Centiv, Inc. Obtains Additional Credit Facilities; Convertible Subordinated Debt and Bank Revolving Credit Facility.Business Editors VERNON HILLS Vernon Hill II (born circa 1946) is the founder and former chairman, president, and chief executive officer of Commerce Bancorp and Commerce Bank of Cherry Hill Township, New Jersey. , Ill.--(BUSINESS WIRE)--Oct. 7, 2002 Centiv, Inc. (NASDAQ NASDAQ in full National Association of Securities Dealers Automated Quotations U.S. market for over-the-counter securities. Established in 1971 by the National Association of Securities Dealers (NASD), NASDAQ is an automated quotation system that reports on :CNTV CNTV Comisión Nacional de Televisión (Spanish, Colombia) ), today announced that it has completed two new financings to support its rapid growth. On September 30, 2002, the Company issued $1 million of Senior Subordinated Convertible Debt to private investors. This loan is convertible into equity at the lenders' option upon the closing of -- and at the same terms as -- any future equity financing Equity Financing The act of raising money for company activities by selling common or preferred stock to individual or institutional investors. In return for the money paid, shareholders receive ownership interests in the corporation. in which the Company raises at least $1,000,000. The loan has a term that extends until the earlier of July 1, 2004, or two business days following the closing of an equity financing described above, and pays interest at a rate of10% per year. In addition, the lenders received an aggregate of 50,000 warrants granted upfront, and will receive an aggregate of an additional 20,000 warrants per month until such time as the loan is fully repaid or converted into equity. The warrant is exercisable at $1.75 per share. The Company also announced that it has entered into a supplemental credit facility with the Company's current lender, Cole-Taylor Bank of Chicago, Illinois Illinois, river, United States Illinois, river, 273 mi (439 km) long, formed by the confluence of the Des Plaines and Kankakee rivers, NE Ill., and flowing SW to the Mississippi at Grafton, Ill. It is an important commercial and recreational waterway. . The supplemental credit facility provides up to $5 million in purchase order financing. This facility will be used to finance the short-term Short-term Any investments with a maturity of one year or less. short-term 1. Of or relating to a gain or loss on the value of an asset that has been held less than a specified period of time. inventory requirements of the previously announced custom POP printing systems upgrade to Anheuser Busch and its wholesalers. The maturity date for this financing is February 15, 2003. About Centiv(TM) Centiv, Inc. (NASDAQ:CNTV), headquartered in Vernon Hills, IL, offers solutions for locally customized POP signage to the consumer packaged goods Noun 1. packaged goods - groceries that are packaged for sale foodstuff, grocery - (usually plural) consumer goods sold by a grocer plural, plural form - the form of a word that is used to denote more than one industry. The delivered product is high quality, digitally produced signage that is mass customized for the unique requirements of each retail location. Centiv's P.O.P. services are currently used by leading U.S. Corporations. Additional information regarding Centiv, Inc., may be obtained by contacting Centiv headquarters, 998 Forest Edge Drive, Vernon Hills, IL 60061. Phone 847-876-8300 or fax 847-955-1269, or visit its website: http://www.centiv.com for a product demonstration. This press release contains statements that constitute 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 Section 27A of the Securities Act of 1933, as amended a·mend v. a·mend·ed, a·mend·ing, a·mends v.tr. 1. To change for the better; improve: amended the earlier proposal so as to make it more comprehensive. 2. , and Section 21E of the Securities Exchange Act of 1934, as amended. These statements appear in a number of places in this press release and include all statements that are not historical statement of fact. The words "may", "would", "could", "will", "increase", "expect", "implement", "estimate", "anticipate", "believes", "intends", "plans", and similar expressions and variations thereof are intended to identify forward-looking statements. Investors are cautioned that such statements are not guarantees of future performance and involve various risks and uncertainties, many of which are beyond the Company's control. Actual results may differ materially from those discussed in the forward-looking statements as a result of factors described below. These risks include, but are not limited to, competitive market pressures, material changes in customer demand, availability of labor, the Company's ability to perform contracts, governmental policies adverse to the computer industry, economic and competitive conditions, and other risks outside the control of the Company, as well as those factors discussed in detail in the Company's filings with the Securities and Exchange Commission, including "Factors That May Affect Future Results" section of the Company's Annual Report on 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. for the fiscal year ended December 31, 2001. |
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