WCI Communities
Receives Debt Waivers
From The Wall Street Journal Online
January 18, 2008
The troubled condo developer WCI Communities Inc. has survived another round of negotiations with its lenders. The company, whose chairman and largest shareholder is billionaire Carl Icahn, received waivers on certain terms of its revolving credit line and term loan.
WCI, Bonita Springs, Fla., says it reduced the amount of the credit line and agreed to "increase the pricing of the loans," but didn't provide any additional details. "We appreciate the continued support of our senior lenders and believe that these amendments enhance WCI's financial flexibility," Chief Executive Jerry Starkey said in a statement. WCI's new agreements with its banks extend until June 30, 2009.
The lead banking agent on its revolving credit line was Bank of America Corp., while KeyCorp was the lead bank on WCI's term loan.
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