Compass Completes Sale of M.O.S. and Amends Commercial Loan Agreements.GARDENA, Calif.--(BUSINESS WIRE)--May 11, 1999-- Compass Plastics & Technologies Inc. (Nasdaq:CPTI CPTI Conscience and Peace Tax International CPTI Counselling and Psychotherapy Training Institute (Edinburgh, Scotland, UK) CPTI Center for Patent and Trademark Information CPTI Concrete Polishing Technical Institute ) Tuesday announced it has completed the sale of M.O.S. Plastics Inc. for $8.25 million, adjusted for $1,526,000 of assumed liabilities, the net proceeds Net Proceeds The amount received after all costs are deducted from the sale of a piece of property or security. Notes: In the case of an investor selling a security, net proceeds represent the proceeds from the sale minus any trading costs (i.e. commissions). were $6.7 million. Proceeds from the sale were used to repay amounts owing under the company's commercial loan agreement with California Bank & Trust and Manufacturers Bank. Concurrent with the sale of M.O.S., the company completed an amended commercial loan agreement with the banks. The amended agreement waives all prior defaults and provides the company with additional working capital under its revolving line of credit Revolving line of credit A bank line of credit on which the customer pays a commitment fee and can take and repay funds at will. Normally a revolving LOC involves a firm commitment from the bank for a period of several years. . Compass Plastics & Technologies, through its wholly owned subsidiary Wholly Owned Subsidiary A subsidiary whose parent company owns 100% of its common stock. Notes: In other words, the parent company owns the company outright and there are no minority owners. , AB Plastics Corp., is a contract manufacturer and assembler of custom injection-molded plastic components in the western United States Noun 1. western United States - the region of the United States lying to the west of the Mississippi River West Santa Fe Trail - a trail that extends from Missouri to New Mexico; an important route for settlers moving west in the 19th century and Baja, Mexico. The company manufactures the plastic exteriors of computer monitors, televisions and other consumer products. The statements in this news release may contain forward-looking statements that involve risks and uncertainties that could cause actual results to differ from predicted results. These risks are further discussed in the Form 10-Q Form 10-Q See 10-Q. and annual report filed by the company with the Securities and Exchange Commission. The company undertakes no obligation to publicly release the result of any revisions to these forward-looking statements. |
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