Alliance One International, Inc. Enters Into Agreement To Amend And Restate Senior Secured Revolving Credit Facility

 Alliance One International, Inc. Enters Into Agreement To Amend And Restate
                   Senior Secured Revolving Credit Facility

PR Newswire

MORRISVILLE, N.C., July 26, 2013

MORRISVILLE, N.C., July 26, 2013 /PRNewswire/ -- Alliance One International,
Inc. (NYSE: AOI) ("Alliance One" or the "Company") today announced it has
entered into an agreement (the "Amendment and Restatement Agreement") to amend
and restate its senior secured revolving credit facility. Upon the
effectiveness of the amendment and restatement, the senior secured revolving
credit facility will be in the amount of approximately $303.9 million, which
will automatically reduce to approximately $210.3 million in April 2014, and
will mature in April 2017, subject to a springing maturity in April 2014 if by
that date the Company has not deposited sufficient amounts to fund the
repayment at maturity of all then outstanding 5 ½% convertible senior
subordinated notes due 2014 of the Company (the "Convertible Notes").
Borrowings under the amended senior secured revolving credit facility will
initially bear interest at an annual rate of LIBOR plus 3.75% and base rate
plus 2.75%, as applicable, though the interest rate under the amended senior
secured revolving credit facility will be subject to increase or decrease
according to a consolidated interest coverage ratio.

The effectiveness of the amendment and restatement of the Company's senior
secured revolving credit facility is subject to the satisfaction of the
following conditions:

  othe issuance of senior secured second lien notes (the "Senior Notes") by
    the Company in an offering providing gross cash proceeds of no less than a
    specified amount;
  othe application of a portion of the net proceeds of such offering of
    Senior Notes to pay the principal of, and the redemption premium and
    interest on, the Company's $635 million in aggregate principal amount of
    10% senior notes due 2016 (the "Existing Senior Notes") in connection with
    the Company's previously announced conditional redemption of the Existing
    Senior Notes;
  othe deposit of the net proceeds of such offering of the Senior Notes not
    so applied to the redemption of all of the Existing Senior Notes to a
    segregated account maintained by the lenders to be used solely to purchase
    any and all of the Convertible Notes tendered in the Company's previously
    announced cash tender offer (the "Tender Offer") and, subject to
    conditions, to retire any remaining Convertible Notes not purchased in the
    Tender Offer, including repayment at maturity; and
  ocustomary closing conditions.

Upon the effectiveness of the amendment and restatement, the agreement
governing the amended senior secured revolving credit facility will permit the
issuance of the Senior Notes, the application of the net proceeds from the
offering of the Senior Notes to redeem the Existing Senior Notes on the August
2, 2013 redemption date and the purchase of the Convertible Notes in the
Tender Offer.

Certain amendments to the financial covenants included in the agreement
governing the senior secured revolving credit facility became effective upon
the execution of the Amendment and Restatement Agreement.

This press release is for informational purposes only and does not constitute
an offer to sell, or the solicitation of an offer to buy, securities or an
offer to purchase, or a solicitation of an offer to purchase, or a call for
redemption of, any securities. Any offer of the Senior Notes will be made
only by means of a private offering memorandum. The Tender Offer is being
made solely pursuant to an offer to purchase and the related letter of
transmittal, which set forth the complete terms of the Tender Offer. The
Senior Notes are not being registered under the Securities Act, or the
securities laws of any other jurisdiction, and may not be offered or sold in
the United States without registration or an applicable exemption from
registration requirements.

Forward-Looking Statements

This press release contains forward-looking statements. Actual results may
differ materially from those reflected in the forward-looking statements.
Additional information concerning factors that could cause actual results to
differ materially from those in the forward-looking statements is contained
under the heading of "Risk Factors" listed from time to time in the Company's
filings with the Securities and Exchange Commission, including its Annual
Report on Form 10-K for the fiscal year ended March 31, 2013, filed on June
17, 2013. In addition, it is not certain whether, and the Company can provide
no assurances that, the offering of the Senior Notes will be completed on the
terms described above or at all. Risks and uncertainties include market
conditions beyond the Company's control, including high-yield debt market
conditions.

SOURCE Alliance One International, Inc.

Website: http://www.aointl.com
Contact: Joel L. Thomas, (919) 379-4300
 
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