Announcement from Spalding Holdings Corporation.Business Editors CHICOPEE, Mass.--(BUSINESS WIRE)--Oct. 2, 2001 Spalding Holdings Corporation announced today that it is actively working with the largest holder of its 10-3/8% Senior Subordinated Notes due 2006 on a proposal to exchange the series of senior subordinated notes for other securities as part of a recapitalization Recapitalization Restructuring a company's debt and equity mixture often with the aim of making a company's capital structure more stable. Notes: Companies often want to diversify their debt-to-equity ratio to improve liquidity. of the Company. Spalding elected to not make its October 1st interest payment on the senior subordinated notes to take advantage of the 30-day grace period afforded by the indenture An agreement declaring the benefits and obligations of two or more parties, often applicable in the context of Bankruptcy and bond trading. The term indenture primarily describes secured contracts and has several applications in U.S. law. while it negotiates this recapitalization. There can be no assurance that the negotiation with the principal holder of Spalding's senior subordinated notes will result in an agreement between the parties. Nevertheless, the Company has the liquidity to make the interest payment on the notes and to continue to pay its trade creditors on a timely basis. Certain matters discussed in this press release 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. based on the Company's current expectations and estimates as to prospective events about which the Company can give no firm assurance. These forward-looking statements are based on management's expectations as of the date hereof here·of adv. Of this. hereof Adverb Formal or law of or concerning this Adv. 1. hereof - of or concerning this; "the twigs hereof are physic" , and the Company does not undertake any responsibility to update any of these statements in the future. Actual future performance and results could differ from that contained in or suggested by these forward-looking statements as a result of the factors set forth in filings with the Securities and Exchange Commission. See Spalding Holdings Corporation's cautionary statement relating to relating to relate prep → concernant relating to relate prep → bezüglich +gen, mit Bezug auf +acc forward-looking statements filed with the Securities and Exchange Commission on Form 8-K Form 8-K The form required by the SEC when a publicly held company incurs any event that might affect its financial situation or the share value of its stock. Form 8-K See 8-K. on November 7, 2000. |
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