MILWAUKEE, Jan. 16, 2018 (GLOBE NEWSWIRE) The Bon-Ton Stores, Inc. (OTCQX:BONT) (“the Company”), today announced that it has entered into forbearance agreements (the “Forbearance Agreements”) with its ABL Credit Agreement lenders and an ad hoc group of holders of approximately 75% in aggregate principal amount of the Company’s 8.0% Second Lien Secured Notes due 2021 (the “2L Notes”).  

Under the terms of the Forbearance Agreements, the ABL Credit Agreement lenders and the forbearing holders of the 2L Notes have agreed to forbear from exercising any and all remedies available to them as a result of the Company not making the interest payment due on the Notes on December 15, 2017, subject to customary terms and conditions. The Forbearance Agreements will expire on January 26, 2018, unless further extended by the parties.  The forbearance period under the ABL forbearance agreement will be automatically extended to February 4, 2018 if the forbearing holders of the 2L Notes agree to extend to such date.

As previously disclosed, the Company is engaged in ongoing discussions with its debt holders in an effort to strengthen its capital structure to support the business.

Additional information on the Forbearance Agreements is contained in a report on Form 8-K, which will be filed with the Securities and Exchange Commission.

About The Bon-Ton Stores, Inc.

The Bon-Ton Stores, Inc., with corporate headquarters in York, Pennsylvania and Milwaukee, Wisconsin, operates 260 stores, which includes nine furniture galleries and four clearance centers, in 24 states in the Northeast, Midwest and upper Great Plains under the Bon-Ton, Bergner’s, Boston Store, Carson’s, Elder-Beerman, Herberger’s and Younkers nameplates.  The stores offer a broad assortment of national and private brand fashion apparel and accessories for women, men and children, as well as cosmetics and home furnishings.  The Bon-Ton Stores, Inc. is an active and positive participant in the communities it serves.