RNS Number : 5020G
Catalytic Solutions, Inc.
02 February 2010
For Immediate Release 2 February 2010
Catalytic Solutions, Inc.
(The "Company")
UPDATE ON FINANCIAL POSITION
Catalytic Solutions, Inc. (AIM: CTS and CTSU), the Company behind Mixed Phase Catalyst (MPC®) technology, announces that further to the Company's press release of 21 December 2009, the Company and Fifth Third Bank have agreed to extend forbearance on the debt obligations owed by the Company to Fifth Third Bank until 30 April 2010. Under the terms of the extension, the credit limit on the Company's revolving line of credit, which is part US Dollar and part Canadian Dollar denominated, has been reduced to a total of Canadian $7.5 million from Canadian $8.5 million, with the limit being reduced by Canadian $100,000 per month. The outstanding balance under the line as of 31 December 2009 was approximately Canadian $5.4 million. In addition, the interest rate on the line has been increased by 250 basis points to US / Canadian Prime Rate plus 2.75 percent. Final documentation of the extension is expected be completed shortly.
The board continues to seek a longer term solution to the Company's liquidity position; however there can be no guarantee of success. Further announcements regarding the Company's liquidity position will be made in due course, as appropriate.
For further details, please contact:
Catalytic Solutions, Inc. Canaccord Adams Buchanan
Charlie Call, Chief Executive Robert Finlay Communications
Officer Guy Blakeney Charles Ryland
Tel: +1 (805) 639-9463 Bhavesh Patel Ben Willey
Steve Golden, Chief Technical Christian Goodbody
Officer Tel: 020 7050 6500
Tel: +1 (805) 639-9464 Tel: 020 7466 5000
Nikhil Mehta, Chief Financial
Officer
Tel: +1 (805) 639-9461
About Catalytic Solutions, Inc.
Catalytic Solutions, Inc. is a global manufacturer and distributor of emissions control systems and products, focused in the heavy-duty diesel and light-duty vehicle markets. The Company's emissions control systems and products are designed to deliver high value to our customers while benefiting the global environment through air quality improvement, sustainability and energy efficiency. Catalytic Solutions, Inc. is listed on AIM of the London Stock Exchange (AIM: CTS and CTSU) and currently has operations in the USA, Canada, France, Japan and Sweden as well as an Asian joint venture. The Company's website is www.catalyticsolutions.com.
This information is provided by RNS
The company news service from the London Stock Exchange
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