ROSEVILLE, Calif., Feb. 1 /PRNewswire-FirstCall/ -- SureWest Communications (Nasdaq: SURW) announced today that it has entered into a letter agreement amending its unsecured Third Amended and Restated Credit Agreement (Credit Agreement) with CoBank, ACB dated as of September 19, 2008.
The letter agreement amends certain terms of the Credit Agreement with respect to its existing revolving loan facility. It provides for Union Bank, N.A., as a participating lender, to contribute $10 million towards the revolving loan facility. Accordingly, the letter agreement also re-establishes the total revolving loan commitment to $57.5 million, following a reduction to $50 million on December 31, 2009 per the original terms. CoBank will continue to provide the $2.5 million swingline facility, giving SureWest a total of $60 million in revolving commitments.
"We are very pleased to have successfully executed this agreement with CoBank and Union Bank," said SureWest President and CEO Steve Oldham. "These credit facilities remain unsecured and provide us with flexibility as we continue funding our growth through targeted sales and marketing tactics to increase penetration, as well as through the strategic capital expansion of our fiber-optic network that delivers the most bandwidth in the markets we serve."
The Form 8-K SureWest filed with the Securities and Exchange Commission today can be found at www.surw.com under "SEC filings."
SureWest Communications (www.surewest.com) is one of the leading integrated communications providers and is the bandwidth leader in the markets it serves. Headquartered in Northern California for more than 95 years, the company expanded into the Kansas City region in February 2008 with the acquisition of Everest Broadband, Inc. and offers bundled residential and commercial services that include IP-based digital and high-definition television, high-speed Internet, Voice over IP, and local and long distance telephone. SureWest was the nation's first provider to launch residential HDTV over an IP network and offers one of the nation's fastest symmetrical Internet services with speeds of up to 50 Mbps in each direction on its fiber-to-the-home network.
SOURCE SureWest Communications