Comerica Increases Available Borrowings Under Amended Credit Facilities
Includes Reduction of Interest Rates; Establishment of Certain
Financial and Non-financial Covenants; and $1 Million of Additional
Mid-Quarter Borrowing Capacity
IRVINE, CA -- (Marketwired) -- 05/07/13 -- BIOLASE, Inc. (NASDAQ:
BIOL), the world's leading manufacturer and distributor of dental
lasers, announced today that Comerica Bank has increased BIOLASE's(R)
credit facility agreements (the "Credit Agreements") from $8 million
to $10 million, decreased both the domestic and Ex-Im interest rates,
established financial and non-financial covenants for the year ending
December 31, 2013, and added $1 million of additional mid-quarter
Fred Furry, Chief Operating Officer and Chief Financial Officer said,
"We are very pleased with the terms established for the second year
of our credit facility and thankful for the relationship we have
developed with Comerica Bank. Management has worked diligently
throughout the turnaround and the amendment to our Credit Agreements
highlights Comerica Bank's confidence in the changes we have made and
illustrates their belief in BIOLASE's future potential."
The amended Credit Agreement increased the borrowings against certain
domestic accounts receivable and inventory (the "Domestic Revolver")
from $4 million to $6 million, for a combined aggregate commitment of
borrowings up to $10 million. The interest rates on the outstanding
principal balance of the Credit Agreements will bear interest at
annual percentage rates equal to the daily prime rate, plus 2.00% for
the Domestic Revolver and 1.50% for the Ex-Im Revolver, a reduction
of 1.00% and 0.50% in the interest rates of the Domestic and Ex-Im
Revolvers, respectively. In addition, the amended Credit Agreement
will provide for $1 million of additional borrowings against
inventory for 30 days during the middle of a quarter.
The lines of credit mature on May 1, 2014, at which date any
remaining borrowings and accrued interest under the lines of credit
become due and payable. As of March 31, 2013, the Company had
outstanding borrowings totaling approximately $3.3 million, which
included $1.8 million under the Domestic Revolver and $1.5 million
under the Ex-Im Revolver.
About BIOLASE, Inc.
BIOLASE, Inc. is a biomedical company that
develops, manufactures, and markets lasers in dentistry and medicine
and also markets and distributes dental imaging equipment; products
that are focused on technologies that advance the practice of
dentistry and medicine. The Company's laser products incorporate over
340 patented and patent-pending technologies designed to provide
biologically clinically superior performance with less pain and
faster recovery times. Its imaging products provide cutting-edge
technology at competitive prices to deliver the best results for
dentists and patients. BIOLASE's principal products are dental laser
systems that perform a broad range of dental procedures, including
cosmetic and complex surgical applications, and a full line of dental
imaging equipment. BIOLASE has sold more than 22,500 lasers.
Other products under development address ophthalmology and other
medical and consumer markets.
For updates and information on WaterLase(R) and laser dentistry, find
BIOLASE online at www.biolase.com, Facebook at
www.facebook.com/biolaseinc, Twitter at www.twitter.com/biolaseinc,
Pinterest at www.pinterest.com/biolase, Linkedin at
www.linkedin.com/company/biolase, Instagram at
www.instagram.com/biolaseinc and YouTube at
BIOLASE(R) and WaterLase(R) are registered trademarks of BIOLASE,
For further information, please contact:
Porter, LeVay & Rose, Inc.
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