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Macquarie Infrastructure Corporation Completes Refinancing of IMTT, Secures Investment Grade Credit Rating for Subsidiary Debt

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Macquarie Infrastructure Corporation (NYSE:MIC) announced that its International-Matex Tank Terminals (“IMTT”) subsidiary has successfully completed a previously announced refinancing of approximately $1.7 billion of long-term debt and revolving credit facilities. The refinancing funded on Thursday, May 21, 2015, as anticipated.

The Standard & Poor’s and Fitch rating agencies have reviewed the financial condition of IMTT and both have assigned investment grade ratings of BBB- with a Stable outlook to the credit. The ratings were announced by the agencies in press releases published this morning.

“We are pleased with the outcome of the refinancing of IMTT and the receptivity of the market to the credit,” said James Hooke, chief executive officer of MIC. “The issuance of investment grade credit ratings by both S&P and Fitch underscores the sound financial condition of the business.”

Proceeds of the new debt package not used to refinance existing facilities will be available to fund growth projects at IMTT or other of MIC’s businesses.

IMTT’s new financing package includes $600 million of senior notes, $325 million of which mature in 10 years and $275 million of which mature in 12 years. The notes bear interest at a weighted average rate of 3.97%.

IMTT also refinanced its entire portfolio of $509 million of outstanding tax exempt bond debt. The maturity of the bonds increased from an average of 2.9 years to 7 years. The weighted average interest rate on the bonds is 1.73%, unhedged. IMTT is expected to fix the floating rate (1 month LIBOR) component of the interest rate using interest rate swaps with a maturity of approximately six years.

The business has also been provided with access to a revolving credit facility of $600 million that is currently undrawn. The interest rate on the revolver will vary with IMTT’s aggregate leverage. At current leverage levels, the first dollar drawn on the revolver would bear interest at a rate of 1.81%.

About Macquarie Infrastructure Corporation

Macquarie Infrastructure Corporation owns, operates and invests in a diversified group of infrastructure businesses providing basic services to customers in the United States. Its businesses consist of a bulk liquid terminals business, International-Matex Tank Terminals, an airport services business, Atlantic Aviation, a gas processing and distribution business, Hawaii Gas, and several entities comprising a Contracted Power and Energy segment. MIC is managed by a wholly-owned subsidiary of the Macquarie Group. For additional information, please visit the Macquarie Infrastructure Corporation website at www.macquarie.com/mic. MIC-G

MIC is not an authorized deposit-taking institution for the purposes of the Banking Act 1959 (Commonwealth of Australia). The obligations of MIC do not represent deposits or other liabilities of Macquarie Bank Limited ABN 46 008 583 542 (MBL). MBL does not guarantee or otherwise provide assurance in respect of the obligations of MIC.

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