Pregis Corporation, a leading international manufacturer, marketer, and supplier of protective packaging products and specialty packaging solutions, today announced that it has closed on the offering of euro 125,000,000 aggregate principal amount of additional second priority senior secured floating rate notes due 2013. These notes were issued in a transaction pursuant to Rule 144A and Regulation S under the Securities Act of 1933, as amended. The Company used the net proceeds from this offering to repay outstanding term loan indebtedness under its senior secured credit facilities, which have also been amended as part of the transaction.
Commenting on the closing of the private placement and credit facility amendment, Mike McDonnell, President and Chief Executive Officer, stated, "We are very pleased that we were able to successfully complete the note offering and refinancing of our capital structure. The success of this transaction demonstrates the confidence that investors have in the strength of Pregis and its future."
Mr. McDonnell continued, "This transaction significantly enhances our financial flexibility and extends the maturity of all of our debt with the exception of our revolving credit facility until 2013. This enhanced capital structure, coupled with the Company's strong cash position, enables Pregis to make prudent investments to accelerate our strategic growth initiatives and drive our earnings as economic conditions improve. Our leadership team is excited about building upon our past successes to further strengthen the value proposition Pregis offers to our customers, employees and investors."