Friday, October 24, 2008
Freescale Pulls $460M From Credit Line
Austin-based Freescale Semiconductor said Friday that it has drawn $460M from its $750M revolving credit facility, following the lead of a number of firms which have been proactively drawing down their credit lines because of the ongoing financial crisis. Freescale said the decision to draw on the credit was made to "further enhance" the company's liquidity and cash position. The company said it has cash and cash equivalents of approximately $1.3B as of September 26th. Freescale also disclosed that it had requested $60M of the revolving credit facility from Lehman Commercial Paper, Inc., which was not honored, due to Lehman's bankruptcy on October 5th.