Attached files
| file | filename |
|---|---|
| EX-10.1 - AEROJET ROCKETDYNE HOLDINGS, INC. | ex101to8k07319_03172010.htm |
| EX-10.2 - AEROJET ROCKETDYNE HOLDINGS, INC. | ex102to8k07319_03172010.htm |
| 8-K - AEROJET ROCKETDYNE HOLDINGS, INC. | form8k07319_03172010.htm |
Exhibit 99.1
News
Release
For Immediate Release
GenCorp Announces Senior Credit Facility
Amendment and Repurchase of Debt
SACRAMENTO, Calif. – March 19,
2010 – GenCorp Inc. (NYSE: GY) announced today that it executed an amendment to
its $280.0 million senior credit facility. The amendment, among other
things, (i) permits the Company to repurchase or refinance its outstanding
convertible subordinated notes and senior subordinated notes, subject to certain
conditions; (ii) permits the Company to incur additional senior unsecured or
subordinated indebtedness, subject to specified limits and other conditions;
(iii) provides more flexible terms surrounding the leverage ratio compliance;
and (iv) permits the Company to conduct a rescission offer, using stock and/or
cash up to $15.0 million, with respect to certain units issued under the GenCorp
Retirement Savings Plan.
The
amendment reduces the revolving credit facility capacity from $80.0 million to
$65.0 million and the letter of credit subfacility capacity from $125.0 million
to $100.0 million. In addition, the interest rate on LIBOR rate borrowings is
LIBOR plus 325 basis points, an increase of 100 basis points, and the letter of
credit subfacility commitment fee has been similarly amended.
On March
18, 2010, the Company also entered into an agreement with certain holders to
repurchase $22.5 million principal amount of its 9 ½% senior subordinated notes
at 102% of par, plus accrued and unpaid interest, and $14.3 million principal
amount of its 2¼% convertible
subordinated debentures at 93% of par, plus accrued and unpaid interest.
The Company anticipates that it will retire the repurchased
securities. The Company repurchased the debt using a portion of the
net proceeds of its 4 1/16% convertible subordinated debentures issued in
December 2009.
Scott J.
Seymour, GenCorp Inc. President and CEO and President, Aerojet, said, "We are
pleased with the successful closing of this amendment which provides the Company
with more flexibility to manage its capital structure and
operations."
Forward-Looking
Statements
Certain
information contained in this release may be considered "forward-looking
statements" as defined by Section 27A of the Securities Act, and Section 21E of
the Securities Exchange Act of 1934, as amended. GenCorp makes these statements
in reliance on the safe harbor provisions provided under the Private Securities
Litigation Reform Act of 1995. All statements in this release other than
historical information may be deemed forward-looking statements. These
statements present (without limitation) the expectations, beliefs, plans and
objectives of management and future financial performance and assumptions
underlying, or judgments concerning, the matters discussed in the statements.
The words "believe," "estimate," "anticipate," "project," "may," "should,"
"will," "could" and "expect," and similar expressions, are intended to identify
forward-looking statements.
-more-
Forward-looking
statements involve certain risks, estimates, assumptions and uncertainties,
including with respect to future sales and activity levels, cash flows, contract
performance, the outcome of litigation and contingencies, environmental
remediation and anticipated costs of capital. A variety of factors could cause
actual results or outcomes to differ materially from those expected and
expressed in our forward-looking statements. These factors, risks and
uncertainties that could cause actual results or outcomes to differ from those
expressed in the forward-looking statements include but are not limited to those
described in the "Risk Factors" section of each Annual Report on Form 10-K and
in any quarterly report on Form 10-Q filed with the Securities and Exchange
Commission.
About
GenCorp
GenCorp
is a leading technology-based manufacturer of aerospace and defense products and
systems with a real estate segment that includes activities related to the
entitlement, sale and leasing of the Company's excess real estate assets.
Additional information about the Company can be obtained by visiting the
Company's web site at http://www.GenCorp.com.
Contact
information:
Investors:
Kathy Redd, chief financial officer 916.355.2361
Media:
Linda Cutler, vice president, corporate
communications 916.351.8650
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