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Fleetwood Enterprises Inc. announced today (Dec. 5) that it successfully negotiated an amendment to the Bank of America-led loan syndicate agreement that it reached last July.

“The covenants included in the amended agreement allow us to focus on improving operating results,” said Nelson Potter, Fleetwood’s president and CEO. “We believe that the revised requirements provide us with greater flexibility to adjust other factors in our business plan in case of a shortfall in operating results.”

The amended agreement established a “free cash flow” covenant, replacing the EBITDA (earnings before interest, taxes, depreciation and amortization) covenant in the original pact.

Also, the amended agreement allows Fleetwood to borrow up to $220 million. Originally, the amount was $260 million.

The amendment is retroactive to Oct. 28, the end of Fleetwood’s second fiscal quarter. Fleetwood will release its second fiscal quarter earnings report next Monday (Dec. 10).

Fleetwood executives told the financial community in September that it anticipates reporting a loss for the August-through-October period. It will be Fleetwood’s sixth consecutive quarterly loss.