Griffon Corporation amended and extended its cash flow revolving credit facility pursuant to a previously disclosed commitment letter with JPMorgan Chase Bank N.A and J.P. Morgan Securities LLC.

The amended credit facility provides for revolving borrowings in an aggregate principal amount of up to $225 million (increased from $200 million) that will support Griffon’s working capital requirements and its anticipated growth strategies. The facility also has a $75 million accordion feature, exercisable if new or existing lenders agree to provide or increase their commitments. Maturity of the facility has been extended from March 2016 to March 2018. Griffon currently has no borrowings outstanding under the amended credit facility; there are approximately $23 million of standby letters of credit currently outstanding.

Griffon may elect to pay interest based on either a LIBOR or base benchmark rate, with no floor, plus an applicable margin that depends on Griffon’s leverage ratio. Current pricing is LIBOR plus 2.25% (compared to 2.75% prior to the amendment) or base rate plus 1.25% (compared to 1.75% prior to the amendment). The facility is guaranteed by Griffon’s material domestic subsidiaries, and is collateralized by substantially all the assets of Griffon and its material domestic subsidiaries. Under the amended credit facility certain negative covenants, such as those relating to restricted payments and acquisitions, were modified to provide Griffon with additional operating flexibility.

Griffon Corporation is a diversified management and holding company that conducts business through wholly-owned subsidiaries.