Arch Chemicals, Inc. (NYSE: ARJ) announced the successful completion of
a new unsecured $100 million term loan facility with Banc of America
Securities LLC and Greenwich Capital Markets, Inc. as joint lead
arrangers and joint book managers. The facility will mature on June 15,
2011, the same date the Company’s existing $350 million revolving credit
facility expires.
The Company used the loan proceeds to pay down a portion of the
revolving credit facility, thus providing additional liquidity in
advance of the March 2009 maturity of its $62 million senior notes.
"We’re extremely pleased to have completed this new financing
arrangement in today’s challenging economic and credit environment,”
said Arch Chemicals’ Vice President and CFO Steven C. Giuliano. "Our
ability to add liquidity provides us with greater flexibility and
reaffirms the value of our core Biocides portfolio and its long-term,
profitable growth prospects,” Mr. Giuliano added.
About Arch
Headquartered in Norwalk, Connecticut (USA), Arch Chemicals, Inc. is a
global Biocides company with 2008 sales of approximately $1.5 billion.
Arch and its subsidiaries provide innovative, chemistry-based solutions
to control the growth of harmful microbes. The Company’s concentration
is in water treatment, hair and skin care products, treated wood, paints
and coatings, building products and health and hygiene applications.
Arch Chemicals operates in two segments: Treatment Products and
Performance Products. Together with its subsidiaries, Arch has
approximately 3,000 employees and manufacturing and customer-support
facilities in North and South America, Europe, Asia, Australia and
Africa. For more information, visit the Company’s Web site at http://www.archchemicals.com.
Except for historical information contained herein, the information
set forth herein may contain forward-looking statements that are based
on management's beliefs, certain assumptions made by management and
management's current expectations, outlook, estimates and projections
about the markets and economy in which the Company and its various
businesses operate. Words such as "anticipates,” "believes,”
"estimates,” "expects,” "forecasts,” "intends,” "opines,” "plans,”
"predicts,” "projects,” "should,” "targets” and variations of such words
and similar expressions are intended to identify such forward-looking
statements. These statements are not guarantees of future performance
and involve certain risks, uncertainties and assumptions ("Future
Factors”), which are difficult to predict. Therefore, actual outcomes
and results may differ materially from what is expected or forecasted in
such forward-looking statements. The Company undertakes no obligation to
update publicly any forward-looking statements, whether as a result of
future events, new information or otherwise. Future Factors which could
cause actual results to differ materially from those discussed include
but are not limited to: general economic and business and market
conditions; continued weakening in U.S., European and Asian economies;
increases in interest rates; changes in foreign currencies against the
U.S. dollar; customer acceptance of new products; efficacy of new
technology; changes in U.S. or foreign laws and regulations; increased
competitive and/or customer pressure; the Company's ability to maintain
chemical price increases; higher-than-expected raw material and energy
costs and availability for certain chemical product lines; a change in
the antidumping duties on certain products; price increases due to
changes in Chinese taxes related to exports from China; increased
foreign competition in the calcium hypochlorite markets; inability to
obtain transportation for our chemicals; unfavorable court decisions,
including unfavorable decisions in appeals of antidumping rulings,
arbitration or jury decisions or tax matters; the supply/demand balance
for the Company's products, including the impact of excess industry
capacity; failure to achieve targeted cost-reduction programs; capital
expenditures in excess of those scheduled, such as the China plant;
environmental costs in excess of those projected; the occurrence of
unexpected manufacturing interruptions/outages at customer or Company
plants; a decision by the Company not to start up the hydrates
manufacturing facility; unfavorable weather conditions for swimming pool
use; inability to expand sales in the professional pool dealer market;
the impact of global weather changes; changes in the Company’s stock
price; ability to obtain financing at attractive rates; financial market
disruptions that impact our customers or suppliers; and gains or losses
on derivative instruments.
