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Press release from CNW Group

Hudson's Bay Company Announces Repayment of Credit Facility

Wednesday, November 28, 2012

Hudson's Bay Company Announces Repayment of Credit Facility14:23 EST Wednesday, November 28, 2012/NOT FOR DISTRIBUTION IN THE UNITED STATES OR OVER UNITED STATES WIRE SERVICES/TORONTO, Nov. 28, 2012 /CNW/ - Hudson's Bay Company (TSX: HBC) (the "Company") announced that it has repaid its existing $450 million term loan facility with GE Capital Canada Finance Inc. and certain others with proceeds from a new $250 million senior non-revolving term loan facility dated November 26, 2012 (the "New Term Loan") with Bank of Montreal, as administrative agent, BMO Capital Markets and Canadian Imperial Bank of Commerce as co-Lead Arrangers and Joint Bookrunners, and certain other credit lenders, together with proceeds from its initial public offering which also closed on November 26, 2012. The New Term Loan is secured by a first priority security interest in certain of the real property of the Company and its subsidiaries (other than Lord & Taylor and its subsidiaries), matures two years from the closing date and bears interest at the bankers' acceptance rate plus 2.25%.  As of the date of this release, the New Term Loan utilizes the one month bankers' acceptance rate and bears interest at a rate of approximately 3.47%.  There are no scheduled principal repayments prior to maturity. The New Term Loan requires mandatory principal repayments upon the occurrence of certain events and contains representations, warranties and covenants, in each case customary for loans of this nature.No securities regulatory authority has either approved or disapproved of the contents of this news release. The securities being offered have not been, and will not be, registered under the United States Securities Act of 1933, as amended (the ''U.S. Securities Act''), or any state securities laws, and may not be offered or sold in the United States unless pursuant to an exemption therefrom. This press release is for information purposes only and does not constitute an offer to sell or a solicitation of an offer to buy any securities of Hudson's Bay Company in any jurisdiction.ABOUT HUDSON'S BAY COMPANY Hudson's Bay Company ("HBC"), founded in 1670, is North America's longest continually operated company and is a leading retailer offering a wide selection of branded merchandise in Canada and the United States through its three banners. In the United States, HBC operates Lord & Taylor, a fashion department store with 48 full-line store locations throughout the northeastern United States and in two major cities in the Midwest. In Canada, HBC operates Hudson's Bay, Canada's largest national branded department store with 90 locations. HBC also operates Home Outfitters, a kitchen, bed and bath superstore with 69 locations. With approximately 29,000 associates in Canada and the U.S., Hudson's Bay Company banners provide stylish, quality merchandise at great value and with a dedicated focus on exceeding customers' expectations.SOURCE: Hudson's Bay CompanyFor further information: MEDIA CONTACT: Tiffany Bourré Senior Manager, External Communications Hudson's Bay Company Phone: (905) 595-7184 Email: tiffany.bourre@hbc.com