Casella Waste Systems Inc. entered into a credit agreement by and among Bank of America, N.A., as administrative agent, Bank of America, N.A., as lender, and the other lenders party thereto, the company and the company's subsidiaries identified therein. The credit facility, under which the company and its subsidiaries are co-borrowers, provides for a new term loan B facility in the amount of $350 million and a revolving credit facility in the principal amount of up to $160 million, with a $60 million sublimit for letters of credit. Additional loans of up to the greater of $100.0 million (plus the amount of certain voluntary prepayments) and an additional amount (subject to satisfaction of a consolidated secured net leverage ratio test of 4.00 to 1.00) may be made available under the credit facility upon request of the company, provided that the company is not in default at the time of increase and such other conditions as are reflected in the governing documents have been met, and subject to the receipt of commitments from lenders for such additional amount. On October 17, 2016, the company borrowed the entire principal amount of the term loan facility and $78.5 million under the revolving credit facility to be used to redeem of all of the company's outstanding 7.75% Senior Subordinated Notes due 2019, repay in full the company's existing loan and security agreement dated as of February 27, 2016, which matures on February 2020, and pay transaction related fees and expenses. Amounts outstanding under the credit facility accrue interest, at the company's option, at a rate per annum equal to either: (1) the base rate, as defined in the credit facility, or (2) an adjusted LIBOR rate, as defined in the credit facility, in each case plus an applicable interest margin. The applicable interest margin will be determined based on the company's net leverage ratio, as defined in the credit facility, with the interest initially set at (i) with respect to the term loan facility, 3.00% for adjusted LIBOR borrowings (with a 1.00% LIBOR floor) and 2.00% for base rate borrowings, and (ii) with respect to the revolving facility, 3.00% for adjusted LIBOR borrowings and 2.00% for base rate borrowings. The interest rate otherwise payable under the credit facility will be subject to increase by 2.00% per annum during the continuance of a payment default and may be subject to increase by 2.00% per annum during the continuance of any other event of default. The term loan facility matures October 17, 2023 and the revolving credit facility is available until October 17, 2021, in each case, subject to any extensions in accordance with the credit facility, at which time the applicable loans will become due and payable in full and the revolving commitments will terminate.