Select Comfort Corp., Sleep Number airbed producer and retailer, has entered into an amended credit agreement with Wells Fargo Bank. The agreement is now unsecured, offers less restrictive covenants, reduces costs associated with the line of credit and extends the maturity date of the credit facility from July 1, 2012, to April 23, 2015, according to company filings.
The amended credit facility also contains an accordion feature that allows Select Comfort to increase the credit line to $50 million in total availability, subject to lender approval.
“Our sustainable and profitable growth formula, along with our strong balance sheet and cash flows, has provided us with the opportunity to improve the terms of our existing credit facility,” said Wendy Schoppert, chief financial officer of the Minneapolis-based company. “While we anticipate self-funding our growth through our cash-advantaged business model, the credit agreement continues to provide another layer of flexibility in our overall capital structure.”
