Bloomberg the Company & Products

Bloomberg Anywhere Login

Bloomberg

Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world.

Company

Financial Products

Enterprise Products

Media

Customer Support

  • Americas

    +1 212 318 2000

  • Europe, Middle East, & Africa

    +44 20 7330 7500

  • Asia Pacific

    +65 6212 1000

Communications

Industry Products

Media Services

Follow Us

Businessweek Archives

Rjr Eases Its Debt Load


In Business This Week

RJR EASES ITS DEBT LOAD

Bid goodbye to another remnant of the overleveraged '80s: RJR Nabisco has recaptured investment-grade ratings for most of its $14 billion debt load. The food-and-tobacco giant, whose $29 billion in debt equaled about 95% of capitalization when it went private in 1989, has chopped its debt to 62%. RJR also expects to close a new pact soon that will lower the rate on its $3 billion in bank loans by about two percentage points, to less than 7%, and ease restrictive covenants. The result: more strategic flexibility as RJR tries to expand its tobacco and food businesses in Eastern Europe and Mexico and its food business in Latin America.EDITED BY G. DAVID WALLACE


LIMITED-TIME OFFER SUBSCRIBE NOW
 
blog comments powered by Disqus