Attached files
| file | filename |
|---|---|
| 8-K - U.S. CONCRETE, INC. | v178542_8k.htm |
| EX-10.1 - U.S. CONCRETE, INC. | v178542_ex10-1.htm |
Exhibit 99.1
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NEWS RELEASE
Contact: Robert
D. Hardy, CFO
U.S. Concrete, Inc.
713-499-6222
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FOR
IMMEDIATE RELEASE
U.S.
CONCRETE OBTAINS $18.5 MILLION IN
ADDITIONAL
SHORT-TERM FINANCING
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·
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Amends
Senior Credit Facility
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·
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Obtains
Commitment for Future Financing
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HOUSTON, TEXAS – March 25,
2010 – U.S. Concrete, Inc. (NASDAQ: RMIX) today announced that it has
amended its senior credit facility to, among other items, obtain $18.5 million
in additional short-term liquidity by lowering the springing fixed-charge
coverage ratio availability trigger from $20 million to $1.5
million. The trigger will increase to $25 million on the earlier of
April 30, 2010, or immediately prior to the Company making the scheduled
interest payment on its 8 3/8% senior subordinated notes. The full amendment is
attached as an exhibit to the Company’s Form 8-K that will be filed today. In
connection with this amendment, the Company has also received a commitment to
provide financing in the event its previously-announced restructuring is
implemented through an in-court process.
“The
amendment to our senior credit facility provides us with a significant increase
in near-term liquidity. Access to these funds should provide assurance to our
customers, vendors and employees that we have adequate resources to operate our
business while we complete our restructuring plan,” stated Michael W. Harlan,
U.S. Concrete’s President and Chief Executive Officer. “I believe that the
positive discussions we have had with our bond holders to date, combined with
the amendment of our senior credit facility, are good indications that we are
moving towards a successful restructuring.”
About
U.S. Concrete
U.S.
Concrete services the construction industry in several major markets in the
United States through its two business segments: ready-mixed concrete and
concrete-related products; and precast concrete. The Company has 125 fixed
and 11 portable ready-mixed concrete plants, seven precast concrete plants and
seven producing aggregates facilities. During 2009 (including acquired volumes),
these plant facilities produced approximately 4.5 million cubic yards of
ready-mixed concrete and 3.0 million tons of aggregates. For more
information on U.S. Concrete, visit www.us-concrete.com.
CAUTIONARY STATEMENT
REGARDING FORWARD-LOOKING STATEMENTS
This
press release contains various forward-looking statements and information that
are based on management's beliefs, as well as assumptions made by and
information currently available to management. These forward-looking statements
speak only as of the date of this press release. The Company disclaims any
obligation to update these statements and cautions you not to rely unduly on
them. Forward-looking information includes, but is not limited to: the effect of
the amendment to the Company’s senior credit facility; payment by the Company of
the scheduled interest payment on its 8 3/8% senior subordinated notes;
availability and access, in general, of funds necessary for our operations; our
ability to comply with all covenants in our indenture and credit facilities, any
violation of which, if not cured in a timely manner, could trigger a default of
our other obligations under cross-default provisions; the outcome of our
discussions with our bond holders; and the outcome of our restructuring process.
Although U.S. Concrete believes that the expectations reflected in such
forward-looking statements are reasonable, it can give no assurance that those
expectations will prove to have been correct. Such statements are subject to
certain risks, uncertainties and assumptions, including, among other matters:
general and regional economic conditions; the level of activity in the
construction industry; the ability of U.S. Concrete to complete acquisitions and
to effectively integrate the operations of acquired companies; development of
adequate management infrastructure; departure of key personnel; access to labor;
union disruption; competitive factors; government regulations; exposure to
environmental and other liabilities; the cyclical and seasonal nature of U.S.
Concrete's business; adverse weather conditions; the availability and pricing of
raw materials; and general risks related to the industry and markets in which
U.S. Concrete operates. Should one or more of these risks materialize, or should
underlying assumptions prove incorrect, actual results may vary materially from
those expected. These risks, as well as others, are discussed in greater detail
in U.S. Concrete's filings with the Securities and Exchange Commission,
including U.S. Concrete's Annual Report on Form 10-K for the year ended December
31, 2009.
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