IPC The Hospitalist Company Enters Into a New Five-Year $75 Million Credit Agreement

IPC The Hospitalist Company, Inc IPCM announced today that it has entered into a new $75 million, five-year secured revolving credit agreement with Wells Fargo Bank, National Association and Comerica Bank as lenders and with Wells Fargo as lead arranger and sole book runner and as administrative agent for the lenders. The credit agreement will mature on August 4, 2016 and contains an "accordion" feature that allows an increase of $25 million to the facility with lender approval. Interest rate options for each borrowing include LIBOR plus a margin of either 0.75% or 1.25% based on a leverage ratio, or the lender's prime rate. This new credit agreement replaces IPC's existing $30 million credit agreement that was scheduled to mature on September 15, 2011. At the time of closing there were no borrowings under the existing credit agreement.