Business Context and Reporting Period
Company: Greenlight Capital Re, Ltd. (Greenlight Reinsurance, Ltd.)
Filing Type: Form 8-K (Current Report)
Date of Report: June 1, 2015
Jurisdiction: Cayman Islands
Event: Entry into a Material Definitive Agreement regarding a credit facility amendment.
Key Financial Metrics
This filing does not report revenue, profit, cash flow, margins, or general liquidity metrics. It specifically addresses a change in debt capacity:
- Facility Type: Letter of Credit Agreement with Butterfield Bank (Cayman) Limited.
- Previous Limit: US$60,000,000.
- New Limit: US$100,000,000.
- Effective Date: June 1, 2015.
- Termination Date: June 30, 2016 (subject to annual 364-day extensions unless cancelled).
Material Changes Versus Prior Period
The primary material change is the increase in the credit facility limit by US$40,000,000. Additionally, the Amendment Letter modifies the fees associated with the facility as previously set forth in the 2010 agreement. No other terms or conditions of the original agreement were altered.
Guidance, Outlook, and Risks
Management Commentary: The filing contains no forward-looking guidance, outlook, or management commentary beyond the factual description of the agreement amendment.
Risks and Contingencies: The facility is subject to cancellation if either party delivers written notice 90 days before the effective Facility Termination Date. Termination of the facility does not affect outstanding letters of credit existing at the termination date.
Investor Verification Checklist
- Verify the specific fee adjustments made in the Amendment Letter, as the filing states fees were amended but does not quantify the new rates.
- Confirm the current utilization of the US$100,000,000 facility to assess actual leverage.
- Review the original 2010 Amended and Restated Letter of Credit Agreement to understand the baseline terms that remain unchanged.
- Monitor future filings for any notice of cancellation regarding the facility extension.