KeyW is now part of Jacobs. Learn more about this exciting combination.

KEYW Announces Amendment to Credit Agreement

HANOVER, Md., June 16, 2014 (GLOBE NEWSWIRE) — The KEYW Holding Corporation (Nasdaq:KEYW) today announced it has closed an amendment (the “Amendment”) to its amended and restated credit agreement dated as of November 20, 2012, as amended (the “Credit Agreement”). The Amendment modifies certain definitions and modifies pricing tiers to the interest rate margins applicable to borrowings under the Credit Agreement and adjusts KEYW’s financial covenants for the current quarter and future periods.

“We are pleased to have the support of our lenders in amending our credit facility,” commented Len Moodispaw, Chairman and CEO of KEYW. “The adjustments made in this amendment will allow KEYW the flexibility to continue the increased investments we’ve made in our commercial technology subsidiary, Hexis Cyber Solutions, and provides an ability for KEYW to meet other corporate objectives, as well.”

The Amendment:

  • Increases the maximum Consolidated Senior Leverage Ratio for the quarter ending June 30, 2014 to 4.00 to 1.00, decreases the same by twenty-five basis points per calendar quarter and through the quarter ending December 31, 2014; and thereafter reduces and sets the maximum Consolidated Senior Leverage Ratio to 3.00:1.00 through the Maturity Date;
  • Increases the maximum Consolidated Total Leverage Ratio for the quarter ending June 30, 2014 to 4.00 to 1.00, decreases the same by twenty-five basis points per calendar quarter and through the quarter ending December 31, 2014; and thereafter reduces and sets the maximum Consolidated Total Leverage Ratio to 3.50 to 1.00 through the Maturity Date; and
  • Increases the Consolidated Fixed Charge Coverage Ratio for the period from April 1, 2014 through the Maturity Date to 1.40 to 1.00.

The Amendment also modifies the definition of Consolidated EBITDA in the Credit Agreement to allow for the add back of “run rate” cost savings realized as a result of specified cost reduction actions provided that such add backs, taken together with others, do not account for more than 10% of Consolidated EBITDA

About KeyW
KeyW is an innovative national security solutions provider to the Intelligence, Cyber, and Counterterrorism communities. KeyW’s advanced technologies in cyber; intelligence, surveillance and reconnaissance; and analytics span the full spectrum of customer missions and enhanced capabilities. The company’s highly skilled workforce solves complex customer challenges such as preventing cyber threats, transforming data to actionable intelligence, and building and deploying sensor packages into any domain. For more information, please visit www.KeyWCorp.com and follow KeyW on Twitter @KeyWCorp.


Forward-Looking Statements: Statements made in this press release that are not historical facts constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements include, but are not limited to, statements containing the words “estimates,” “believes,” “anticipates,” “plans,” “expects,” ‘will,” “potential,” “opportunities,” and similar expressions. Our actual results, performance or achievements or industry results may differ materially from those expressed or implied in these forward-looking statements, including, but not limited to, express or implied statements concerning: our expectations regarding our future financial performance, including the potential impact of successful contract awards; our bid and proposal pipeline; our ability to achieve projected growth in certain of our business units and the expected timing of such growth; demand for our products, services and solutions serving the intelligence, cyber and counterterrorism communities; and performance of key contracts, including the timing of production related to certain of our contracts and product offerings. Factors that may cause our results to differ, potentially materially, from those expressed or implied in our forward-looking statements include, but are not limited to: risks to our business and financial results related to reductions and other spending constraints imposed on the U.S. Government, including as a result the Federal budget deficit and Federal government shut-downs; risks of adverse regulatory action or litigation; risks that changes, cutbacks or delays in spending by Intelligence Community (IC) customers, including the National Security Agency (NSA), the National Geospatial-Intelligence Agency (NGA), and other agencies within the IC, the Federal Bureau of Investigation, and the Department of Defense (DoD) may occur, which could cause delays or cancellations of key government contracts; risks of delays to or the cancellation of our projects as a result of protest actions submitted by our competitors; risks that changes may occur in Federal government (or other applicable) procurement laws, regulations, policies and budgets; risks related to changes in government and customer priorities and requirements (including cost-cutting initiatives, the potential deferral of awards, terminations or reduction of expenditures to respond to the priorities of Congress and the Administration; and those risk factors set forth in our Annual Report on Form 10-K, dated and filed March 16, 2018 with the Securities and Exchange Commission (SEC), and other filings that we make with the SEC from time to time. Due to such uncertainties and risks, investors are cautioned not to place undue reliance on such forward-looking statements. We are under no obligation to (and expressly disclaims any such obligation to) update or alter our forward-looking statements whether as a result of new information, future events or otherwise.

Media Contact:
Karen Coker
Director, Corporate Communications
443.733.1613
communications@keywcorp.com

Investor Contact:
Mark Zindler
Vice President, Investor Relations and Treasury
703.880.9379
investors@keywcorp.com