NIWOT, Colo.--(BUSINESS WIRE)--Crocs, Inc. (NASDAQ: CROX) announced today that the Company entered into an amendment to its amended and restated credit agreement, expanding the existing $70M line of credit set to expire in December 2016 with a five year $100M revolving line of credit, which includes a 50 basis point reduction in interest rates over the existing line of credit.
“The amendment to our credit agreement allows us to take advantage of historically low interest rates and provides us with additional financial capability to execute our strategic and capital allocation plans”
The loan is provided by PNC Bank, N.A., a member of The PNC Financial Services Group, Inc. (NYSE:PNC). JPMorgan Chase Bank and Wells Fargo Bank, N.A. are also participants in the credit agreement.
“The amendment to our credit agreement allows us to take advantage of historically low interest rates and provides us with additional financial capability to execute our strategic and capital allocation plans,” stated Jeff Lasher, Chief Financial Officer of Crocs, Inc. “This improved credit agreement broadens our financial flexibility, increases our ability to repurchase shares and further bolsters our solid capital position.”
Borrowings under the revolving credit facility will bear interest at variable rates. Other changes to the credit agreement made by the amendment will be further described in the Company’s Form 8-K, to be filed with the Securities and Exchange Commission.
About Crocs, Inc.
Celebrating its 10th anniversary in 2012, Crocs, Inc. is a world leader in innovative casual footwear for men, women and children. Crocs offers several distinct shoe collections with more than 300 four-season footwear styles. All Crocs™ shoes feature Croslite™ material, a proprietary, revolutionary technology that gives each pair of shoes the soft, comfortable, lightweight, non-marking and odor-resistant qualities that Crocs fans know and love. Crocs fans “Get Crocs Inside” every pair of shoes, from the iconic clog to new sneakers, sandals, boots and heels. Since its inception in 2002, Crocs has sold more than 200 million pairs of shoes in more than 90 countries around the world. The brand celebrated reaching $1 billion in annual sales in 2011.
Visit www.crocs.com for additional information.
The matters regarding the future discussed in this news release include “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. These statements include, but are not limited to, statements regarding future revenue and earnings, backlog, future orders, prospects and product pipeline. These statements involve known and unknown risks, uncertainties and other factors which may cause our actual results, performance or achievements to be materially different from any future results, performances, or achievements expressed or implied by the forward-looking statements. These risks and uncertainties include, but are not limited to, the following: macroeconomic issues, including, but not limited to, the current global financial conditions; the effect of competition in our industry; our ability to effectively manage our future growth or declines in revenue; changing fashion trends; our ability to maintain and expand revenues and gross margin; our ability to accurately forecast consumer demand for our products; our ability to develop and sell new products; our ability to obtain and protect intellectual property rights; the effect of potential adverse currency exchange rate fluctuations and other international operating risks; our ability to open and operate additional retail locations; and other factors described in our most recent annual report on Form 10-K under the heading “Risk Factors” and our subsequent filings with the Securities and Exchange Commission. Readers are encouraged to review that section and all other disclosures appearing in our filings with the Securities and Exchange Commission. We do not undertake any obligation to update publicly any forward-looking statements, including, without limitation, any estimate regarding revenues or earnings, whether as a result of the receipt of new information, future events, or otherwise.