L-1 Identity Solutions Amends Credit Agreement
STAMFORD, Conn.--(Business Wire)-- L-1 Identity Solutions, Inc. (NYSE: ID), a leading provider of identity solutions and services, elected to amend its credit agreement to provide more flexibility for working capital and to enhance compliance with certain overly restrictive financial covenants. The total available credit remains unchanged at $423.7 million, comprised of $288.7 million in term loans and a $135 million revolving credit line, of which, net of letters of credit, approximately $124 million is available to the Company. L-1 had approximately $288.7 million in principal amount of term loans outstanding under the Credit Agreement as of July 1, 2009. The term loans under the Credit Agreement have been divided into two tranches having different principal repayment schedules. The terms of the revolving line of credit remain unchanged. The first tranche of the term loans has an aggregate principal amount of approximately $159.1 million as of July 1, 2009 (the "Tranche B-1 Term Loans") and the second tranche has an aggregate principal amount of approximately $129.6 million as of July 1, 2009 (the "Tranche B-2 Term Loans"). The principal payment terms of the Tranche B-1 Term Loans remain unchanged, while the Tranche B-2 Term Loans will require principal payments of 1 percent per annum prior to maturity with the remainder at maturity. The interest rates applicable to the Tranche B-2 Term Loans will be increased by 0.5 percent per annum. The lower quarterly principal payments will give the Company more flexibility in reducing its debt while creating more favorable conditions for meeting financial covenant tests associated with the credit agreement. About L-1 Identity Solutions L-1 Identity Solutions, Inc. (NYSE: ID) protects and secures personal identities and assets. Its divisions include Biometrics, Secure Credentialing and Enterprise Access solutions, as well as Enrollment and Government Consulting services. With the trust and confidence in individual identities provided by L-1, international governments, federal and state agencies, law enforcement and commercial businesses can better guard the public against global terrorism, crime and identity theft fostered by fraudulent identity. L-1 Identity Solutions has more than 2,200 employees worldwide and is headquartered in Stamford, CT. For more information, visit www.L1ID.com. Forward Looking Statements This news release contains forward-looking statements that involve risks and uncertainties. Forward-looking statements in this press release and those made from time to time by L-1 Identity Solutions through its senior management are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements reflect the Company's current views based on management's beliefs and assumptions and information currently available. Forward-looking statements concerning future plans or results are necessarily only estimates, and actual results could differ materially from expectations. Factors that could cause or contribute to such differences are fully described in the Securities and Exchange Commission filings of the Company, including the Company`s Form 10-K for the year ended December 31, 2008 and the Company`s Form 10-Q for the quarter ended March 31, 2009. L-1 Identity Solutions expressly disclaims any intention or obligation to update any forward-looking statements. ID-F L-1 Identity Solutions Doni Fordyce, 203-504-1109 dfordyce@L1ID.com Copyright Business Wire 2009
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