Northfield, Illinois -- Details of how Stepan Company has funded its have emerged.
On 27 June 2013, Stepan took out a loan of $100m with five insurance companies. Stepan expects to pay back the loan in the years between 27 June 2019 to 27 June 2025 and will pay interest on the loan at 3.86%. The interest payments will be made twice a year. The agreement included covenants that are similar to Stepans' existing long-term debt agreements. If Stepan misses a payment, owners of more than half of the debt can ask for all the outstanding amount to be paid immediately.
Stepan can pay off the loan more quickly if it wishes. The loan is guaranteed by Stepan Specialty products LLC.
Full details of the agreement are available from the Stepan website: http://phx.corporate-ir.net/phoenix.zhtml?c=118345&p=IROL-secToc&TOC=aHR0cDovL2FwaS50ZW5rd2l6YXJkLmNvbS9vdXRsaW5lLnhtbD9yZXBvPXRlbmsmaXBhZ2U9OTAxNjc2OSZzdWJzaWQ9NTc%3d&ListAll=1
