Coyote Sports Receives a Commitment for New Financing.BOULDER, Colo.--(BUSINESS WIRE)--May 11, 1999-- Coyote Sports Inc. (Nasdaq:COYT), a leading provider of recreational products and sports equipment to the golf and cycling industries, announced today that the company has received a commitment for a $35 million 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. and term loan facility from Ableco Finance LLC (Logical Link Control) See "LANs" under data link protocol. LLC - Logical Link Control . The funds will be used to (i) retire debt incurred in the forthcoming merger with Royal Precision, (ii) retire debt incurred by Coyote Sports and/or its subsidiaries and (iii) provide additional working capital to further Coyote's business plan for 1999. "We have accomplished a great deal in the last year, and now, with the Royal Precision merger, we have the opportunity to create a unique platform in the golf shaft equipment market," said Jim Probst, president and 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. of Coyote Sports Inc. "This is a very exciting time for us. The new financing will allow us to concentrate on consolidating our operations. The synergy provided by the merger will establish a financially stronger company with a leadership position in the steel and composite golf shaft markets." Ableco Finance LLC is a New York New York, state, United States New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of based special situations finance company formed by the management of Cerberus Capital Management, L.P. and Gabriel Capital Group. Coyote Sports Inc. is a diversified sports equipment manufacturing and distribution company. The company specializes in the manufacture of steel and graphite golf shafts The shaft of a golf club is the long, cylindrical piece - generally made of steel or graphite - which connects the golfer’s hands to the club head. While hundreds of different designs exist, the primary purpose of the golf shaft remains the same - to provide the player with a , premium cycle tubing and advance composite materials composite material or composite, any material made from at least two discrete substances, such as concrete. Many materials are produced as composites, such as the fiberglass-reinforced plastics used for automobile bodies and boat hulls, but the used for sporting goods Noun 1. sporting goods - sports equipment sold as a commodity commodity, trade good, good - articles of commerce sports equipment - equipment needed to participate in a particular sport products. On Feb. 2, 1999, Coyote Sports signed a definitive merger agreement with Royal Precision Inc., creating the second largest golf shaft manufacturer in the industry. Certain oral and written statements of the management of the company included in this press release may contain 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, and Section 21E of the Securities Exchange Act of 1934, that involve risks and uncertainties that could cause actual results to differ materially. The company does not undertake any responsibility to update these statements in the future. The company's actual future performance and results could differ from that contained in or suggested by these forward looking statements. The company's filings with the Securities and Exchange Commission present a more detailed discussion of these and other risks related to the forward-looking statements in this press release. |
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