US domestic container shipping company Horizon Linessays its has made a US$25.0 million prepayment on its outstanding long-term debt.A company statement says: “The US$25.0m prepayment is being applied to the current US$244.4m remaining balance on the US$250.0m term loan component of Horizon Lines' senior credit facility. The US$25.0m prepayment will reduce the outstanding term loan of US$244.4m by 10.2%, and reduce total debt outstanding of US$534.5m by 4.7%. Horizon Lines will also make regularly scheduled debt payments of US$5.1m shortly after its December 24, 2006 fiscal year end.”"This $25.0 million debt prepayment represents a continuation of our commitment to further reduce the Company's leverage," said Mark Urbania, senior vice president and chief financial officer. "This prepayment will result in annual gross interest savings of approximately $1.9 million, and net interest savings of approximately $.6 million beginning immediately. Going forward, reducing our leverage will continue to be a key component of our overall business strategy."
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