Flextronics establishes 4-Year revolving credit facility of $1.1 Billion

Flextronics (Nasdaq: FLEX) announced that it and its wholly owned subsidiary, Flextronics International USA Inc., have replaced its previous $880 million revolving bank credit facility with a new four-year revolving bank credit facility totaling $1.1 billion. The new agreement matures in 2008, enhancing Flextronics' access to liquidity for the next several years. This credit facility will provide Flextronics with increased financial flexibility in the improving economic climate.The new facility will replace the existing $347 million 364-day revolving credit facility which was due to expire in March 2004, and the three-year credit facility for $533 million which was due to expire in March 2005. The terms and conditions of this new credit agreement are improved from the Company's former credit facilities, resulting in interest expense savings and increased flexibility in the Company's covenants.The facility was arranged by ABN-Amro with Fleet Bank as co-arranger and the following syndication agents: Bank of America, Citigroup, Deutsche Bank, Credit Suisse First Boston, and Scotia Capital. Fourteen other global institutions have also joined this facility.Source: PCBnewsline