MIAMI and HOLLYWOOD, Fla., Nov. 25, 2013 (GLOBE NEWSWIRE) -- HEICO Corporation (NYSE:HEI.A) (NYSE:HEI) today announced that it increased its $670 million revolving credit facility (the "Facility") to an aggregate potential future capacity of $1 Billion and that it also extended the facility by an additional year until December 2018. Under the amendment, $800 million of the Facility is now fully committed for funding and an additional $200 million has been committed subject to future consent of the lenders.
Originally entered into in 2011, the Facility previously allowed borrowings of up to $670 million and was set to expire in 2016. Based on HEICO's credit characteristics, the bank group has now twice extended the Facility's expiration to allow for expiration in five years from now. Further, certain other amendments were made to provide additional financial flexibility.
The Facility is lead-managed by SunTrust Bank, Bank of America, N.A. and Wells Fargo Bank, National Association and is utilized for acquisitions and other corporate needs. Other banks participating are Branch Banking and Trust Company, PNC Bank National Association, US Bank National Association, RBS Citizens N.A., Fifth Third Bank, JP Morgan Chase Bank, Synovus Bank, The Northern Trust Company, Mercantil Commercebank, N.A. and Florida Community Bank N.A. We are proud of our relationships with them and look forward to continuing to work together.
Laurans A. Mendelson, HEICO's Chairman and Chief Executive Officer, along with Co-Presidents, Eric A. Mendelson and Victor H. Mendelson, remarked "HEICO's financial strength, coupled with a very strong group of lenders, allowed us to enter into this credit expansion and term extension. Our expanded Facility will enable us to continue investing in and growing our business, while maintaining a low cost of capital to execute on our strategic plans."
The Company has two classes of common stock traded on the NYSE. Both classes, the Class A Common Stock (HEI.A) and the Common Stock (HEI), are virtually identical in all economic respects. The only difference between the share classes is the voting rights. The Class A Common Stock (HEI.A) receives 1/10 vote per share and the Common Stock (HEI) receives one vote per share. The stock symbols for HEICO's two classes of common stock on most web sites are HEI.A and HEI. However, some web sites change HEICO's Class A Common Stock symbol (HEI.A) to HEI/A or HEIa.
HEICO Corporation is engaged primarily in certain niche segments of the aviation, defense, space, medical, telecommunications and electronics industries through its Hollywood, FL-based Flight Support Group and its Miami, FL-based Electronic Technologies Group. HEICO's customers include a majority of the world's airlines and overhaul shops as well as numerous defense and space contractors and military agencies worldwide in addition to medical, telecommunications and electronics equipment manufacturers. For more information about HEICO, please visit our web site at http://www.heico.com.
Certain statements in this press release constitute forward-looking statements, which are subject to risks, uncertainties and contingencies. HEICO's actual results may differ materially from those expressed in or implied by those forward-looking statements as a result of factors including, but not limited to: lower demand for commercial air travel or airline fleet changes, which could cause lower demand for our goods and services; product specification costs and requirements, which could cause an increase to our costs to complete contracts; governmental and regulatory demands, export policies and restrictions, reductions in defense, space or homeland security spending by U.S. and/or foreign customers or competition from existing and new competitors, which could reduce our sales; HEICO's ability to introduce new products and product pricing levels, which could reduce our sales or sales growth and HEICO's ability to make acquisitions and achieve operating synergies from acquired businesses, customer credit risk, interest and income tax rates and economic conditions within and outside of the aviation, defense, space, medical, telecommunications and electronics industries, which could negatively impact our costs and revenues. Parties receiving this material are encouraged to review all of HEICO's filings with the Securities and Exchange Commission, including, but not limited to filings on Form 10-K, Form 10-Q and Form 8-K. We undertake no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise, except to the extent required by applicable law.