

Shares of the San Francisco-based company, which provides materials to home builders and contractors had dropped 11.7 percent on Friday prior to the announcement of the waiver. The company's shares closed at $1.51 on the New York Stock Exchange. They are down almost 90 percent year to date.

(Reporting by Emily Chasan, editing by Mark Porter)