Industry News | April 18, 2001
CKE Reports Amendment to Credit Facility
Other significant points of the amendment are as follows:
• The maturity has been shortened to February 1, 2002.
• Interest rates will increase on July 1, 2001 and October 1, 2001, depending on certain repayment thresholds. If such thresholds are not met, it will not constitute an event of default.
• The company must still meet certain minimum EBITDA requirements, although compliance with all other financial covenants has been waived through January 31, 2002.
• Capital expenditures are limited to $55 million for the fiscal year 2002 and may not exceed $20 million in any one quarter.
Andrew F. Puzder, CKE's president and chief executive officer said, "This amendment and waiver is important to our debt reduction program as we work toward complete refinancing of this credit facility as soon as reasonably practicable."
CKE Restaurants, Inc., through its subsidiaries, franchisees and licensees, operates more than 3,700 quick-service restaurants, including 980 Carl's Jr. restaurants located in 13 Western states and Mexico; 2,657 Hardee's restaurants in 32 states and 11 foreign countries; and 125 Taco Bueno restaurants in Texas and Oklahoma.
Food & Beverage
Thank you for signing up to receive QSR's flagship e-newsletter, A.M. Jolt. To help us better serve the information needs of our audience, please complete the information below.
In addition to A.M. Jolt, we also offer the following e-newsletters and communications. Please mark those you would like to receive.
- Business Services
- Cleaning & Sanitation
- Computer Systems/Software
- Dispensing Equipment
- Disposables, Packaging, Plastics
- Equipment Installation/Repair
- Financial Products/Services
- Food Products
- Franchise Opportunities
- Kitchen Equipment
- Safety Services/Products
- Security Systems