Johnson Outdoors has announced the replacement of its revolving credit facility with a streamlined capital structure, reducing annual borrowing costs. The new debt financing includes a cash flow-based loan agreement, with fewer financial covenants and simplified reporting requirements compared with the previous asset-based facility. The revolving credit facility provides financing for up to $90 million maturing in five years, with an accordion provision for an incremental $25 million. The facility is reduced to $60 million from late June to late October, consistent with the company's reduced working capital needs during that period. Finally, the new revolving credit facility bears interest on a floating rate basis, with an interest rate based on Libor plus an applicable margin dependent on the company's performance. Johnson's existing term debt facility, arranged by Ridgestone Bank of Brookfield, Wisconsin, remains in effect. The company said that the new credit agreement reaffirms the confidence of its lenders in its ability to achieve sustained, long-term growth.  Johnson owns such brands as Ocean Kayak, Hummingbird marine electronics, Scubapro, Eureka and Jetboil.

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