Fitch just announced their upped debt ratings for RAD. They also gave insight to financing not released before. RAD is actually doing a refi for $3.095 Billion which alone is over half their debt. They are also pushing out maturities to 2018-2020........and paying off $186 million in 2013 bond maturities with cash on hand. Outstanding news. You can bet it won't be long till they refi the other bonds with higher rates. They just need about 2 more quarters of solid profitable quarters and they will really lower their interest expense. I'm holding for the next big move. DaninFW
**** RAD is actually doing a refi for $3.095 Billion which alone is over half their debt. ****
They are refinancing about 1/3 of their outstanding debt ($1,039M, $410M and $450M, or about $1.9B) and refinancing the revolver (which has no balance at December 1, 2012) and increasing the credit line from $1.175B to $1.725B.
The credit line or revolver......if used......which it is and has been is considered debt. Pure and simple. It also got extended out several years. The "$6 Billion" in debt which is always tossed around which is actually slightly less than that..........has been always counted towards outstanding debt. Read the press release. It also got renewed and extended and at more favorable terms based on the press release several days ago. As I say once again, $3.095 Billion in debt has been renewed, extended and renegotiated for at lower rates. If you choose not to count the revolver than their debt has only been just over $4 billion.....but I think the banks and rating agencies would strongly disagree. DaninFW