Calumet Accelerates Debt Paydown with $150 Million Note Redemption

The redemption will be executed at 102.438% of the principal amount, plus accrued and unpaid interest. This latest maneuver builds on a series of financial actions taken by the Indianapolis-based manufacturer, including a $100 million note redemption in July and the full repayment of a $15.5 million terminal asset financing arrangement in Montana.

CFO David Lunin noted that the aggressive debt reduction program is expected to generate roughly $26 million in annual cash interest savings. The company plans to leverage its current operating momentum to continue deleveraging while pushing ahead with growth initiatives in its Specialties and Montana Renewables divisions.