Real Alloy Holding, Inc., an indirect, wholly owned subsidiary of Real Industry, Inc., entered into a Revolving Credit Agreement with Bank of America, N.A., acting as a lender, letter of credit issuer, and swingline lender and as agent for all lenders, and with Bank of America (acting through its Canadian branch) as a lender, which provides for a $110 million senior secured revolving asset-based credit facility.

A portion of the proceeds of the ABL Facility was used to repay the outstanding indebtedness of the Borrowers party to the existing Revolving Credit Agreement, dated as of February 27, 2015, as amended with Wells Fargo Bank, National Association, the then-current agent and lender, and thus terminate such existing revolving credit facility.  The remaining availability from the ABL Facility will be used for working capital, capital expenditures and other general corporate purposes of the Borrowers. Bank of America may syndicate the ABL Facility in the future to add additional lenders.
 
The ABL Facility expires on March 14, 2022, unless earlier terminated in accordance with the Revolving Credit Agreement. However, if the maturity date for RA Holding’s 10% Senior Secured Notes is not extended at least 120 days prior to its current January 15, 2019 maturity date, or the redemption date for the Company’s Series B Preferred Stock (the “Preferred Stock”) is not extended at least 181 days prior to its current August 27, 2020 date, the ABL Facility shall expire 90 days prior to such current maturity date for the Notes or Preferred Stock.

The ABL Facility is divided into two sub-facilities, a U.S. sub-facility, and a Canadian sub-facility. The ABL Facility includes an $11 million swingline sub-facility, which can be used by the U.S. Borrowers or the Canadian Borrower subject to the U.S. Subfacility and Canadian Subfacility limits. The ABL Facility also includes a $25 million letter of credit sub-facility, of which up to $20 million can be used for letters of credit for the U.S. Borrowers and up to $5 million can be used for letters of credit for the Canadian Borrower.