TORONTO, Feb. 17 /CNW/ - Cinram International Income Fund (together with
its subsidiaries where applicable, "Cinram" or the "Fund") announced
today that it has achieved 100% lender support for its previously
announced proposed refinancing and recapitalization transaction (the
"Refinancing and Recapitalization").
"This refinancing and recapitalization transaction is a significant and
positive development for Cinram and its stakeholders, and we are
delighted by and appreciative of the unanimous support of our lenders,"
commented John Bell, Cinram's Chief Financial Officer.
Steve Brown, CEO of Cinram, stated, "With the completion of the
refinancing, having created a company with a much stronger financial
position, we can now focus our complete energy to the growth of the
business and creation of value for all stakeholders."
The key changes to Cinram's capital structure resulting from these
transactions were disclosed in the Fund's January 25, 2011 press
release. It is expected that the Refinancing and Recapitalization will
close in the next few weeks.
Cinram retained Goldman, Sachs & Co. to act as its financial advisor to
assist the Fund with the Refinancing and Recapitalization.
Cinram International Inc., an indirect, wholly-owned subsidiary of the
Fund, is one of the world's largest providers of pre-recorded
multimedia products and related logistics services. With facilities in
North America and Europe, Cinram International Inc. manufactures and
distributes pre-recorded DVDs, audio CDs, and CD-ROMs for motion
picture studios, music labels, publishers and computer software
companies around the world. Cinram now also provides distribution and
logistics services to the telecommunications industry in North America
through its wireless subsidiaries. The Fund's units are listed on the
Toronto Stock Exchange under the symbol CRW.UN. For more information,
visit our website at www.cinram.com.
Certain statements included in this release constitute "forward-looking
statements" within the meaning of applicable securities laws. Such
forward-looking statements include statements concerning the possible
effects of the transactions described herein, and the likelihood of
their successful completion. Such forward-looking statements involve
known and unknown risks, uncertainties and other factors which may
cause the actual results, performance or achievements of the Fund, or
results of the multimedia duplication/ replication industry, to be
materially different from any future results, performance or
achievements expressed or implied by such forward looking statements.
Such factors include, among others, the following: the Fund's ability
to retain major customers; general economic and business conditions,
which will, among other things, impact the demand for the Fund's
products and services; multimedia replication industry conditions and
capacity; the ability of the Fund to implement its business strategy;
the Fund's ability to invest successfully in new technologies and other
factors which are described in the Fund's filings with the securities
commissions. These risks may affect the achievement of the expected results of the
transactions described herein. There can be no assurance that the said
transactions will be successfully completed or that, if completed, the
expected consequences will result in whole or in part, and the
deviations from such expectations may be material.
SOURCE Cinram International Income Fund
For further information:
John H. Bell