SHERMAN OAKS, Calif., Dec. 18, 1995 -- href="chap11.hf.html">House of Fabrics,
Inc. (NYSE: HF) said today that it had reached an agreement in
principle late Friday with its bank group, led by Bank of America as
agent, for an extension of its debtor-in-possession (DIP) financing
facility through April 30, 1996 in the amount of $17.3 million. The
company's original post-petition financing facility was due to
expire on January 31, 1995. The company currently has no borrowings
outstanding against the facility.
"The extension of the DIP facility provides additional assurance
to our vendors that - as House of Fabrics completes the final stage
of its Chapter 11 restructuring - we have the continued ability to
pay for the orders we are currently placing for spring merchandise,"
said Gary L. Larkins, House of Fabrics President and Chief Executive
Officer.
"The extended credit facility is more than adequate to provide
for all of our planned purchases and demonstrates the continued
support of our bank group," Mr. Larkins said.
The extension is subject to the completion of documentation and
final approval of, among others, the Bankruptcy Court. The company
said it expects to receive court approval on January 11, 1996.
House of Fabrics filed to restructure under Chapter 11 November 2, 1994.
/CONTACT: Sandra Sternberg or Rivian Bell, both of Sitrick And
Company, 310-788-2850/
ATLANTA, Dec. 18, 1995 -- Anacomp, Inc. (NYSE:
AAC) today
announced that it has postponed filing a registration statement
relating to a prepackaged plan of reorganization under Chapter 11 of
the United States Bankruptcy Code. The company previously announced
that it has reached an agreement in principle on a financial
restructuring with the committees of holders representing all of
Anacomp's publicly held unsecured debt.
Anacomp decided to postpone filing the registration statement to
give the company's senior secured lenders and publicly held
unsecured debt additional time to negotiate the terms of the
restructuring proposal.
Anacomp is a leading provider of multiple-media data management
solutions, delivering cost-effective strategies that incorporate
micrographic, digital, and magnetic output media.
/CONTACT: Jeff Withem, Corporate Communications, 404-876-3361, or
Nancy Vandeventer, Investor Relations, 800-350-3044, both of
Anacomp/
CHICAGO, Dec. 18, 1995 -- Duff & Phelps Credit
Rating Co.
(DCR) has changed the Rating Watch designation on the `B` (Single-B)
claims paying ability rating of Southwestern Life Insurance Co.
(Southwestern Life) from Rating Watch-Uncertain to Rating Watch-Up.
This action reflects the December 15 sale of the company by href="chap11.ich.html">I.C.H.
Corp. (ICH) to Southwestern Financial Corp. (SFC). SFC is a new
company formed for the acquisition by PennCorp Financial Group, Inc.
and Knightsbridge Capital Fund I, L.P. DCR intends to meet with SFC
management in the near term to discuss their plans for Southwestern
Life. The ultimate rating for Southwestern Life will be based on
the financing of the acquisition, the terms of the transaction,
management`s strategic plans and the financial strength of SFC and
its owners.
Southwestern Life`s claims paying ability rating was downgraded
in January 1995 from `BB+` (Double-B-Plus) to `B` (Single-B) and
placed on Rating Watch-Uncertain upon ICH`s announcement of a
corporate restructuring including the suspension of the preferred
dividend, the potential write-down of intangible assets, and a
charge to earnings related to realized CMO (collateralized mortgage
obligations) losses.
These events reduced the financial flexibility of the parent
company to meet required debt repayments in late 1995 and 1996.
On October 10, 1995, ICH announced that it had filed voluntary
petitions for relief under Chapter 11 of the U.S. Bankruptcy Code
and had signed a definitive agreement to sell Southwestern Life and
two other subsidiaries to Shinnecock Holdings (Shinnecock) for $202
million. Later that month, the Bankruptcy Court approved a
competitive offer procedure by which other parties could compete
with the Shinnecock agreement. On December 5, the Bankruptcy Court
approved a $260 million bid from SFC. The acquisition closed
December 15, 1995.
/CONTACT: Julie A. Burke, CPA, CFA, 312-368-3158, Douglas L. Meyer,
CFA, 312-368-2061, both of Duff & Phelps Credit Rating Co./
GOSHEN, Ind., Dec. 18, 1995 -- Cobra
Industries (UL: COI)
said today that it has received debtor-in-possession (DIP) financing
of $2.573 million from Congress Financial Corporation, New York, and
has reached an agreement for continued Cobra dealer Floor Plan
Financing with Deutsche Financial Services, Matteson, IL.
"Both of these financing arrangements will better enable Cobra
to fulfill significant customer orders placed at the 33rd Annual
National RV Trade Show in Louisville," said Thomas A. DeNova,
chairman and chief executive officer of the recreational vehicle
manufacturer. He said that the company exhibited 17 new models at
the show, including a tent camper with the industry's first king
size bed slide out option and an extra light weight towable trailer.
"Orders exceeded our expectations, and the new financing is helping
us gear up production to meet this demand," he said.
Cobra Industries, headquartered in Goshen, Indiana, is one of
North America's largest recreational vehicle producers, with
manufacturing and distribution facilities in Indiana, California,
Texas and Georgia. The company produces conventional trailers, park
trailers, folding camper trailers and van conversions. Cobra has
been operating under Chapter 11 of the United States Bankruptcy Code
since October 27, 1995.
/CONTACT: James J. Roop or Robert G. Berick of Watt, Roop & Co.,
216-566-7019/