AERT Financial Update: AERT Closes $4.5 Million USDA Loan.Business Editors SPRINGDALE, Ark.--(BUSINESS WIRE)--Feb. 29, 2000 Advanced Environmental Recycling Technologies Recycling technology Methods for reducing solid waste by reusing discarded materials to make new products. The three integral phases of recycling are the collection of recyclable materials, manufacture or reprocessing of these materials into new products, and Inc. (Nasdaq:AERTA AERTA Army Environmental User Requirements and Technology Assessments (US Army) ) announced today that the Company has closed on a bank financing totaling $4.5 million. The 15-year term loan carries a 9.75% coupon and is 80% guaranteed by the U.S. Government. "These funds are a tremendous boost to the Company and will improve the corporate balance sheet and facilitate the completion of the sixth production line in Springdale. This also successfully completes the initial phase of our long-term production and refinancing Refinancing An extension and/or increase in amount of existing debt. program. Furthermore, the acquisition of the 18.6-acre manufacturing site adjacent to the Springdale facility has now been finalized See finalization. ," stated Joe G. Brooks, Chairman. "We are sincerely appreciative of the help we received from the various parties involved in successfully completing this phase of our expansion program. Furthermore, the sixth production line is nearing completion and is scheduled to be operational before the end of this current quarter. This new line should contribute an additional $6.0 million in revenues each year and, coupled with recent upgrades in Texas, should allow AERT AERT Advanced Environmental Recycling Technologies, Inc AERT Animal Emergency Response Team to increase sales levels to above $40 million on an annualized annualized Of or relating to a variable that has been mathematically converted to a yearly rate. Inflation and interest rates are generally annualized since it is on this basis that these two variables are ordinarily stated and compared. basis in the near future." Brooks added, "This completes another step in our mission to add production infrastructure and continue the marketplace momentum attained over the last year for our AERT composite products." "The acquisition of the adjacent manufacturing site is intended to accommodate a brand new high-output plant, to again double the total production of the Company over the next year. The demand for low maintenance products including decking, window and door components and trim, is more robust than ever as AERT continues to gain national market share," stated Brooks. Additional information will be forthcoming in the near future. Certain of the statements made in this press release by Joe G. Brooks are forward-looking statements forward-looking statement A projected financial statement based on management expectations. A forward-looking statement involves risks with regard to the accuracy of assumptions underlying the projections. within the meaning of the Securities Litigation An action brought in court to enforce a particular right. The act or process of bringing a lawsuit in and of itself; a judicial contest; any dispute. When a person begins a civil lawsuit, the person enters into a process called litigation. Reform Act of 1995. Such statements involve certain risks and uncertainties that could cause actual results to differ materially from those in the forward-looking statements. Potential risks and other factors that could cause or contribute to actual results differing materially from such forward-looking statements are discussed in greater detail in the Company's Securities Commission filings. |
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