MNC Financial Inc. today announced that it has renegotiated a crucial line of credit with a syndicate of banks headed by Morgan Guaranty Trust Co. of New York.
Under the new terms, the Baltimore bank holding company must repay $375 million on that line of credit on Jan. 14, an MNC spokesman said.
MNC, the parent company of Maryland National Bank, repaid the bank syndicate $175 million on its debt today.
To come up with the cash, MNC said, it closed the sale of its Leasing Division to General Electric Capital Corp. and reduced its debt by $275 million.
In a separate transaction, MNC was also able to pay $170 million in notes that were due today. The bank must also pay $546 million in notes in January and February.