Attached files
| file | filename |
|---|---|
| 8-K - P&F INDUSTRIES INC | v200382_8k.htm |
| EX-10.1 - P&F INDUSTRIES INC | v200382_ex10-1.htm |
| EX-10.9 - P&F INDUSTRIES INC | v200382_ex10-9.htm |
| EX-10.7 - P&F INDUSTRIES INC | v200382_ex10-7.htm |
| EX-10.6 - P&F INDUSTRIES INC | v200382_ex10-6.htm |
| EX-10.2 - P&F INDUSTRIES INC | v200382_ex10-2.htm |
| EX-10.3 - P&F INDUSTRIES INC | v200382_ex10-3.htm |
| EX-10.4 - P&F INDUSTRIES INC | v200382_ex10-4.htm |
| EX-10.5 - P&F INDUSTRIES INC | v200382_ex10-5.htm |
| EX-10.8 - P&F INDUSTRIES INC | v200382_ex10-8.htm |
| EX-10.10 - P&F INDUSTRIES INC | v200382_ex10-10.htm |
| EX-10.11 - P&F INDUSTRIES INC | v200382_ex10-11.htm |
| EX-10.12 - P&F INDUSTRIES INC | v200382_ex10-12.htm |
P&F
INDUSTRIES, INC. ANNOUNCES NEW $22 MILLION SENIOR CREDIT
FACILITY
Melville, NY – October 27,
2010 — P&F Industries, Inc. (NASDAQ: PFIN) announced today that it
has entered into a new $22 million senior secured revolving credit facility and
term loan facility with Capital One Leverage Finance Corporation effective
October 25, 2010. The new credit facility replaces the credit
facility with Citibank, N.A. and HSBC Bank USA, National Association. The
revolving credit commitment of $15,910,000 is for three years and is supported
by the Company’s accounts receivable, inventory and machinery and
equipment. The term facility consists of a
three-year $6,090,000 term note that is supported by the real
property at the Company’s three facilities in Tampa, FL, Jupiter, FL and
Cranberry Township, PA, amortizing over a 15-year schedule. Both the
revolving credit commitment and term facility are cross
collateralized. At the closing, in addition to paying off Citibank
and HSBC in full, the Company paid off in full its two mortgages held by Wells
Fargo Bank, N.A. (successor by merger to Wachovia Bank, National Association)
and one-half of the principal outstanding and all accrued interest on the note
held by the former sellers of the Company’s Hy-Tech Machine, Inc.
subsidiary. The Company also restructured certain obligations to its
subordinated lenders, including extending the term of the underlying promissory
notes to Richard A. Horowitz, Marc Schorr, and the former Hy-Tech sellers, to
correspond with the three-year term of the credit facility, and agreeing to make
current interest payments under such promissory notes, and in the case of the
former Hy-Tech sellers and Marc Schorr, make partial principal payments during
the term based on Company performance. Under the terms of the credit
facility, the Company must adhere to certain affirmative, negative and reporting
covenants, and is subject to certain events of default, which are customary in
similar transactions.
Commenting
on the announcement, P&F Chairman, President and CEO Richard Horowitz,
stated “Over the last several months, we have created a mutually productive
relationship with Capital One. We are very happy with the terms of
the new facility. The structure reduces our fixed charges and is less
costly than our previous credit facility. We are especially pleased
with the three-year term as it will allow management to focus more on the
Company’s operational and strategic needs in contrast to its devoting a great
deal of time to its financial restructuring over the last several
years. This facility, along with the Company’s operating cash flows,
are expected to create a solid foundation of liquidity and flexibility to
satisfy our plans for the near future.”
OTHER INFORMATION
P&F
Industries, Inc., through its two wholly owned operating subsidiaries,
Continental Tool Group, Inc. and Countrywide Hardware, Inc., manufactures and/or
imports air-powered tools sold principally to the industrial, retail and
automotive markets, and various residential hardware such as kitchen and bath
hardware, fencing hardware and door and window hardware. P&F’s
products are sold under their own trademarks, as well as under the private
labels of major manufacturers and retailers.
This is a
Safe-Harbor Statement under the Private Securities Litigation Reform Act of
1995. Any forward-looking statements contained herein, including those related
to the Company's future performance, and those contained in the comments of
management, are based upon the Company’s historical performance and on current
plans, estimates and expectations, which are subject to various risks and
uncertainties, including, but not limited to, the strength of the retail,
industrial, housing and other markets in which the Company operates, the impact
of competition, product demand, supply chain pricing, the Company’s debt and
debt service requirements, potential exposure to the Company in connection with
PNC Bank’s decision to foreclose on the assets of Old Stairs, Co, LLC, formerly
WM Coffman LLC, and those other risks and uncertainties described in the reports
and statements filed by the Company with the Securities and Exchange Commission,
including, among others, those described in the Company’s Annual Report on Form
10-K for the fiscal year ended December 31, 2009. These risks could cause the
Company’s actual results for the 2010 fiscal year and beyond to differ
materially from those expressed in any forward-looking statement made by or on
behalf of the Company. Forward-looking statements speak only as of the date on
which they are made, and the Company undertakes no obligation to update publicly
or revise any forward-looking statement, whether as a result of new information,
future developments or otherwise.
P&F
Industries, Inc.
Joseph A. Molino,
Jr.
Chief
Financial Officer
631-694-9800