WASHINGTON -- Welbilt Corp., a marker of commercial food-service equipment, said it reached agreement in principle with the agent for its senior bank lenders to extend a revolving credit capacity to September 1997.

The original expiration date was September 1993.

The Stamford, Conn., company said in filing with the Securities and Exchange Commission that the extended facility will allow for direct borrowings, including letters of credit, of up to $94 million.

Borrowings by Subsidiary

There could also be up to $6 million of direct borrowings by a Canadian subsidiary, Garland Commercial Ranges Ltd.

The SEC filing was in connection with a proposed offering of up to $100 million of senior notes as part of a refinancing plan.

Proceeds of the offering are to repay about $86 million of a term loan and temporarily reduce borrowings under the revolving credit facility.

Parent Issuing Stock

In addition, Welbilt's parent, CA Holding Corp., will issue $10 million of common shares. Proceeds will be used to retire $9.4 million of subordinated notes due 1998.

Kohlberg & Co., which organized the 1988 buyout of Welbilt through CA Holdings, has committed to buy shares not bought by other shareholders of the parent.

The Kohlberg partnership owns 70% of CA Holdings and the firm's principal, Jerome Kohlberg Jr., is a Welbilt director.

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