Starwood Hotels & Resorts Worldwide, Inc. (NYSE: HOT) announced today that it has successfully completed an amendment to its existing Credit Agreements.Among other things, the amendment:
1) Increases the maximum leverage calculation from 4.5 times to 5.5 times
2) Refines the definition of EBITDA to exclude cash restructuring charges
3) Maintains full capacity at $1.875 billion
The amendments were done in exchange for upfront fees, higher interest rates and some additional modifications to the agreements. In addition, the Company pre-paid the $500 million bank term loan due June 29, 2009 by simultaneously drawing down its Revolver.