LeCroy Secures $25 Million Bank Credit Facility
New Agreement Provides Company with Increased Financial Flexibility
CHESTNUT RIDGE, N.Y., Nov. 20 /PRNewswire-FirstCall/ -- LeCroy Corporation , a
major supplier of high-performance digital oscilloscopes, today announced that
it has entered into an agreement with The Bank of New York for a $25 million
revolving credit facility, replacing the Company's existing $15 million
revolving credit facility. The new facility will mature November 30, 2006.
LeCroy's existing revolving credit facility had an outstanding balance of $10
million, reflecting the Company's use on September 25, 2003 of these funds to
retire 500,000 issued and outstanding Series A Convertible Preferred Shares,
eliminating a net charge to common shareholders equivalent to more than $0.20
per share annually.
"This new revolving credit facility allows us to borrow on more favorable
terms," said Vice President and Chief Financial Officer Scott Kantor. "As we
work toward returning to our traditional debt-free position, increasing our
credit facility provides us with additional flexibility that will help us
continue to broaden LeCroy's product line and addressable portion of the
billion-dollar oscilloscope market. Our ability to enter into this agreement in
today's cautious lending environment demonstrates both the financial strength of
the Company and management's commitment to fiscal discipline." About LeCroy Corporation LeCroy Corporation, headquartered in Chestnut Ridge, New York, develops,
manufactures and markets electronic signal acquisition and analysis products and
services. The Company leverages its core competency of "WaveShape Analysis,"
the analysis of complex electronic signals, to provide leading edge design and
test capabilities to high-growth markets. Today, its primary products are
high-performance digital oscilloscopes, which are used by design engineers and
researchers in a broad range of industries, including electronics, computers and
communications.
Safe Harbor This release contains forward-looking statements pertaining LeCroy's ability to
leverage its new $25 million bank credit facility to expand its product line and
increase the Company's addressable portion of the oscilloscope market, as well
as other estimates relating to future operations. All such forward-looking
statements are only estimates of future results, and there can be no assurance
that actual results will not materially differ from expectations. Actual
performance and results of operations may differ materially from those projected
or suggested in the forward-looking statements due to certain risks and
uncertainties including, without limitation, volume and timing of orders
received, changes in the mix of products sold, competitive pricing pressure, the
Company's ability to anticipate changes in the market, the availability and
timing of funding for the Company's current products, the development of future
products and the Company's ability to use intellectual property and protect its
patent portfolio. LeCroy undertakes no obligation to publicly update
forward-looking statements, whether because of new information, future events or
otherwise. Further information on potential factors that could affect LeCroy
Corporation's business is described in the Company's reports on file with the
SEC.
Contact:
Scott D. Kantor
Vice President - Finance, Chief Financial Officer
LeCroy Corporation
Tel: 845-425-2000
DATASOURCE: LeCroy Corporation CONTACT: Scott D. Kantor, Vice President - Finance, Chief Financial Officer of LeCroy Corporation, +1-845-425-2000 Web site: http://www.lecroy.com/ Company News On-Call: http://www.prnewswire.com/comp/112071.html
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