Mission Coal Company – Gets Interim Access to $25 million of $56 million in New DIP Financing Commitments

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October 16, 2018 – Mission Coal Company requested Court authority [Docket No. 34] to obtain postpetition, debtor-in-possession (“DIP”) financing consisting of a superpriority priming multiple-draw term loan credit facility in the aggregate amount of no less than $202,941,464, which includes, “(i) the aggregate principal amount of up to $56,000,000 in respect of new money term loan commitments (the ‘New Money DIP Loans’), of which the aggregate principal amount of not more than $25,000,000 will be available to the Debtors on an interim basis in one or more draws in accordance with the Budget (as defined herein) and this order (this ‘Interim Order’) and (ii) a roll-up (the ‘Roll-Up’) of the entire Prepetition First Lien Obligations Amount (as defined below) plus the First Lien Accrued Adequate Protection Payments, of which (x) the aggregate principal amount of $50,000,000 of the Prepetition First Lien Obligations shall be rolled up and become DIP Loans hereunder upon entry of and pursuant to this Interim Order (the ‘Initial Roll-Up Loans’) (the DIP Loans approved pursuant to this Interim Order constituting the ‘Interim DIP Facility’) and (y) the aggregate amount of the remainder of the Prepetition First Lien Obligations Amount (including, for the avoidance of doubt the Prepayment Premium (as defined in the First Lien Credit Agreement)), plus the First Lien Accrued Adequate Protection Payments, shall be rolled up and become DIP Loans on a final basis upon entry of, and subject to the terms of, the Final Order (as defined below) (the ‘Final Roll-Up Loans’) ((x) and (y) together, the ‘Roll Up Loans’ (together with the New Money DIP Loans, the ‘DIP Loans’) and all DIP Loans approved pursuant to such Final Order constituting the ‘Final DIP Facility’), subject to the Interim DIP Order, and as set forth in the DIP Documents.”

The Debtors’ DIP financing request was approved by the Court on October 16, 2018 [Docket No. 64].

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