Red Lion Hotels Completes Expansion of Its Credit Facility with Wells Fargo

SPOKANE, WA—Red Lion Hotels Corporation has completed the expansion of its credit facility agreement with Wells Fargo Bank. Under the secured facility, Red Lion Hotels obtained $45 million in a term loan with a 15-year amortization maturing in June 2018.

Proceeds from the term loan were used to refinance approximately $38 million in maturing CMBS debt and pay expenses in connection with the transaction. The remainder will be used to invest in capital expenditures and for general corporate purposes.

Additionally, a $10-million, two-year revolving line of credit is available under the facility. The company has pledged 19 Red Lion properties as collateral for the new agreement.

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