Tampa, FL (PRWEB) March 29, 2012
Jagged Peak, Inc. (OTC BB: JGPK), a leading provider of enterprise-class eCommerce solutions and supply chain services announced today that it entered into a new senior credit facility from Fifth Third Bank. The facility provides for a two-year $3 million revolving line of credit secured by all the assets of the company. This replaces the prior outstanding facility and will be used for working capital. The pricing on the new facility is based on an applicable margin plus LIBOR and does not require a borrowing base. The new credit facility increases availability by $1.5 million from the prior facility.
“This new $3.0 million credit facility accomplishes several things for us,” says Jagged Peak CFO Albert Narvades. “In addition to enabling us to retire outstanding debt, it increases our financial flexibility by lowering annual interest expense, and doubling the size and extending the term of our borrowing facility. We appreciate Fifth Third Bank’s help in assembling a cost-effective solution that aligns with strengthening our liquidity and reducing our cost of capital.”
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements involve risks and uncertainties. Factors that could cause actual results to differ materially from those predicted in any such forward-looking statement include our ability to continue to lower our costs, our timely development and customers’ acceptance of our products, including acceptance by key customers, pricing pressures, rapid technological changes in the industry, growth of the market, increased competition, our ability to attract and retain qualified personnel, adverse changes in general economic conditions in the U.S. and internationally, risks associated with foreign operations and political and economic uncertainties associated with current world events. These and other risks are detailed from time to time in the Jagged Peak, Inc. periodic reports filed with the Securities and Exchange Commission, including, but not limited to, its report on Form 10-K for its fiscal year ended December 30, 2011.
About Jagged Peak
Jagged Peak’s technology and supply chain services enable retailers, manufacturers, distributors and consumer brand companies to quickly and cost-effectively establish and operate a direct online business. The cornerstone of Jagged Peak’s solutions is the EDGE eCommerce platform. It is a fully web-based order management system that provides real-time order visibility throughout the entire order life cycle across multiple business units, distribution channels and trading partners. Jagged Peak’s blue chip client roster includes numerous global consumer brand companies. For more information, please visit http://www.jaggedpeak.com.