NRG Lenders Agree to Reprice Its Term Loan B

Investors News Release

  View printer-friendly version
<<  Back

NRG Lenders Agree to Reprice Its Term Loan B

January 20, 2017 at 8:30 AM EST

Company to save approximately $60 million in interest expense over remaining life of loan

PRINCETON, N.J.--(BUSINESS WIRE)--Jan. 20, 2017-- NRG Energy Inc. (NYSE: NRG) announces it will reprice its $1.9 billion Term Loan B due June 2023. The transaction is leverage neutral and enhances free cash flow before growth via annual cash interest savings.

The transaction will reduce the interest rate margin on the term loan by 50 basis points to LIBOR +225 basis points. The LIBOR floor remains at 0.75%.

As a result, the Company expects interest savings over the remaining life of the loan to total approximately $60 million. Expected interest savings in 2017 are estimated to be approximately $9 million.

About NRG:

NRG is the leading integrated power company in the U.S., built on the strength of the nation’s largest and most diverse competitive electric generation portfolio and leading retail electricity platform. A Fortune 200 company, NRG creates value through best in class operations, reliable and efficient electric generation, and a retail platform serving residential and commercial businesses. Working with electricity customers, large and small, we continually innovate, embrace and implement sustainable solutions for producing and managing energy. We aim to be pioneers in developing smarter energy choices and delivering exceptional service as our retail electricity providers serve almost 3 million residential and commercial customers throughout the country.

Forward-Looking Statements:

This communication contains forward-looking statements that may state NRG’s or its management’s intentions, beliefs, expectations or predictions for the future. Such forward-looking statements are subject to certain risks, uncertainties and assumptions, and typically can be identified by the use of words such as “will,” “expect,” “estimate,” “anticipate,” “forecast,” “plan,” “believe” and similar terms. Although NRG believes that its expectations are reasonable, it can give no assurance that these expectations will prove to have been correct, and actual results may vary materially. Factors that could cause actual results to differ materially from those contemplated above include, among others, risks and uncertainties related to the capital markets generally.

The foregoing review of factors that could cause NRG’s actual results to differ materially from those contemplated in the forward-looking statements included herein should be considered in connection with information regarding risks and uncertainties that may affect NRG’s future results included in NRG’s filings with the SEC at

Source: NRG Energy Inc.

NRG Energy Inc.
Marijke Shugrue, 609-524-5262
Candice Adams, 609-524-5428
Kevin L. Cole, CFA, 609-524-4526
Lindsey Puchyr, 609-524-4527