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Kathryn I. Johnstone

Partner
Los Angeles, (213) 892-5662
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Kathy Johnstone has broad experience in all aspects of debt financing, including acquisition financing, real estate financing, asset-based lending, and publicly traded senior, senior secured, subordinated, and convertible notes.

Ms. Johnstone's approach to client service is to focus on her clients' business objectives and immerse herself in all aspects of an entity's capital structure. She addresses issues with a results-oriented approach—creatively bridging any gaps that may arise.

Ms. Johnstone has represented agents, lenders, and borrowers in structuring and documenting secured loans, first lien and second lien loans, venture loans, and subordinated, high-yield, and convertible debt. She has led several successful out-of-court debt and equity restructurings. Ms. Johnstone has been active in mergers and acquisitions, including negotiating and documenting purchases and sales of entities and divisions and financing mergers and acquisitions. She has extensive experience in analyzing and negotiating the purchase and sale of distressed debt, trade claims, and accounts receivable.

Ms. Johnstone has represented clients in a variety of industries, including hotel and gaming, technology, dental practice management, e-commerce, mail pre-sorting, telecommunications, and real estate development.

Ms. Johnstone is a member of the American Bar Association and the California State Bar Association and served on the Uniform Commercial Code Committee of the State Bar from 1994 to 1997. She is also a member of the Financial Lawyers Conference and served on the Board of Directors of that organization from 2000 to 2003.

Prior to entering law school, Ms. Johnstone practiced as a C.P.A., including two years with KPMG Peat, Marwick's Los Angeles tax department.

Borgata - Senior Secured Notes and Revolving Credit Facility.
Represent Marina District Development Company since its initial construction financing in 2000, most recently in its capacity as the issuer/borrower of $400 million of 9-1/2% Senior Secured Notes due 2015, $400 million of 9-7/8% Senior Secured Notes due 2018, and under a $150 million Revolving Credit Agreement, all of which is secured by a lien on the real and personal property at Borgata Hotel Casino & Spa, Renaissance Pointe, Atlantic City, New Jersey.
Boyd Gaming Corporation - Publicly Traded Notes and Revolving Credit Facility.
Represent Boyd Gaming Corporation, a multi-jurisdictional gaming company, since 1997 in all of its debt financing, including its $3 billion syndicated bank debt secured by stock of major gaming subsidiaries and subordinated debt outstanding under three indentures.
Pacific Media Capital Acquisition Financing.
Represented Pacific Media Capital, as agent, in its $18-million Term B financing for the acquisition of a broadcasting company. General Electric Credit Corporation was agent for the $64.5-million Term A financing.
Ancora Capital and Management Group LLC-Equity Transaction.
Represented Ancora Capital and Management Group LLC in a restructuring among four classes of creditors, including conversion of more than $110-million of debt to equity in a consensual reorganization.
InterDent $83.5-million Leverage Buyout.
Represented InterDent, Inc. in a $83.5-million leveraged buyout by the then-minority shareholder. The transaction included: (1) the issuance of $80 million of Senior Secured Notes, (2) a $10-million asset-based lending credit facility secured by a first lien on certain assets of the company, and (3) a $3.5-million preferred stock purchase.
American Pacific Corp. $110-million Refinancing.
Successfully completed registered exchange offer for $110 million of senior notes by American Pacific Corporation, a leading custom manufacturer of fine chemicals, specialty chemicals, and propulsion products within its focused markets.
Altera Corporation - Revolving Credit Agreement.
Represent Altera Corporation in $700 million unsecured revolving credit agreement. 
TRONAIR INC. - PROJECT TOLEDO
TRONAIR INC. - PROJECT TOLEDO
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