May 8, 2002
Kvaerner Philadelphia gets $100 million line of credit
Kvaerner Philadelphia Shipyard, Inc. (KPSI), Philadelphia, Pa., today announced the signing of an agreement on April 29, 2002 for a $100 million line of credit with Caterpillar Financial Services Corporation of Nashville, Tenn.
The line of credit will be used to supplement Kvaerner funds as construction financing for the first two Philadelphia Class 2600 teu containerships now under construction at the KPSI shipyard.
KPSI President and CEO Ron J. McAlear said: "We are pleased with our relationship with Cat Financial Services and that they have the confidence in our ability to build quality tonnage. Our continued commitment to containerships and our new positioning within Aker Kvaerner Yards will help to foster the developing relationship that we have with the Caterpillar Group".
Kvaerner Philadelphia is currently constructing its first two containerships, which include Caterpillar's MaK engines in their design. The yard says it will continue to build additional containerships as that market develops.
Caterpillar Financial Services Corporation is a wholly owned subsidiary of Caterpillar Inc. It provides a wide range of financing alternatives for Caterpillar machinery and engines, Solar gas turbines, MaK engines, and other equipment and marine vessels. The company also extends loans to customers and dealers. The line of credit agreement provides both Caterpillar, Inc. and Cat Financial the opportunity to further strengthen their long-term relationships with the businesses that now comprise the Aker Kvaerner Shipyard Group