Compass Plastics & Technologies Announces Acceleration of Bank Debt.GARDENA, Calif.--(BUSINESS WIRE)--Feb. 11, 1999--Compass Plastics & Technologies Inc. (Nasdaq SmallCap: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 ) Thursday announced that it is negotiating with its lenders, Manufacturers Bank and California Bank & Trust, to restructure the terms of indebtedness of the company and its subsidiaries that is in default due to failure to comply with certain financial covenants. The company received notice from the banks on Feb. 2, 1999, of acceleration and demand for immediate payment in full of all amounts due under the loan agreement, aggregating approximately $12 million. The banks have expressed their willingness to forbear for·bear 1 v. for·bore , for·borne , for·bear·ing, for·bears v.tr. 1. To refrain from; resist: forbear replying. See Synonyms at refrain1. exercising their rights and remedies on a day-to-day basis subject to continued progress in negotiating a restructuring. The banks have reserved the right to exercise all of their rights and remedies at any time. Compass President & CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. Michael A. Gibbs said: "We are working diligently to amend our senior lending arrangements to cure the default. We expect to reach agreement on terms in the next few weeks." Compass Plastics & Technologies, through its wholly owned subsidiaries 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. and M.O.S. Plastics Inc., is a leading contract manufacturer and assembler Software that translates assembly language into machine language. Contrast with compiler, which is used to translate a high-level language, such as COBOL or C, into assembly language first and then into machine language. 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, electronic keyboards and other consumer products. In addition to injection-molded components, the company offers a broad range of "value-added" services including painting, decorating and assembly of mechanical and electrical components. The statements made 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. |
|
||||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion