Jul 19, 2011

Globecomm Systems Inc. entered into a new $72.5 million committed, secured credit facility with Citibank, N.A., which continues until October 31, 2014. The new facility replaces the Company's existing $65 million committed credit facility with Citibank. The credit facility provides for up to $50 million in term loans, a $15 million revolving credit facility, $10 million in commercial letters of credit and $30 million in standby letters of credit.

The term loan portion of the credit facility has increased from the existing $40 million to $50 million, of which $26.3 million continues to remain outstanding as a result of prior Company acquisitions. The increased term loan capacity is intended to accommodate the Company's continued growth. The credit facility will be used to provide bid bonds and performance bonds relating to projects and contracts worldwide and the revolving credit capacity supports the Company's working capital needs.

Andy Melfi, Senior Vice President and Chief Financial Officer of Globecomm Systems Inc., said: "As the Company grows and pursues acquisitions, Citibank continues to provide a competitive and stable source of liquidity. Citibank also provides us with critical support through its significant expertise and resources in global financial markets."