SOURCE: Prometric

Prometric

April 12, 2012 15:20 ET

Prometric Completes $175 Million Credit Facility With TD Securities on Strength of Superior Business Performance

BALTIMORE, MD--(Marketwire - Apr 12, 2012) - Prometric, a trusted provider of market-leading test development and delivery solutions, announced today that it has signed a $175 million credit agreement with TD Securities as lead arranger and agent. Based on the strength and diversity of Prometric's global business portfolio, products/service lines and the company's superior financial performance over the past four years, TD Securities arranged a five-year, $165 million term loan and a five-year, $10 million revolving line of credit funded by nine banks. The credit facilities will refinance the remaining debt from Prometric's purchase by parent company ETS (Educational Testing Service), while providing working capital for corporate initiatives.

"Prometric focuses on being the trusted testing solutions partner that can deliver a full lifecycle of services faster, better and cheaper than other alternatives in the industry, and that has proven to be a successful business strategy for more than two decades," said Michael Brannick, President and CEO of Prometric. "Our strong balance sheet and excellent credit standing helped us obtain optimally low rates, which over the next five years will contribute to our future growth in U.S. and international markets. The interest of such a highly respected financial partner as TD Securities to conduct business with us at this time is testimony to the superior performance we have proven in good economic times and bad, a great measure of respect for our world-class client partners and trends of stable growth and increasing demand for high-stakes testing and assessment solutions."

The new financing will be provided at improved current market rates driven by the financial strength of the company and will help drive Prometric's flexibility to advance its market-leading service offerings for clients in the Academic, Financial, Healthcare, Information Technology, Government, Professional Associations and Corporate industries.

Ted Hopkinson, Head of Corporate Banking for TD Bank, a TD Securities affiliate and one of the lenders in the transaction, remarked, "Prometric's strategic business model helps insulate the company during economic downturn and enables it to leverage its resources and emerge even stronger when the economy trends upward. We are excited about our new relationship with them. The diversity of its business portfolio, products and service offerings and global infrastructure, coupled with the stability of its experienced leadership team, provide the right collection of attributes that we consider essential to finance a credit facility of this kind."

Prometric has experienced sustained revenue growth and high retention of major clients since its purchase by ETS, in 2007, while substantially paying down the previous debt. The company expects continued strength in an industry characterized by a higher demand for educated workers with professional credentials -- driven in part by market dynamics and government regulatory bodies.

About Prometric
Prometric, a wholly-owned subsidiary of ETS, is a trusted provider of technology-enabled testing and assessment. Its market-leading test development and delivery solutions allow clients to develop and launch global testing programs as well as accurately measure program results and data. Prometric reliably delivers and administers nearly 10 million tests a year on behalf of approximately 400 clients in the academic, financial, government, healthcare, professional, corporate and information technology markets. It delivers tests flexibly via the Web or by utilizing a robust network of nearly 10,000 test centers in more than 160 countries. For more information, please visit www.prometric.com.

About TD Securities
As a leading investment bank, TD Securities provides a wide range of capital market products and services to corporations, governments and institutions. Our clients choose us for our knowledge, innovation and experience in the following key areas of finance: investment banking, corporate and public finance, capital markets, interest rate, currency and derivative products. TD Securities works with clients around the world, and our services include the underwriting and distribution of new debt and equity issues, providing advice on strategic acquisitions and divestitures, and executing daily trading and investment needs. TD Securities is a trademark of The Toronto-Dominion Bank and represents TD Securities (USA) LLC and certain investment banking activities of The Toronto-Dominion Bank and its subsidiaries.

About ETS
Founded in 1947, ETS is the world's largest private, nonprofit educational testing and measurement organization and a leader in education research. ETS products and services measure knowledge and skills, promote learning and performance, and support education and professional development. ETS is located on the Web at www.ets.org.

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