L-1 Identity Solutions Amends Credit Agreement

Mon Jul 13, 2009 2:33pm EDT
 
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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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