MAUMEE, Ohio -- Dana recently announced that has completed the refinancing of its capital structure. Dana has paid down debt and replaced its secured term loan with $750 million in senior unsecured notes in a registered notes offering. Dana has also received lender commitments for a new $500 million revolving credit facility with a five-year maturity. Additionally, Standard & Poor's upgraded Dana's credit rating to BB- earlier in the week, reflecting an improved credit profile.

Due to the strong demand, Dana upsized the initial offering of $700 million and placed $750 million in senior notes, $400 million at 6.5 percent due in 2019 and $350 million at 6.75 percent due 2021.

The company said it continues the positive momentum of delivering results and strengthening its capital structure with this latest action. Over the past two years, Dana has restructured its operations, lowered its break-even point by approximately 35 percent, and improved operating results. Dana also voluntarily contributed $50 million to its U.S. pension plans in December.

"We are very pleased with the results and progress made over the past several years," said Dana CFO and Executive Vice President Jim Yost. "We have been able to capitalize on our improved credit ratings, operational performance, and our strong financial position to successfully recapitalize the business. The market response to Dana's offering was tremendous."

Through this refinancing, Dana said it significantly extends debt maturity, reduces ongoing interest cost, increases financial flexibility for growth and diversifies the lender base. The refinancing largely eliminates secured debt from the capital structure and reduces leverage.