Aviation Sales Company Announces Refinancing of Senior Credit Facility.Business Editors MIRAMAR, Fla--(BUSINESS WIRE)--June 1, 2000 Aviation Sales Company (NYSE NYSE See: New York Stock Exchange :AVS (Audio Video Coding Standard) A video compression technique developed by Chinese companies and supported by the Chinese government. Expected to provide better compression than MPEG-2, AVS was created to avoid paying royalties to the MPEG licensors, which are outside ) today announced that it has refinanced its senior credit facility with a group of lenders led by Citicorp, USA, Inc. The restructured facility, which expires in July 2002, provides the Company with $285.0 million of revolving credit Revolving Credit A line of credit where the customer pays a commitment fee and is then allowed to use the funds when they are needed. It is usually used for operating purposes, fluctuating each month depending on the customers current cash flow needs. , including a $30.0 million sublimit sub·lim·it n. A limit or ceiling placed on a subdivision of a larger category, especially of nuclear weapons: negotiating sublimits on the number of land-based, intermediate-range missiles. for letters of credit. The restructured facility contains certain financial covenants regarding the Company's financial performance and certain other covenants, all of which are consistent with the Company's previous senior credit facility. Borrowings under the restructured credit facility remain secured by a lien on substantially all of the Company's assets and are subject to certain borrowing base requirements. The Company also reported that simultaneously with the refinancing of its senior credit facility, it entered into an amendment to the lease for the Miramar, Florida For other uses, see Miramar. Miramar is a city in Broward County, Florida, United States. The city was named after a town in Cuba. As of 2006, the population estimated by the U.S. Census Bureau is 106,590. facility that houses the Company's headquarters and redistribution operation. The amendment modified the lease to make it consistent with the terms of the Company's restructured senior credit facility. Dale S. Baker, the Company's Chairman and Chief Executive Officer, stated: "We are pleased to have obtained the continued support of our senior lenders in restructuring our senior credit facility and the lease for our Miramar facility. We continue to focus our efforts on reducing our debt through sales of our assets, including the potential sale of our manufacturing operations Manufacturing operations concern the operation of a facility, as opposed to maintenance, supply and distribution, health, and safety, emergency response, human resources, security, information technology and other infrastructural support organizations. and the potential sale or lease of the four A-300 airplanes that we own." Aviation Sales Company is a leading independent provider of fully integrated aviation maintenance and inventory services, including aircraft heavy maintenance, component repair and overhaul, leasing, the distribution of aircraft spare parts Spare parts, also referred to as Service Parts is a term used to indicate extra parts available and in proximity to the mechanical item, such as a automobile, boat, engine, for which they might be used. Spare parts are also called “spares. and the manufacture of new components for major commercial airlines, original equipment manufacturers and maintenance and repair facilities. This release contains certain forward-looking statements that are made pursuant to the safe harbor Safe Harbor 1. A legal provision to reduce or eliminate liability as long as good faith is demonstrated. 2. A form of shark repellent implemented by a target company acquiring a business that is so poorly regulated that the target itself is less attractive. provisions of the Private Securities Reform Act of 1995. Forward-looking statements involve known and unknown risks and uncertainties, which may cause the Company's actual results in future periods to differ materially from forecasted results. A number of factors, including those identified below, could adversely affect the Company's ability to obtain these results: available capital to continue to support the Company's operations, the Company's ability to reduce its debt from current levels through sales of its assets, the Company's ability to acquire adequate inventory and to obtain favorable pricing for such inventory, competitive pricing for the Company's products and services, increased competition in the aircraft spare parts redistribution and maintenance, repair and overhaul Maintenance, Repair and Overhaul or MRO is a multi-billion dollar industry which works on international authorization rules to deliver a safe airline operation and to assure reliability and availability of customer fleets. markets, the ability to consummate suitable acquisitions, the continuing ability to effectively integrate acquisitions, economic factors which affect the airline industry, and changes in government regulations. Certain of these risks are described in the Company's filings with the Securities and Exchange Commission (SEC). Copies of the Company's 1999 Form 10-K Form 10-K A report required by the SEC from exchange-listed companies that provides for annual disclosure of certain financial information. Form 10-K See 10-K. , as amended, as well as the Company's other filings with the SEC, are available from the SEC or may be obtained from the Company. The Company does not undertake any obligation to update the information contained herein, which speaks only as of this date. |
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