* Replaces maturing credit facility
* Maple Leaf building new bakery, meat plant
WINNIPEG, Manitoba May 17 Maple Leaf Foods Inc
(MFI.TO), a leading Canadian pork processor and baker, said on
Tuesday that it has refinanced C$800 million ($816 million) in
debt, as it moves ahead with an ambitious spending plan.
Maple Leaf said it entered into a new four-year
C$800-million revolving credit facility.
The credit facility with a syndicate of Canadian, U.S. and
international institutions, replaces another facility due to
expire on May 31.
The Toronto-based company last summer announced a strategy
to boost earnings and capital spending by closing some
meat-processing plants while expanding others as it tries to
narrow the gap on more technologically advanced and lower-cost
U.S. rivals. [ID:nN06187572]
The company expects earnings growth will help pay for
C$1.29 billion ($1.3 billion) in capital spending over the next
three years, including a big new bakery in Hamilton, Ontario,
to open in 2011, and construction starting in 2012 on a
prepared-meats plant in an undisclosed location.
(Reporting by Rod Nickel, editing by Gerald E. McCormick)