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CALMAR SPRAYING SYSTEMS ANNOUNCES REFINANCING PLAN TO SUPPORT GROWTH

    CALMAR SPRAYING SYSTEMS ANNOUNCES REFINANCING PLAN TO SUPPORT GROWTH
    CITY OF INDUSTRY, Calif., Nov. 1 /PRNewswire/ -- Calmar Spraying Systems, Inc., the largest manufacturer of non-aerosol pumps and sprayers in the world, announced today that it has commenced a refinancing plan which will provide the company with a stronger capital structure for future growth.  The plan will result in a significant increase in stockholders' equity and a reduction in the company's outstanding debt.
    Calmar has obtained $20 million of additional cash equity from a partnership affiliated with Freeman Spogli & Co., majority owner of the company, and from certain members of management.  In addition, Beijer Industries, a Swedish company that is a minority owner of the company, has exchanged a junior note it currently holds for $14 million of equity in the company.  The company also has repurchased $22.5 million principal value of its senior subordinated discount notes due 1999.
    In connection with these transactions, Calmar's parent, CSS Holding Company, has merged with the company in order to simplify the company's capital structure.
    Calmar also has begun to market a private placement of senior notes, which, upon completion, will enable the company to eliminate its current bank debt, repurchase additional subordinated debt and provide funds for expansion and general corporate purposes.  The company expects to complete the senior note offering by year end.
    Richard Hartl, chief executive officer of Calmar Spraying Systems, Inc., said, "Calmar is currently experiencing substantial growth in several of its product lines.  The additional equity, significant reduction of subordinated debt and refinancing of bank debt will provide our company with a stronger capital structure, lower interest costs and increased operating flexibility enabling us to take advantage of further growth opportunities and remain the leading manufacturer of non-aerosol pumps and sprayers in the world."
    The company, through its 100 percent ownership of Calmar Inc., is the world's largest manufacturer of a wide range of non-aerosol plastic pump sprayers, trigger sprayers and dispensers.  Calmar, headquartered in City of Industry, originated the non-aerosol plastic pump sprayer over 40 years ago.  Calmar's products are incorporated by its customers, which include some of the world's largest consumer products companies, into a wide range of products, including health and beauty aides, liquid soaps, toiletries and a wide variety of household, automotive, chemical and pharmaceutical products.
    -0-        11/1/91
    /CONTACT:  C. Richard Huebner, chief financial officer of Calmar, 818-330-3161/ CO:  Calmar Spraying Systems Inc. ST:  California IN: SU:  FNC CK-JT -- NY069 -- 0360 11/01/91 16:08 EST
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Publication:PR Newswire
Date:Nov 1, 1991
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