Williams Closes on New Credit Facilities

Facilities Expected to Reduce Interest Expense by Approximately $1.5 Million in 2021

Williams Industrial Services Group Inc. (OTCQX: WLMS) (“Williams” or the “Company”), a construction and maintenance services company, today announced that it has entered into new credit agreements (the “Credit Facilities”), including a $50.0 million term loan facility (the “Term Loan”) with Energy Impact Credit Fund, an affiliate of Energy Impact Partners, as Agent to the Term Loan, CION Investment Corporation, and CrowdOut Capital, which consists of a $35.0 million initial term loan and a $15.0 million delayed draw facility, and a $30.0 million revolving credit facility (the “Revolver”) with PNC Bank, which together replaced its previous facilities.

“As promised, the Company has successfully completed the refinancing of its debt, with terms that reflect our improving operating performance and strong outlook,” said Tracy Pagliara, President and CEO of Williams. “This is another important step in Williams’ long journey to be recognized as a successfully restructured organization and a giant leap forward to a brighter future. The new Credit Facilities provide for a total of up to $80.0 million of availability to fund the Company’s many dynamic growth opportunities and are expected to drive over $1.5 million of interest expense reductions next year, given the lower rates. After paying off existing debt, we now have total indebtedness of $44.0 million. In keeping with our long-term goal of using operating cash flow to strengthen the balance sheet, the Company plans to continue to pay down debt and de-lever. I’d like to thank Randy Lay, our Senior Vice President and CFO, and the entire Williams finance team for getting this done in the middle of a pandemic, while the Company concurrently improved bottom line results and returns for our shareholders. We also appreciate the support shown by these new institutions in advancing the capital for the next phase of our progressive strategic plan.”

Under the terms of the Credit Facilities, the Revolver’s interest rate is LIBOR plus 2.25%, with a minimum LIBOR floor of 1.0%. The Term Loan’s interest rate is LIBOR plus 9.0%, with a minimum LIBOR floor of 1.0%, and a stepdown to LIBOR plus 8.5% on achieving a total leverage ratio, as defined in the Term Loan, of less than 2.50:1. Additional details regarding the Credit Facilities can be found in the Form 8-K filed by the Company with the U.S. Securities and Exchange Commission today. G2 Capital Advisors, LLC served as the exclusive financial advisor to the Company.

About Williams

Williams Industrial Services Group has been safely helping plant owners and operators enhance asset value for more than 50 years. The Company provides a broad range of construction, maintenance and modification, and support services to customers in energy and industrial end markets. Williams’ mission is to be the preferred provider of construction, maintenance, and specialty services through commitment to superior safety performance, focus on innovation, and dedication to delivering unsurpassed value to its customers. Additional information about Williams can be found on its website: www.wisgrp.com.

Investor Contact:

Chris Witty
Darrow Associates
646-345-0998
cwitty@darrowir.com