News

Popeyes' parent company completes refinancing

December 28, 2011

AFC Enterprises Inc., the Atlanta-based parent company of Popeyes' Louisiana Kitchen, has successfully refinanced its bank credit facility. The effort began a year ago and concluded with an improved interest rate of 3.8 percent.

As a result of the refinancing, AFC Enterprises is no longer required to furnish an independent credit rating. The company therefore requested that Standard & Poor's withdraw its rating following S&P's Sept. 23 upgrade of the company's credit rating from B+ to BB- with a stable outlook. Moody's credit rating was withdrawn as of March 14, also at the company's request.

"We are pleased with our 2010 credit facility and the strong partnership we enjoy with our banks. The facility continues to meet the company's needs for growth and recognizes the strong cash flow of our business model. We appreciate the service we have received from both credit rating agencies. We made this decision as part of our on-going company-wide initiatives to gain efficiencies and reduce costs," said Mel Hope, AFC's chief financial officer.

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