Industrial Services of America, Inc. (NASDAQ: IDSA), a company that buys, processes and markets ferrous and non-ferrous metals and other recyclable commodities for domestic users and export markets and offers programs and equipment to help businesses manage waste, today announced that it has finalized the terms of an amendment to its credit facility with Fifth Third Bank. With this amendment, ISA will reclassify $13,668,900 of current debt to long-term debt, improving the company’s liquidity ratios and freeing up more cash to operate the business. The amendment features other important improvements, including:
- Extends the credit facility’s maturity date from April 30, 2014 to July 31, 2015
- Reduces monthly term loan payments from $105,000 to $50,000
- Reduces the interest rate on both the revolver and the Fifth Third term loan to LIBOR + 4.00% (from LIBOR + 5.00%) through June 30, 2014
- Allows the advance rate on inventory to increase from 55% to 65%.
ISA’s SEC filings are available for review at the Securities and Exchange Commission web site at http://www.sec.gov/edgar/searchedgar/companysearch.html.About ISA Headquartered in Louisville, Kentucky, Industrial Services of America, Inc., is a publicly traded company whose core business is buying, processing and marketing scrap metals and recyclable materials for domestic users and export markets. Additionally, ISA offers commercial, industrial and business customers a variety of programs and equipment to manage waste. More information about ISA is available at www.isa-inc.com. This news release contains forward-looking statements that involve risks and uncertainties that could cause actual results to differ from predicted results. Specific risks include fluctuations in the price of recycled materials; varying demand for waste managing systems, equipment and services; competitive pressures in waste managing systems and equipment; competitive pressures in the waste managing business; availability and terms of capital; the company’s ability to restructure its balance sheet on favorable terms, if at all; and loss of customers. Further information on factors that could affect ISA’s results is detailed in ISA’s filings with the Securities and Exchange Commission. ISA undertakes no obligation to publicly release the results of any revisions to the forward-looking statements.