American Pacific Corporation Completes Debt Refinancing

           American Pacific Corporation Completes Debt Refinancing

PR Newswire

LAS VEGAS, Oct. 29, 2012

LAS VEGAS, Oct. 29, 2012 /PRNewswire/ --American Pacific Corporation ("AMPAC"
or the "Company") (NASDAQ: APFC) announced today that it completed the
refinancing of its senior debt.

On October 26, 2012, the Company entered into an $85 million senior secured
credit agreement (the "Credit Facility").Under the Credit Facility, the
Company (i) obtained a term loan in the aggregate principal amount of $60
million, with an initial maturity in 5 years, and (ii) may obtain revolving
loans of up to $25 million in aggregate principal amount. The Company may
prepay and terminate the Credit Facility at any time, without premium or
penalty. The initial annual interest rate is expected to be LIBOR plus 225
basis points plus fee amortization and expenses. The Credit Facility is
secured by substantially all of the assets of the Company and contains
customary and negotiated covenants and events of default. 

Concurrently, the Company terminated its existing asset based lending credit
agreement and redeemed its outstanding 9% senior secured notes with an
outstanding principal amount of $65 million.The redemption price for the
notes was 102.25% of the outstanding principal amount plus accrued
interest.On October 26, 2012, the Company irrevocably deposited funds with
the trustee in an amount equal to the redemption price for the notes and the
related indenture was discharged. Funds used to redeem the notes included the
net proceeds from the Credit Facility term loan and available cash.

KeyBanc Capital Markets acted as Joint Lead Arranger, Sole Bookrunner and
Administrative Agent. Merrill Lynch, Pierce, Fenner & Smith Incorporated acted
as Joint Lead Arranger and Bank of America, N.A. acted as Syndication Agent.

RISK FACTORS/FORWARD-LOOKING STATEMENTS

Statements contained in this press release that are not purely historical are
forward-looking statements within the meaning of the Private Securities
Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as
amended, and Section 21E of the Securities Exchange Act of 1934, as amended.
Such forward-looking statements include statements regarding AMPAC's
expectations, beliefs or intentions regarding the future and other statements
of management's opinion. Forward-looking statements in this press release
include without limitation statements concerning or relating to expectations
of AMPAC's of future interest rates under its Credit Facility. Words such as
"anticipate", "expect", "can", "will" and similar expressions are intended to
identify forward-looking statements.Forward-looking statements involve known
and unknown risks, uncertainties and other factors that may cause AMPAC's
actual results, market performance or achievements to differ materially from
any future results, performance or achievements expressed or implied by such
forward-looking statements. The inclusion of forward-looking statements should
not be regarded as a representation by AMPAC that any of its expectations will
be achieved.Factors that could cause actual results to differ materially from
such forward-looking statements include risks and uncertainties detailed in
AMPAC's periodic and other filings with the Securities and Exchange
Commission, including in Management's Discussion and Analysis of Financial
Condition and Results of Operations and in Risk Factors in AMPAC's annual
report on Form 10-K for the fiscal year ended September 30, 2011 and quarterly
reports on Form 10-Q for the quarters ended December 31, 2011, March 31, 2012
and June 30, 2012. All forward-looking statements contained in this release
are made as of the date hereof, based on information available to AMPAC as of
the date hereof, and AMPAC assumes no obligation to update any forward-looking
statement, whether for actual results or otherwise, except as required by law.

ABOUT AMERICAN PACIFIC CORPORATION

AMPAC is a leading custom manufacturer of fine and specialty chemicals. AMPAC
supplies active pharmaceutical ingredients and advanced intermediates to the
pharmaceutical industry. For the aerospace and defense industry, AMPAC
provides specialty chemicals used in solid rocket motors for space launch and
military missiles.AMPAC produces clean agent chemicals for the fire
protection industry, as well as electro-chemical equipment for the water
treatment industry. Additional information about can be found at
www.apfc.com.

Contact: Dana Kelley – (702) 735-2200
E-mail: InvestorRelations@apfc.com
Website: www.apfc.com

SOURCE American Pacific Corporation

Website: http://www.apfc.com
 
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