Western Forest Products Enters Into New $30 Million Bilateral Term Loan

Executive Summary

• Western Forest Products Inc. entered into an amendment to its existing $250 million syndicated credit facility to permit a concurrent closing of a new $30 million bilateral term loan from Royal Bank of Canada.
• The term loan carries an initial maturity of July 21 2028, with optional extensions up to a total of 90 months, and is guaranteed by Business Development Canada under its Softwood Lumber Guarantee Program.
• Proceeds from the $30 million term loan will be used to repay outstanding drawdowns on the existing credit facility, strengthening liquidity without altering covenant requirements.

Key Details

• Amendment Scope: Allows simultaneous closing of a $30 million bilateral term loan while keeping the original $250 million syndicated credit facility unchanged.
• Lender: Royal Bank of Canada (RBC).
• Guarantee: Guaranteed by Business Development Canada under the Softwood Lumber Guarantee Program.
• Maturity & Extension: Initial maturity set for July 21 2028; term may be extended to a maximum of 90 months total.
• Covenants: The term loan is subject to the same financial covenants as the existing credit facility; no covenant modifications were made.
• Use of Proceeds: Entire $30 million will be applied to repay outstanding drawings under the existing credit facility, reducing current indebtedness.
• Filing: A copy of the amendment has been filed on SEDAR+ (www.sedarplus.ca).

Notable Quotes

(No direct quotes were provided in the release.)