Question-and-Answer Session
Operator
(Operator Instructions) Your first question comes from the line of Brandon Ferro – KeyBanc Capital Markets
Brandon Ferro – KeyBanc Capital Markets
I guess I’ll just limit my questions to the debt issues and then some of the organizational stuff you’re doing, can you kind of walk me through some of the maturities or debt items that you plan to pay down with the $150 million term loan.
Joe Scirocco
Yes, that’s pretty straight forward. The initial proceeds will be used to take out the ABL and based on the amortizations I mentioned earlier, there’s obviously a lot of financing costs associated with the various pieces of debt that we’re putting in place so that’s both term loan, senior term loan from Rhone, plus the US ABL and ultimately the French banking lines.
So that will be the use of capital. And that will leave us then with liquidity under the US ABL and plenty of room to maneuver.
Brandon Ferro – KeyBanc Capital Markets
How should we think about some of the other maturities you have due, the 50 million euro due at the end of June and then the deferred Rossi payment next year and the other European term loan you have.
Joe Scirocco
Well it really depends upon how we finalize things with our European lenders so I don’t want to attempt to be too precise about this but essentially we’re thinking that in 2009 and 2010 we will have somewhere in the range of maybe $100 million or so being amortized over that period of time and then the idea is that the entire, all these components of debt will term out over a multi year period, perhaps four years to be amortized over that period of time.
So the good news about this is that we have, we will have when this is all lined up, ample capacity for the near-term and if there is any concentration of maturities, it sort of comes in the 2012, 2013 time period so we’ve substantially pushed back any of these concerns with this financing. That’s why we’re so excited about it.
Brandon Ferro – KeyBanc Capital Markets
Can you give us a sense of how big the new multi year committed facility in Europe might be.
Joe Scirocco
I would just say it this way, we’re negotiating something that should enable us to wrap together all of the various components that are there now.
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