Mullen Group entered into a new $125.0 million credit agreement with PNC Bank Canada Branch.

"Our relationship with PNC began in 2021 through the acquisition of HAUListic LLC. With the addition of PNC to our lending group we now have $375.0 million of borrowing capacity providing additional liquidity and balance sheet flexibility, ensuring we can adapt to changing market and economic conditions, including the volatile interest rate environment. It also enables us to pursue strategic acquisition opportunities, providing growth to our organization and creating value for our shareholders," said Mr. Carson P. Urlacher, Senior Accounting Officer.

The $375.0 million of borrowing capacity comes from three unsecured revolving demand credit facilities consisting of the PNC Credit Facility, a $100.0 million credit facility with Canadian Imperial Bank of Commerce (the "CIBC Credit Facility"), and a $150.0 million credit facility with Royal Bank of Canada (the "RBC Credit Facility (collectively, the "Bank Credit Facilities"). All of the material terms of the PNC Credit Facility are consistent with those under the CIBC Credit Facility and the RBC Credit Facility.

As at December 31, 2023, we had $73.0 million drawn on the CIBC Credit Facility and the RBC Credit Facility, a decrease of $41.2 million from the $114.2 million drawn at September 30, 2023. The addition of the PNC Credit Facility now provides Mullen Group with over $300.0 million of borrowing availability on our Bank Credit Facilities.

The Bank Credit Facilities are available in, among other things, Canadian dollar loans, U.S. dollar loans and Canadian dollar banker's acceptances. Interest on the Bank Credit Facilities are based on either the Canadian bank prime rate plus 0.50 percent or U.S. bank base rate plus 0.50 percent, in each case payable monthly in arrears or banker's acceptance rates plus an acceptance fee of 1.50 percent payable upon acceptance.

The Bank Credit Facilities are unsecured although the Corporation's wholly owned subsidiary, MT Investments Inc., has granted an unlimited guarantee of any indebtedness owing on the Bank Credit Facilities. The Bank Credit Facilities are unsecured and uncommitted, and do not have any financial covenants although the Corporation cannot be in, and must provide notice of any, default of its obligations under any other credit agreement that it has entered into, and it must remain in compliance with certain reporting and general covenants customary for credit facilities of this nature.