COLUMBIA, S.C., Feb. 12, 2013 (GLOBE NEWSWIRE) -- CMARK International, Inc. (OTC Pink Sheets: CMIT), a global provider of facility and logistic support services for government and commercial institutions, has completed a second and substantial financial restructuring agreement with its major senior debt holder, Trafalgar Capital Specialized Investment Fund, Luxembourg.
The companies which have worked together since March of 2007, have completed a substantial restructuring of all existing financial obligations to a final amount of $2,500,000 of total debt as well as final conversion of any and all common stock options from approximately $9,500,000 of options at December 31, 2012 market price, in exchange for 33,000,000 common shares from a combination of new issuance and transfer from existing shareholders. All have been delivered.
In addition, the company amended its articles of incorporation and reduced its authorized issuance of common stock from 500,000,000 to 250,000,000.The terms of the new remaining debt position further defers any debt service to January of 2015 continuing to allow CMARK the ability to concentrate its efforts on improving its current working capital position and strengthening its future operating platform. Trafalgar Capital is committed to the long term success of CMARK International and this agreement shows the confidence that they have in CMARK. "CMARK's overall business strategy continues to include providing a diverse but cohesive product platform offering of facility design and support products, as well as logistical products and services to The U.S. Federal Government marketplace , as well as a more substantial growth effort into the private sector," says Charles W. Jones, Jr., president and CEO of CMARK. The company will continue to put emphasis on product development, private branding, marketing, management services, and the respective revenue from these efforts. "This very significant secondary restructure of its financial obligations, elimination of any and all options and warrants, and the reduction of authorized common stock issuance allows the company the necessary tools to try to improve its financial condition, substantially limit dilution, better utilize an approximate $20,000,000 net operating loss (NOL) carry forward, and overall give the company a much better ability to seek further refinancing, better attempt to work with existing vendors as well as increasing to position the company for any merger or acquisition opportunities."