SOUTHFIELD, Mich. — Credit Acceptance Corp. recently announced that it has extended the maturity of its credit facility with a commercial bank syndicate from June 22, 2010 to June 23, 2011.

The amount of the facility was reduced from $153.5 million to $140 million.

The interest rate on borrowings under the facility has been increased from the prime rate minus 0.60 percent or 1.25 percent over the Eurodollar rate, at the company's option, to the prime rate plus 1.0 percent or 2.75 percent over the Eurodollar rate.

The Eurodollar rate is subject to a floor of 1.50 percent. In addition, certain financial covenants were modified as follows:

—The maximum Funded Debt to Tangible Net Worth ratio was reduced from 4.0 to 1.0 to a ratio of 3.25 to 1.0

—The minimum Fixed Charge Coverage ratio was increased from 1.75 to 1.0 to a ratio of 2.0 to 1.0

—The minimum Asset Coverage Ratio was increased from 1.0 to 1.0 to a ratio of 1.1 to 1.0

The credit facility continues to be secured by a lien on most of the company's assets. As of June 15, 2009 the  company had $107.6 million outstanding under the agreement.