Update: Local Companies Secure Financing Deals

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In another sign that the corporate credit crunch is easing, Los Angeles-area companies ranging from shopping mall operator Macerich Co. to toymaker Mattel Inc. have announced refinancing of debt and credit facilities, albeit on tougher terms.

Macerich, a Santa Monica real estate investment trust, on Monday announced $446 million of financing activity on debt that was to mature this year, including a $205 million refinancing of North Bridge Center in Chicago at a fixed interest rate of 7.5 percent. Closer to home, the REIT closed on a two-year extension of the $54 million loan on Inland Center in San Bernardino.

The company said that upon completion of the financing plans, and excluding loans with built-in extensions, it will have $223 million of remaining 2009 loan maturities to deal with.

Mattel said it amended a credit agreement and receivables purchase facility to push back their maturity dates in exchange for increased fees and other conditions.

The El Segundo manufacturer said in regulatory filing late Friday that the deals with lenders would extend both facilities’ maturity dates to March 23, 2012. While the credit facility was lowered to $880 million, the company can boost it to $1.08 billion in certain instances.

In addition, Thomas Properties Group Inc. said Monday it reached an agreement with partners, including Lehman Brothers Holdings Inc., to restructure financing for a 10-property office complex in Austin, Texas.

The Los Angeles owner of offices, apartments and shopping centers said it will restructure a $292.5 million credit facility by replacing an unfunded $100 million commitment with $60 million of new senior secured financing provided by all of the partners.

Also on Monday, specialty staffing firm On Assignment Inc. said that it had reached agreement with its bank lending group to amend certain covenants and terms of the company’s senior secured credit facility

The Calabasas company, which caters to the health care industry, said the new deal relaxes leverage covenants in exchange for a higher interest rate. On Assignment also will voluntarily pre-pay $15 million of term loans.

The agreement “significantly enhances the flexibility of our capital base as we navigate today’s uncertain economic environment,” said Chief Executive Peter Dameris in a statement. “We are pleased that our lenders have recognized our resilient performance in the face of stiff macro-economic headwinds.”

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