Ferro amends senior credit facility

By Scott Suttell
CRAIN'S CLEVELAND BUSINESS

Published: March 28, 2013 1:31 pm ET
Updated: March 28, 2013 1:33 pm ET

Related to this story

Topics Materials, Mergers & Acquisitions, Materials Suppliers
Companies & Associations A. Schulman Inc., Ferro Corp.

MAYFIELD HEIGHTS OHIO — Ferro Corp., which is the object of an unsolicited takeover offer by Fairlawn, Ohio-based A. Schulman Inc., said it has amended its existing senior credit facility and has reduced its revolving loan commitment by $100 million.

The producer of specialty chemicals said the previously announced sale of its solar pastes assets "increased operating cash flows and significantly reduced the size of the company's precious metal consignment program and other working capital needs."

As a result, Ferro said it's reducing the company's revolving loan commitment to $250 million from $350 million. The amendment "will lower annual commitment fees by approximately $500,000 and modify certain financial and leverage ratio covenants," the company said in a news release.

"Between cash on hand and expected cash from operations, we believe Ferro has sufficient cash resources to fully fund the initiatives now underway to reduce operating costs by over $50 million by the end of 2014," said Peter Thomas, Ferro's interim president and CEO, in a statement.

"By amending Ferro's credit facility, very little of which currently has been utilized, we have gained significant additional financial flexibility to expand upon our cost savings programs and execute on other initiatives in our value creation strategy," he said.


Comments

Ferro amends senior credit facility

By Scott Suttell
CRAIN'S CLEVELAND BUSINESS

Published: March 28, 2013 1:31 pm ET
Updated: March 28, 2013 1:33 pm ET

Post Your Comments


Back to story


More stories

Image

Deal adds U.K. plant to DelStar

November 25, 2014 12:47 pm ET

Schweitzer-Mauduit International Inc. (SWM) is acquiring certain assets from the advanced wound management division of London-based Smith & Nephew...    More

Image

Onex buying packaging group SIG Combibloc

November 24, 2014 9:05 am ET

ex Corp. will buy SIG Combibloc Group, the Switzerland-based manufacturer of aseptic carton packaging and plastics closures from New Zealand's Rank...    More

Image

3D Systems buying Cimatron

November 24, 2014 1:46 pm ET

3D Systems Corp. is buying Cimatron Ltd., an Israel-based company that makes integrated computer-assisted design and manufacturing software, for $97...    More

Image

Compounding products and services

November 24, 2014 9:47 am ET

   More

Image

Dow reaches agreement with Third Point

November 21, 2014 9:11 am ET

Dow Chemical Co. has reached an agreement with the investment firm that has been trying to force the company to sell off some assets.
More

Market Reports

Plastics in Brazil - State of the Industry Report

This in-depth report examines the Brazilian plastics industry from a historical and geographical context. Our analysts provide insight on economic trends and forecasts, growing manufacturing sectors that utilize plastics, private investment opportunities, market environment challenges, and innovations in R&D.

Data tables and charts on producer prices, trade, plastics production and end market indicators is also included.

Learn more

Plastics Recycling Trends in North America

This report is a review and analysis of the North American Plastics Recycling Industry, including key trends and statistics based on 2013 performance. We examine market environment factors, regulatory issues, industry challenges, key drivers and emerging trends in post-consumer and post-industrial recycling.

Learn more

Injection Molders Market Report & Ranking 2014

This special package contains our 132-page 2014 Market Report on the Injection Molding segment and our exclusive 2014 RANKINGS database of 500+ Injection Molders for a discounted package price.

Learn more

Upcoming Plastics News Events

January 14, 2015 - January 14, 2015Plastics in Automotive

February 4, 2015 - February 6, 2015Plastics News Executive Forum 2015

June 2, 2015 - June 3, 2015Plastics Financial Summit - Chicago 2015

September 16, 2015 - September 18, 2015Plastics Caps & Closures - September 2015

October 27, 2015 - October 29, 2015Plastics Financial Summit - New York - 2015

More Events