TransForce Finalizes New Credit Facility
Montreal, July 22, 2010 –TransForce Inc. (TSX: TFI-T), the leader in the Canadian transportation
and logistics industry, today announced that it has completed the arrangement of its new
$650-million credit facility with a syndicate of 15 lenders led by National Bank of Canada as
Administrative Agent, Sole Bookrunner and Co-Lead Arranger and Royal Bank of Canada as
Syndication Agent and Co-Lead Arranger.
As announced on July 13, 2010, the credit facility comprises a C$200-million five-year term loan
and a revolving line of credit for up to C$450 million with an initial term of three years that can be
extended by two one-year terms, subject to certain conditions. The interest rates will be variable,
with the term loan at 300 basis points and the revolving line of credit at 275 basis points above the
rate for bankers' acceptances. These spreads can only be lowered under certain conditions,
depending on the financial condition of the Company.
The credit facility is contingent on TransForce complying with certain covenants including those
based on its total debt to EBITDA ratio, senior debt to EBITDA ratio, and fixed charge coverage ratio.
TransForce intends to use the credit facility for corporate purposes consistent with its established strategy.