CROWN HOLDINGS, INC. ANNOUNCES AMENDMENT TO ITS CREDIT AGREEMENT AND PROPOSED REDEMPTION OF ITS 2¼% SENIOR NOTES DUE 2023 AND ITS ¾% SENIOR NOTES DUE 2023

Rhea-AI Summary

Crown Holdings, Inc. (NYSE: CCK) has amended its credit agreement to extend its maturity to August 2027 and increase commitments across several facilities. Post-amendment, commitments include $800 million in U.S. dollar revolving commitments and $1.8 billion in Term Loan A commitments. The company plans to utilize these facilities to redeem outstanding 2¼% and ¾% Senior Notes due in 2023, totaling €885 million. This strategic move aims to strengthen Crown's financial position.

Positive

• Credit agreement maturity extended to August 2027.
• Increased commitments totaling $3.25 billion across various facilities.
• Planned redemption of €885 million in Senior Notes enhances overall financial strategies.

Negative

• None.

YARDLEY, Pa., Aug. 8, 2022 /PRNewswire/ -- Crown Holdings, Inc. (NYSE: CCK) announced today that it has amended the credit agreement governing its senior secured credit facilities (such amendment, the "Amendment"). The Amendment extends the agreement's maturity to August 2027 and increases the commitments under several of the Company's existing facilities. Following the Amendment, the Company's commitments under its credit agreement will include $800 million in U.S. dollar-denominated revolving commitments, $800 million in multicurrency revolving commitments, $50 million in Canadian dollar-denominated revolving commitments, $1.8 billion in Term Loan A commitments, and €540 million in Term Euro commitments.

The Company expects to use proceeds from the senior secured credit facilities in order to pay for the redemption of the outstanding 2¼% Senior Notes due 2023 (with an aggregate principal amount outstanding of €335 million) and the ¾% Senior Notes due 2023 (with an aggregate principal amount outstanding of €550 million) (collectively, the "Senior Notes"), both of which were issued by Crown European Holdings S.A., a wholly-owned subsidiary of the Company.

The above description of the Amendment is qualified in its entirety by reference to the full text of the Amendment, which will be filed as an exhibit to an upcoming Current Report on Form 8‑K filing to be made by the Company.

Cautionary Note Regarding Forward-Looking Statements

Except for historical information, all other information in this press release consists of forward‑looking statements. These forward-looking statements involve a number of risks, uncertainties and other factors that may cause actual results to be materially different from those expressed or implied in the forward-looking statements. Important factors that could cause the statements made in this press release or the actual results of operations or financial condition of the Company to differ are discussed under the caption "Forward-Looking Statements" in the Company's Form 10-K Annual Report for the year ended December 31, 2021 and in subsequent filings made prior to or after the date hereof. The Company does not intend to review or revise any particular forward-looking statement in light of future events.

About Crown Holdings, Inc.

Crown Holdings, Inc., through its subsidiaries, is a leading global supplier of rigid packaging products to consumer marketing companies, as well as transit and protective packaging products, equipment and services to a broad range of end markets. World headquarters are located in Yardley, Pennsylvania. For more information, visit www.crowncork.com.

For more information, contact:
Kevin C. Clothier, Senior Vice President and Chief Financial Officer, (215) 698-5281, or
Thomas T. Fischer, Vice President, Investor Relations and Corporate Affairs, (215) 552-3720

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SOURCE Crown Holdings, Inc.

FAQ

What was announced by Crown Holdings on August 8, 2022?

Crown Holdings announced an amendment to its credit agreement, extending the maturity to August 2027 and increasing commitments under various facilities.

How much will Crown Holdings increase its credit commitments following the amendment?

Crown Holdings will increase its credit commitments to a total of $3.25 billion.

What will the proceeds from the credit facilities be used for?

The proceeds will be used to redeem outstanding Senior Notes due in 2023, amounting to €885 million.

What is the significance of the credit agreement amendment for Crown Holdings?

The amendment strengthens Crown Holdings' financial position by extending repayment timelines and increasing available credit.