Sport Chalet Announces Expansion of Bank of America Merrill Lynch Credit
Facility to $75 Million
Term Extended to 2018
LOS ANGELES, Aug. 14, 2013 (GLOBE NEWSWIRE) -- Sport Chalet (Nasdaq:SPCHA)
(Nasdaq:SPCHB), a premier, full service specialty sporting goods retailer,
today announced that it has amended its existing credit facility with Bank of
America Merrill Lynch, increasing the facility to $75 million and extending
its term. The amendment to the credit facility was entered into on August 8,
2013, and will mature in August 2018. It replaces the Company's existing $65
million facility, which was scheduled to mature in October 2014.
The expanded facility will continue to be used to finance inventory and other
working capital requirements as well as capital expenditures in support of the
Company's growth plans.
"We are very pleased with our expanded credit facility and appreciate Bank of
America Merrill Lynch's continued support," said Howard Kaminsky, Sport
Chalet's Chief Financial Officer."The additional commitment provides us with
enhanced liquidity and financing flexibility.With this facility in place, we
are well positioned to execute our plan."
Jeff McLane, president of Bank of America Business Capital, said, "Bank of
America Merrill Lynch and Sport Chalet have had a strong relationship for many
years, and we are pleased to maintain that commitment as Sport Chalet
continues to grow. This increased credit facility is a great example of how
Bank of America Merrill Lynch is focused on helping leading companies meet
their financial goals."
About Sport Chalet, Inc.
Sport Chalet is a premier, full service specialty sporting goods retailer
featuring the industry's top sports brands in apparel, footwear, and sports
equipment. Founded in 1959 by Norbert Olberz, the company has 52 stores in
Arizona, California, Nevada and Utah; an online store at www.sportchalet.com;
a Team Sales Division; and offers more than 50 specialty services for the
sports enthusiast, including online same day delivery, climbing, backcountry
skiing, ski mountaineering, avalanche education, and mountain trekking
instruction, car rack installation, snowboard and ski rental and repair, Scuba
training and certification, Scuba boat charters, team sales, gait analysis,
baseball/softball glove steaming and lacing, racquet stringing, and bicycle
tune-up and repair at its store locations. For more information, visit Sport
Chalet at www.sportchalet.com.
Except for historical information contained herein, the statements in this
release are forward- looking and made pursuant to the safe harbor provisions
of the Private Securities Litigation Reform Act of 1995.Forward-looking
statements involve known and unknown risks and uncertainties that may cause
the Company's actual results in future periods to differ materially from
forecasted results. Those risks include, among other things, the specific
forward looking statements in this release and the risks associated with each,
the negative effect of the economic downturn on the Company's sales,
limitations on borrowing under the Company's bank credit facility, the
Company's ability to control operating expenses and costs, the competitive
environment of the sporting goods industry in general and in the Company's
specific market areas, inflation, the challenge of maintaining its competitive
position, the Company's ability to manage the growth of its Team Sales
Division and online business, the Company's ability to regain or subsequently
maintain compliance with the requirements for continued listing of its Class B
Common Stock, changes in costs of goods and services, and the weather and
economic conditions in general and in specific market areas. These and other
risks are more fully described in the Company's filings with the Securities
and Exchange Commission.
CONTACT: Howard Kaminsky, Chief Financial Officer
(818) 949-5300 ext. 5728
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