COLUMBUS, OHIO — Financial losses forced Borden Chemicals and Plastics LP to renegotiate credit terms with lenders.
The Columbus-based firm reported a loss of $7.8 million in the quarter ended June 30, following a first-quarter loss of $8.3 million. Borden blamed the losses on adverse business conditions for PVC resins, methanol and nitrogen fertilizers.
Borden nearly defaulted on its $100 million revolving loan. It obtained waivers for the second quarter and agreed to revised covenants for the rest of 1998 and the first quarter of 1999.
Borden spokesman Peter Loscocco said in a telephone interview that the agreement saved Borden from defaulting on some covenants based on trailing financial ratios such as earnings before interest and taxes.