Published on October 31, 2009 at 2:55 AM
American HomePatient, Inc. (OTCBB: AHOM), one of the nation’s largest home health care providers, today announced that it has entered into a fourth forbearance agreement with NexBank, SSB, the agent for its senior debt (the “Agent”), and the holders in interest of a majority of the senior debt (the “Forbearance Holders”).
Approximately $226 million was due to be repaid in full on the maturity date of August 1, 2009 pursuant to the terms of the Company’s secured promissory note to the Agent. The parties to the forbearance agreement have agreed to not exercise, prior to December 1, 2009, any of their rights or remedies for the Company’s failure to repay the debt in full on the maturity date. The Company, the Agent, and the Forbearance Holders continue to work toward a resolution of the debt maturity issue. However, there can be no assurance a resolution will be reached with favorable terms to the Company and its stockholders or at all.
Source: American HomePatient, Inc.