Comment of John Luttrell, CFO of American Apparel, Inc. "We had several objectives related to the refinancing of our capital structure. We wanted to replace our existing senior credit facility with a long-term facility at commercially appropriate rates with additional capacity.
This Credit Facility meets all of those criteria. We also hoped to extend the Lion debt in a manner that would not dilute our equity shareholders and give us the added flexibility to ultimately take out this credit agreement as operating results continue to improve.
The Lion amendment achieves this objective. With the actions taken today, we have a clear path for the next three years to concentrate on our business and deliver solid operating performance improvements. Our estimated cash flows fully support the added interest payments when compared to our prior senior secured facility. Most important, we have concluded that there is no longer substantial doubt about our ability to continue to operate as a going concern."
Financial Advisor The Company engaged Cowen and Company as its financial advisor for these transactions.
American Apparel is a vertically integrated manufacturer, distributor, and retailer of branded fashion basic apparel based in downtown Los Angeles, California.
20240830145952.gif)
20240924091343.png)
.jpg?tr=w-120,h-60,c-at_max,cm-pad_resize,bg-ffffff "UBM China (Shanghai)")
-Ltd..jpg?tr=w-120,h-60,c-at_max,cm-pad_resize,bg-ffffff "Thermore (Far East) Ltd.")
