-- Facility Increased to $325 million and Extended to 2021 --
HOUSTON--(BUSINESS WIRE)--Feb. 23, 2016--
Comfort Systems USA, Inc. (NYSE: FIX), a leading provider of
mechanical services including heating, ventilation, air conditioning,
plumbing, piping and controls, today announced that it has amended its
existing senior debt facility to increase the credit commitment amount
to $325,000,000 and to extend the term to February 22, 2021. Wells Fargo
Bank, National Association will serve as Administrative Agent for the
facility. BOKF, NA dba Bank of Texas was named Syndication Agent, and
Capital One, N.A. and Branch Banking and Trust Company were named
Co-Documentation Agents. The Company also welcomes SunTrust Bank to its
core group of lenders.
Brian Lane, Comfort Systems USA’s President and Chief Executive Officer,
said, “We are very pleased that our lenders have graciously provided us
with additional capacity and flexibility as we continue to seek paths to
return value to our stockholders. The facility complements our
rock-solid balance sheet and continues to provide an advantage in an
industry where owners and general contractors value partners with strong
financial foundations.”
The credit commitment under the facility has increased from $250,000,000
to $325,000,000, and the facility has a new five-year term. The facility
continues to provide advantageous credit costs, reasonable covenants,
and overall flexibility for the Company. This amendment also includes
additional flexibility with respect to acquisitions, dividends and stock
buybacks.
Mr. Lane concluded, “This long-term facility will support our
operations, fund continued future growth and strengthen our resources to
continue returning cash to our stockholders.”
Comfort Systems USA® is a premier provider of business
solutions addressing workplace comfort, with 94 locations in 85 cities
around the nation. For more information, visit the Company’s website at
www.comfortsystemsusa.com.
Certain statements and information in this press release may
constitute forward-looking statements regarding our future business
expectations, which are subject to the safe harbor provisions of the
Private Securities Litigation Reform Act of 1995. The words “believe,”
“expect,” “anticipate,” “plan,” “intend,” “foresee,” “should,” “would,”
“could,” or other similar expressions are intended to identify
forward-looking statements, which are generally not historic in nature.
These forward-looking statements are based on the current expectations
and beliefs of Comfort Systems USA, Inc. and its subsidiaries
(collectively, the “Company”) concerning future developments and their
effect on the Company. While the Company’s management believes that
these forward-looking statements are reasonable as and when made, there
can be no assurance that future developments affecting the Company will
be those that it anticipates. All comments concerning the Company’s
expectations for future revenue and operating results are based on the
Company’s forecasts for its existing operations and do not include the
potential impact of any future acquisitions. The Company’s
forward-looking statements involve significant risks and uncertainties
(some of which are beyond the Company’s control) and assumptions that
could cause actual future results to differ materially from the
Company’s historical experience and its present expectations or
projections. Important factors that could cause actual results to differ
materially from those in the forward-looking statements include, but are
not limited to: the use of incorrect estimates for bidding a fixed-price
contract; undertaking contractual commitments that exceed the Company’s
labor resources; failing to perform contractual obligations efficiently
enough to maintain profitability; national or regional weakness in
construction activity and economic conditions; financial difficulties
affecting projects, vendors, customers, or subcontractors; the Company’s
backlog failing to translate into actual revenue or profits; failure of
third party subcontractors and suppliers to complete work as
anticipated; difficulty in obtaining or increased costs associated with
bonding and insurance; impairment to goodwill; errors in the Company’s
percentage-of-completion method of accounting; the result of competition
in the Company’s markets; the Company’s decentralized management
structure; material failure to comply with varying state and local laws,
regulations or requirements; debarment from bidding on or performing
government contracts; shortages of labor and specialty building
materials; retention of key management; seasonal fluctuations in the
demand for mechanical systems; the imposition of past and future
liability from environmental, safety, and health regulations including
the inherent risk associated with self-insurance; adverse litigation
results; an increase in our effective tax rate; an information
technology failure or cyber security breach; and other risks detailed in
our reports filed with the Securities and Exchange Commission.
For additional information regarding known material factors that
could cause the Company’s results to differ from its projected results,
please see its filings with the SEC, including its Annual Report on Form
10-K, Quarterly Reports on Form 10-Q, and Current Reports on Form 8-K.
Readers are cautioned not to place undue reliance on forward-looking
statements, which speak only as of the date hereof. The Company
undertakes no obligation to publicly update or revise any
forward-looking statements after the date they are made, whether as a
result of new information, future events, or otherwise.
View source version on businesswire.com: http://www.businesswire.com/news/home/20160223006935/en/
Source: Comfort Systems USA, Inc.
Comfort Systems USA
William George, 713-830-9600
Chief
Financial Officer