Huttig Building Products, Inc., a leading domestic distributor of millwork, building materials and wood products, announced it has entered into an agreement to amend and extend its $120 million senior secured credit facility. The amendment, among other things, increases borrowing capacity from $120 million to $160 million, reduces interest rate charges and extends the facility for five years from the execution date, to May 28, 2019. The amended facility may be increased to $200 million, through an uncommitted $40 million accordion feature, subject to certain conditions. General Electric Capital Corporation (GECC) and Wells Fargo Capital Finance, LLC (Wells Fargo) are co-lenders under the facility.

Philip W. Keipp, Huttig's Vice President and Chief Financial Officer, said, "While our existing credit agreement did not expire until December 2017 we believe that the current lending market, along with our improved financial performance, provides an opportunity to secure a long-term agreement which works very well for the Company. We are pleased to continue our relationship with GECC and Wells Fargo who have been valued lending partners."

Pricing for the amended facility is based on LIBOR plus 150 to 225 basis points, depending on levels of average borrowing availability. Under the prior facility, executed in December 2012, pricing was at LIBOR plus 225 to 275 basis points. At closing, the initial pricing is LIBOR plus 200 basis points. Index pricing was also reduced.

"We believe the amended facility will enhance our financial flexibility and provide greater liquidity to support our business growth," said Keipp.

Huttig Building Products, Inc., currently in its 130th year of business, is one of the largest domestic distributors of millwork, building materials and wood products used principally in new residential construction and in home improvement, remodeling and repair work. Huttig distributes its products through 27 distribution centers serving 41 states.