Debt Financing
| Long Term Credit Lines and Interest Bearing Debt |
Nominal Amount as of June 30, 2020 |
Total Credit Line | Financial Covenants |
|
Term Loan ("TLB"), due March 2024 Libor + 600 - 700 basis points (linked to total leverage ratio (“TGLR”))* TLB, due March 2021 Libor + 250basis points |
USD 520.4 million
USD 2.0 million |
None, but incurrence test: total net leverage ratio ≤ 2.00x** | |
|
Revolving credit facility ("RCF"), due September 2023 Libor + margin of 450-600 bps (linked to TGLR)* + utilization fee USD 135 million Revolving credit facility ("RCF"), due September 2020 Libor + margin of 325-625 bps (linked to TGLR) + utilization fee |
USD 215.0 million
USD 135.0 million |
USD 215.0 million
USD 135.0 million
|
Maintenance covenant: total net leverage ratio ≤2.75x** and minimum liquidity the higher of $75 million or 5% of net interest-bearing debt
|
| Japanese ECF, 12 year with semi-annual installments. 50% fixed/ 50% floating interest rate | USD 298.5 million | None, but incurrence test for loan 3&4: Total leverage ratio ≤ 3.00x** and Interest coverage ratio ≥ 2.0x** |
*If rating below B3/B- (stable outlook) from Moody’s or S&P, respectively, TLB margin 7.50% and RCF margin 6.50%.
**Total Net Leverage Ratio is the ratio of consolidated indebtedness (including IFRS lease liabilities) of PGS ASA net of consolidated unrestricted cash and cash equivalents and restricted cash held for debt service in respect of the Export Credit Financing divided by 12 month rolling EBITDA adjusted for non pre-funded MultiClient investments.
Credit Rating
| Rating agency | Date of rating | Rating | Outlook |
| Moody’s | July 17, 2020 | Caa1 | Negative Outlook |
| Fitch | April 27, 2020 | CCC | |
| S&P | September 21, 2020 | SD |
For credit rating definitions, please see link for Moody’s.