SLM International reaches Standstill Agreement with lenders; Retains Bear, Stearns & Co. to seek capital; Announces agreement to sell Buddy L Fitness assets.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 , N.Y.--(BUSINESS WIRE)--June 14, 1995--SLM International Inc. (Electronic Bulletin Board: "SLMI SLMI Scottish Labour Market Intelligence (software) SLMI Skills and Labour Market Information (UK) SLMI Spanish Language Media Initiative (University of Illinois) ") announced today that it has reached a Standstill Agreement Standstill agreement Contract by which the bidding firm in a takeover attempt agrees to limit its holdings of another firm. standstill agreement with the holders of $75 million of the Company's Senior Notes. The Standstill Agreement permits SLM See service level management system and spatial light modulator. and its operating subsidiaries to continue to operate their business in accordance with their business plan which has been presented to the Noteholders. The Standstill Agreement will remain in effect, subject to certain conditions, through December 31, 1995. In connection with the Standstill Agreement, the Noteholders have received certain concessions from SLMI and have withdrawn involuntary bankruptcy involuntary bankruptcy Bankruptcy that is forced by creditors instead of being initiated by the firm or individual. Compare voluntary bankruptcy. See also Chapter 7, Chapter 11. filings pending against SLMI and its subsidiaries in Canada. SLM also announced that it had retained the investment banking firm of Bear, Stearns & Co. Inc. to assist the company in exploring a wide variety of possible financial transactions, including refinancing its existing indebtedness and obtaining additional equity capital. Finally, SLM announced that its subsidiary, Buddy L Inc., has reached an agreement in principle to sell certain assets comprising its fitness business to a group composed of members of its fitness division management with financing provided by Capstone Group Inc. The sale price of approximately $2.9 million will be paid in cash to Buddy L, which is operating under Chapter 11 of the U.S. Bankruptcy Code Bankruptcy Code may refer to:
"This series of positive developments represents further progress toward our goal of restructuring SLMI's operations to focus on our core 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 business. We believe that the Standstill Agreement, in particular, demonstrates support for our business plan. The agreement to sell Buddy L's fitness assets, coupled with our previously announced agreement to sell Buddy L's toy assets, means that we will exit these non-core businesses very shortly," said Howard Zunenshine, chief executive officer of SLMI. SLM International Inc. designs, develops, manufactures and markets a broad range of sporting goods products on a worldwide basis. CONTACT: SLM International Inc. Howard Zunenshine, Chief Executive Officer 514/331-5150 or John A. Sarto, Chief Financial Officer 212/675-0070 or IR Contact: Morgen-Walke Associates David Walke/Melissa Garelick Press: Lisa Bradlow, 212/850-5600 |
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