Matson, Inc. Enters into Commitment Letter for $75 Million 11-Year Senior Unsecured Notes at Fixed Rate of 3.37%
October 28, 2016 at 01:31 am IST
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Matson, Inc. announced that it has entered into a private placement commitment letter under which it expects to issue $75 million of 11-year final maturity senior unsecured notes (the "Notes") within the next 90 days, subject to entering into definitive documentation and satisfying other customary closing conditions. The Notes are expected to have a weighted average life of approximately 8 years, a fixed interest rate of 3.37%, and financial and other covenants that are substantially the same as the covenants in the Company's existing outstanding senior unsecured notes. Proceeds of the Notes are expected to be used to pay down the Company's revolving credit facility and for general corporate purposes.
Matson, Inc. is a holding company that provides ocean transportation and logistics services. The Company's segments include Ocean Transportation and Logistics. The Ocean Transportation business is conducted through Matson Navigation Company, Inc. (MatNav), which provides ocean freight transportation services to the domestic non-contiguous economies of Hawaii, Alaska and Guam, and to other island economies in Micronesia. MatNav also operates premium, expedited services from China to Long Beach, California, provides services to Okinawa, Japan and various islands in the South Pacific, and operates an international export service from Dutch Harbor, Alaska to Asia. The logistics business is conducted through Matson Logistics, Inc. (Matson Logistics), a wholly owned subsidiary of MatNav. Matson Logistics provides a variety of logistics services to its customers, such as transportation brokerage services, freight forwarding services, and others.
MATSON, INC. 
