Danka Announces Amendment to Credit Agreement.ST. PETERSBURG Petersburg, city (1990 pop. 38,386), politically independent and in no county, SE Va., on the Appomattox River; inc. 1850. A port of entry and an important tobacco market, it has industries producing chemicals, pharmaceuticals, furniture, structural steel, lumber, , Fla.--(BUSINESS WIRE)--July 14, 1999-- Danka Business Systems PLC (Danka) (Nasdaq:DANKY) announced today that the previously announced amendment to its Credit Agreement has received the required majority approval from the Company's lenders. The amendment is effective as of July 9, 1999 and provides the Company with financing through July 31, 2000. Terms of the amendment provide for an aggregate commitment by the lenders of $995.6 million. In addition, the amendment allows the Company to borrow up to $40.0 million to finance the purchase of high-volume digital copiers. Larry K. Switzer, Danka's Chief Executive Officer, commented, "We are delighted to secure this new financing agreement and receive a vote of confidence from our lenders. This agreement solidifies the Company's financing for the next twelve months. We expect to refinance Refinance 1. When a business or person revises their payment schedule for repaying debt. 2. Replacing an older loan with a new loan offering better terms. Notes: When a business refinances they typically extend the maturity date. the indebtedness INDEBTEDNESS. The state, of being in debt, without regard to the ability or inability of the party to pay the same. See 1 Story, Eq. 343; 2 Hill. Ab. 421. 2. as soon as practical." The Company will pay a fee of $10.0 million upon the occurrence of certain events, and in any event by July 31, 2000. Payments of approximately $2.4 million, $4.7 million and $9.3 million become due on October 31, 1999, December 31, 1999 and March 31, 2000, respectively, if any amounts remain outstanding under the Credit Agreement at those dates. Danka Business Systems PLC headquartered in London, England and St. Petersburg, Florida St. Petersburg (often shortened to St. Pete) is a city in Pinellas County, Florida, United States. The city is known as a vacation destination for North American and European vacationers, as well as a politically important battleground in U.S. Presidential politics. is one of the world's largest independent suppliers of office imaging equipment and related services, parts and supplies. Danka provides office products and services in 30 countries around the world. For additional information about copier, printer and other office imaging products, please visit our web site at www.danka.com. 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. Certain statements contained in the press release, are forward looking, and certain information relating to relating to relate prep → concernant relating to relate prep → bezüglich +gen, mit Bezug auf +acc the Company is based on the belief of management as well as assumptions made by, and information currently available, to management. The words, "expect," "believe," "possibly" and similar expressions as they relate to the Company or the Company's management, are intended to identify forward-looking statements. Such statements reflect the current views of the Company with respect to future events and are subject to certain risks, uncertainties and assumptions that could cause actual results to differ materially from those reflected in the forward-looking statements, including but not limited to the Company's inability to refinance its indebtedness under the Credit Agreement, which could result from a variety of factors, including results of operation at levels below those currently anticipated, contraction contraction, in physics contraction, in physics: see expansion. contraction, in grammar contraction, in writing: see abbreviation. contraction - reduction in credit markets failure to comply with 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. covenants, failure to secure refinancing Refinancing An extension and/or increase in amount of existing debt. in the timeframes described above and other risks including those risks identified in any of the Company's other filings with the Securities and Exchange Commission. Readers are cautioned not to place undue reliance on these forward-looking statements, which reflect management's analysis only as of the date they are made. |
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