DALLAS, Sept. 5 /PRNewswire/ -- Fleming Companies, Inc. (NYSE: FLM) today
announced that it plans to issue $250 million of new 10-year senior
subordinated notes in a private placement to refinance existing bank revolver
borrowings.
The new senior subordinated notes are being issued at a time when Fleming
has experienced growth in its business. Fleming's short-term borrowings have
increased as a result of new customer growth, recent acquisitions in the
convenience-store distribution sector of its business, and acquisitions that
have grown distribution center and retail volume in the company's western and
southwestern operations. Proceeds from the new notes will be used to repay
bank revolver borrowings.
The new notes will not be registered under the Securities Act of 1933, as
amended, and may not be offered or sold in the United States absent
registration or an applicable exemption from registration requirements.
In connection with the notes issuance, Fleming has commenced the
solicitation of consents from holders of its 10-1/2 percent senior
subordinated notes due 2004 and 10-5/8 percent senior subordinated notes due
2007 to amend certain provisions of the indentures governing those securities.
Safe Harbor Statement: This release includes forward-looking statements
that depend on future events for their accuracy or rely upon projections and
assumptions that may prove to be inaccurate. These forward-looking statements
and the company's business and prospects are subject to a number of factors
that could cause actual results to differ materially, including: the ability
to obtain capital or obtain it on acceptable terms; adverse effects of the
changing industry environment and increased competition; and negative effects
of the company's substantial indebtedness and the limitations imposed by
restrictive covenants contained in the company's debt instruments. These and
other risk factors are described in the company's Securities and Exchange
Commission reports, including but not limited to the 10-K Report for the 2000
fiscal year. The company undertakes no obligation to update forward-looking
statements to reflect developments or information obtained after the date
hereof.
CONTACTS:
(Media) Shane Boyd 972.906.8824
(Media) Randy Hatcher 972.906.8823
(Investors-Equity) Meredith Anderson 972.906.8592
(Investors-Debt) Matt Hildreth 972.906.8126
SOURCE Fleming
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Related links:
http://www.fleming.com
CONTACT:
media, Shane Boyd, +1-972-906-8824, or Randy
Hatcher, +1-972-906-8823, or investors-equity, Meredith Anderson,
+1-972-906-8592, or investors-debt, Matt Hildreth,
+1-972-906-8126, all of Fleming
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