New Credit Facility Strengthens Company’s Capital Structure
WINCHESTER, Va.--(BUSINESS WIRE)--Jan. 12, 2012--
Trex Company, Inc. (NYSE: TREX), the world’s largest manufacturer of
wood-alternative decking and railing products, has completed an
amendment to its senior secured credit facility. The amended asset-based
lending facility, obtained through Branch, Banking and Trust Company
(BB&T) and Wells Fargo Capital Finance, LLC, provides for a maximum
principal amount of $100 million. With more favorable borrowing rates
and a maturity of January 9, 2015, the new facility strengthens the
Company’s capital structure.
Trex Chairman, President and CEO Ronald W. Kaplan remarked, "I am
pleased that we have a credit facility in place that will reduce our
overall borrowing costs, give us additional borrowing capacity and
provide the capital structure to execute our strategic objectives. The
overhaul of our capital structure was a key objective of our turnaround
strategy that began four years ago this month. The achievement of this
component of our strategy positions us well for future opportunities."
Forward-Looking Statements
The statements in this press release regarding the Company's expected
future performance and condition constitute "forward-looking statements"
within the meaning of Section 27A of the Securities Act of 1933 and
Section 21E of the Securities Exchange Act of 1934. These statements are
subject to risks and uncertainties that could cause the Company's actual
operating results to differ materially. Such risks and uncertainties
include the extent of market acceptance of the Company's products; the
costs associated with the development and launch of new products and the
market acceptance of such new products; the sensitivity of the
Company's business to general economic conditions; the Company's ability
to obtain raw materials at acceptable prices; the Company's ability to
maintain product quality and product performance at an acceptable cost;
the level of expenses associated with product replacement and consumer
relations expenses related to product quality; and the highly
competitive markets in which the Company operates. Documents filed with
the Securities and Exchange Commission by the Company, including in
particular its latest annual report on Form 10-K and quarterly reports
on Form 10-Q, discuss some of the important factors that could cause the
Company's actual results to differ materially from those expressed or
implied in these forward-looking statements. The Company expressly
disclaims any obligation to update or revise publicly any
forward-looking statements, whether as a result of new information,
future events or otherwise.
About Trex Company
Trex Company is the world’s largest manufacturer of wood-alternative
decking and railing, with more than 20 years of product experience.
Stocked in more than 5,500 retail locations throughout the world, Trex®
outdoor living products offer a wide range of style options with fewer
ongoing maintenance requirements than wood, as well as a truly
environmentally responsible choice. For more information, visit trex.com.
Source: Trex Company, Inc.
Trex Company, Inc.
James Cline, 540-542-6300
Chief Financial
Officer
or
Lippert/Heilshorn & Associates
Harriet
Fried, 212-838-3777