COPT Enters into $1 Billion Line of Credit & $400 Million Term Loan

Corporate Office Properties Trust OFC announced today that, on August 5, 2011, it entered into a credit agreement, to be effective September 1, 2011, that provides for a new, $1 billion line of credit that matures on September 1, 2014, and may be extended by one year. The Credit Facility will replace the Company's existing $800 million line of credit, which was due to mature September 30, 2011. Also on August 5, 2011, the Company entered into a $400 million term loan agreement, also to be effective September 1, 2011, that has a four-year initial term and a one-year extension option. The Company is using proceeds from the Term Loan to replace its existing $225 million Revolving Construction Facility, which was due to mature in May 2012. COPT intends to use the remaining proceeds from the Term Loan for general corporate purposes, including any repurchases of the Company's 3.50% Exchangeable Senior Notes due 2026 that the Company may be required to make during the upcoming repurchase period relating to the notes upon the exercise by noteholders of their repurchase option.