Company Expands Facility Size to $300 Million
JACKSONVILLE, Fla., Nov. 18, 2011 (GLOBE NEWSWIRE) --
PSS World Medical, Inc. (Nasdaq:PSSI) today announced that
it has amended and restated its revolving line of
credit bank facility. At closing, the facility bears interest
at a spread over LIBOR of 125 basis points and a 25
basis points unused facility fee, as determined by an
availability-based pricing grid.
Features and key terms of the new credit facility
include:
- Facility size of $300 million;
-
Accordion feature with the ability to increase
facility size by up to an additional $100 million;
-
Five-year term, maturing in November 2016; and
-
Asset based structure with a borrowing base supported
by accounts receivable and inventory.
David M. Bronson, Executive Vice President and Chief
Financial Officer, commented, "We are very pleased by
the positive response we received from the banking
community. This new, expanded facility reflects the growth of
the Company and will support the continued development
of our core business strategies, including augmenting organic
growth with a disciplined, but aggressive, acquisition
pipeline."
PSS World Medical, Inc. is a specialty marketer and
distributor of medical products to physicians, elder care
providers and other alternate-site healthcare providers
through its two business units. Since its inception in 1983,
PSS has become a leader in the market segments that it
serves with a focused market approach to customer services, a
consultative sales force, strategic acquisitions,
strong arrangements with product manufacturers and a unique
culture of performance.
Certain statements in this release are
"forward-looking statements" made pursuant to the
Private Securities Litigation Reform Act of 1995 and
other federal securities laws. These forward-looking
statements are identified by the use of words such as
"expect," "may," "will,"
"should," "believe," "plan,"
"anticipate," and "estimate" among
others. These statements involve a number of risks and
uncertainties, many of which are outside the control of the
Company. Actual results may differ materially from
those identified in the forward-looking statements.
Among the factors that could cause results to differ
materially are the following: fluctuating demand for
our products and services; national and global economic and
political conditions; our and our customers'
ability to obtain financing; the introduction of new products
and services offered by us and our competitors; uncertainty
of the impact of recently enacted healthcare laws;
consolidation of healthcare providers; proper functioning of
our data processing and information technology systems;
our ability to successfully execute our global sourcing
strategy; pricing pressures on large national and
regional accounts and GPOs; customer credit quality and our
ability to collect our accounts receivable,
particularly in states with significant budget
deficits; our ability to successfully execute our mergers and
acquisitions strategy; our ability to compete with
other medical supply companies and direct manufacturers;
multi-tiered cost structures where certain institutions
can obtain more favorable prices for medical products than
us; our ability to maintain relationships with our suppliers
and customers; our ability to retain sales reps and key
management; our ability to execute our growth strategy;
increased operating costs, including fuel and other
commodity prices; risks involved in maintaining a large
amount of inventory; our indebtedness may limit our
ability to obtain additional financing or react to market
conditions; we face litigation and product liability
exposure; weather-related events such as hurricanes may
disrupt our and our customers' business; we may be deemed
to infringe other persons intellectual property; our
and our customers' businesses are subject to numerous
federal, state and foreign laws and regulations that
could impact our and their financial condition and results of
operations; general business, competitive and economic
factors and conditions; and other factors described from time
to time in the Company's reports filed with the
Securities and Exchange Commission. PSS World Medical,
Inc. assumes no obligation to update the information in this
release except as otherwise required by law. Readers
are cautioned not to place undue reliance on these
forward-looking statements that speak only as of the
date hereof.
CONTACT: PSS World Medical
Investor Relations
904-332-3287