Royal Caribbean Group modifies loan conditions


Extensions until 2021

These changes extend RCL’s waiver of quarterly tested fixed charge coverage and net capitalization covenants in each credit facility until 2021 and increase the monthly tested minimum liquidity covenant for the duration of the extended waiver period. .

With these changes, the restrictions on the payment of cash dividends and share redemptions during the exemption period have been extended to 2021. guaranteed notes due 2023 and 11.5% of senior secured notes due in 2025.

Nordea Bank, New York Branch is the administrative agent for the $ 1.55 billion facility, the Bank of Nova Scotia is the administrative agent for the $ 1.925 billion credit facility and Bank of America, NA is the administrative agent for the $ 1 billion loan.

Export credit exemptions

RCL also entered into a letter of consent with KfW IPEX-Bank for the extension of the waiver of financial covenants amending the company’s Hermes-backed loan facilities, including those intended to finance Quantum of the Seas, Anthem of the Seas, Ovation of the Seas, Spectrum of the Seas and Odyssey of the seas, and the BpiFAE-backed loan facilities to finance Celebrity Edge, Celebrity Apex and Symphony of the Seas.

In each case, the waiver extends the period during which a breach of financial covenants will not trigger a mandatory prepayment or default under each facility until 2021.

Similarly, RCL modified the loan facilities backed by Finnvera contracted to finance Icon 1, Icon 2 and Icon 3 extend the period during which a breach of financial covenants will not trigger a default under each facility until 2021, provided certain structural improvements are made by the end of September.

As part of these consents and amendments, RCL has agreed that certain subsidiaries – none of which directly owns a vessel – will issue guarantees for outstanding debt under the export credit facilities.


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