Anchor Glass Secures $125 Million Loan

Anchor Glass Container Corp., which makes glass bottles for Anheuser Busch and other companies, agreed to borrow $125 million from a group of noteholders to repay secured debt and cover operating expenses while it reorganizes in bankruptcy.

The noteholders are owed $350 million in 11 percent notes due in 2013, Anchor Glass said in papers filed with the U.S. Bankruptcy Court, Middle District of Florida. The financing requires court approval.

Anchor Glass proposes using the loan to repay $63.5 million owed to Wachovia under a 2002 loan and $15.4 million owed to Madeleine LLC under a February agreement. The noteholder loan also would replace a current $115 million financing agreement Anchor has with Wachovia.

``The company does not have sufficient ... working capital to operate its businesses without the financing requested,'' said Anchor Glass attorney Rob Soriano.

The financing can close as soon as Sept. 15 and will expire in one year, Anchor Glass said in court papers.

Anchor Glass, the nation's third-largest maker of glass containers, filed for Chapter 11 bankruptcy protection Aug. 8, three days after saying it was restating results from 2001 to 2003 because of improper accounting. It was the company's third bankruptcy filing since 1996.

Anchor Glass shares closed Friday at 15 cents, up 1 1/2 cents in over-the-counter trading.

600450 Anchor Glass Secures $125 Million Loan

See more news about:

Others also read

Emirates Glass, a Dubai Investment subsidiary, has won a major contract to supply 140,000 square meters of its premium glass to the prestigious development on the Palm Jumeirah, reaffirming its already established reputation as the single most prominent company in the entire regional glass industry.The deal was announced during the company's participation in the prestigious Big 5 show, the largest annual venue for the entire Middle-East glass contracting industry.
Isra Vision Systems AG supplier of machine vision systems, has successfully improved its market position in display glass inspection with a major order totalling 1.8 Mio Euro.
Packagers such as the UK's Rexam and private equity firms are set to vie for pump-sprayer business Calmar, which France's Saint-Gobain (SGOB.
Jain Scientific Glass Works, manufacturers of glassware for laboratories, is importing glass as raw material from China, which was much cheaper than the local product and abundantly available.
The National Lime & Stone Co. will discontinue production of calcined lime early next month at its Carey plant, the company CEO announced Thursday.
The following stocks are moving in Japanese markets today. Prices are as of 12:55 p.m. at the Tokyo Stock Exchange. Stock symbols are in parentheses after company names.

Add new comment