Mark IV Emerges From Chapter 11; Closes on $145 Million Facility
Monday, November 16, 2009
Mark IV Industries, Inc. announced that it has emerged from Chapter 11 in the U.S. Bankruptcy Court for the Southern District of New York as a newly reorganized company, eliminating approximately $750 million in debt and liabilities.
In conjunction with its emergence from Chapter 11, Mark IV has successfully executed an exit financing package consisting of $145 million in term loan credit facilities as well as a $50 million asset-backed revolving loan. This exit financing package provides Mark IV with more than adequate working capital and liquidity to execute its business plan. Mark IV had previously received its DIP financing from a loan syndicate led by JP Morgan Chase.
"Just over six months of filing for Chapter 11 we were able to significantly de-lever the company's balance sheet, establish a credit facility to support our working capital and liquidity needs, and emerge from Chapter 11 with the flexibility to pursue ongoing strategic initiatives," said co-chief executive officer of Mark IV, Jim Orchard.
"Our expeditious restructuring is a testament to our devoted employees, dedicated customers and suppliers and the strong relationship we have with our lenders," co-chief executive officer and chief financial officer Mark Barberio added.
The company noted that throughout its Chapter 11 restructuring it was able to maintain its traditional level of investment and engineering funding for the development of green, fuel efficient, and competitive solutions for engine management. Mark IV also continued to invest millions each year in research and development in its transportation segment products engineered and manufactured by Mark IV's Intelligent Vehicle Highway Systems (IVHS) and Mark IV's Information Display Systems (IDS).
Mark IV Industries, Inc., headquartered in Amherst, NY, is a privately held global diversified manufacturer of highly engineered systems and components for vehicles, transportation infrastructure and equipment.
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