KBR announces the completion of another important and positive step in its capital structure and deployment strategy. Building on its track record of strong earnings and cash generation, the favorable change in its business mix, including the recently announced exit from lump-sum EPC, and improvement in its corporate credit ratings, the Company replaced its $500 million Performance Letter of Credit ("PLOC") capacity with Revolving Credit Facility ("RCF") capacity under its existing Credit Agreement. The PLOC to RCF replacement allowed all capacity formerly available under the PLOC to effectively "convert", increasing RCF capacity from $500 million to $1 billion, with no change to RCF rates. Aggregate capacity under the Credit Agreement remains unchanged at $1.795 billion. 

"This marks another milestone in our capital structure evolution," said Stuart Bradie, KBR President and Chief Executive Officer. "Building on our strong earnings and cash performance in Q1 this gives KBR significant capital deployment flexibility at an opportune time. Further, it reflects our resilience, improved overall financial outlook and transformed and de-risked business mix."

KeyFacts Energy Industry Directory: KBR