On Assignment eliminates loan Libor floor

摘要

Staffing company on assignment is one of many US borrowers that have taken the opportunity of a leveraged loan refinancing to remove an unwanted Libor floor, which can artificially increase their borrowing costs. Leveraged loans typically pay an interest margin plus Libor, but Libor floors were added during the financial crisis to guarantee minimum yields for investors after Libor rates plummeted.