Business
Badger Income Fund announces new credit facility
Badger Income Fund announces new credit facility.
About this update from Badger Infrastructure Solutions Ltd
[{"type":"text","content":"\n\n\n\nTSX-BAD.UN\n\n\nCALGARY, Jan. 5 /CNW/ - Badger Income Fund (the \"Fund\" or \"Badger\") is\npleased to announce the closing of a new $20 million extendable revolving\ncredit facility that replaces the existing $12 million demand operating\nfacility. The Toronto Dominion facility will be used to repay existing demand\noperating line advances, finance Badger's capital expenditure program and for\ngeneral corporate purposes. The facility has no required principal repayments.\nThe facility expires on June 30, 2007 renewable at Badger's option for an\nadditional 364 day period. If not renewed, interest is payable on the facility\nfor 364 days after which the entire amo unt is to be repaid.\n\n\nBadger Income Fund is an open-ended trust that is North America's largest\nprovider of non-destructive excavating services. Badger traditionally works\nfor contractors and facility owners in the utility and petroleum industries.\nOur key technology is the Badger Hydrovac, which is used primarily for safe\ndigging in congested grounds and challenging conditions. The Badger Hydrovac\nuses a pressurized water stream to liquefy the soil cover, which is then\nremoved with a powerful vacuum system and deposited into a storage tank.\nBadger manufactures its truck-mounted hydrovac units.\n\n\nBadger Income Fund's business model involves the provision of excavating\nservices through two distinct entities: the Operating Partners (franchisees in\nthe United States and agents in Canada), and Badger Corporate. Badger\nCorporate works with its Operating Partners to provide Hydrovac service to the\nend user. In this partnership, Badger provides the expertise, the trucks, and\nNorth American marketing and administration support. The Operating Partners\ndeliver the service by operating the equipment and developing their local\nmarkets. All work is invoiced by Badger and then shared with the Operating\nPartner based upon a revenue sharing formula. In limited locations Badger has\nestablished corporate run operations to market and deliver the service in the\nlocal area.\n\n\nThis press release contains forward-looking statements subject to various\nrisk factors and uncertainties, which may cause the actual results,\nperformances or achievements of Badger to be materially different from any\nfuture results, performances or achievements expressed or implie...