Business
Lakeland Industries Announces New Credit Facility with Bank of America
DECATUR, AL / ACCESSWIRE / July 1, 2020 / Lakeland Industries, Inc. (NASDAQ:LAKE) (the "Company" or "Lakeland"), a leading global manufacturer of protective
About this update from Lakeland Industries, Inc.
[{"type":"text","content":"DECATUR, AL / ACCESSWIRE / July 1, 2020 / Lakeland Industries, Inc. (NASDAQ:LAKE) (the \"Company\" or \"Lakeland\"), a leading global manufacturer of protective clothing for industry, healthcare and to first responders on the federal, state and local levels, today announced that it has established a new credit facility with Bank of America. The new facility consists of a senior secured $12.5 million revolving credit facility, which includes a $5 million letter of credit sub-facility and an option to convert up to $5 million of the revolving credit facility into a term loan facility. The facility also includes an accordion feature under which the Company may request from time to time an increase in the revolving commitment of up to $5 million (for a total commitment of up to $17.5 million). The facility will mature on June 25, 2025. Terms of the new facility are more completely discussed in the Company's Form 8-K filed with the Securities and Exchange Commission.Allen E. Dillard, Chief Financial Officer of Lakeland Industries, stated, \"We look forward to our new banking relationship with Bank of America. While Lakeland's financial condition has substantially improved over the past five years as evidenced by our net cash position increasing to $23.3 million at April 30, 2020 as compared with net debt of $4.3 million at April 30, 2015, we have aligned the size of our new credit facility to reflect our current capital requirements while incorporating expansion flexibility. At the same time, we will receive improved pricing, decreased administration, and will have access to Bank of America's global platform for cash management. This facility and its enhanced features reflect our efforts to optimize all aspects of our business and financial operations aimed at better supporting our continued worldwide growth.\"\"Bank of America is pleased to work with Lakeland Industries as they execute on their growth plan,\" said Brooks Emory, Senior Relationship Manager with Global Commercial Banking at Bank of America. \"We remain committed to helping our clients through all stages of the business cycle and look forward to serving Lakeland Industries as they continue to grow their company worldwide.\"About Lakeland Industries, Inc.:We manufacture and sell a comprehensive line of industrial protective clothing and accessories for the industrial an...