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Overview

Bank of China contributes $10 million USD to $400 million syndicated term loan to Newell Rubbermaid for debt refinancing, working capital and general corporate purposes in 2008

Commitments (Constant USD, 2023)$14,084,461
Commitment Year•2008Country of Activity•United StatesDirect Recipient Country of Incorporation•United StatesSector•Industry, Mining, ConstructionFlow Type•Loan

Status

Project lifecycle

Completion

Pipeline: PledgePipeline: CommitmentImplementationCompletion

Timeline

Key dates

Commitment date
Sep 19, 2008
End (actual)
Sep 19, 2011
Last repayment (originally scheduled)
Sep 19, 2011

Stakeholders

Organizations involved in projects and activities supported by financial and in-kind transfers from Chinese government and state-owned entities

Ultimate beneficial owners

At least 25% host country ownership

Funding agencies

State-owned Commercial Banks

  • China Bank of Communications (BoCom or BoComm)

Cofinancing agencies

Private Sector

  • Bank of America, N.A.
  • Barclays Bank PLC
  • BNP Paribas S.A.
  • Citibank, N.A.
  • Credit Suisse AG
  • First Hawaiian Bank. Inc.
  • ING Bank N.V.
  • JPMorgan Chase Bank, N.A. (Chase Bank, formerly the Chase Manhattan Bank)
  • MUFG Bank, Ltd. (Formerly Bank of Tokyo-Mitsubishi UFJ, Ltd. (BTMU))
  • RBC Bank USA
  • Regions Financial Corporation (Regions Bank)
  • Royal Bank of Canada (RBC)
  • Sumitomo Mitsui Banking Corporation (SMBC)
  • The Chiba Bank, Ltd.
  • The Northern Trust Company
  • William Street LLC

State-owned Banks

  • Royal Bank of Scotland (RBS)

Receiving agencies

Private Sector

  • Newell Rubbermaid Inc.

Loan description

Bank of China contributes to $400 million syndicated term loan to Newell Rubbermaid for debt refinancing, working capital and general corporate purposes in 2008

Interest rate (t₀)•3.8575%Interest type•Variable Interest RateMaturity•3 years

Narrative

Full Description

Project narrative

On September 19, 2008, financial close was reached on a deal in which a syndicate of 19 banks, including Bank of Communications Co., Ltd. — entered into a $400,000,000 USD syndicated loan agreement with Newell Rubbermaid Inc., a multinational consumer goods company based in the United States that manufactures and markets household products and writing instruments. The loan's maturity was set for September 19, 2011, and the interest rate was LIBOR plus an applicable margin.On September 19, 2008, financial close was reached on a deal in which a syndicate of 19 banks, including Bank of Communications Co., Ltd. — entered into a $400,000,000 USD syndicated loan agreement with Newell Rubbermaid Inc., a multinational consumer goods company based in the United States that manufactures and markets household products and writing instruments. The loan's maturity was set for September 19, 2011, and the interest rate was LIBOR plus an applicable margin. 
The proceeds were used by the borrower for general corporate purposes, including refinancing existing debt and funding working capital. 
While Bank of Communications contributed $10,000,000 USD to this loan, the following lenders also participated: Bank of America, N.A. ($40,000,000 USD); JP Morgan Chase Bank, N.A. ($30,000,000 USD); The Royal Bank of Scotland plc ($30,000,000 USD); Barclays Bank PLC ($25,000,000 USD); Credit Suisse ($25,000,000 USD); Citibank, N.A. ($20,000,000 USD); William Street LLC ($20,000,000 USD); ING Bank N.V., Dublin Branch ($20,000,000 USD); The Bank of Tokyo Mitsubishi UFJ, Ltd. ($25,000,000 USD); The Northern Trust Company ($20,000,000 USD); Sumitomo Mitsui Banking Corporation ($25,000,000 USD); First Hawaiian Bank ($20,000,000 USD); PNC Bank National Association ($20,000,000 USD); Regions Bank ($20,000,000 USD); RBC Bank (USA) ($25,000,000 USD); BNP Paribas ($10,000,000 USD); U.S. Bank National Association ($10,000,000 USD); and The Chiba Bank, Ltd. ($5,000,000 USD). The company paid off the loan at the end of 2011.

Staff comments

1. Newell Rubbermaid Inc. (now Newell Brands) is an American company headquartered in Atlanta, Georgia, known for its portfolio of leading brands in office supplies, consumer goods, and commercial products, including Sharpie, Rubbermaid, and Graco. The company operates globally with a diverse range of products across multiple categories. 2. AidData estimates the interest rate by adding the 6-month average LIBOR rate in September 2008 and an applicable margin based on credit ratings (BBB or 0.4%).