FreightCar America, Inc. announces new $35 million asset-based lending credit facility

FreightCar America, Inc. (“FreightCar America” or the “Company”), a diversified manufacturer and supplier of railroad freight cars, railcar parts and components, today closed a new Asset-Based Lending (“ABL”) credit facility with Bank of America. The new ABL credit agreement will provide FreightCar America with a $35 million revolving credit facility and be used to optimize working capital needs and improve financial flexibility.

Highlights

• The Company secured a new $35 million ABL credit facility with Bank of America
• New facility structured with a maturity of 4 years and 9 months from the closing date
• Provides a lower interest rate of SOFR + 175, reducing credit facility borrowing costs by approximately 35% compared to the Company’s previous ABL credit facility
• The facility will provide financial flexibility to support ongoing growth and strategic initiatives

Michael Riordan, Chief Financial Officer of FreightCar America, commented, “We are excited to partner with Bank of America to announce the closing of a new ABL revolving credit facility. This agreement marks another important step in our comprehensive refinancing efforts, which enhances our ability to manage working capital needs and optimize our borrowing costs.”

For additional information about the Company’s update, please refer to the Company’s Form 8-K filed today with the Securities and Exchange Commission.