December 4, 2009 (FinancialWire) — Rent-A-Center, Inc. (NASDAQ: RCII) said it has closed an amendment and extension of its Amended and Restated Credit Agreement dated November 15, 2006, with JPMorgan Chase Bank, N.A. (NYSE: JPM) as administrative agent. Pursuant to the amendment, the company’s senior credit facility was revised as follows:

The final maturity of $82.5 million out of the company’s $165 million outstanding Term Loan A was extended from June 2011 to September 2013 and such portion now bears interest at LIBOR plus 2.75%. The final maturity of $300 million out of the company’s $484 million outstanding Term Loan B was extended from June 2012 to March 2015 and such portion now bears interest at LIBOR plus 3.00%.

Rent-A-Center said that the term of its revolving credit facility was extended from July 2011 to September 2013 and now bears interest at LIBOR plus 2.75%.

The interest rates applicable to the Term Loan A and the revolving credit facility are subject to fluctuation based on changes in the company’s consolidated leverage ratio. In addition, the company elected to reduce the size of the revolving credit facility to $350 million from $400 million based on the company’s current liquidity needs.

As a result of the amendment, the company now expects diluted earnings per share for fiscal 2010 to be in the range of $2.23 to $2.43, a reduction of $0.07 from its previous estimate.

Texas-based Rent-A-Center currently operates approximately 3,000 company-owned stores nationwide and in Canada and Puerto Rico. The stores generally offer durable goods such as major consumer electronics, appliances, computers and furniture and accessories under flexible rental purchase agreements that generally allow the customer to obtain ownership of the merchandise at the conclusion of an agreed upon rental period. ColorTyme, Inc., a wholly owned subsidiary of the company, is a national franchiser of approximately 215 rent-to-own stores operating under the trade name of “ColorTyme.”

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