9/16/2011 12:24:00 AM
NEWS BRIEFS
TriMas Amends Accounts Receivable Facility
Monogram Fasteners parent company TriMas Corp. amended its accounts receivable facility with Wells Fargo Bank. The amended facility, which has a four-year term, provides committed funding of up to $90 million.
The amended accounts receivable facility provides a source of liquidity for the Company at a cost of funds equal to three month LIBOR (currently approximately 0.30%) plus an applicable margin of 1.50% or 1.75%, depending on amounts drawn. This facility supersedes the Company’s existing $75 million accounts receivables facility which had pricing of three month LIBOR plus a margin of 2.75%, and a scheduled expiry date of December 29, 2012.
“Together with our recently refinanced term loan and revolving credit facilities, this new agreement reflects our continued efforts to reduce our cost of capital, extend debt maturities and enhance our liquidity,” stated CFO Mark Zeffiro. “We believe these new facilities provide us with the operational and financial flexibility necessary to continue executing on our long-term growth objectives and strategies.”
Trimas Corp. reported sales for its Aerospace and Defense segment, including Monogram Fasteners, increased 23.9% to $21.33 million during the second quarter of 2011, “due primarily to improved demand for blind bolts and temporary fasteners from aerospace distribution customers.” Segment operating profit gained 27.5% to $4.86 million.
Aerospace and Defense segment sales improved 16% to $39.83 million during the opening half of 2011, while operating profit climbed 11.8% to $8.58 million.
Overall second-quarter revenue rose 18.9% to $299.7 million, with operating profit growing 16% to $42.5 million.
Six-month Trimas sales increased 20% to $569.4 million, with operating profit rising 17.8% to $72.53 million. ©2011 GlobalFastenerNews.com
Related Links:
Share: