Attached files
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EX-10.1 - LOAN AGREEMENT - NOBLE ROMANS INC | nrom_ex101.htm |
8-K - CURRENT REPORT - NOBLE ROMANS INC | nrom_8k.htm |
Exhibit
99.1
NEWS BULLETIN
FOR ADDITIONAL INFORMATION, CONTACT:
For Media Information: Scott Mobley, President& CEO
317/634-3377
For Investor Relations: Paul Mobley, Executive
Chairman317/634-3377
|
RE:NOBLE
ROMAN'S, INC.
1
Virginia Avenue, Suite 300
Indianapolis,
IN 46204
|
Noble Roman’sCompletes Refinancing and Funds Additional
Growth
(Indianapolis, Indiana)–September 13, 2017 -- Noble
Roman's, Inc. (OTCQB: NROM), announced todaythat it has refinanced
all of its existing debt except for the subordinated convertible
notes,and has provided for the financing of three additional
company-owned Noble Roman’s Craft Pizza & Pub (CPP)
locations.
The
company has entered into a term loan agreement for $4.5 million
which is payable based on a 7-year amortization with a 5-year
maturity. The interest rate on the term loan will be LIBOR plus
4.25%, which today is approximately a 5.5% annual rate of interest,
payable monthly. Proceeds of this term loan were used to repay the
loans with BMO Harris Bank, Super G Capital, LLC, officer loans,
loan origination cost, legal and other expenses relative to the
loan with the balance of slightly over $600,000used for other
corporate purposes. As a result of this refinancing, the company's
monthly debt service requirement will decrease by more than
$150,000 per month.
In
addition, the company entered into another term loan arrangement
totaling $1.6 million to be drawn in increments as needed for the
build-out and equipping of three additional CPP locations. Each
location will have a separate term loan which will be interest only
for the first four months; after four months,each loan will be
placed on a 7-year amortization schedule with a 5-year maturity.
The interest rate on these term loans will also be LIBOR plus
4.25%, which today is approximately a 5.5% annual rate of
interest.
Commenting
on the financial restructuring, Noble Roman’s President &
CEO, A. Scott Mobley, said, “We are extremely excited about
the completion of this refinancing project with First Financial
Bank of Cincinnati, Ohio. Our Chairman and CFO, Paul Mobley, has
been working unceasingly these last many months to source,
negotiate and complete a funding package that would simultaneously
increase cash flow, decrease interest expense and provide funding
for new unit growth. It has taken a lot of concentrated effort, but
I believe the results of this effort have more than achieved our
objectives and have yielded a very attractive position from a
financial structuring perspective.”
About Noble Roman’s
Noble
Roman's, Inc. sells and services franchises and licenses for
non-traditional foodservice operations under the trade names "Noble
Roman's Pizza", "Noble Roman’s Take-n-Bake", "Tuscano’s
Italian Style Subs" and "Noble Roman’s Craft Pizza &
Pub". The company has awarded franchise and/or license agreements
in all 50 states plus Washington, D.C., Puerto Rico, the Bahamas,
Italy, Canada and the Dominican Republic.
The statements contained in this press release concerning the
company's future revenues, profitability, financial resources,
market demand and product development are forward-looking
statements (as such term is defined in the Private Securities
Litigation Reform Act of 1995) relating to the company that are
based on the beliefs of the management of the company, as well as
assumptions and estimates made by and information currently
available to the company's management. The company's actual results
in the future may differ materially from those projected in the
forward-looking statements due to risks and uncertainties that
exist in the company’s operations and business environment,
including, but not limited to, competitive factors and pricing
pressures, non-renewal of franchise agreements, shifts in market
demand, the success of new franchise programs with limited
operating history, including Craft Pizza & Pub locations,
general economic conditions, changes in purchases of or demand for
the company's products, licenses or franchises, the success or
failure of individual franchisees and licensees, changes in prices
or supplies of food ingredients and labor, and dependence on
continued involvement of current management and the performance of
the recently added sales staff and a franchise broker. Should one
or more of these risks or uncertainties materialize, or should
underlying assumptions or estimates prove incorrect, actual results
may differ materially from those described herein as anticipated,
believed, estimated, expected or intended. The company undertakes
no obligations to update the information in this press release for
subsequent events.
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